Custom Media

Question: Has your sales and marketing tactics changed radically over the past five years?  Not to over hype it, but the second half of this decade has brought changes in media consumption that rivals the introduction of the printing press and television.  You need to keep your customer’s behavior in mind when deciding which marketing and sales tactics to use in light of the dramatic changes.

Five years ago no one had yet heard of YouTube, Hulu, Face book or Twitter.  Reality TV now dominates the ratings as Andy Warhol’s prediction of instant fame actually came true.  Public Wi Fi is everywhere and Google is now a verb.  The new generation of smart phones would amaze James Bond.  DVRs  and IPODs have completely changed the concept of consuming and buying entertainment.  When it comes to content, the influence of bloggers in politics, sports and entertainment often drive the media narrative with the mainstream media chasing. 

Major newspapers like the Boston Globe are a dying business model.  Network TV viewership is at an all time low and the level of creativity is even lower – how many crime shows do we need?  Magazine are shrinking and trying to reinvent themselves like Newsweek, Playboy and Reader’s Digest.  The B2B trade press is migrating from print to online content, web casts and virtual trade shows.

Thanks to advances in technology, the balance of power has shifted from media to consumer and that changes everything for marketers.  Have you adjusted your marketing plans to take advantage of these changes or are you maintaining the status quo?

Here are ten burning questions you need to ask yourself now:

1. Are you conducting or finding research to understand how your customers are consuming media? 

2. Does this research tell you the information needs of your customers and prospects?

3. Are you still renting expensive ad space in print and TV with the majority your budget? 

4. Are your producing original content and owning your own media channel to create an interactive dialog with your customers?

5. Is your company using original content to become a trusted media brand?

6. Are you creating passion and communities among your customers?

7. Do you make an effort to balance your retention and acquisition efforts, or are you over investing in lead generation?

8. Do you have a defined social media strategy to engage with customers and prospects where they are spending more and more time?

9. Are you personally engaged with Linked In, Face Book and Twitter to find prospects and talk to your customers?

10. Do you have measurement metrics in place for all of your marketing and sales tactics?

Think about your honest answers to these questions and take stock of where you are with both your company and career.  It is easy for mid career professionals to write these changes off as a passing fad or “for kids”.  That is probably what they there thinking at the Boston Globe and Newsweek just a few years ago.  We are in the midst of big time changes across the spectrum of politics, economics and media consumption.  The companies that adopt swiftly will thrive over the next decade. 

During last few weeks I have noticed a ratcheting up of inbound direct mail (postal and email) coming to me from companies that I had bought from in the past.  It ranged from Lowes and the Sunglass Hut sending me $50 off coupons for purchases over $200 to Omaha Steaks and 1800 Flowers emailing me great deals for Mothers and Fathers Day. 

Marketing to current or past customers is always smart, but even smarter during a recession.  Acquiring new customers can be a very expensive but necessary operation.  When funds are tight nimble companies tweak the balance between retention and acquisition.  By mining your customer database you can target past customers who will be more receptive to your messages.  Keep in mind most consumers are cutting back and trying to spend wiser.  A good deal from a familiar voice can get them to open their wallets.  It is always easier to convince someone to buy again rather than for the first time. 

Customer retention is even more powerful when paired with content marketing to build stronger relationships with customers who will see you as a trusted information resource.  This content can take the shape of custom magazines or magalogs, newsletters or webcasts.  Even face to face events for current customers could deliver a solid return.

How are you balancing your acquisition and retention efforts?  Do your customers see you as a trusted source of information or just someone trying to sell them something?

A content rich custom media customer retention program may be your best bet during trying economic times.

In 2000, Al Gore received a half million more votes than George W. Bush for President, but it was not to be.  Talk about Karma - fast forward to today and W. is in his living room with the lowest approval rating in modern times and is still a punching bag for the media and comedians.  Meanwhile, Al Gore has added a Nobel Peace Prize, Oscar, Grammy and Emmy to his environmentally correct trophy case.  In case you didn’t know, Gore is also one of the founders of Current TV.  Description below:

Since its inception in 2005, Current TV has been the world’s leading peer-to-peer news and information network. Current is the only 24/7 cable and satellite television network and Internet site produced and programmed in collaboration with its audience. Current connects young adults with what is going on in their world, from their perspective, in their own voices.

Current pioneered the television industry’s leading model of interactive viewer created content (VC2). Comprising roughly one-third of Current’s on-air broadcast, this content is submitted via short-form, non-fiction video “pods”. Viewer Created Ad Messages (VCAMs) are also open to viewer’s participation.
 

Current TV is a creature of the new media landscape and takes advantage of the fact many people want to create content, connect with peers and be famous. The technology to live this dream is now in the hands of the masses.  You can see this theme throughout media and popular culture.  Who received more “buzz” this year?  Was it Adam Lambert, Susan Boyle and the Housewives of NY/NJ or the scripted dramas on network television?  Clearly it was the reality stars because they feed into the concept of democratized content and aspirations of fame and fortune.

This trend has implications for marketers and advertisers trying to reach an ever more fragmented audience.  The 30 second spot and print ads are dying art forms.  One of the cool things about Current TV is they allow viewers to create ads for major brands such as HP and T-Mobile based on some creative assets and a brief.  Their research shows that viewers prefer user generated ads by a ratio of 9 to 1.  This trend does not bode well for traditional ad agencies, and doesn’t big Al know it.  Read a few quotes from a keynote he recently gave at marketing event as reported by Adweek:

He described the end of the industrial-revolution-like era of advertising, which produced ads that are “big, blunt expensive and very intrusive. . Audiences have begun to resist that old model.”   Going forward, advertising needs to become more nuanced, authentic and peer-to-peer, said Gore. “People want a different kind of feeling toward brands to which they give their money.”
 
That means being more upfront about ad messaging, rather than attempting to squeeze marketing messages into content through branded entertainment, he said. According to Gore, one of the reasons that Current viewers like VCAM ads is that they are straightforward in their intent. “People are interested in what someone like them is going to do and they’re not going to have something slipped by them,” Gore said. With ads that have been disguised as entertainment, “there is some resistance to those models. . . . We believe that intelligent empowerment of the audience is the key.”

Al Gore will likely never be President but he is now at the forefront of private custom media channels and content marketing.  In the parlance of marketing speak, Al Gore “gets it”.  Do you? 

The job of a marketer has probably never been more complicated with all the choices and options we have to communicate our messages for lead generation and customer retention.  The advent of new web tools and social media has made keeping up a full time job.  Our friend Joe Pulizzi at Junta42 has done a great job of compiling all the tools you need to know about in the areas of custom media, social networking, interactive conversations, Facebook and Twitter tools, content sharing, blogging, back end operation and of course, measurement.

Take a look at the list and let us know if you have any gems to add.   Personally, I have found the ability to share information with peers one of the best benefits of social media. Later this week I’ll let you know who I follow via Twitter to keep up with the daily changes in our world.  Happy reading.

Two sets of numbers recently came across my screen that illustrates the wrenching changes in media and marketing.  MIN Online has released 2009 first half numbers for monthly magazines and it is ugly.  Yes, we are in a tough recession, but these steep drops are more about the decline and fall of print advertising supported media.  Here is a snippet of the carnage as reported by MediaPost News:

The losses were widespread, with only eight out of the 118 titles tracked by MIN showing an increase in ad pages.  Among women’s lifestyle titles, Allure, Lucky, Vogue and W are all down over 30%. Auto and enthusiast titles (mostly targeting men) are sharply down, with drops of over 30% at Power & Motoryacht, Boating, Automobile, Motor Trend and Road & Track, Details, Maxim and GQ are also down over 30%, as are music monthlies Spin and Vibe and food titles Gourmet and Bon Appetit.

The brands mentioned above were formally profit generating powerhouses in lucrative categories.  The bulk of these pages are not coming back after the recession nor are closed newspapers going to spring back to life.  The ad market is undergoing a structural change.  Print is caught is a vise – readers have moved on to online media (more about that soon) and marketers are looking for measurable results that drive sales.  It is hard to make that case with a $50,000 branding ad in a monthly glossy magazine.

At the same time social media is on fire.  Facebook is now getting 300 million unique visitors per month, a 160% increase from a year ago.  This April, Twitter received 32 million world wide uniques, up 70% in a month!  MySpace has been flat at 123 million uniques per month while Facebook and Twitter grow unabated.  MySpace is going to end up the Netscape Navigator of its time. 

Since there are still only 24 hours in a day, something must be suffering with people spending all that time with social media.  Spring 2009 MRI readership shows a significant decline in magazine readership in the past year.

This has huge implications for marketers as they decide on their strategies for coming out of this economic downturn.  Reaching customers and prospects the old fashion way, is well, old fashion.  More than ever, it is imperative for marketers to turn to content market, storytelling and private media channels for measurable results.  And, now is the time to harness the power of social media.   Tweet now or forever hold your peace.

In my post a couple of weeks ago, I wrote about entering the Jim Beam Remake contest, where users submitted their original parodies and remakes of the new Jim Beam commercials.  

A few days ago, as I arrived home in the evening, I noticed a large envelope poking out of my mailbox. It didn’t have a return address. My boyfriend and I were so curious as to its contents, we ripped it open before we even got inside.

Inside were a Jim Beam t-shirt and a letter from the director of whiskeys, thanking the participants for sending in their videos. I was sincerely impressed by how classy and sincere the letter was. It seemed this person and her team had truly enjoyed watching the hundreds of video entries. She even stated she would do it all again, and hopes we would too.

In my post a year ago about Anton’s Cleaners , I talked about how customer retention works when companies let their customers know they care. It doesn’t need to be big, it doesn’t need to be expensive, but it needs to be personal.

To be honest, I’ve never had an ounce of whiskey or bourbon. But after having such intense brand interaction with Jim Beam, there is no way the Jim Beam brand won’t be at the forefront of my mind the next time I go into a liquor store to stock up for a party or to buy a bottle of liquor for a friend. And the next-best thing to going to bed with a bottle of liquor cradled in your arms is going to bed with a nightgown-sized 2XL t-shirt from Jim Beam. 

You may have seen Time Inc’s latest foray into custom media.  They sold Lexus into a sole sponsorship for a magazine called Mine (tag line – My Magazine - My Way) which is compiled from several of their titles to consumers who request it.  Give Lexus credit for wanting to own a private media channel to potential customers, but is this really custom media?  Anyone could sign up for it, and I did.  They didn’t develop the audience to be car buyers or people in the right demographic for Lexus.  It appears that anyone with internet access could sign up.  The content consists of articles selected by Time from several of their existing magazines.  The gimmick is that subscribers can pick which magazine reprint they can receive all in one place.  I don’t remember exactly what I signed up for, but I know for sure I didn’t sign up for Sports Illustrated because I already subscribe, and I certainly didn’t ask for Golf Magazine.  I want to read about golf about as often as I want to watch a Harry Potter movie or listen to jazz and that is never.  Here is the editorial line up in my “customized” magazine that came My Way:

Travel and Leisure – An article on how to look out an airplane window, and a feature on fancy tents.  I already know how to look out a window and will likely live the rest of my life without ever being in a tent, no matter how swanky.

Real Simple – A side by side nutritional comparison of juices, and a “how to” on road trips.  Let’s just say the editorial mission of being “simple” is coming through loud and clear.

InStyle – How to find the perfect pair of jeans, interview with Marc Jacobs, and fitness page staring Aisha Tyler talking about how to build biceps.  Not bad edit if I were a woman, but alas I am not.

Sports Illustrated – An amusing article from a soccer hater giving the game a try.  Good article and I liked it the first time I read in Sports Illustrated. 

Golf Magazine – Interview with golfer Natalie Gulbis, (of Celebrity Apprentice fame) and a “watch and learn” breaking down Tiger Wood’s swing.  This would be helpful if I didn’t hate golf.

As you can see this is really My Magazine, My Way.  A few weeks ago I received an email from Time that said a “computer error” may have caused me not to get exactly what I ordered in terms of content. 

Custom media and content marketing works best when you create original content that is designed for a specific audience and their information needs.  Mine misses the mark on all counts, the audience was not qualified nor selected as customers or prospects of Lexus; and the content is anything but original or aimed at a specific audience.  This is a classic big media company maneuver.  Take some edit that is already in the can, patch it together and send it to a random list.  And finally, get someone to sole sponsor five issues.  Only an auto company would go for something this off target and old fashion. 

“I wouldn’t call this an ad, this goes much beyond this,” said David Nordstrom, Lexus’ vice president of marketing. “Our message of ‘driver-inspired’ and ‘customization’ will come through a lot stronger.”

Here is what came across to me – the back page is an ad that screams in 28 pt type: THE ALL NEW 2010 RX. NOW WITH MORE GORDON PLUTSKY

It is so much more than an ad; it is off putting and annoying.

All that being said, it will probably be a decent money maker for Time Inc, but please don’t call it custom media when it is a glorified reprint.

Twitter is turning into a full fledged cultural phenomenon.  Former underwear model and cougar lover Ashton Kutcher is now over 1 million followers and Oprah and Howard Stern have joined the fray.  The New England Patriots tweeted their NFL draft picks this past weekend.  There are no shortage of so called social media experts and consultants publishing lists and posts on how to use Twitter, how to make money with Twitter, Twitter etiquette, etc.  The hype is reaching a fever pitch and a lot of it seems to be marketing people talking to each other.

Here is the fundamental thing we all need to keep in mind about Twitter – it is a media channel to talk to people directly without the filter or expense of a media brand or company.  That’s it folks, nothing more, nothing less.  That being said, we are big fans of owning your own media channel, so Twitter can and should become another aspect of your private media strategy for customers and prospects.

Twitter is a great vehicle for pushing out content to a specialized list of people, and I will distribute this blog to my “followers”.  Please go here if you want to follow me.  Whether you are a B2C or B2B company Twitter is an effective way to engage in an interactive dialog with your customers.  I follow lot of journalists and research companies to keep tabs on them without having to go to their sites directly.   It is smart for your executives to have a presence and be able to get feedback from customers and create a relationship with them.  Stronger personal bonds mean stronger sales for your company. Twitter is a no brainer when thinking about customer retention.  Smart and judicious use of this media channel can be a low cost way to drive sales from existing customers and give your content a broader audience.  For a great example, check out what Dell Outlet is doing to engage customers.

On the flip side, given the 140 character limit, it is much harder to mix business and personal as you can with Facebook.  Many keep Twitter mostly business, and that seems to be the general milieu.   Some people link their Facebook status update and Tweets so they are in sync.  I don’t like this because you should customize your message to your audience and environment, but it seems to be a growing trend.  Additionally, you can wear people out with over posting and will no doubt lose followers.

Twitter has reached the critical mass where it can’t be ignored by marketers, so embrace it as a free private media channel while it lasts.  Give it a shot, talking to your customers is always a good thing, especially when they can talk or tweet back.  Or better yet, buy something.

I was on vacation in Arizona when my friend Sara, a comedy writer and fellow comedian, sent me an email.

“DO THIS WITH ME,” it read, with a link to the Jim Beam website.

Jim Beam’s recent advertising campaign, shown ad nauseum on TBS during Celtics games, flashed through my head. They wanted users to create and submit their own videos, either inspired by or a parody of, the commercials. Sara was going to write a script in which I would get to parody the gorgeous girl who says she likes her man “a little bit hairy.”
I slammed back the remainder of my ice tea and replied, “Hell yes!” 

For comedians and humor appreciators of all persuasions, sites like Funnyordie.com and CollegeHumor.com are becoming an increasingly popular place to watch video creativity in action. It’s like an oasis of laughter in a web crowded with depressing political commentary sites and stay-at-home mom blogs. Besides being a great way to get exposure, it’s also a way to connect people across the country. And lately, corporate America has been starting to use user generated media to their advantage, too.

From Ragu’s “Great American Family” contest to the Brooks running shoe contest, companies are saying to their customers, “Hey! We value you! Come be a part of this with us! It’s fun!” On our commercial parody production team, we studied the original commercials, talked about effective ways to represent the Jim Beam brand, and forced our friends and families to watch the submissions as they rolled in. What better way for a company to build community, engender brand loyalty and market virally, all at one time? Customer retention happens when you make your customers feel like a part of your brand. And if you listen close enough, what your customers are saying can probably help you move in the right direction in the future.

It’s working for Jim Beam. They had hundreds upon hundreds of video submissions, ranging from brilliant to disturbed. (To the man whose cat inexplicably ate his wig during the video—I just want you to know your lingerie was really classy.) One guy even built a Facebook Fan page to advertise that he had entered the contest. Talk about word-of-mouth and social media in action! 

And as for our submission…well, we didn’t make it to the finals. Maybe it was because my character barfed into her purse. Maybe it was the mature lady mud wrestling. We’ll never know. But I do know that next time I throw a party, I’m buying some Jim Beam.

I recently participated in an interesting project as one of 100 marketing authors to contribute to a book called Project 100: Marketing in the Social Media Era.  This is a topic that is relevant to anyone in the marketing profession today.  Social media is about two way conversations, interaction, story telling and authenticity.  It is having your own private media channel to talk to your customers and prospects without the filter of traditional media. 

The project was the idea of Jeff Caswell who recruited the authors and produced the books.  One of the best aspects of this project is that all profits will go to Susan G. Komen for the Cure, global leader of the breast cancer movement, with a goal of raising at least $5,000. 

Please check out the site and consider purchasing a book for only $19.95 to get 100 unique opinions on social media marketing and make a donation to an important cause at the same time.

Magalogs – catalogs that include elements of both editorial content and story-telling through design – help traditional catalogers build brand affinity and connections with their customers. To see an example, click here for a magalog King Fish created for PC Connection aimed at their small business customers.  Retailers are recognizing the benefits of this approach, and are morphing their print to better serve customers, showcasing products in far more engaging environments. And to further demonstrate effectiveness, magalogs are also becoming digital versions, where customer shopping, referral behavior and site interaction is measured for true return on investment. Savvy marketers are starting to use this platform – and there is no reason not to – all retailers should. Build affinity, enhance shopper experience, and track results. That’s a recipe for job security.

