Media/Advertising Trends

With great fanfare and PR flash, a new search engine was launched this week with the name of Cuil, pronounced “cool”.  They claim to have indexed more sites that Google and will rank the results by content rather than popularity.  Also, the results will be displayed in a unique magazine style layout and have added tabs to lead you to other relevant searches.  Just the thought of taking on Google is a bit daunting.  Two pretty impressive companies (Microsoft and Yahoo) keep falling behind in the race to own search.  Has any other company, product or service become such a big part of our lives and culture as Google in such a short period of time?  Not only has it become a verb, but starting a search on Google has become hard wired into our brains.  Taking on Google would be like taking on Coke with a new start up cola.  Don’t know if I would wager on surpassing Google, but in the tech game the better mousetrap sometimes wins. 

I gave Cuil a try in its first week and I was not all that impressed.  Right off, it does not have the other features of Google such as news, images and maps.  I did a search on Custom Media (the key word we most focus on) and didn’t think the results were anywhere as relevant as on