They key to a successful magalog is producing the project with a team of creative and marketing-types that understand how to incorporate the elements that result in measurement and increased affinity. There are several applications that improve both measurement and sell-through, so be sure your content provider has a solid knowledge in these areas. A media investment should be accountable and measurable, and when executed properly, magalogs can be at the top of the ROI food chain.

Here is a very interesting take from David Meerman Scott on the possible movement of journalists from traditional media to creating meaningful content for companies.  It seems everyday media companies are cutting back and sacking writers and journalists.  (Old joke – When does a recession become a depression?  When journalists lose their jobs)  At the same time the content marketing/custom media business continues to grow.  More and more companies are creating their own content and private media channels to talk to customers.  Here is a clip from the Mr. Scott’s posting:

“Many organizations — corporations, nonprofits, government agencies, and educational institutions — finally understand the value of what I call “brand journalism,” creating interesting information online that serves to educate and inform consumers. People in companies now realize web marketing success comes from creating content-rich web sites, videos, podcasts, photos, charts, ebooks, white papers and other valuable content.”

He gives advice to journalists to be thinking about taking their skills to brand journalism where they can tell stories and impart information to a different set of consumers.  It is pretty sage advice when looking over the current media landscape.  While we can joke about it being the “Dark Side” the fact remains that companies have grown far past the old fashion “advertorial” to creating compelling, rich content for customers and prospects.  Companies like Cisco are maintaining full-fledged news rooms online while leaving the advertorials to Vince the Sham-wow/Slap chop guy.

It is pretty clear which way the market is moving, so come on over to the “Dark Side” you may just find yourself a new career.

Check out this article: “Why Advertising is failing on the Internet” written by Professor Eric Clemons of the University of Pennsylvania.  He makes a case why an ad supported business model may not work over the long term on the Internet.  One of his main themes is that pushing messages at consumers on the web is not a winning combination.  Below is a excerpt:

“Pushing a message at a potential customer when it has not been requested and when the consumer is in the midst of something else on the net, will fail as a major revenue source for most internet sites.  This is particularly true when the consumer knows that the sponsor of the ad has paid to have this information, which was verified by no one, thrust at him.  The net will find monetization models and these will be different from the advertising models used by mass media, just as the models used by mass media were different from the monetization models of theater and sporting events before them.  Indeed, there has to be some way to create websites that do other than provide free access to content, some of it proprietary, some of it licensed, and some of it stolen, and funded by advertising”

In addition he thinks that ads will fail because of the following:  consumers don’t trust ads, nor do they want them.  And, they don’t use advertising for research on the web since there are so many other sources of information available.

He goes on to talk about some models that may work, but I think the critical point is that marketers can’t rely on concepts and tactics that worked off line by merely porting them online.  It makes more sense to build a relationship of trust with customers and prospects rather than jamming advertising at them.  Additionally, marketers should take advantage of the fact that people use the Internet to search for content and information.  Unlike magazines where people browse passively, the Internet is interactive and active. 

It is that dynamic that makes the web ideal for content marketing and private custom media channels.  Talking directly to consumers with relevant content provides them with information and builds trust.  When marketing on the web, content marketing is a better tool to engage consumers than pushing out advertising.

GM and Chrysler have presented business plans to the government in return for more bailout cash.  I don’t know if a new ad/marketing strategy is in the mix, but here is a take on what they are doing wrong and how to fix it.  Click here to read part I.

1. The auto makers over use rented media channels with interruption style advertising, and the basic auto ad has not changed in 50 years. The ads show the car being used by one of their stock cliché characters – the executive, the harried mom, the twenty something on the go, the tough guy truck owner, the hapless suburban dad, etc.  The ads are slices of life showing our heroes using the product.  This is ineffective because there is much waste; and the creative is boring and unmemorable. The auto companies are big at buying sponsorships that just slaps their name on anything and everything.  Chevrolet spends big bucks to sponsor the “player of the game” during televised college footballs games.  Why do they do this?  Awareness?  How many men watching football have not heard of Chevy?  I am sure it makes the Chevy execs happy, but has it ever sold a single car or truck?  In fact, has anyone ever bought a car based on a TV ad?

2. American car companies sell with price, price and price.  The ads always stress the price cut or financing incentive.  If you train consumers to wait for the deal you will never get full price.  That is a problem when your union contracts give you a $2000/per car disadvantage against the Japanese automakers.  They need to stop the addiction to price selling and sell value.  They are two different marketing messages.

3. All the auto companies are out of balance when it comes to customer acquisition and retention marketing efforts.  The majority of the marketing budgets are aimed at convincing new customers to buy their cars while they give lip service to customer retention.  Some of the manufacturers have custom magazines for their owners but they seem half-hearted.  I used to get a magazine from Acura and it was full of underwhelming content.  This year I leased a Mercedes and bought a Honda Accord and the follow up communication from both brands and been almost non-existent.  I have received a few weak emails that are selling me accessories and their overpriced service.

It would be more efficient to create long term customers rather than trying to sell new customers over and over.  This is an area where I would suggest the biggest changes for the auto companies.  They should peel off some the budget they are shoveling at TV to create private media channels to talk directly to their current customers to create a long term relationship.  This private media channel needs to have high quality original content from subject matter experts and great writers.  They need to create a real relationship based on affinity and trust with their customers, not just send them a magazine with travel articles and offers to buy floor mats, mugs and logoed junk.  In addition, try working in some new media – interactive webcasts for owners to get more from their car, and social media to connect owners and build community.

4. I would suggest more live test drive events where people can get inside a car and try it out.  It is a better experience without a sales guy breathing down your neck asking “how much do you want to pay per month”.   I went to a Mercedes test drive event about six years ago and decided on that day I would someday own a fine German auto.  In the time since that event Mercedes has probably hit me with a few millions dollars worth of rented media ads via magazines, newspapers, television, radio and billboards.  All those ads combined didn’t have a fraction of impact of the afternoon I spent getting to touch and feel the product and have a direct educational dialog the company.  On that day they built a level of trust and affinity with me that no traditional ad could ever duplicate. 

The bottom line:  They need to stop renting media and own their own media channel.

GM is back in the news asking for more loans and giving the government its plan.  President Obama doesn’t seem like he has much sympathy for their history of bumbling and mismanagement.  Neither does the public, Gallup just released new data that says 72% of Americans are against giving GM and Chrysler additional bailout money.  The sentiment is broad based across all demo groups. If the economy was good, I could see Obama saying no to more taxpayer money.  However, given the delicate state of the economy, the President is giving them a shot at redemption.  You could fill a book shelf with the collective mistakes of both management and the UAW, but I’ll focus on marketing and illustrate how the US auto companies, particularly GM is stuck deep the world of old media.

One of the most memorable experiences of my career was an attempt to sell auto advertising into PC Magazine in the late 90’s.  I was PC Magazine’s marketing director, and King Fish President Cam Brown was then the Associate Publisher.  We made it our personal mission to break the category so off to Detroit we went.  PC Mag had great demos of high income male gadget/tech geeks who loved the magazine and spent two hours reading each issue.  This was the perfect audience for Detroit and back then we had nearly 7 million readers and a circ of 1.2 million.  However, we were lucky to get 15 minute meetings with young and clueless media planners who only cared about two things. The pubs ranking in syndicated research and how much merchandising they could squeeze out of your book.  And, they made it clear that it was very hard to get on a plan if you were not already getting space. 

It is hard to do justice to what a bizarre world it was, not to mention that the depressing city revolved around keeping things exactly the same.  The media planners couldn’t get over the “environment” of PC Magazine.  They were running ads in every special interest pub measured in the JD Power study but they could not wrap their heads around the idea of their unimaginative ads appearing next to a technology review.  We could almost never get by that hurdle.  We did sell a few programs (Jeep, Ford) but more often than not, no one was interested in even exploring a new idea.

When driving around the Troy/Detroit metro area you could sense that one day the jig would be up and the whole system would come crashing down.  They were spending hand over fist for print and TV advertising to promote uninspired cars that people didn’t want to buy.  While at the same time they were overpaying everyone involved and locking themselves into insane union contracts that make GM more of a healthcare provider than car manufacturer.

Take a look at the latest research I could find on eMarketer from this summer.  We are in the new media age and GM has barely changed their spending mix.  Interactive spending is up, but still a fraction of TV. The vast majority goes to the rented media channels of broadcast and print.  It is common knowledge that most people start their auto shopping online, yet the overwhelming majority of their spending is on television.  The government is going to ask them to change some of their business practices in return for bailout money.  Maybe Mr. Obama will come across this blog on his BlackBerry so in part II I’ll have the audacity to tell GM what they are doing wrong and to fix it.

I am stating the obvious, but 2009 will be a rough year for the Face to Face events business – from trade shows to custom events to conferences.  I have been hearing about cut backs and cancelations from colleagues for months, and then saw this cover story in the New York Times on Vegas.  Business is way down in Las Vegas, arguably the convention and conference capital of the US.  Over 30,000 hotel rooms canceled last month as many shows have postponed or decided to cancel.  At last month’s Super Bowl the famous Playboy party was canceled.  They said a lavish party seemed inappropriate given the economy but I would wager that the only thing that was inappropriate was the lack of sponsor dollars to fund it.

The costs associated with live events makes them easy to cancel during a recession and that is really too bad.  Live events are one of the best lead generation tools available and they do an equally great job with customer retention.  The powers of events are enhanced when they are paired with original and compelling content created for the target audience.  However, event’s benefits come with a high cost per lead due to the fixed costs of running a first class event.   While there is no substitute for personal contact with a prospect or customer, there is another way.

Webcasting has been around for over ten years and is an established lead gen tool being used widely in the B2B world.  The Virtual Show or Virtual Trade Show is really picking up steam this year.  They have been around for a while now, but seem to be reaching a critical mass especially in the technology and life sciences markets.  If you are not familiar with them here is a definition from Wikipedia:

The structure of a typical virtual tradeshow often includes a virtual exhibit hall which users enter with specific permissions and capabilities, to either attend and view virtual trade show displays in the exhibit hall or build virtual booths to exhibit information related to products or services on offer, just as they would at a trade fair in a convention center. The virtual tradeshow may have other components such as a virtual web conference, or a web seminar or a webinar, or other educational presentations. The virtual show thus results in live interaction between all the users on many levels (one-to-one, one-to-many and many-to-many) and simultaneously. Detailed tracking mechanisms allow organizers to determine the flow of traffic in the virtual tradeshow.

Because this is online you get incredible data on the visitors and the actions they take during the show.  This allows you to segment and score your leads before you feed them into your lead nurturing programs.  And, your sales people can interact with prospects online during the show.  ON24 (King Fish is an authorized reseller) is one of several companies that provide a virtual show platform and they did some interesting research on the growth of virtual shows.  They surveyed 10,000 enterprise executive who reported that 53% of their companies have begun using virtual events and 23% plan to start using them this year.  The majority of these companies are also reporting that they will be decreasing their use of trade shows and physical sales meetings and training events.

If your company is struggling with your live events strategy it is worth exploring a virtual event.  Be aware, it is a large undertaking with project management, selection of a platform, content creation and audience development all playing a big role in your plans.  However, the rewards will be worth it when you start filling your sales pipeline with warm leads at a lower cost per lead (CPL) than a live event.

One of the consequences of the new media landscape is the marketing discipline of online reputation management.  This has always been an issue, but with the popularity of social media it has reached critical mass.  I recently came across a story that illustrates how ordinary people can harness the power of web 2.0 tools and make life very difficult for a company or individual.  Last month while flipping channels my wife came across a show we have never watched – Wife Swap.  The premise is wives from diverse backgrounds are switched for the purpose of mining entertainment from differences in attitudes towards housework, child rearing etc.  They’re generally from opposing social and political strata to create conflict and comedy, and this one was off the charts. 

One family was from Missouri and Middle America.  Their dream is seeing their oldest boy win a paintball scholarship, though I can’t believe it actually exists.  The “snobby” family was a pair of insufferable cultural elites from San Francisco who reveled in being environmentally correct and having a “World View” whatever that means.  The husband, Stephen Fowler, is possibly the vilest person ever to grace American TV.  He is a Brit who lives in the US of A to help us see the errors of our way.  Stephen (wearing a shirt that says “Sustainability”) was mean and cruel to the wife from the Midwest to a level that was almost unwatchable.  For more background check out this news video from San Francisco’s ABC affiliate. 

I watched to the end because I wanted to see this loathsome man get his comeuppance, and I sorely disappointed. It just ended with him and his wife (who said she was not proud to be American) being their usual smug and condescending selves.  I forgot all about the Fowlers until I read about the furor that this story caused in the Bay area and across the country.  Outraged people took to the web/social media networks and started making life difficult for the Fowlers.  This web site (stephenfowlersucks.com) became the hub and you can read about how their business and personal lives took a hit.  Stephen tried to apologize but it was too late, even though he was “deeply” sorry.  He had to resign from boards and his wife’s business, which they were promoting, was damaged.  It’s a reminder that things live forever on the web and once something goes viral, it is out of anyone’s control.  The internet is still the Wild West when it comes to digital rights and reputation management. 

All you need to do is flip through the comments section of any news, political or entertainment site to see public people being bashed by anonymous posters.  It is a real issue for companies who are seeing complaints about them rise in Google searches.  When people are angry today they take to the web and create a permanent record of their grievance than can be found by any customer or prospect.  I have had my challenges with Comcast cable so I typed “I hate Comcast” into Google and found almost 11 thousand exact matches.  And came across the charming site named comcastsucks.org.  That can’t put a smile on the face on their CMO. 

Monitoring your online reputation is something all marketers need to take seriously and it should be part of someone’s job responsibility.  That person needs to keep checking search engines, blogs, Facebook, twitter etc.  If possible you should reach out to the aggrieved person and try to resolve the conflict or at least try and show that there are people behind your logo.  Angry consumers often strike out against companies because they feel powerless and that no one cares about them.  It seems simple, but show you are listening and start an interactive dialog with your own blog or Facebook/Twitter account.  If there is something nasty being said about your company on the web, you want to know about it before your CEO’s son or daughter tells him about it. 

The current growth rate of Facebook continues apace, passing 100 million world wide users.  The growth is being fueled by both non-US users and the stampede of people between the ages of 25-55 who are jumping into the mix in huge and fast growing numbers.  Much of it is driven by professional needs, but the social needs are just as strong.  As the job market softens, it becomes imperative to network and keep in touch with past colleagues.  Also, to promote yourself and let people in your industry know what you have been up to for the past few years.  Having a Facebook account is a “must have” for those of us toiling in the media and marketing business.

We are firmly in a new world where our personal and business lives are combined, intersected and merged.  Even our young President has a Blackberry, and I heard him refer to the White House as a home office in jest.  Think of the Seinfeld episode where George does not want his girlfriend and friends to spend time together, because World’s Collide.  I feel like that on Facebook when “bawdy” Gordon exchanges ribald jokes with High School and gym friends in the same place where I dialog with clients, vendors and co-workers.  I try to be mindful of it, but others let it fly.  If you are going to wade into Facebook you have be tolerant of the torrent of trivial status updates (Fran is baking cookies, Leon is heading to Home Depot, Calvin needs coffee before writing a report) and ones that are there to self promote and sell. 

I have learned that given the ideological bent of the media world, it is best to leave politics off line, lest you want to receive a diatribe on the evils of George Bush or climate change (what global warming is called in the winter).  Like any platform or forum there will be those who abuse it and become serial “frienders”, just looking to pad their total in some odd ego affirming exercise.  Another form of abuse are over-posters who constantly regale their friends with political views, favorite articles and songs and generally clog up the works by assuming that there are hundreds of people who care about their every thought.  Take my advice – de-friend them.  I have done it a couple of times, it is cleansing

Now that everyone is here the question is – how best to use this powerful tool.  At this point no one has any firm answers but I do think it is valuable venue for marketing.  We’ll explore your company on Facebook in the next posting, but it is certainly worthwhile for individuals.  Facebook creates your own private media channel to the world.  You can chose to communicate one on one, to a specialized group or in mass.  It is a method to get the word out about events in your personal or professional life.   It also allows you to grow closer to people you don’t see or speak with on a regular basis.  I have found the ability to post links an effective way to get out the message about some interesting things we are doing as a company.  Facebook also gives us a targeted distribution channel for our blog and other content we create.  One of the main tenants of private custom media channels is the ability to speak to your permission based target audience with content in an environment where they will be receptive.  Facebook enables you to have an interactive dialog with your audience.  Social media has great promise as a marketing tool and right now we are all pioneers.

Over the past few weeks I have had the pleasure of appearing on a few radio shows to talk about the new media landscape.  It is important to look at these changes from the point of view of media consumers and how it affects marketers.  A common theme is how technology has empowered consumers to be in control of their media choices in terms of timing, format and platform.  This dynamic has changed the business model for traditional media companies especially in print and broadcast.  An equally important theme is the drive for measurability and accountability from marketers.  In a down economy, marketers are even more obsessed with return on investment and making every cent count.  These are themes we will be exploring in depth in 2009.

Please click the links to listen to the clips

December 22 – Indianapolis morning show with Pete the Planner, a well known financial planner from Green Candy.

January 16 – Houston National Public Radio

January 27 – KFUO morning show in St. Louis

January 30  - The Small Business Advocate with Jim Blasingame, small business expert

Cam Brown, President
King Fish Media

2009 will feature the greatest redirect in marketing approach that the media industry has seen since the explosive growth of cable television (and its subsequent usage opportunities that caused planning confusion in the 1980s and early 90s) . Looking forward, savvy marketers will broker deals with media companies not for reduced page rates or air time, but for their subscriber list – the more selects available, the better. Media companies will re-structure their sales teams, reducing the workforce of 30 and 40-something reps and elevating the most insightful marketers.

This new staff will gain immediate credibility with advertising partners who will not view them as yet another new face pitching the same old story, but as a strategic marketer identifying the most targeted database possible from their circ files, and guiding the best practices for usage of that file. The story of targeted efficiency over reach, and reduced top line advertising revenue in exchange for a smarter, more collaborative client relationship, is the story of 2009 and beyond.

Gordon Plutsky, Director of Marketing
King Fish Media

Custom Media, across all platforms, will be one of the few areas that will grow in revenue in 2009 thanks to two important trends:

    -  Companies becoming publishers and producing their own content to talk directly to customers and prospects.

   -   The need for more measurable media and high ROI during a recession.

The continued growth of web casting, virtual trade shows and online video will take a significant chunk of revenue from trade shows and live events during 2009.

The decline of the US auto industry will result in huge cut backs in print advertising from the big three, and several magazines will close as a result.  Local TV stations and newspapers will see big decreases in ad revenue as car dealerships close after GM kills Buick, Pontiac and Saturn and Ford also pares brands as part of a government bailout.

Several IT publications will follow the lead of PC Magazine and abandon their print issue to reposition themselves as online and events brands.  They will thrive once all the print overhead is removed.

Facebook will explode and become a “must have” for professionals in 34-54 age group who will continue to blur the lines between personal and business life.

The big television networks will continue to become less relevant in the lives of Americans as they spend more time on niche cable networks and social media sites.  The 2009 fall season will produce zero new hits.  The continued penetration of DVR’s will further erode their advertising base and they will have to make major cutbacks.

A major US daily newspaper will fold its print edition and go digital only.

Sarah Palin will write a book about her experiences during the 2008 campaign.  She will get a giant advance and it will go to #1 on the New York Times Bestseller list much to the dismay of New York Times.

American Idol will see a strong decline in ratings - over commercialization and bland contestants killed the golden goose.

Kathleen Martin
RocketComm

The markets will continue to ride the roller coaster through the third quarter. Big business will continue to contract but there will be explosive growth in small service firms and mid size companies. Contracting will be the norm versus traditional company employment.

Social media will continue to grow and the challenge in 2009 will be how to manage the scale and depth of your social networks and leverage the various media options for maximum return. As customers accept the flashing boxes on the sidebar and scrolling headers the media agencies will be looking for new ways to gain not only mind share but retention in a non-retentive environment.

I also think Elvis and Marilyn Monroe have a pretty good chance of being invited to the inauguration and we will see another Kennedy in the senate.

Joe Pulizzi
Junta42

More and more media companies will shed unprofitable titles in certain verticals to stay profitable and solvent. This will open up opportunities for corporate brands to become the content providers for those industries.  I wouldn’t be surprised if you started seeing corporate brands with some cash in the bank buy out small, niche media properties as they work to build out their content strategies.

Traditional media spend will continue to drop as corporate marketers will lean on web statistics for ROI. Marketers will take half of what they are pulling out of traditional and spend on content-driven activities, social media, and other more “experimental” media. Some “forward-looking” brands will see an opportunity to go back to targeted print activities, such as custom magazines and customer newsletters, to differentiate themselves from the barrage of email marketers. 

 What are your predictions?  Send them to gplutsky@kingfishmedia.com and we will post them or leave a comment. 
 

I just came across some data that shows for the first time in seven years, B2B trade show revenues declined, by 3.7% in the first three quarters of 2008 (source: ABM).  Of course, most people point to the recession as the reason – cut backs in both marketing expenditures and travel restrictions.  Surely, these are a factor, but not really telling the whole story.  It is more than coincidence that webcasting and virtual trade shows are a hot commodity and growing.  According to Frost and Sullivan the webcasting industry was worth $83.3 million in 2007 and is set to grow more than 28.2%. By 2014, they predict it to be a $3.4 billion market.

It is easy to see how cutbacks in travel can help webcasting, but that is just a small part of why it is growing.  Webcasting is one of the best lead generation mechanisms, if not the best, available today in the B2B world.  When someone attends your webcast they are raising their hand and self selecting themselves to view your content and message.  They are committing nearly an hour of their time to your message – the ultimate in content based permission marketing.  Additionally, you get incredible reporting data to know specifically who the prospects are and what actions they took during the webcast which often lets you know where they are within the buying process.  And, if you choose a live Q&A session, you can interact with dozens of potential customers in a personal dialog.  All of this comes at a pretty modest cost compared to traditional in person tradeshows. 

As someone who has once had the pleasure of managing their company’s trade show presence, I can tell you it is a very expensive operation.  The whole operation is designed to separate you from your budget – the space, the booth itself, power, T1 line, staffing, carpeting, plants, shipping and dealing with unions and their rules and rates.  All for the pleasure of standing in a tacky booth waiting for people to come by looking for free stuff and engage you with small talk.  The quality of leads of people who happen to amble by your booth can not compare with someone registering and attending your webcast – and engaging with your content. 

In many industries trade shows have an important role, but at what cost.  Buyers prefer to get content at their desks and marketers want a high return on their lead gen efforts.  Both of those trends point to the reason why webcasting is one of the fastest growing B2B marketing vehicles and it should prosper during tough economic times.

Some very interesting new data out from emarketer this week.  Several large investment banks and media analysts are predicting a significant drop in overall US advertising in 2009.  That is not unexpected given the recession and the lack of a presidential election and Olympic Games in 2009.  The big story in these numbers is the change in share of specific types of media in US ad spending.  The traditional methods of broadcast (TV and radio) and print (newspapers and magazine) are on the decline while the internet and Custom Publishing/Custom Media is on the rise.  The reason is simple - measurability.  Marketers are shifting their dollars to places where they can measure the return on their investment in addition to having control over the environment.  Additionally, Custom Media is ideal to talk to your current customers in addition to prospects with specific messages for each.  Print and broadcast does not give you the ability to target customers vs. prospects nor does it give you a measurable return.  Telling your story with custom content is a much better way to build a relationship with customers than blasting ads at them when they are watching TV or reading a newspaper. 

For the cost of a couple of ads in a major newspaper or during a prime time show you can create a quarterly custom magazine, or a custom web site or a series of live or interactive events with your own content.  It is a decision more and more companies are making. 

If you project current trends, it is easy to see how by 2013 the internet and custom media will be the two most popular marketing vehicles available to companies.  It is not hard to understand why media companies heavily dependent on print media are having fits trying to change their business models.  The latest is the development is about Newsweek who is currently losing money.  They plan to slash their rate base, keep ads dollars up, abandon news and become more of a thought leader publication.  Name me another magazine that pulled off that kind of rapid and radical transition.  My guess is that by this time next year, they will be losing more money than they are now.  It is not about the circ or the edit mission, it is about smart money moving away from print advertising to interactive and custom media and there is nothing Newsweek or anyone can do about that.

We are heading into the holiday buying season and Black Friday is upon us.  I have a great suggestion for you to do your shopping and contribute to an important cause.  A good friend, Linda Kuehn, has created a site called “Click to Cure ALS”.  She is doing her part to battle a terrible disease that has stuck close to home.  Linda used her marketing and web skills to create a shopping portal with tons of terrific online merchants.  The best way to describe it is from the “About” page on the site:

Click To Cure ALS is a shopping portal built for the purpose of raising money in the fight against ALS (Lou Gehrig’s Disease).

All you have to do to help is simply visit this site, click a link or an ad to go to the store where you want to shop, and then shop as you normally would. It does not cost you anything and you don’t pay a premium when you use this site. As a matter of fact, you’ll find plenty of money-saving offers when you visit us!

When you click from this site to an online store and complete a purchase, we’ll earn a commission from our participating merchants and donate the profits to the ALS Association and Project A.L.S.

There is no extra cost to click through to sites you would be going to anyway via the magic of affiliate marketing.  I plan on using the site during some down time over Thanksgiving.  There is nothing better than having a drink or two and setting yourself loose on iTunes.  It is always fun when the bill comes.  Linda has put together a nice variety of sites and you may discover a new one such as Kosher.com.  Now I can have Kosher Bison delivered right here to Salem, Massachusetts.  The wonders of the internet never cease.

Give it a try and help to fight ALS.

Happy Thanksgiving from the King Fish Think Tank team!

The news broke today that PC Magazine will no longer produce a print edition and will focus totally on their very popular network of sites.  While some past PC Mag employees may find this to be a sad passing of time, I think it is the right move.  We are long past the turning point when the web became the primary information source for technology information.  And, tech advertisers have embraced interactive media, custom media, events and other ROI based marketing tools while essentially abandoning print trade advertising.

I was the Marketing and Research Director of PC Magazine from the mid 90’s until 2002, and when I left the print issue was in deep decline.  According to this article from paidContent, 70% of the brand’s revenue now comes from online sources.   Printing several hundred copies of a monthly magazine makes no sense when people really want the information online.  A few weeks ago I wrote about how media companies had to make the web the center of their universe, not print, if they wanted to survive.  This move by Ziff Davis Media is a foreshadowing of what we will see during 2009 as the recession forces the hand of media companies.

I am glad that I got to be a part of publishing history.  There were a couple of years where we ran more print ad pages than any magazine in the US and once booked over $7 million in a single issue.  PC Magazine was incredibly profitable and influential in the tech industry.  Working with talented people such as Michael Miller (see his blog on the closing here) was like going to publishing grad school.  Most of the people I worked with at PC Magazine have gone on to very successful media careers.

Looking back, I remember the day that was the beginning of the end.  We were at one of our regular meetings at Dell and they told us they just started selling PCs over the web and were grossing nearly a million dollars a day.   At the time companies like Dell and Gateway were running 10-12 expensive ad pages an issue to present every SKU they had to our readers complete with 800 numbers to purchase.  With the advent of their online stores that ad commitment would be coming way down.   All they needed to do was drive web traffic.  It took roughly ten years but the web finally killed the magazine.  I wonder how many other tech magazines will follow their lead.  Most of them have just a handful of print ads from the big players.  I say, let it rip, go 100% digital/online and move on before you get left behind.

America’s Top Marketer’s Report Their Goals Have Changed

This might have been a street hawker’s cry five year’s ago, but earlier this week, it was proclaimed matter-of-factly by nearly all honorees at BtoB’s Best Luncheon in New York. The event was well attended by senior marketers who were there to hear each of the 11 nominees for marketer of the year.  One of the highlights was a panel of marketing executives who gave their observations and communication strategies for next year and beyond.  You can read more about the event here, and some analysis of the comments here.  For those of us in the room, the theme was profoundly consistent: the brand war is over, and efficient, customer-based communication rules. Some excerpts from the nominees, in their words.

“We are seeing high return on live seminars and panels.” – Oracle

“White Papers and product information are the key for customer engagements.” – Siemens 

“We are focusing on a shortening in our time to customer relationships” and “I see convergence media and building content as our focus.” – Kodak

“We are shifting to one-on-one marketing.” – Xerox

“We are generating more content to help business owners do business better,” and “Our small business focus is shifting to value-based marketing.” - American Express

These are direct comments from large B2B companies who have seen the future – and that future is relationship marketing and metrics to measure their success. Companies that once focused on broad reach media and enormous sponsorship marketing budgets are now working to create the own media channels. These leading companies are taking an active role in creating the content their customers receive, and are part of the process of delivering content they know is most relevant to their customer’s needs.  In effect, they are creating their own private custom media channels.

When top marketing leader’s share with each other as opposed to hiding their top strategies, the shift has already happened. Don’t ride the old school marketing approach of broad reach & branding into the sunset. It is no longer an option to throw marketing investment at media channels featuring no measurability. Re-evaluate your 2009 media strategies now, and work to gain relevance with your customers and mind-share with your best prospects. In this case, following the leaders is the boldest approach.

The International Association of Business Communicators recently did a special issue on content marketing.  Here is how they describe it:

Content marketing is about revealing the credibility of your brand through customer-focused information—with an authentic and trusted voice. It’s an opportunity to use creative thinking—rather than a big budget—to get better results than traditional marketing methods.

I was lucky to one of several contributors to add an article to the special edition of their bulletin.  I chose to talk about creating a content-rich private custom media channel rather than traditional advertising.  Here is an excerpt from the article:

When a company educates its current and prospective clients on its field of expertise instead of pitching them products or services, that company becomes a reliable source of information. Your company becomes the media, and you’re now in a position to provide thought leadership and build customer loyalty. You’ve established your company as a trusted resource, and your customer feels more confident buying from you.

It’s no surprise that more and more companies are creating their own private media channels with original content to speak directly to their customers. With content and private media channels, marketers can start to take prospects down the road of permission-based marketing, where marketers must first ask permission before sending content or advertisements to prospective customers. This method requires that people first “opt-in,” rather than allowing people to “opt-out” only after the marketing messages have been sent. It also helps to build trust and affinity between marketers and their potential customers. Eventually, you will get to the point where customers and prospects will welcome your content and messages because of the trust you have built with them. Trust and affinity lead to increased sales.

This tactic stands in contrast to traditional advertising and marketing methods, which rely on renting media channels from media companies at very high costs. In that model, prospects are seeing marketing messages such as ads in magazines, on web sites and television, and are likely spending little or no time absorbing them.

In addition, rented media relies on “interrupting” your prospect with your message, an inefficient way to get out your marketing messages that is more likely to build resentment than trust. When a company owns its own media channel, it is engaging in direct dialogue with customers.

Every day more companies are creating their own media channels with original content to bypass traditional media outlets. In so doing, marketers take control of their message and their audience. Not only can marketers speak directly to customer interests and concerns, but now they do not have to worry about marketing messages being surrounded by distracting—or even inappropriate—content that may conflict with their brand. In addition, the financial rewards of private media speak for themselves: For the price of a few ads in a national magazine, newspaper or broadcast network, a company can create its own custom magazine with original content for a targeted audience. We believe this trend will grow rapidly over the next few years as advances in technology and consumer behavior make it more feasible. There is no better way to drive marketing ROI than by surrounding your potential customers and prospects in a controlled environment that you own.

To read the whole special report – click here.

The reports of bad news from the world of traditional media have been startling.  Check this link to the I Want Media site and you will see story after story of layoffs and cut backs in everything from staff to frequency.  It seems that all sectors are being hit from consumer to B2B.  US News and World Report is becoming a monthly, and the Christian Science Monitor is closing the print edition.  The cutbacks are hitting all the big names: Time, Conde Nast, Rodale and G&J.  In addition, the troubles of daily newspapers have been well documented. 

This seems different than the usual end of the year cut backs that seem to happen in the industry.  It would be tempting to explain away this activity to a general economic slowdown and impending recession.  That is a big factor for sure and media companies are smart to pare cost going into 2009.  However, I think something bigger is going on than just recession based cutting.  The long talked about decline of print media may be gaining some steam, and approaching critical mass.

Traditional media companies are under intense pressure to transition their business from print to digital and alternative media.  The shift of business model is a killer because with rare exception, people do not often pay for online media vs. print subscriptions and the advertising CPMs for online are much smaller than print.  The web has become the default in most cases for information gathering and reading content.  In the past I never thought I would abandon the daily newspaper.  Now, I keep asking myself why am I paying $30 a month to have the Boston Globe delivered.  All the content is online for free and by time I get a chance to read it at night, the news is ancient.  In the “Green” age having a newspaper dropped at your door everyday seems very wasteful and not eco-friendly.   It now seems clear that information gathering and readership behavior has changed forever. 

The news is equally bad for print media on the advertiser side since print advertising is both expensive and un-trackable. Not a great combination in era of ROI based marketing.  The trend of companies communicating directly with customers and prospects is here to stay and growing.  The content marketing movement is clearly taking a bite out of traditional media.  Custom media is growing at the expense of print media in many cases.  More and more companies are bypassing media companies and creating their own private media channel.  In fact, we just launched a magazine for Aramark, the food service company, to talk directly to customers in the healthcare vertical.  You can see the details here. In addition, we are constantly talking to clients about digital magazines and online video to talk directly to their customer and prospects.  These sometimes are from budgets that traditionally had gone to traditional advertising.

Hopefully the people running media companies recognize the permanent status of these trends and are not just hoping for the market to “turn around”.   It is time for a new business model and cost structure.   However, the biggest change needed is mindset.  For today’s media brand the web needs to be the center of the universe and print thought of as an ancillary product.  This change needs to start at the top of these companies and they have to get out of their comfort zone.  Perhaps the news this month is the first step.  The first step of a long and tough journey that is now necessary for survival.

I am sure that by now you have perfected your “about me” and “profile” pages on all of your social networks.  You have opened yourself to networking outside of your known circle and you are sending personal notes when you extend or accept invitation.  Your network of contacts has grown from hundreds to thousands of business professionals.

During this process you may have noticed that a large number of both corporate and private recruiters are looking to connect.  Recruiters are by nature active networkers.  They understand that they may meet the next great hire directly or indirectly through their network. Recruiters are experts at turning their contacts in leads.

So how do you do this?  I recommend three easy steps:

1.  Open a conversation with each of your contacts.  As I previously mentioned I respond to each invitation with a personal message.  I do have a form message that I personalize based on the profile of the individual.  I do the same with invitations.  I share what I do and what I am looking for.  I always ask for the business.  I am networking to grown my business.

2. Have “free” items available.  White papers, links to your blogs or anything that will share your expertise with the potential lead.  This is a validation process for them.

3. Set telephone calls to follow up individually.  I may spend 4-5 hours a week networking on line, but I spend an additional 8-9 hours in follow up calls and sending out information to prospective clients.

LinkedIn has added discussion functions to each of its groups.  You can send out a question or even a specific job request to the group.  This is also an excellent place for you to answer questions and position yourself as the expert in a specific area.  If in responding to a question you see an opportunity to ask for the business I often choose a “private reply” versus and open posting.  This allows me to contact the individual directly and share with them the benefits of my company and how I can assist them with their specific question or need.

Ready to jump offline and add an in person social networking option?  I recommend BNI . BNI offers everyone an opportunity to grow their business through referrals.  I use BNI to supplement by Facebook and LinkedIn communities and increase my local area leads.

Careful feeding, watering and farming of your contacts can turn your social network contacts in leads and revenue for your business. 

It now seems clear that we are heading into rough waters next year.  You can see the slowdown everywhere.  It will be interesting to watch how marketers respond to the challenge.  Some will overreact, shut things down and go dark to save money.  Yes, you will save money, but you are also sending a signal to prospects, customers and competitors that you are nervous and perhaps a company that will not be around for the long haul.  Other companies will just continue bad habits like overspending on “branding” and expensive, hard to measure ads in rented media such as broadcast television and print.  However, I think the smart companies will be opportunistic by mining their most valuable asset – their customer database.

This is a great time to talk to your customers with your own private media channel and accomplish two important objectives.  First, you can firm up their support and make sure they have a strong affinity for your company, and won’t be swayed to leave for a cheaper product or service.   More importantly, it is an opportunity to earn incremental revenue from a group of people who you have already acquired and sold as customers.  Now it is time to reap the reward of the investment you made to make that person a customer. 

This week I received a mailing at home from a company who does a great job of cultivating their customer base – Lowe’s – the home improvement store.  As a homeowner I am a pretty regular customer, and I prefer it to Home Depot, mainly because of the customer service and nicer atmosphere of the stores.  Recently I bought a storm door and had Lowe’s installed it for me since I am completely useless in that area.  I must have received 10 calls from Lowes and the contractor they hired to set up the appointment, thank me for the purchase and make sure I was satisfied with the installation job.  I was pretty impressed, and it left me with a great experience and strong affinity towards Lowe’s.

The mailing I received was sent to current customers and had two main messages.  One was to send two gift cards – one for $10 off a $50 purchase and the other was $25 off of a $250 purchase.  They called them “Project Starters” which is an excellent idea. The cards are a great method to give someone the motivation to get into a store and spend money with Lowe’s.  The other message was near and dear to my heart.  It was an offer to subscribe to one of three custom media magazine’s that Lowe’s produces for customers.  They gave a web address and an 800 number to subscribe and see back issues on the site.

Lowe’s is doing a great job of creating a content based private media channel to retain and market to their customer base.  When you combine that effort with superior customer service, you have a company that will do fine even during a housing and economic downturn.  I wonder how many companies will follow Lowe’s down the Private Media path of content marketing.  It is much harder than just going dark or the status quo, but the payoff is significantly greater.  There is opportunity in chaos and the companies who are smart in 2009 will emerge even stronger for the recovery.

After a year of campaigning, I am getting cranky with the whole deal.  Less than month to go and I am punch drunk - not to mention poorer thanks to the stock market.  Here are a dozen phrases or issues that I have had more than enough of hearing about.  Some of these are hardy perennials that come around every four years.  How about you?  Do you have a pet political peeve?  Send it in and I’ll post it here in the King Fish ThinkTank.  Click here for Part I
 

Wall Street vs. Main Street – Class warfare at its most insipid.  Didn’t Wal-Mart wipe out Main Street?  Shouldn’t it be Wall Street vs. the Mall?  It is silly when Obama is a classic cultural elitist and McCain is a very wealthy man.  Neither one of them is very connected to the working class family. 

My Plan – Every candidate crafts elaborate policy plans that become endlessly debated during the campaign.  These plans which are dutifully posted on their web sites are forgotten on Jan 20th.   None of them are realistic or have any chance of passing muster with Congress and the lobbyists who actually run Congress.  A giant waste of time for everyone involved. 

Scranton/Amtrak Joe Biden – Very tired of the way he has been reinvented into a blue collar guy.  He moved from Scranton when he was 10 - 56 years ago and has been in the cushy Senate since 1973.  I moved from Hollis, Queens when I was seven – that doesn’t make me a member of Run DMC.  Also, the train trip from DC to Wilmington, Del. is 80 minutes one way.  I used to commute for an hour each way on the Long Island Rail Road, where is my medal?
 

The Bridge to Nowhere – McCain talked about this snoozer endlessly during the primary and it picked up steam with Palin.  The media and Obama then went after it like it was a critical issue.  They actually started comparing it to John Kerry’s “I was for the war before I was against it.”  Not exactly the same scale and it serves to remind people how lame the last Democratic candidate was four years ago.
 

Talking Point Robots – It is infuriating how spokespeople and surrogates from each campaign go on cable news and just repeat the same talking points over and over no matter what question is asked.  Do they think they are fooling anyone?  My least favorite is the unctuous Bill Burton from the Obama campaign.  No matter what he is asked he blames Bush, ties Bush to McCain and closes with we can’t afford four more years.  He is very aggressive in his attempt to stick to his script.  The thought of him as Press Secretary in a potential Obama administration is too depressing for words.

Man Love for Obama – I can no longer watch MSNBC and witness Chris (my leg is tingling) Mathews and Keith Olberman moon over the O-man.  They are joined by a good number of their colleagues on every network except for Fox, of course.  I just don’t see it or find him all that dreamy.  Obama comes off to me like a humorless professor who looks down his nose at you because you don’t agree with him.  Has he cracked a single joke or delivered a laugh line in this entire campaign? Come on Barry, loosen up. Who knows, I guess he is likeable enough.

Less than 30 days to go and then we can turn our full attention to something that really matters – Football.  
 

Dear Steve Schmidt, Chief Strategist McCain Campaign,

After watching Sarah Palin light it up against Biden and draw huge crowds this weekend, I feel compelled to give some you marketing and media advice.  Love how you energized McCain and pulled ahead after the convention, but it has been all down hill since then.  The bail out timing was a bad break, and no matter what happens now it is Bush’s fault and by association McCain’s.  That may have been a tipping point in a year that should be a Democratic layup equivalent to Carter’s post-Nixon/Watergate win.  The RCP poll average has you down six, but the numbers have been volatile and may not be that accurate.  You still have a chance, time to take the gloves off and hand the ball to your point guard – Sarah Barracuda Palin. 

Your media missteps nearly killed your hottest brand, but it is not too late to salvage it with a new custom media approach.  What you have pulled off so far is impressive. As Alaska’s Governor she had no reason to be expert on issues such as internal Iranian politics, nuclear proliferation and Wall Street regulation.  You had five weeks to prepare her to debate a guy in who has been in the Senate since 1973 in front of 70 million people and you did a decent job.  However, you messed up the press relations and almost sunk her (and your campaign) by feeding her to the mainstream media on their terms.

What were you thinking?  I admit I may have given the interview to Charlie Gibson, who knew he would be a condescending ass? However, feeding her to Katie Couric was criminal.  The entire concept of network evening news is old school and a relic.  It has not been relevant or important since the 80’s.  In today’s media landscape, the consumer is in control and news is a commodity that is available on demand, 24/7 on any platform. The idea of influential people sitting down to watch 22 minutes of news at 6:30 every night has gone the way of parachute pants and knit ties.

Let’s face it, the mainstream media (MSM) is in the tank for Obama and has shown a willingness to do his dirty work by attacking McCain and Palin.  What possessed you to give into them and send Governor Palin to be interviewed by a woman who is floundering with horrible ratings and is on the verge of being fired?   Couric’s back is up against the wall and you gave her a chance to matter again – and you gave her complete control over content, camera work and editing.  You made people talk about Saturday Night Live again for the first time since the days of Eddie Murphy playing Gumby, damn it. 

Did you cave from the pressure of the MSM?  Did you actually take them seriously when they said it was the role of the media to vet candidates?  I don’t recall reading that in the Constitution.  The coastal liberal elite think that people in flyover land are too dumb to decide for their own, so it is their responsibility to decide for them.  They decided this one back in January, ask Hillary.

Here at King Fish, we have a philosophy called Private Media.  You need to own your own private media channel, not rent the old one from the MSM.  I suggest you create the Sarah Palin channel, to talk directly only to the voters that matter – swing voters in the key swing states.  Forget the traditional media of the networks and print media; you don’t need them – not a bit. They are losing significance and influence in the lives of Americans.  It is not coincidence that the networks and newspapers are the ones whose business models are most under attack.  You can get better marketing ROI handing out flyers in front of Penn Station than advertising during NBC’s new shows (hey, let’s remake Knight Rider).  The New York Times and its junior varsity team The Boston Globe have turned themselves into daily Obama campaign bulletins.  Is it any wonder their profits and stock price are declining?  The Times is cutting costs, sections and staff while losing what was left of their objectivity.

It is time to keep Palin away from these faltering outlets and have her talk directly to voters.  You will take heat for this strategy.  A hue and cry will come from people in NY, Boston, and LA who mock and hate her.  Who cares, let the NPR crowd stew over their soy lattes; you have already lost those states.  Focus on your target market – swing voters in swing states who identify with her and feel she is “one of them”.   Let the voters decide on Nov. 4th and let the chips fall where they may.

You are sitting on a pile a of cash, so buy up half hour time slots in critical local market to run infomercials and promote the hell out of them.  Create the shows as town halls where people can see Palin speak directly to voters with no media filter.  Embrace social networking to a much greater extent than you have – go viral with web video in a big way.  Enlist word of mouth marketing with PTO groups and churches in Middle America. Try some live streaming video web casts with Sarah where she can answers question directly from voters, and not from agenda driven members of the media. 

The game is well into the 4th quarter, put the ball in her hands and have her attack and bust the zone.  You can’t wait for Obama to make a mistake; he won’t, he is too good a politician.  Have her hit him hard on Ayers, taxes, and “the white flag of surrender” in Iraq.  Sarah Palin needs to take her message directly to the right voters and forget about traditional media.  The web, live events, you tube, email and word of mouth will be your media vehicles.

It still may not be enough since it seems that a slim majority of American are ready to cast their lot with Obama because he is a blank canvas to where they can project their hopes, dreams and fears.  Look on the bright side; if you and Gov Palin (or Gov. Jindal or Gov. Pawlenty) takes him on in 2012 you will have an actual Obama record to run against instead of slogans and promises.  No matter what happens over the next four years, good or bad, you can hang it on him.  It may be fun to take the easy route, it has been for Obama.

I feel like the guy at the gym with a giant walkman instead of an IPOD.  Or the weird co-worker who doesn’t have cable TV.  Yes, until this week I was not on Facebook. I am not a total stooge, and am quite active on Linked In and really enjoy it.  I was under the mistaken impression that Facebook was not for business.  I was pretty wrong – just about everyone on my Linked In list has their own page.  At the urging of several marketing colleagues and my super terrific PR agency I took the plunge.  I have spent the last few nights at home reaching out to friends and business associates and fooling around with the site.  It is a world onto itself.  Linked In is a somewhat spartan, no frills all business site.   I spoke with someone recently who told me it is one of her best sources for leads.  It does the job but kind of dull – like a Toyota Camry.

Facebook is a strange mix of your personal and business life.  I am not totally sure I like that, but everyone else seems to be having a grand old time.   There are two ways that personal and business mix.  First, I have business contacts mixed in with people from my personal life – in my case from my gym (North Shore Cross Fit has it own group page) and some friends and family.  Secondly, the site gives you the ability to express yourself in all kinds of ways – music, movies, relationships, pictures and politics.  And, everything can be commented on – lots of witty banter.  I have already engaged in some fun back and forth with some radical leftist commie friends over politics.  It is all in good fun, but does everyone else who can read it know that? 

The other strange feature is the twitter like stream of consciousness that you can post on a regular basis.  So far it has been amusing because I know some very amusing people, but what is the purpose?  Like most social networking sites, it is a freaky intersection of narcissism and voyeurism.

However, I do like being in contact with past co-workers whom I really like but never have a real reason to talk to during a busy day.  I am going to jump in and hope that King Fish gets some business benefit out of the whole thing.  I will be watching it closely, and will report on its success as a business and marketing tool.  Hey, if you come by, friend me. 

Last week I had the pleasure of speaking at the Folio 08 Conference in Chicago.  It is billed as the national event for magazine professionals.  Ironically, there was not a lot magazine talk.  The big buzz was about web sites, lead gen, SEO, digital editions and face to face events.  I ran a lively and interactive session on B2B event models to a packed room.  It was clear that the “magazine” professionals are looking to extend their brand, and find new sources of revenue. 

While there was plenty of talk about web sites and events, it struck me that there was not a lot of focus on custom media.  The most valuable assets these media brands have are their circ files and the relationship their readers have with the brand.  Magazines can leverage that asset by creating custom media channels for their clients to talk directly to their readers.  Most are hesitant to do that for many reasons, but chief among them is a desire to stay within the paradigm they know so well.  It has been my experience that once you ask a traditional media person to shift away from running display ads, they get concerned.  It could be worries over editorial integrity, or the fact that selling run of book ads is so darn profitable they don’t want to give it up.  The fact is, selling print ads in a B2B publication is going to continue to be a challenge due to the obvious reason you can’t show measurable results.  And, there are so many great other options to generate ROI – web casts, lead gen, web sponsorships, events etc. 

Traditional media companies need to take a hard look at their business models and think about custom media as an integral part of the mix rather than an ancillary business.  When you get right down to it, marketers want your readers as customers and prospects.  The best way to survive this crazy market is to give it to them in as many ways as possible.

Do you remember when you were a kid and you picked your cereal based upon the toy in the box?  Remember deliberating as you walked down the very small aisle which had a reasonable amount of cereals from which to choose? Remember getting home and sticking your hand in a brand new full box of some sugary crunchies to fish out a plastic item that your mom always hoped you didn’t eat accidentally?  The toy wasn’t usually that interesting in the end game but it still persuaded you to make a brand decision. 

Things have changed in the cereal aisle and elsewhere when it comes to marketing to our kids.  First of all the cereal aisle is twice as long and has infinitely more choices.  Secondly the stakes are higher:  it’s no longer a toy, it’s an online game. Moreover, it’s not just the cereal aisle that has fun incentives and those toys are not just for kids anymore!

Welcome to Advergaming! According to Wikipedia: 

“Advergaming is the practice of using video games to advertise a product, organization or viewpoint. The term “advergames” was coined in January 2000 by Anthony Giallourakis who purchased the domain names Advergames.com along with Adverplay.com. The term Advergames was later mentioned by Wired’s “Jargon Watch” column in 2001, and has been applied to various free online games commissioned by major companies.”

I won’t blog about the whole history of the concept, suffice to say it’s been here since the beginning of this century and even if you haven’t been exposed it is likely that your kids have.  My kids love Webkinz.  “Webkinz are stuffed animals that were originally released by the Ganz company on April 29, 2005. The toys are similar to many other small plush toys. However, each Webkinz toy has an attached tag with a unique “Secret Code” printed on it that allows access to the “Webkinz World” website. On Webkinz World, the Secret Code allows the user to own a virtual version of the pet for virtual interaction.”  Webkinz are the perfect example of brand interaction but not necessarily designed to be “advertising”, more the point of the pet is to experience the virtual reality of the pet.  But whatever you call it, my kids are playing with a brand for hours if I would let them.  (Please don’t let Webkinz come out with a cereal!)

Similarly many marketers from Pepsi to McDonalds, Fruit Loops to Chips Ahoy have developed fun online games that are a true band “experience”.  The gaming world has been growing at warp speed since Pong hit the screen in the 1972.  According to a new survey from the Pew Internet & American Life Project, “97 percent of children and teenagers ages 12 to 17 claim to have played some kind of video game, with 99 percent of boys and 94 percent of girls saying they play games.”  Given the ability of kids, and those even the younger than tweens and teens, to navigate a variety of interfaces, it is no surprise that advertisers would jump at the chance to make branding fun.

It’s virtually impossible to find a brand who doesn’t have virtual fun associated with its products.  And don’t be deceived that play time is just for kids anymore.  Adidas, Fidelity, Toyota, Volkswagen, Stride Gum have all developed advergames.  Even Pfizer is promoting Viagra via it’s own targeted advergame.  Begging the question, are you really serious?  Grown men interacting with little blue pills on line.  What will they think of next? 
There is no doubt that advergaming is attractive to many consumers out there.  It makes sense because the goal of many advertisers is to get the target audience to spend more time with the brand, increase preference and loyalty.  This online fun allows marketers to develop their own private custom media channel and continue to restate their unique brand proposition but in a subtle and subliminal sort of way.  Imagine, finding a way to have your target market watch a channel that only ran your marketing messages and nothing else.  What would you pay for that kind of play time?

SEO (search engine optimization) has become one of the most important responsibilities of any marketing director/brand manager.  Google is the starting point for two-third of all web searches so you have to play strong in that game.  As most people know there are dozens of methods to getting ranked high by the all knowing Google algorithm. It is worthwhile to hire or talk to one of the many consultants who specialize in SEO.  If you go that route make sure they have a proven track record.  However, it is critical that as a brand marketer it is your responsibility to make sure the SEO tactics align with your marketing and business goals.  While the consultants can help you with the “black box” aspects of SEO, it is up to you to understand how your customers will be looking for your company or product.  Not every company can afford a consultant or to have a specialist on staff.  As the steward of your brand you really need to own this function.  And, once you start excelling in organic search, you can cut back your SEM/Adword expenditures, but that is a whole other topic.

At King Fish we try to practice what we preach, so SEO is one of the most important things we do for our own custom media company and more importantly for our clients.  Here are a few of the lessons learned from a marketing/brand perspective.

Focus on your key words – you can’t be all things to all people, so decided where you want to “win”.  We decided that Custom Media would be our stake in the ground.  Once we focused, we moved from #57 to #9 on the “custom media” key word search in a few months.  We are now consistently on page one or two of Google.  This is single most important aspect to your strategy.  Think about how your target audience will search to find you, and take into consideration the competition.  How are they defining themselves?  Can you beat them at their own game?

Key word density – once you decide on the key word you have to use it often in your site copy, especially on your home page.  It does not always make for great writing, but it works.

Web site structure and URL - make liberal use of your key search terms.

Page headline – once again, keep the focus on your key words.
Fresh relevant content – nothing is more important to keep up your rankings.  This is where a blog can be critical to have a venue for new and relevant content.  Also, you can post news, press releases, white papers and other content rich material that is relevant to your keywords.

Links in to your site – these are easier said than done, but think about relevant partners.  Using services like PR Newswire can work wonders with your releases.  They have a SEO tool that we use often to get our URL out to dozens of sites.

The bottom line is SEO has to become part of everything you do from a marketing perspective with both focus and discipline.  Marketers who don’t put SEO at the top of their agenda do so at their own peril. 

I had the opportunity to contribute another article to Chief Marketer.com.  I wrote about how you can use market research as part of a private custom media program.  For best practices, you should survey your customers and prospects to find out how they like to be communicated with in terms of content and format.  Click here to read how it can help you drive up your marketing ROI.

Last week I was out of action with a nasty case of pneumonia which seems like an odd thing to get in August, but there I was on my couch gasping for breath and watching TV.  I thought I would catch up the Olympics, but in the afternoons you get lots of team handball, bad baseball, women soccer and other stuff that does not make the prime time cut. So, I ended up flipping back and forth between MSNBC and Fox News to watch the run up to Obama’s VP pick.  The big story was how the Obama campaign was going to text message his supporters the pick before releasing it to the media.  As ideas go, it is an excellent one taking advantage of all the benefits of private media channels.  It helps them build their donor list, has a viral nature and allows them to tell the message directly to their “customers”.  It fits in with the younger demo of his supporters for whom texting is part of their everyday life.  And, it makes supporters feel that they are special and in the know.  However, great ideas need great execution and this is where they fell down.  My biggest gripe with the way they handled it was that it dragged out for days.  On Thursday, Obama announced he made a decision and teased it to reporters, and the campaign announced a joint campaign appearance on Sat afternoon in Illinois.

A story hungry press was in a frenzy trying to figure out who it was and why they were waiting so long to announce it.  You can argue that by dragging it out they received a ton of press coverage and owned the news cycle.  That was the take on MSNBC and it a legitimate benefit.  I would argue that by taking so long they made the choice of Joe Biden seem very anti-climatic and played into the fact it was a very conventional choice for a candidate that was all about newness and change – a bit of brand disconnect.  If the choice was Hillary Clinton or someone out of left field the build up would have worked.  The payoff to the suspense was a bit of a dud when Mr. Change picks a 65 year old white man who has been in the Senate since 1973.  Andrea Mitchell of MSNBC was one of many reporters who accurately reported on Thursday that Biden was the choice.  I don’t know what value was gained by waiting until 3am on Sat. morning after the press had already confirm it.  It turns out they had to send it at 3am because no one had checked to see if it was technically possible to send a few million text messages at the same time from the same source.  It was a great idea and fair execution, but huge kudos to the campaign for embracing private media channels and building an affinity relationship with their supporters.

The amusing part of the story was watching the reactions of the two cable news networks.  I think MSNBC has decided to become the liberal version of Fox News, but without the humor.  At this point, the Obama campaign should be paying part of Keith Olberman’s salary.  The Fox anchors led by the very funny Shepard Smith and Neal Cavuto reported on the text message strategy and VP choice in a somewhat mocking satirical manner while still reporting what facts there were to report.  Shepard Smith called it the most important text message in history and Cavuto said texting was for geeks and hoped the whole thing bombs.

Over at MSNBC they did treat the text strategy roll out with the excitement and gravity that the Fox guys were mocking.  The highlight for me was Hardball.  Chris Mathews kept going on and on how the Obama campaign was making a huge mistake if they didn’t announce the VP pick on Thursday night since everyone knows that is the key night.  He went on to explain that Thursday is when the editors of the big papers do their Sunday layouts (on paste up boards, no doubt) and it is the deadline for the Sunday op-ed columns.  Not to mention the fact the Sunday shows are booked on Thursday.  He was mystified that they would miss this golden opportunity to be in the Sunday papers.  His guest was a young reporter from the Washington Post who tried to politely tell Mathews that with the news web site, blogs and smart phones the day of the week doesn’t really matter that much anymore.  Chris just stared right through him and went back to a telling story about Eugene McCarthy and Robert Kennedy.
 

A few weeks ago my Think Tank colleague Gordon blogged about the Proposition 2 ½ over ride which was soundly rejected by his city, Beverly MA.  His observations on local politics and the impact of social networking on these heated topics are characteristic of many towns who are facing tough budgetary decisions in economically diverse communities.  And my town, an upscale fishing/sailing town north of Boston, is included on that list.

I will admit it right now: I am an SUV driving, latte drinking, work-out mom with 3 kids and at least 3 jobs, only one for which I get an actual pay check.  Most of the time managing my off-springs agenda’s is a full time job.  Sometimes it’s the PTO, or church school, or the Children’s Hospital fundraisers that fill my day. Other times it’s helping my clients reach the ever-more-valuable Mom-target more effectively.  It was the years of training in media arena that prepared me best and most for my most recent 90 day job: Chief Override Mom.

Having never worked on a political campaign, nor really knowing anyone who has made it uncharted water.  But much like bringing a new product to market, there was a familiarity to our strategy. We organized ourselves by putting together a troop of talented, business savvy Mommas who brought energy and creativity to this challenge.  We had communications specialists, attorneys, web designers, teachers, real estate marketers, ad agency types, you name it.  We had representation from all kids of hard working Moms, oh yes and one dad with a great sense of humor!  Once our team was drafted we set about answering the following: How were we going to persuade a town full of real old line New Englanders (read: frugal), who are insanely proud of the “lowest” tax rate around, to approve almost $22 million to REPAIR AND UPDATE our middle school facilities?  Not even to build a new school?

This was not going to be “my mothers over ride” as we embraced new media.  What once was an old fashion effort of neighborhood signs and leaflets in your neighbor’s door evolved into a multi-platform marketing strategy.  We laid out a 90 day time plan for our communications and out reach.  We built a web site and utilized Constant Contact email newsletters to reach out to our database of supporters. We set up phone networks of parents to use word of mouth to get out the vote. We had traditional direct mail to the 45-60 year old voters who could no longer (or never could) be reached by the back pack brigade.  We created emails that were organically viral: you send it to your address book and ask those people to pass along in kind.  We added a face to face component and invited the community to events, including tours of the school itself.  Taking word of mouth marketing one step further we identified town/thought leaders and brought them literally into the boiler rooms of the school that many of them had attended in their own youth, pointing out of course that nothing had really changed in 50 years… ergo the $22 million. 

It was important to keep our eye on the opposition daily, reading of course the angry and bitter words on local town blogs and forums, which of course are attributed to no one.  As Gordon pointed out, it is much easier to be rude when you don’t have to sign your name to your rants.  We didn’t spend much time or energy trying to change the hearts and minds of the intensely opposed, it would have been futile.  We preferred to focus on educating those voters who would be impacted one way or another by this enormous decision. 

After 90 days and lots of hard work and some strategic sign holding later, we prevailed.  A real grass roots effort with some high tech twists helped us to get out enough voters to pass our over ride by a 2 to 1 margin.  What had worked was creating a private media channel to reach our target through many vehicles:  a combination of print and on-line distribution of information that helped to educate our community.  It was face to face meetings and tours that gave real urgency to our cause.  It was virtual tours online that brought the situation to life.  It was the friendly email reminders to the overwhelmed to make sure we made their daily “to do list”.  It was inviting the senior community to witness the decay of the school facilities.  It was reminding the town in local papers about the impact of a healthy school system on their property values.  All in all, it was a classic private media channel where we used compelling content to tell our story to a highly targeted audience.

I know this small town effort to fix a single school is no match for what is coming in November.  We are still low tech in our efforts compared to Obama and McCain but we sure have come along way from the bake sales and flyers of my youth.  I have witnessed organic-mom-networking 2.0.  So far I’d say it’s a powerful force of nature and one to be watched with a careful marketer’s eye.

I recently contributed another article to Chief Marketer on the topic of face to face events.  Specifically it explains how to use events as a lead generation and lead nurturing tool.  While working for several media companies I had responsibility for publication branded events and custom events.  One thing I learned is when using events as lead gen tool it is critical to scale your event (and budget) to the anticipated return.  Many people do think of live events as custom media, but they can be very powerful tools as part of a private custom media solution.  Click here to read the article. 

The media bias manifested itself in the reporting of primary results and the race for delegates.  I took a very close look at the final results in all of the election results as reported on Real Clear Politics.  The results were much closer than reported and in fact, you can make a strong argument that Hillary Clinton should be the nominee based on these results and her viability as a candidate vs. John McCain.  The popular vote is all but tied in terms of statistical variation, and Obama won 124 more pledged delegates out of 3,046 available.  After they fought to a near draw on Super Tuesday, Obama reeled off nine wins in a row in mostly caucus states (where the vast majority of voters don’t participate) and states with a huge African-American vote in the Democratic primary.    When February ended, the media had Clinton left for dead and already started calling for her to drop out in the name of party unity.  The calls for her to quit continued all through March, April and May.  What happened once the media crowned Obama? 

Starting with March 4th, Hillary won 9 of the last 15 races (I am leaving out Guam) and some of them with big margins – Kentucky, West Virginia, Penn, Ohio, and Rhode Island.  So much for the party faithful falling lock step behind Obama.  It is clear that he has an issue getting votes from white, working class voters.

Add her strong finish to wins in Texas, New York, New Jersey, California, Tennessee, Arizona, Arkansas and New Mexico.  She also would have fared very well in both Florida and Michigan.  Look at that list of states above – that is a winning Democratic electoral strategy.

The vast majority of American’s get their information from the mainstream media.  You wonder what would have happened if the they didn’t decide to jump on the Obama bandwagon early and report the facts in a slanted nature.  Or, let the process play out without their own need for a winner to be named by the end of February.  By constantly hashing over the issue of Clinton getting out of the race since early March they may have tampered with the system and affected the results of the remaining primaries.

It is clear that droves of Clinton supporters, many of them women, are angry at the way she was treated and portrayed.  Their feelings are justified, a two term Senator and the first serious woman candidate deserved better treatment and more respect.  It is not a lock they will vote for Obama, when John McCain is perceived as the least conservative Republican candidate in thirty years.  When you combine this with Obama’s weakness among white voters in big states John McCain has a much better chance of winning than Keith Olberman could ever imagine.  A woman running for President has an impossible task – show you are tough enough to be Commander-in-Chief without being perceived as a “bitch”, whatever that code word really means.  Maybe it’s just me, but when it comes to the ability to preserve, protect and defend the Constitution of the United States, I’ll take a “bitch” any day.

Kimberly Jackson and I both wrote about the same topic this week, independent of each other, so here is a short introduction and both postings.  We were both taking a look at a private media channels created by personalities that are aimed at our respective demographics.  Oprah is for Kimba, the influential working mom and community organizer, and Howard Stern for me and my adolescent sense of humor.  While the content of each private media channel is very different, the net result is the same – a high affinity environment of trust.  Time and time again it is proven that in today’s media jungle the best way to get your marketing messages across is to pair them with original content that connects with your target audience.  Oprah and Howard may not have much in common, but they understand the power of intent based marketing as well as anyone today. 

Have you seen the Oprah Network lately?  Number one ranked talk show; hit magazine; satellite radio; oprah.com… all complete with enough content to fill the digital divide.  She shares her wisdom including what we should read and eat; how we should live our lives for the ultimate fulfillment; how we should decorate; who we should help, admire, adore or vilify.  Can one person really be so well rounded, so educated, so omnipotent that she can maneuver the masses with such finesse?

It’s no secret that authors hope to be hand picked for her outrageously popular book club series.  Sure, past endorsements include well-known’s such as Faulker, Tolstoy and Angelou, but many lesser-knows have been vaulted to stardom (or purgatory) with the same passion.  Whether it is Jeffrey Eugenides discussion of children born with both male and female sexual organs in his novel Middlesex or the Gabriel Garcia Marquez with his politically charged love story in Love in the Time of Cholera, these authors become the preference of many mommy book clubs in the US.  Equally, the backlash experienced by James Frey, author of A Million Little Pieces, originally billed as a memoir turned out to be a wild work of embellished fiction.  Oprahs’ anger at being duped resonates for him today as he publishes his next work Bright Shiny Morning.  Every interview for his newest effort seems to begin with his previous experience on Oprah. Her condemnation and distaste for his dishonesty will likely follow him for the rest of his publishing career.

Manufacturers and retailers pray for the Oprah nod of approval.  Last week, Oprah did her Favorites of Summer in which each audience member won lots of her hot picks for hot summer items.  Audience members received gas grills, clothes, CDs,  make up, etc. – you could tell the few men in the audience had no idea what was going on when Oprah announced the theme of the show, while their female counterparts jumped up and down in anticipation of their forthcoming booty!  Tummy Yummies were on her list and I would love to see the sales spike reported for this company who designs pretty tees that also minimize the not-so-rock-hard tummies!  

Cover Girl Lash Blast Mascara also got the thumbs up.

“This was the first time anybody’s come to the offices with a scientist to explain how [the makeup] works,” Gayle says [Oprahs BFF Gayle is also on staff at Harpo ]. “This is the scientific explanation: A dual polymer system keeps the mascara from migrating underneath your eyes. That’s code for it doesn’t smudge.”  

Did we really need a scientific explanation for how the mascara works?  Oprah gave us one and maybe that is the key to her success.  She takes nothing for granted in quest, not even the fact that we just buy mascara without understanding its unique merits.  Marketing tip here?  Never assume that your product it completely understood by your target market, no matter how main stream or simple.  Oprah doesn’t.

Her endorsements reach further than store shelves.  This year she has thrown her support in the presidential race to Barack Obama.  I wonder if Barack was forced to pick one supporter out of his many backers, if Oprah would out rank John Edwards in importance. She might even make a great vice-presidential candidate!   Her endorsement on Larry King may be one of the most pivotal moments in the dog fight between the potential first woman/the potential first African-American to seek the Presidency of the United States.  Her weight, no pun intended, may just prove to be what tips the scales in the democratic decision making process.

The Oprah network reaches far and wide.  Her influence is felt in so many categories.  “Self help” or “help others” she can influence us by providing what we see: the whole story.  She investigates, reports and summarizes those topics for which most Americans, especially American women, have neither the time nor the resources to research.  We put our faith in Oprah.  We believe what we see on her couch, in her pages or on another media platform.  We rush to spend our time and dollars, and even our votes with a confidence that if she says it good enough, it must be.  Maybe it is the humble beginnings, if a poor black girl who had many speed bumps throughout her life can become a media mogul, then amazing things might happen to us regular folk too.  Maybe it’s that she just calls ‘em as she sees ‘em and for us that simplicity of message resonates.  Whatever it is, there is not doubt, that in Oprah we trust!

This year’s Digital Hollywood conference in Los Angeles has been shedding light on the significant challenges marketers face as they try to lasso prospects online. By and large, the panelists have been candid about the immaturity of this medium, but have been unified in their belief that traditional advertising is waning, and providing prospects with meaningful online experiences is the cost of entry.

The panelists, most of which carried senior executive titles, provided sound bites that had me in complete agreement. Here is a sample.

During a session entitled: The Web, Social Media and Advertising: Transforming and Disassembling the World of Traditional Media and Communications, Matt Rosenberg, Group Director, Organic said that to be successful, “Brands are immersing themselves in the content experience…you need to let your brand take a backseat.” I absolutely agree, and that is a core strategy at King Fish Media, where our job is to help clients engage with prospects and clients on a far more meaningful level than brand advertising offers.

Recommended contacts who spoke at this panel:

Raquel Krouse, VP Social Media, Interpublic Emerging Media Lab
Matt Rosenberg, Group Director, Organic
Mark Lewis, Strategic Planning Director, DDB San Francisco

The next session, Bridging TV and Broadband: Strategic Relationships – Advertising, Technology and Content, took the full customer immersion concept to a different level. A senior executive from the Home Shopping Network candidly evaluated her brand, and said that the universal knowledge of her brand allowed for movement into new media platforms (Interactive TV and .TV), saying, “People at the company worried about these platforms, but with the huge brand loyalty, they go wherever the brand goes and build communities there.” We, at King Fish, describe this phenomenon as owning, not renting your own media channel – Private Media.

Recommended contacts from this panel:

Jeff Miller, President and CEO, ICTV
Fred McIntyre, SVP, AOL Video

On a separate note, I hope to never again hear these words as much as I have during the last three days: “paradigm” (thought we were done with that), “frictionless”, “zero sum game”, “net loser” and “value proposition”.

During each of these sessions, I heard frequent confirmation that intent-based vs. interruption-based communications is the most effective means for clients to communicate with their prospects and customers; custom media provides the single strongest venue to effectively achieve success with this effort.

I recently came across some interesting brand loyalty research.  This article from Chief Marketer  refers to a study done by Brand Keys that looks at a “Customer Loyalty Engagement Index”. In a nutshell the findings suggest customer loyalty greatly increases when products and services are customized to the consumer.  This makes perfect sense, as customization is becoming more critical to marketers as product differentiation is becoming hard to come by these days.  It is a testament to world wide engineering and manufacturing skills that most products sold in the US today are made very well.  Since most competitive products do the same thing reasonable well, the ability to customize for a specific buyer has become an attractive product attribute.

The two factors driving the age of customization are the same ones that are driving the move to private media channels and content marketing.  An advance in technology and web adoption has made ordering customized products or consuming custom content real and easy to do.  However, the biggest factor is that consumers have the power and are in control of their choices.  The web has empowered consumers to shop and/or gather information across the globe.  It also plays into the consumer’s mindset – they would much rather have something created just for them instead of the same product purchased by the guy down the street.

You can see how this can apply to your marketing choices – if you send your customers content that has been customized for them, you will increase your chances of building a relationship of affinity, trust and loyalty.  Many companies are missing a golden opportunity to build a stronger relationship with their customers by not communicating with them in a customized private custom media venue.  How many companies are still relying on mass market bulk mailings to talk to their customers if they talk to them at all?  The technology exists where you can mine your database to know a customer’s interests and tastes; why not send them content and marketing messages that are customized for them instead of a generic catalog or email?  Or even worse, do think you are hitting your current customers with a mass media ad that is focused at prospects?  Marketers are required to evaluate their customer communications in light of changes in the way people desire and consume information. 

We are in the age of customization, and savvy marketers don’t want to be sending yesterday’s news to tomorrow’s customers.

While watching the Today Show this week it was announced that Mothers Day is officially 100 years young. In honor of this blessed event, Matt Lauer along with Donny and Marie Osmond shared that the newest reality search involved the hunt for “Americas Favorite Mother”. They explained that there were many categories to be won including: Single Mom, Military Mom, Working Mom, etc.—you get the drift. They were narrowing it down by communities and common characteristics. I was impressed at the categories they came up with. I started thinking just how many types of moms there are out there. While the whole effort was a little saccharin sweet for me initially, I warmed up when I realized that NBC was recognizing different communities of Moms and praising their unique qualities.

My essential disappointment with most communications aimed at Mothers is that we are lumped together in spite of our cultural, personal, educational and financial differences. “Mother” just casts too broad of a net. The act of giving birth defines us all, but once the pod has separated from the Mother-ship our differences begin. We have various and sometimes opposing opinions on feeding, care and nurturing of our offspring; we have diverse interests in hobbies, books, sports and life in general. And like other communities we tend to flock together by our common interests, characteristics and beliefs.

Check out CafeMom if you really want to see the blended complexion of our community. In the 33 pages of sub communities on CaféMom, there was something for everyone! There are groups based on demographics, psychographics, social activism, body type, job-related concerns, media preferences and of course, sexual interests.

Some of my personal creative and slightly strange favorites are: Anarchy Moms, Mothers Against Pedophiles (is there a group that was defined as Mothers FOR Pedophiles?), Nestlé Free Zone Moms (they don’t like Quik?), Poetic activist Moms, and my personal favorite, Pistol Packin’ Mommas. And these moms are ready and able to share tips, insights, secrets, fears and accomplishments as they related to their own sorority. Whether it was pro-breast feeding, tackling teenage depression or fitness fiends over fifty, these women communicated with each other eagerly and often. There is camaraderie among the women whose husbands don’t pay their child support. There is empathy for parents with autistic children. The social networking is fun but also therapeutic and often liberating.

Of course CaféMom is only one of thousands of sites designed for moms to meet and mingle; and it just happens to be one of my favorites. It’s the micro-networks and communities within the bigger picture that makes it rich. It’s not just a place for Moms, which it is. It’s that there is a home for all types of Moms. It’s about the specific content delivered to the participant who is passionate about a topic. The compelling mix of targeted community and content is the reason that CaféMom has experienced 507% growth from January to June of 2007. The customized experience builds affinity with the site so the average session time is almost 22 minutes. The net result is an ideal environment for targeted marketing messages.

So Pistol Packin’ Mommas rejoice! It’s Mothers Day and there is something out there for all of you! I hope that all your Hallmark wishes are NRA compliant and that you get the ammo of your dreams. For me, I am going back to the “Steals and Deals” - for Mommas who love to shop. I may not be America’s Most Favorite Mom, but I am a retailer’s perfect dream!

According to a recent Junta42/BtoB Magazine study, almost 30% of businesses marketing budgets are allocated to their own content. That means, instead of creating an advertisement that runs along side traditional media, businesses are developing and executing their own content, essentially being their own media.

Can I hear an Amen?

Look, there will always be interruption-style marketing, or what a recent BusinessWeek calls “attention-deficit” advertising. According to the article, “Marketers, only too aware that consumers are ignoring traditional ads, have adopted the ‘more is more’ approach and have begun advertising everywhere – in taxis, fitness clubs, and hospital waiting rooms.”
This will never stop. Some people will self-choose to become walking billboards and, outside of corporate design standards, some locales will look like Times Square on steroids. As long as there is product to sell, this will never stop.

But there is another way, a “higher road” per say, which business marketers are starting to get. 30% of a marketing budget is a huge number. Businesses are beginning to understand that the creation of valuable, relevant and compelling content may, ultimately, be the best way to drive long-term revenues and profits.

Let’s get this straight: Businesses don’t create their own educational content to be nice, they do it to make money.  The creation of content marketing within an organization may be one of those few areas where doing the “right” thing for your customers actually makes you more money (Toyota Prius and Waterfree urinals come to mind).

Why Now?

Even though the art of content marketing and custom publishing has been going on since the dawn of time (but formally recognized when John Deere launched their customer newsletter to farmers, The Furrow, in 1896), some media-types overlook why content marketing is beginning to skyrocket.

It all has to do with consumer control. Because of technological advances, today’s consumer (your customer) can control everything they engage in. In the past, consumers were “forced” to watch television commercials. TiVo proved this wasn’t a necessity. In the past, access to content was relegated to the elite few who had subscriptions to media sources. Google has democratized content to such a degree that literally anyone can find everything from anywhere in the world.

Today’s buyers engage with advertising when they choose to. The marketer has lost any and all control they might have had in the past. Without control, what’s a marketer to do?
From this perspective, the solution is easy: As a business, if my customers are going to ignore my ads, I must deliver them valuable content so they pay attention to me. This is the reason why 30% is just a starting point. In less than five years, it may be 50%…possibly more.

Exciting Times

If half or more of marketing budgets are dedicated to custom content, one thing is inevitable: the quality of content will continue to increase. Corporate content, in order to get the attention of customers, must be as good as or better than any content you’d find in mainstream or trade media.

Hard to fathom? Not really. We are still fighting for our customer’s attention, but instead of annoying them with a million unwanted messages a day, we’ll be strategically targeting an important piece of content, at the appropriate time, that makes the customer more intelligent, or makes their lives easier in some way.
In order to accomplish this task, businesses will reach out to the best journalists and publishers from around the world, from local to global, to help them deliver a valuable message to their customers. There may never be a better time to be a writer than right now. Forget being the chief editor of the Wall Street Journal, go to Microsoft, Cisco or P&G.
Exciting time indeed. Prepare the way.

Joe Pulizzi is founder and chief content officer for Junta42. Junta42’s Match product is a free resource for marketing professionals to help them find pre-qualified content marketing assistance. Read more of Joe at http://blog.junta42.com/.

Folio just reported on a recent Magazine Day where there was much conversation about the future of magazines (Magazines 3.0) and print in general. The drum beat of bad news for the traditional print business has been steady as consumer eyeballs and marketing dollars migrate to events (live and interactive) and online (e.g., Web sites, video, social networking, etc.)

I was really struck by the juxtaposition of quotes coming from the conference. John Griffin, Chairman of the Magazine Publishers of America (and group President of National Geographic) is trying to put a positive spin on it, but he seems to be fighting a losing battle. He is hoping to be able to deliver faster “audience metrics” to compete with online and TV. Huh? How is getting MRI and ad readership scores quicker going to help compete against the web? There will never be a real and tangible way to tie a print ad in a publication like National Geo (with close and materials deadlines a month ahead of publication) to any measurable return – that fact is driving the migration of advertisers away from print media.

However, that is only one issue responsible for the decline of print media. The other is also mentioned in the Folio article. There are still existing hard walls between edit and sales in American print media. Check these quotes out:

“Advertisers want to borrow—or steal—the credibility and authority we have with our readers,” Griffin said. “And we want to give it to them” without threatening the credibility and authority, he said. “[At National Geographic] we’re always asking ‘How far can we go with this?’ It’s a contestant internal struggle.”

“It’s the single biggest point of contention within our company,” said Deidre Depke, Newsweek.com’s assistant managing editor. “The only editorial asset our magazine has is its content—for us to abandon that, and let advertisers do what they want with it, would be a big mistake.”

In sum: there is a holier than thou streak that runs though these companies and publications that goes beyond what is really necessary and required by consumers. But read this quote – it is excellent, and I think sums up how many marketers/advertisers feel today.

“[The line] has been self-governed and self-policed—you’ve put the handcuffs on yourselves,” Steve Sturm, group VP of strategic research and planning at Toyota Motor North America said. “The federal government, the state government, they haven’t told you to do it. You put up all these roadblocks” that other media don’t have. And a younger generation of potential readers, he said, “don’t play by the same rules you play by.”

Dead on. One of the things that I learned in doing dozens of reader focus groups and readership studies is that the readers don’t care nearly as much about the actual brand name of the content as the editors would like to think they do. Consumers just want good honest, credible and accurate content that helps them in some way or to enjoy for entertainment. No one cares about all the editorial awards or devotion to “church and state”. It’s all about leads, ROI and moving product for the savvy marketer, not having their ad appear across from “pure” award winning editorial. Think about American Idol – it is essentially a commercial for Ford, Coke, AT&T and iTunes wrapped in a talent show. It is a brilliant marriage of content and sponsorship. Consumers get content they love, and marketers get a private media channel for their brands.

Today’s consumer, of all ages, is extremely media savvy and knowing. They can tell the difference between marketing messages and content. Editors need to give the consumer more credit for understanding the dynamic between marketing and content. The prevalence of corporate sponsorships, product placement, content relevant Web ads and custom media have made consumers come to expect marketing messages and content together in one package. In fact, I would argue they find it more valuable.

A magazine’s key asset is its database and the relationship with the people in that database. That is what they should be leveraging to compete. Marketers are tired of renting media channels in print publications when they can own their custom media channels using original content and targeted content delivery. Print can still be a valuable marketing tool when used as part of a private media solution that provides value for the reader and targeted messaging for the marketer.

As Steve Sturm mentions, younger consumers have a whole different perception of media and content. Magazine publishers are going to have to make some hard decisions and quickly. The old way of doing business is gone forever.

Last week I wrote about Starbuck’s attempt to reach out to customers and prospects for constructive feedback and new product ideas.  In Tuesday’s Boston Globe they ran an insert (with attached card, see below) that made the following offer: Come in to Starbucks on Wednesday’s for the next six weeks, and receive a free tall Pike Place Roast coffee.  Pike Place Roast is their new smoother blend that was requested by many of the suggestions on the site.  It is a great tactic to use custom media to get new and lapsed customers into stores and try their new coffee.  I have to believe this promotion was focused at people like me who prefer the taste of Dunkin Donuts and do not regularly shop at Starbucks. Six weeks of free coffee can get someone hooked and make a stop at Starbucks part of their regular routine.  Most importantly, it gets the product into people’s hands.  All the “branding” and expensive TV ads in the world can’t guarantee that.

In the interest of marketing science I went to my local Starbucks yesterday morning to test their offer and taste the new blend.  It was the typical Starbucks experience with lots of earnest, serious people sitting around with no particular place to go at 8:30am on a week day.  I strode up to the baristas and ordered my tall Pike Place Roast and flashed my card.  I guess the card identified me a newbie since my barista felt compelled to thoughtfully point out that “tall” means “small”.  It was probably the best coffee I ever had at Starbucks, not as good as Dunkin Donuts, but much improved. 

It is interesting to see their private media channel come full circle from soliciting advice from their customers to putting a program in place to put their words into action.  I will give it a shot the next few weeks and let them try and convert me.  Maybe some day I will actually know what Venti means.

Starbucks has been getting beaten up this year and faces tough competition from Dunkin Donuts. Even McDonalds is taking a run at them.  One of the ways they chose to respond is a great lesson in listening to your customer and embracing a private custom media channel.  For many companies the knee jerk, old school reaction would have been to launch a “branding” campaign or hire a celebrity pitch person.  Instead Starbucks did something very cool – they launched My Starbucks Idea web site.  The purpose of the site is to ask their loyal customers what they could do to improve the product and service.  I would encourage you to go to the site and read the both the volume and passion of the responses.  The site is powered by salesforce.com and they did a similar site for Dell.  Interesting, Dell and Starbucks have a lot in common – both were innovative companies who used to be the fresh up-and-comers, and once they got too big; they lost touch with what made them great.

I commend both companies for creating a private media channel to have a two way dialog with their customers.  This kind of forum gives customers a place to vent, and make suggestion.  Read through some of them – they are not only thoughtful, but smart.  A lot of companies give lip service to listening to their customer, but how many actually do and act on it?  More than ever, people in the executive suite are isolated from their customers, where they are a long way from their middle class American customers and prospects.  Also, since they only talk to other execs, they get caught in an infinite loop of their own B.S.  How many meetings have you been in where sales and marketing people sit around pitching each other and not taking in outside information?  Happens all the time and the result: the ads we see on TV and in magazines are completely off target.

What I really like about the site is the “Ideas in Action” section where Starbuck employees respond in their own words and tell customers what action they will take based on customer suggestions.  This is powerful because many times when you write to a web site, you get an automated response which is sometimes worse than getting none at all.  I have to admit I have never been a big Starbucks fan – the coffee is too harsh and I can’t stand the ordering process.  It was fun to see that many others feel the way I do.  As a result, they are introducing a “smoother” coffee and talking about an express line for impatient people like me who just want a regular coffee; and don’t want to stand behind a line of people ordering complicated permutations of coffee beans, milk (cow or soy) and odd flavors.

Now, let’s see if they take this process one step further.  They have collected scores of contact names and been given the “permission” to talk to them about Starbucks.  I would suggest starting a real Starbucks private custom media channel to their customers using content marketing to further strengthen the bond between them and their customers.  This approach could get Starbucks back on track and make the brand fresh again.  Meanwhile, I can’t wait for the first express line open. 

I love Whole Foods as does my “mom” posse - every time I go to the store, I run into lots of Moms I know.  And, we all have at least five grocery stores to choose from that are closer than Whole Foods (WF).   We are not driving out of our way because we are going to save money. Whole Foods definitely skews to the expensive side of the super market spectrum, even for the “healthy” category. So why are we all so loyal to WF during these challenging economic times?

I was curious enough that I posed this question to my friends: “What makes you drive an extra 20 minutes to a market that clearly charges a premium?” Across the board the first response was perceived quality of the products but it was the next strongest responses that I found interesting as a custom media marketer.

As a community, moms pride themselves on making smart choices for their families. The responsibility for making healthy food choices falls squarely on our shoulders. We want our children to learn good eating habits and help them to make good decisions even when we aren’t there. Whole Foods enables Moms to do their jobs better. The store is packed with information about the foods themselves as well as the brands. The content can include health benefits, cooking tips and serving suggestions. Most of my friends commented that they spend more time in WF compared to other stores because they are busy reading about each special item as well as health news and updates. They learn something every time they go shopping. This is a classic example of content-based marketing to attract and retain customers. The use of informative information we can use makes us more likely to shop at WF, and likely increases the amount we spend per shopping trip. In addition, customers are invited to sign up for fl@vors  to receive special offers, recipes and food education. This is a great customer affinity newsletter that aims to get more business out of current customers. 

However, the biggest differentiator vs. traditional markets for the moms is the live informational events. I am not talking “try the salsa and smoked sausage on at toothpick in the aisle” kind of event our moms experienced. We’re talking sushi making classes; kids cooking lessons; cooking demos and book signings; quick and healthy meal classes; you name it! There are events and classes at WF just about every week. Mom friends sign up together and it becomes a big girl play date. Some of them are in-store, some of them are via sponsorships of local community events which cannot be undervalued. (Giving back in these times is not only responsible, it is mandatory.)  This is a very smart use of live events as custom media to strength the bond between store and customer. Whatever the venue, WF has carved as niche as a destination that plays a critical role in our lives.
Positive and fun interactions with the brand reinforce why we are willing to drive farther and spend more. But overwhelmingly, my own little straw poll indicated that the informative content kept us coming back. It is a competitive world out there and creating a dialog and educating the customer can help move products off the shelves, even the most expensive products. I am guessing that there are other retailers out there that could take a page from the WF marketing book: educate the customer with content-based marketing, engage them with live event and watch the bottom line grow.

Crocheted doll hats off to American Girl Doll (AGD) for some of the most effective marketing I have ever seen. Bringing new meaning to managing supply and demand, they have targeted the heart and soul of the most competitive purchasing segment in the US: the pre-teen girl. In a fashion that I admire and embrace, AGD has surrounded their target audience (and their target’s CFOs—the moms) with a true 360 degree marketing approach. They embrace print, events, email, destination marketing and a new twist, hair styling. Simply put, American Girl Doll has created a private media channel to talk directly to their customers and prospects. They truly own their media channel rather than renting traditional ad space.

To see this media channel in action take a trip, curious marketers! AGD calls it “Shop, Play, Visit, Watch”. There are so many ways to interact with this brand and all roads lead to profit. The dolls represent historical figures or exact look-a-likes of your little princesses. They represent different nationalities, races and abilities. They are designed to be aspirational as well as inspirational. Dolls and the endless supply of outfits, furniture, pets, accessories and equipment can be purchased online or at one of the specialty American Girl Doll stores in New York, Chicago, Los Angeles, Dallas and Atlanta. The clothes fit the dolls and they have matching outfits and pj’s for the big girls too! But don’t just shop at the stores! Stay and have lunch with your little look-alikes. Get your hair done, and the doll’s hair, too. Just make sure to keep the credit card in hand.

They have created a custom magazine to talk directly with their customers. For $23 the American Girl Doll magazine will entertain while building loyalty and preference, six times a year. The content is written with the target in plain sight, including: party planning; crafts; activities; even girl-to-girl advice for those 8-12 years old. The custom media component is complimented by “more magazine fun online” including compelling puzzles, quizzes and games from “the magazine on FUN”. Whether filling Felicity’s Wagon, visiting Kaya’s Mountain Escape, or helping Molly grow a garden, the online activities are designed to be educational and wholesome. Given the challenges of monitoring children’s online usage, moms generally welcome sites and activities that embrace these qualities. Our little American Girls can spend their most valuable pre-teen resource, their time, devoted to this brand. The smart ones even figure out how to get their mom’s most valuable resource, cash, committed as well. My Mom-sense is that $23 seems a reasonable subscription offer for hours of fun and reading for this integrated print/web product.

The entertainment continues with DVDs and feature-length films in theaters, generally inspired by the many books written about these 15 inch tall beauties. Trailers of the movies can be previewed at http://www.americangirl.com/ .

As a mom, I am taken back to my own youth, when Barbie and her friends were the hub of my universe. Nurse Barbie, Wedding Barbie, Beach Barbie, Doctor Barbie… ah the options were endless. My friends and I worked our parents with a finesse that would impress a diplomat for a new doll or ensemble. Maybe it was just that our parents knew that a new outfit, complete with teeny weenie high heels could keep us busy for hours of healthy imaginative playtime. As wonderful as Barbie and her buddies were, they were limited to dolls and accessories, and their promotional opportunities were limited to running ads on TV and in magazines. My daughter’s choices seem to have so much more depth and dynamics and AGD can own their media channel. Because they use media and technology to surround their customer, AGD has built a much deeper relationship than I could ever have had with Barbie.

As a marketer, I marvel at what this Barbie in the “post advertising age” strategy has accomplished. Their success is unquestionable and the future looks bright. My next question to my clients: can you shop, play, visit, watch and live your brand? If you can’t yet, is it a possibility? What are the components that can be added to your existing strategy that will compliment the existing plan? And what can we all learn from a doll about private media channels?

Much has been made of the efforts of conservative radio hosts to affect the Republican primary process. The right wing talker crowd almost uniformly and vocally supported Mitt Romney, the formerly moderate Governor of Massachusetts. Additionally, they railed against John McCain and Mike Huckabee with a venom previously reserved for Bill Clinton and Barbara Streisand. Question: does anyone else see the irony of a thrice divorced indicted drug addict, Rush Limbaugh, defaming a war hero and a Minister?

A deeper look tells us a lot about the changing media landscape and reinforces the fact that consumers are now in control of their media choices.

Conservative talk radio has been a successful media phenomenon, while attempts to recreate on the left have been a commercial failure. The energy of these shows are often fueled by the anger and resentment of listeners who are unhappy with the changes going on around them and the always present liberal (or enemy of the day) threat. Tune in for a while and you will hear they sure are against a lot of things: taxes, universal healthcare, affirmative action, gun control, abortion, gay marriage, immigration, and secular progressives who are now apparently conducting a war on Christmas.

The success of these shows depends on conflict and ideological purity which is why they hate John McCain. Based on his past record, a President McCain would reach out to his friends across the aisle and attempt to create the solutions Americans crave. Voters in the primary elections are gravitating to McCain and Barack Obama who are least ideological and are the most pragmatic of the candidates.

Voters in both parties want real solutions and desire authenticity. That is one of the reasons why conservative radio could not deliver for Romney. Jay Severin, a radio host here in MA, turned his show into a four hour daily commercial for Romney (whom he said would be on Mount Rushmore as a President) and regularly spewed bile about McCain. Net result - Romney only beat McCain by four delegates in his home state on Super Tuesday, symbolic of his greater lack of traction among Republican voters.

The other reason talk radio could not influence voters is rooted in changes in the media landscape. Like the left-leaning network news, right wing radio used to be the only game in town. It was the place where people got their news, and where they formed their opinions. Not anymore. Now there are thousands of places to get information about the candidates and issues. Blogs and citizen journalists have flooded the Web, proliferating the number of opinions to choose from (Technorati tracks over 46,000 political blogs). Additionally, candidates are now using their own Web sites and private media solutions to speak directly to voters with their own media channel. Voters can easily find information and do their own research. It is tough to pass off Romney as a social conservative when You Tube is full of clips from his more liberal past.   Click here and here to see pro-choice Mitt in action.  It is also hard to misrepresent McCain’s conservative record when anyone can look it up themselves.  Between media changes and the current mood of the electorate, the conservative commentators are losing relevancy and influence. Not to mention the credibility issue they have after selling their audiences so hard on George Bush, on track to leave office the least popular President since Nixon.

The loss of credibility, relevance and influence has these radio hosts nervous and up in arms. Being a right wing commentator has become a lucrative media career. The radio shows are only the hub of a multi-platform brand that includes books, TV shows, Web sites and speaking engagements. In fact, I have hired Tucker Carlson and Laura Ingraham (me and Laura at the Rainbow Room, she was great) as dinner speakers for B2B events. A loss of relevancy and perceived influence could be disastrous for their media brands and personal income.

Twice in my career I was working on a formally powerful media brand that lost relevancy and influence seemingly overnight due to market and media consumption changes. It ain’t pretty to see up close, and once that mystique is gone, it is gone for good. This is why you hear some of these pundits, led by Ann Coulter, say they will vote for Hillary or Obama over McCain presumably to keep the conflict and anger stoked. Which do you think Ann is more concerned with, the welfare of American people or the bottom line of Ann Coulter, Inc.?

There have already been a million reviews of the creative, and that is not our goal, but rather to take a Private Media/Custom Media look at the efforts.

One of the big themes was Web tie-ins and promotions. Google/You Tube  offered a special package which was a smart option. When you are spending $3 million for 30 seconds of rented TV time, it is a no brainier to buy a package from the premier search engine and video sharing site. My Space and other sites also promoted how you could recap the commercials online after the game. Many (but not enough) of the commercials invited you to a special Web site with mixed results. This was the whole focus of the Go Daddy campaign where they teased you to go on line for a lame Junior High joke about Danica Patrick and a beaver. Embarrassing all around, and did nothing to persuade people to use their domain buying service.

The other theme was the overall level of violence, anger, mayhem and gross outs. Puking babies, hearts jumping out of a chest, people sucked into a jet engine, face mauling badgers, and Justin Timberlake being beaten senseless. I haven’t even gotten to the politically incorrect and just plain offensive – making fun of foreigners, unattractive women and creepy clowns. I am a pretty insensitive guy, and even I was offended at some of this stuff.

Mayhem has been a theme for a couple of years now. I can only guess that this is what happens when big agencies try to make news rather than practice good marketing. They are trying to outdo each other and be outrageous to break through the clutter. This is classic example of agencies talking AT customers rather building a relationship and imparting information that could be used to make a buying decision. The whole Super Bowl ad culture has forgotten the purpose of advertising and marketing is to actually sell products and services.

What struck me the most about these ads is how all those marketing dollars could have been used more effectively. Here are just some rough ideas on how to better spend $3,000,000 using content based private custom media solutions.

1. Mining your customer and prospect database to create a quarterly magazine or newsletter with customized content to build a relationship of trust with your customers.
2. A frequent buyer’s affinity program aimed at your best customers to get them to spend more money and convert them to life long customers.
3. A series of interactive webcasts where you can give customers and prospects great information while creating a two-way dialog.
4. A custom Web site packed with content and an online video series with a viral component to build excitement about your brand and turn customers into brand evangelists.
5. A series of face-to-face events to get yourself closer to your customers. There is no substitute to getting your prospects to actually touch, feel and try your product. This works for both consumer and business offerings. If you want someone to try a new version of Pepsi then get it into people’s hands in a fun atmosphere. That will convert a lot more customers than a commercial that rips off a 1990’s Saturday Night Live skit

Two Ads I Really Liked

I thought the ad for the Audi R8 did the best job showing you the product in action and creating excitement for a new car. First they get you hooked with a parody of the Godfather. They even used an actor, Alex Rocco, from the original film. (He played Jewish gangster Moe Green, the bullet in the eye guy from the scene where Michael settles all family business). After getting the viewer sucked in they tease the car in action, which was impressive to say the least. The only reaction you can have is “Wow, I have to know more about that.”

The other ad I really liked was the Coke parade ad. While Pepsi tries to be cool and trendy, Coke takes a timeless, classic approach with cartoon characters. It was creative, fun and multi generational, using Charlie Brown, Stewie from Family Guy and Underdog. Just putting those three together was inspired. The best part was in the end poor old Charlie Brown gets the bottle of coke. It was a feel good, affinity building moment that stood out in a sea of mean-spirited commercials.

I am also compelled to mention that my media flavored NY vs. Boston Super Bowl game prediction was right on the money. The lesson – When Hubris comes up against Karma, always take Karma and the points.
 

In a year packed with mostly forgettable ads, there’s one company people are still berating, for the second year in a row, for airing the Super Bowl’s worst ads.

We expected it – and CEO Vin Gupta promised it. Last year, the salesgenie.com ads “positively impacted” business to such an extent that Gupta followed the same tact this year. He even conceptualized the commercials and wrote the dialogue himself.

It’s not the bad accents, uninspired “storyline,” or even the crappy animation. It’s that the company came off looking cheap and low quality. And if the commercials made you curious enough to visit salesgenie.com, you’re in for a sorry surprise. Their Web site only enhances the low brow corporate image displayed in the television ads.

Moreover, isn’t it ironic that a company that specializes in sales leads – targeted selling to a qualified audience – would be so untargeted in their own sales campaign? Sure, they might have reached a million salespeople through their Super Bowl ads, but how many people who don’t give a damn about anything sales-related, saw those ads? Nearly 100 million – the waste was incredible. And for the $6 million spent on animated panda bears and evil bosses, they could have created a content-based, targeted private channel in which they actually create a relationship with their real prospects. How did a sales lead company, a company that sells to salespeople, miss that?

On Super Bowl Sunday, Fox will run 42 30 second spots taking in $2.7 million a pop. Marketers will spend almost $115 million in renting the Fox Super Bowl media channel. Add in production costs and agency fees, and we are looking at nearly $150 million spent on traditional broadcast ads during a three hour period. Here is my marketing prediction (game prediction below): The vast majority of this money will be wasted and it will be a poor choice of marketing tactic.

Next week we will look at some of the specific ads and discuss how that investment could have been better spent by creating a Private Media channel rather than renting the most expensive channel available.

To be fair, there is significant brand value in running these ads. You get tons of free press as wiseasses like me will be reviewing them the next day. Also, unlike the old days, you can now create a viral campaign around them with online video and other Web 2.0 tactics. However, the total cost of over 3 million for 30 seconds is insane considering what else you can do with that money.

Super Bowl Sunday has become a national holiday and many people watch the game with a group of friends who they really want to be with as opposed to other holidays when you are trapped with your relatives. Commercial breaks are used for eating, drinking, bathroom runs and socializing. You really don’t have the rapt attention of a room full a buzzed people, and they not in a shopping/buying mode.

Most of the ads are over-produced “branding” ads that do little to tell potential buyers the benefits of the product or service. Sometimes you can’t even tell who is sponsoring the ad until the end. This is when agencies pull out the stops to win awards and stroke egos.

Check back next week and the Think Tank team will let you know which ads we liked, which were a waste of money, and more importantly, how a Private Media Channel implementing any number of custom media solutions would have been a stronger, more measurable media investment.

We often talk about Private Media in terms of for-profit corporations directly talking to customers and prospects by owning their media channel rather than renting time and space from large media companies. One of the many benefits of the private media approach is that the owner of the media channel gets to control the message – both the content and distribution.

We now see a rapidly growing movement where individuals are also creating private media channels – pretty easy with today’s Web 2.0 technologies. Between social networking sites and video sharing, anyone can create a private media channel with minimal effort.  All of the Presidential candidates are well down this road, and almost every rock star, actor and athlete worth their salt has their own Web site, myspace page, and has posted videos on YouTube for an interactive dialog with fans. While the primary motivation is promotion, it can also be used to communicate directly with fans, enabling the personality to control the message and environment while getting their message out there as fast as possible. One of the key rules of crisis management is getting the word out quickly and framing the conversation.

How many times on TV have we seen someone yell at their lackeys in anger, saying: “the press will have a field day”. (By the way, a field day is an opportunity for unrestrained activity, not a day of sports competition at school – thanks Encarta.) In the past, celebrities and companies were dependent on their PR machines pitching and spinning stories to the press and having no input as the press edits and positions the story. Once a negative story gets into the 24/7 news cycle it is well out of your hands, and indeed a field day ensues.

We are now seeing famous people taking their message directly to the people. When Rosie O’Donnell was battling ABC and Barbra Walters over her job on the View, she posted video blogs on her site for her fans and the media to pick up and replay. Rosie’s private media channel told her side of the story quicker than the Disney/ABC PR team could tell theirs. Baseball’s Roger Clemens did the same thing when responding to reports he used steroids. After a few days of silence he posted a video on his site and on YouTube to deny the allegations. He will appear on 60 Minutes this weekend, but he has already gotten his message directly to the public bypassing the 60 Minutes film editing room.

The newest private media channel took me by surprise – The British Royal Family has premiered their own royal channel on YouTube. This is where they posted the Queen’s annual Christmas message and other clips and archive footage. When one of the oldest and most traditional intuitions in the world embraces private media, it is clearly an idea whose time has come.

Consumers of media and information need to watch these videos with an attitude of buyer beware. This is an unfiltered message, which does not have the benefit of a journalistic screen – no fact checking or follow up questions.  On the other hand, there also no agenda or bias from the journalist or media company. This is especially attractive to polarizing and controversial figures such as Queen Elizabeth II and Roger Clemens. It bears watching how this trend will develop – as we can assume that more and more notable people and companies create their own private media channels.

How will the traditional media companies adapt? Will consumers put as much faith in messages directly from the sources, rather than through journalists? My guess is that we will come to expect the direct message from our actors, singers, athletes, politicians and corporations. It will be incumbent on corporations and others using private media to keep the content benefit-oriented and information rich when speaking to their customers and prospects rather than a sales pitch. With the right content, a private media channel can be more powerful than any ad or PR effort will ever be.
 

This recent Boston Globe article does a nice job out outlining how media companies and advertisers are dealing with the DVR phenomenon.  Currently, 20% of US household have one, and that is projected to rise to 35% by the end of 2011 –representing 40 million households. Of course, the issue is the fast forwarding and skipping of commercials.  Once you own a DVR, your days of being a slave to the TV schedule and watching endless commercials are over. 

The fact that 40 million affluent household will be skipping commercials is not good news to the ad supported networks and cable channels.  Nor is it great news for ad agencies that create and run commercials for their clients over expensive “rented” media channels provided by the networks.

The article points out several fixes and solutions the networks are trying to force people to watch commercials by running fixed logo, making some programs so you can’t fast forward them; and coming up with commercials within the actual program.  I will predict right now that all of these will all fail because of one basic fact – the consumer is now in control of their media choices; and they do not want their TV watching interrupted by commercials that have no relevance to them.

Try this small personal experiment and it will bring it to life for you – watch two hours of network TV shows that you usually watch and are basically aimed at your demographic.  Take note of the commercials and keep count of how many are:

1. Of completely no interest to you and something you would never buy for any reason.
2. Of such poor marketing quality, you don’t even know what they are selling or what the benefits of the product being advertised are.
3. Advertising a product category you do buy, but it is brand you would never switch to because you are satisfied with your brand or you don’t like the brand advertised.
4. Advertising a product you already buy or plan to buy.

I will wager that 90%+ of the commercials that you see in that two hour block will fit into one of those four categories.  Think of the wasted dollars spent reaching you and others who are skipping the commercials or don’t care about them.  This type of advertising is a vestige of the past when broad based media – TV, radio, magazines and newspapers were the only option.  You could do some audience targeting via MRI, Arbitron and Nielson, but it is more art then science, and the waste is incredible.  Also, this type of advertising has little or no accountability.  You really have no idea how and if it works.

The big media companies and ad agencies have a vested interested in keeping this system going even though it is not an efficient use of the client’s marketing dollars.  Granted, there is ego involved here on the client side – marketers and their CEOs like to see their ads running on famous shows where their family and friends can see them.  It’s like those corporate branding ads that run during the Sunday morning news shows.  Please write to me if you can name a greater waste of marketing dollars. 

We are heading to an inflection point in the advertising/marketing business where companies are going to eventually put a stop to spending their money in this manner.  They will turn to custom and private media solutions to generate new leads and create a meaningful dialog with customers.  The technological change over the past 10-15 years (Web, wireless, DVRs, iPods) has changed the game for the delivery of media and marketing messages.  Broad-based advertising has its time and place, but some of that money being spent to create glitzy commercials could be redeployed to market to the company’s database.  Companies who master their customer and prospect database can own their media channel rather than rent it; and create specialized private media communication and content for their best customers and prospects.  Owning your media channel will provide a tangible ROI for the bottom line rather than a commercial that rents network time and where the clear likelihood is for a skipped, ignored and expensive message.

The moms market is one of the most lucrative targets for marketers – some estimates have it pegged at well over $1 trillion, and keep in mind that moms have influence over more than 80% of a household’s purchasing power.

While it seems like it would be easy, Mom Hunting isn’t always as simple as it appears. They are right out there in the open, but the competition for their attention and time is fierce. They are not just filtering information for themselves, but for their families, their homes, their schools and committees. How do you capture the attention of this valuable gatekeeper?

Traditional business to business marketing has a few key strategies that have worked well: Targeted events, trade magazines, trade shows, email newsletters, online videos, and web casts. All of these can help persuade potential clients to see the wisdom of selecting a certain product or vendor. These techniques can also work for mom with one critical caveat: the content and format has to absolutely be developed with the mom in mind.

Example: If you are having an event for moms, you have to plan the event with the perfect balance of information and resources - you must factor in the babysitters! Holding an event for moms in the daytime without offering a strategy for the kids would be a clear statement of your lack of understanding of the challenges that these moms face. In a recent Working Mothers Conference, produced by King Fish, the event was not only extremely well attended, but even the moms who did not take advantage of the babysitting service appreciated the offer and said so in their post event comments.

For ducklings, a multi-platform mom-marketing effort for Albertsons/Shaws  supermarkets, the content at each turn supported their tag line: “a little help along the way”. For the magazine element of the program the editorial was developed with the busy mom in mind.

Recipes had a handy shopping list that included minimal ingredients that could be prepared quickly and enjoyed by all palates. The editorial content acknowledged the fact that most moms are short on time and prefers not to cook different meals for finicky eaters. This approach appealed to the readers and kept them coming back to the magazine.

Balancing this type of editorial with actionable information that speaks to the busy mom’s day to day existence was also part of the content plan. By the way, it’s not always about the kids and the spouse, how about something for a little mom time. Quick beauty secrets that were whipped up with grocery store products were always a hit!

Also, keep in mind the power of the mom’s networks, and how much time they spend communicating with each other. Recently I received a video of Anita Renfrew, (viewed over 10 million times on YouTube) the mom who sings the “everything a Mom says in a day” to the tune of the 1812 Overture, in less than 3 minutes. (Over 25 moms sent me this link knowing I would enjoy it.) With this song she captured the hearts and minds of countless moms. Every one of us who, while wiping the laughing tears from our eyes said, “I wish I wrote that!”. We say it the same way we wish we had developed the “Baby Einstein” series of educational tapes for kids. As though we know we COULD have done that, because it is so simple and so obviously true. If a marketer can develop a viral campaign that includes this level of entertainment with the right content for moms, they will have a success. That will be a brand that spreads faster than a germ in a pre-school class!

Hunting this big game sounds easy on the surface, but take a tip from your mom who likely said to you as a kid, “it’s the little things that make a difference”. It is the little gestures wrapped around the well conceived content that will lure the mom and keep her coming back. More importantly, you will start to build a dialog of trust and affinity with a new or existing customer.

There was a report out of Gartner late last month that estimated between 46 percent and 83 percent of Internet browsers/visitors/whatever-you-want-to-call them now engage with “consumer-generated content” at least once per month.

Gartner’s definition of this content includes blogs, podcasts and wikis as well as all manner of rating systems, recommendations and user reviews.

Not surprisingly, teenagers were more likely to engage with these sorts of media. Moreover, the percentage of U.S. adults who engage in this type of content at least once a week was lower than their counterparts in either France or the United Kingdom. Gartner suggests that this may be due to the novelty factor abroad.

Separate, but similar, research from In-Stat earlier this year likewise points to an impending explosion of worldwide revenue from what it calls “user-generated content,” most notably videos you’d find on YouTube. Last year, it figures $80 million in revenue was attributable to this stuff. By 2011, however, it predicts sales of around $1.6 billion.

For creative types like myself, the sorts of people that the business side increasingly consider as just so much overhead, these numbers are both scary and scintillating.

I don’t know of any journalist, no matter whether their work takes the form of a lengthy feature article, a video dispatch, an opinion column or a review, who doesn’t love hearing from someone who is reading or watching what they have to say.

I’ve had people walk up to me in airports to take issue with something I wrote, which is a little scary from a privacy standpoint. But from a professional level, it’s a thrill. “Hey,” I think, “THEY READ ME. They care.” Because, after all, most journalists get into the profession in order to touch people, in order to share information. In the world of print, our words mostly went into this void. Lots of guesswork went on. Focus groups were conducted.

Online, of course, everything has changed. I receive daily statistics for the green technology blog (“GreenTech Pastures”) I write on ZDNet. In an instant, I can see how many people are reading about certain topics; which strike a chord and which fall flat. The rating and comment system, meanwhile, tells me if I’m doing my job thoroughly enough. Often, I will think of an entirely new subject to write about as a result of a post. Or, I’ll kick myself to do a little more research if I’m missed an angle.

In my past life as the editor of channel news publication CRN, I made more contacts as a result of my editorial columns and video Webcasts than any other activity during my close to 18 years of covering the high-tech distribution channel. Because I had opened myself up in some way, readers felt like they could approach me.

Which brings me back to the real point of this column and the question that publishers love to ask themselves when staring at spreadsheets that detail declining print advertising sales: Is this shift toward user-generated content a long-term phenomenon? Can the voice of our users/readers/visitors replace editorial resources? Can this movement be “monetized” in some way?

The answer to all of these questions, in my opinion, is a qualified “Yes.” But before you go firing all your writers and content creation folks, here are some simple realities.

As Gartner notes, many folks (especially adults) participating in the user-generated media movement aren’t actually creating what we’ve come to accept as “content.” That is, a story, or a video dispatch or a photographic montage. It’s important to remember that “content” in the user-generated media movement can be many things. It can be ratings on stories, feedback dialogues about a product or services, or about the most popular searches on a Web site. The fact is, though, people come to sites for a reason. And SOMEONE needs to be giving them that reason. We currently call those someones “editors” but they’re increasingly taking on the role of community “moderators”—monitoring feedback, analyzing trends and creating more reasons for the dialogue to continue.

Then there’s the whole matter of time. I don’t know about you, but keeping up with my Facebook profile and my LinkedIn Network contacts is very time-consuming. I visit both horribly infrequently, mainly because I have a real-life husband and a real-life hobby (a cappella singing) that takes up plenty of my non-work time. I haven’t even dreamed of setting up a MySpace page yet and my blogs (yes, plural) are challenging to update on a regular basis. Personally, I believe there is bound to be an adjustment.

Full disclosure. I LOVE magazines. I love touching them, looking through them, curling up with them on the couch. That will never change. But I also find the ongoing transition exhilarating. I feel like what I write is a better reflection of the community I’m interacting with; that, in turn, generates more feedback.

I believe that what most people look for in their media experience—an honest voice. And honesty, I believe, is what user-generated content is all about.

Nike and others have discovered that they can increase customer retention and affinity by communicating directly with customers rather than through traditional “interruption” based media. Companies that use Private Media and permission based marketing techniques are seeing positive results; and are shifting their advertising budgets away from big media companies to direct interactions with customers and prospects. This Private Media strategy has been at the foundation of King Fish’s approach since its founding, and continues to be successful for our clients.

I thought this fact and quote from the story was very powerful:

Last year, Nike spent just 33 percent of its $678 million United States advertising budget on ads with television networks and other traditional media companies. That’s down from 55 percent 10 years ago, according to the trade publication Advertising Age.

“We’re not in the business of keeping the media companies alive,” Said Trevor Edwards, Nike’s corporate vice president for global brand and category management.  Mr. Edwards says he tells this to many many media executives. “We’re in the business of connecting with consumers.”

Read this story from a New York Times article illustrating how Nike and other leading marketers are using Private Media and bypassing traditional media channels.

This is just the beginning of what will be a long term shift in strategy.  Thanks to advances in wireless technology and the maturation of social networking web tools, we will see more and more companies speaking directly to consumers without the filter and expense of media companies.  This does not mean that traditional media companies will disappear by any means.  However there will be a shake out and only ones with the best relationship with their readers/viewers will survive.

I hate Volkswagen. No, I take that back. I loathe Volkswagen.

Now, mind you, when I purchased my 2000 VW Passat seven years ago, I was in love with it. The sunroof, the luxurious leather seats, the Tiptronic transmission, the deep blue exterior – I was in heaven. I felt like I was driving a truly magnificent piece of German machinery.

Then, two years into my ownership of my beloved chariot, and, coincidentally, at the end of my warranty, things started to go wrong. The check engine light came on. I took it in to be fixed. They turned the light off and told me nothing was wrong. It came on again the next day. I took it in. They turned it off and told me nothing was wrong. Rinse and repeat for five straight years.

I’ve had the secondary air pump replaced three times and it needs to be replaced again. The dealer’s current explanation for the check engine light’s annoying glare (and deafening beep if I accelerate quickly) is that I drive in puddles, which is causing water to get in the pump. I told them if their cars couldn’t withstand the rain, I’d be better served investing in a goat to transport me to work every day.

Curiously, there is one thing that has prevented me from pushing my car into the sea. It arrives in my email inbox every month and despite my addiction to deleting emails, I don’t delete it. Rather, I open it up and read every piece. It’s the monthly VW newsletter from my local dealer, rife with articles about the newest 2008 Passats (“offering more value than possibly another any European sedan,” I am pleased to read) coupons for oil changes and tips on where to find the best fall foliage.

I love this newsletter. I’ve read every one, top to bottom. I click on every link, poring over the articles on engine upgrades, photos of the newest models, and pieces on where to go whitewater rafting. I mentally calculate what it would take to trade my car in for a new Jetta or Toureg. Temporarily, I forget how frustrated my car has made me, how I routinely beg friends and family to steal my car in the night, how I’ve denied the car its overdue inspection sticker for the past three months. Every month, I want a new one, a better one, one that will whisk me away to the best theme park in New England.

I’m no stranger to custom publishing. We create customer retention newsletters just like this at King Fish Media. In fact, our work for Compass Bank just received a MIN award for integrated marketing. I know this is all created for my demographic. But, working for a marketing firm, I usually feel I am immune to marketing methods in my personal life. I’m surprised at how powerful one piece of communication, so carefully crafted, so compellingly put together, can make me want to take another drink from the tainted water fountain. But, it does. It’s working. Quality, relevant content delivered to the right person can clearly have a magical effect. VW has created its own private media channel for me and for my fellow VW owners, using custom content to help build a high-affinity relationship for customer retention.

So, now it’s only a matter of time before I walk into my local dealer with a problem and walk out with a beautiful new solution. For two years, anyway.

Missing old friends? Want invites to parties? How about offers to join dozens of new online social networks (all of which are stories in themselves)? Start blogging. Can’t say that we’ve been offered a custom media gig for The Who yet, but given the volume of contacts surfacing in the last 45 days, I’m holding-out hope.

At Think Tank, our staff and some interesting opinioned-types have been offering their thoughts on media and its many current offerings and applications. We’re in the business, and we live to challenge the status quo of media you can rent versus owning your own media channel. We call that Private Media, but what’s in a name? What Private Media does for marketers says it all, and the next 125 words is for those people who’ve checked in and want to hear about what’s new at the shop in Salem.

• Our events group just wrapped the Appreciative Inquiry conference where 500 attendees spent 3 ½ days in keynotes and workshops designed to spur positive change in the workplace. Fascinating subject, and powerful speakers. Click here to read what my fellow blogger Gordon Plutsky has to say about the event.

• Webcasts have evolved beyond straight-forward audio and video platforms; the duration is shortening, content is punchier, and other platforms are deployed that include interactive PDFs, virtual tradeshows and even more engaging uses of video. Cool and smart stuff.

• We’re currently conducting a phone and interactive survey for 100 customers of a King Fish client for a comprehensive market research project. This formidable media company has outsourced this significant custom media program to us to determine who makes the cut for an important performance-based award ceremony next quarter. Brilliant use of Private Media to maximize employee retention.

Recent King Fish acknowledgements by Entrepreneur and Inc. magazines confirm that our approach is working, and that our clients are benefiting from this fresh method of assessing business challenges. There’s the update – and onto a request: for any old contacts stopping by Think Tank, please feel free to invite me to any of the following social networks from my past:

• The guys who get 69 GTO convertibles
• Small bars/clubs where the best music still lives
• My sailing friends from PLP (1976-1979)
• A place I can lose myself laughing again with Gardner, Rich, Jamie, Jon, Woozie,  Spike and JB
• An online community for all of us tortured by my 1st grade swimming teacher.
 

I re-learned a valuable marketing lesson at the AI conference about audiences and keeping an open mind. Some of the speakers wanted to present keynote sessions where people would sit together in tables of 10 and do interactive exercises together. No big deal, but we were sitting 450 people and it just didn’t make sense to me and my B2B/Technology events background. We strongly suggested doing it our way, but eventually relented and reset the room in rounds with materials for a brainstorming exercise. Well, the attendees loved it, and it fit right in with their democratic and participatory ethos. The lesson is one I should have remembered – put yourself in the mind of your customer and keep your preconceived notions to the side. One of the great dangers in marketing is to default back to what worked in your past. Every situation is new and times change rapidly. Approach every situation with a fresh eye and blank slate for the best results. Besides, “That’s the way we have always done it” is the worst phrase that can ever be uttered by a marketing professional.

Another interesting note – one of the speakers in the conference was an old friend and boss, Nancy Newman who is now a V.P. of sales training at Yahoo! It never fails to amaze me how life and careers takes twists and turns. It was great to see her and she was her usual funny self. When she made a few AV and logistics requests and I jumped right back into employee mode and made sure they got done for her, pronto. Nancy was the Publisher of PC Magazine and I was her marketing director back when it was the size of a large phone book in the pre web 90’s. Never in a million years could I predict that I would see her 10 years later at an Appreciative Inquiry conference my company was producing. She was joined in a standing-room-only presentation by her Yahoo! colleague, Kim Bennett. Over drinks at the evening reception Kim told me she was a stand up comedian on her rare breaks from working at Yahoo! That is what I love about face to face events, none these conversations would have happened online or in any virtual world. There is no substitute for human interaction. Here is something the internet is great for – sharing a video of Kim’s stand up act, on Yahoo! Video, of course. Click here to check it out, and enjoy.

King Fish Media recently produced the 2007 International Appreciative Inquiry (AI) Conference. The four day summit brought together people from over 25 countries to hear speakers such as David Cooperrider, Marcus Buckingham and Martin Seligman. I will not even attempt to explain positive psychology and AI even though I am the proud owner of a 20 year old BA in psychology. Click here to learn more about the conference and see links to AI resources.

Spending several days at this conference reinforced my belief that face to face events are a critical media channel, and a key component to any Private Media solutions. Events a media channel? Of course, they are. Events bring together a community of people with similar interests with compelling content in a high affinity environment. That is the perfect description of private media. Additionally, a live event is the best community building mechanism known to man. It is one thing to join an online social network, but it is quite another to spend three days with a colleague in keynotes, breakout sessions and social situations. You can actually see relationships being created and deals being done when you walk around reception rooms and break areas. Can you think of a better customer retention venue than spending 48-72 hours with your best customers?

Events can be a hub and jumping off point for additional permission marketing vehicles such as newsletters, magazines, Web sites and more. As we become more and more Web centric, live events are more critical than ever to build relationships and market your company. As a marketing guy who has run his share of events and conferences, I am a huge believer in face to face. I strongly believe that focused events are a “must have” in most private media solutions. When you have someone in your own environment for a period of time, you have a golden opportunity to message to them and create long term customers.

Everyone knows that the Internet is the greatest business model changer since the advent of mass production. Companies and whole industries and are now faced with powerful questions and choices. How do they adopt and take advantage of the Web and position themselves for the future? Fighting a future where the Net is the predominant source of information for consumers is no longer an option. If you try and shovel against the tide you will get swept way. Some businesses tried this for a while with predictable results—some trade publications come to mind.

No industry has been affected by the Internet more than the residential real estate business. In the pre-Web days, brokers had a total stranglehold on the most precious of all commodities—information. You needed to engage a broker to get on the MLS system, and you needed a broker to learn which houses were for sale via MLS. The broker advertised in local papers, but to get the real info, you needed to go to them. Because of this barrier to competition and control of information, they were able to command nearly 7% commission when selling a house.

The Internet hit their business by opening up and freeing the flow of information. Market pressure forced them to put the MLS online, and now everyone is the world has the same information access. Buyers now search the Net for buying information, not to mention past sales data and anything else you would ever want to know. Discount brokers entered the market and commission has dropped to an average of 4% in NY and 5% here in Massachusetts. What is a brokerage to do? Put their head in the sand and hope the Internet goes away, or embrace it and make it work for them.

Based on my own experience, Coldwell Banker is a company that embraced the Internet and has used Private Media to create a bond with buyers. They invested in a site like nemoves.com, where they not only list their own houses, but their competitors. This is in effort to become a valuable resource for buyer and sellers. They also have content and links to relocation and buying resources. This helps build a relationship of affinity and trust with buyers. My Coldwell Banker broker also set up a private email feed for me and my wife. Every morning we received a message with updates, new listing and sales in our target towns and price range. When we clicked on a link we went to our broker’s private page. They have created their own Private Media channel, and it works. I just sold and bought a house through them and could not imagine using another company. They created a lifetime customer in me and my wife. What are you doing to create a lifetime bond with your customers? 

Last March, my family was skiing with a large group in Vermont. My thirteen year old son (who spends his time pursuing either speed or jumps of some nature) broke his wrist on our last afternoon. We made it to the local hospital about 7:00pm, and he was in a cast and home by 9:00. I had noticed he was unusually anxious about the time, and about getting out of the hospital, so naturally I presumed he was in pain, and that he needed to get back to the security of his home and family. Wrong.

Walking in the door, he went straight to YouTube, where he searched for and quickly found video taken that afternoon of him and his friends on Sugarbush. It had been about five hours since the accident, and there it was: 5:45 minutes, edited with audio by the Red Hot Chili Peppers, and complete with opening and closing graphics. And the director/editor (also 13) had to drive three hours to get home. The most amazing part of this—there were already 350 views of the video.

User-generated content is a reality of all age groups. Kids rely on it for entertainment value, adults rely on peer groups for advice, and businesses rely on their own customers for testimonials to prospective new customers. Virtually no other form of content has been so universally adopted in such a short timeframe.

Of course, there are risks when you let content be posted with minimal screening, and you know what they are. But does it also enhance a brand’s perceived confidence by not over-editing or censoring content generated on their site? Are prospective customers more likely to purchase a particular item of clothing or energy drink because it was featured on a free video spoof and was viewed 3mm times? Looks like the shift is on and yes, that is exactly what’s happening.

Take YouTube phenomenon Tay Zonday, whose song “Chocolate Rain” has generated 7,600,000+ views in four months and is available for download?. Then, look at how many others are already parodying this song (although the beat is excruciating, watch “Vanilla Snow” right after “Chocolate Rain” for an excellent laugh; currently, Vanilla Snow has received about 1mm views), and you get a feel for the power of user generated content. It’s a quirky approach to custom media, but with significant views daily, you can be confident it’s rattling the sensibilities of traditional media companies too stubborn to feel the new wind blowing.

When 13 year-olds are living for free, user-generated content, it’s time to pay attention to the new face of media that has arrived. And marketers in the world of custom media have got to harness the platform and drive their clients to make smart deployment of the medium to remain relevant.

The 2008 race to replace President Bush is well underway, and it bears watching how the candidates will be using media to get their message to voters.  I think we will start to see them move further away from the traditional ads of the past and start to embrace Private Media—taking directly to the voters using their own media channel. Traditional political advertising on TV and radio is dreadful. There are basically two types of ads—the “pro” ad where the candidate stands in front of a flag on a factory floor or farm and proclaims he is for all that is good and holy, especially lower taxes. The ad usually ends with a posed shot with his Stepford wife and 2.5 perfect kids. Then we have the “negative” ad, where a candidate is beaten up for some past vote or comment (usually twisted from the real facts) and is shown is the most unflattering picture they can find—usually in a grimace. They are all the same no matter which side runs them, and I would guess people tune them out and don’t pay attention anymore.

I think we will see the major candidates bypassing traditional media and speaking directly to potential voters. The Sopranos parody Hillary Clinton put on her site is just one of many ways the candidates are using blogs, social networking sites, You Tube, email and meetups to talk directly to the people and not going through the filter of traditional media. I am sure they will still spend obscene amounts of money on the public airways, but the tide may be changing.

It will be interesting to watch who will use Private Media more effectively. For the past 20+ years, the Republicans have been much better marketers than the Democrats.  Modern campaigning is no different than the latest marketing campaign to sell a car, new movie or fashion. The GOP has been just flat out better at TV ads, direct mail, database mining, and they own talk radio, which is just another form of ad driven entertainment.  Laura Ingraham and Bill O’Reilly may want Hollywood to shut up and sing, but they are in the same business as Susan Sarandon and Alec Baldwin—show business. (more about that in a future posting)

Just a hunch here, the Democrats will do a better job of exploiting private media and web 2.0 technologies. Those talents and technologies skew younger and to a more diverse generation. Will Private Media propel the Democrats to the White House; or will they find a way to blow an election that is their’s to win? We will be keeping our eye on this over the next 18 months- right now it is anyone’s to win.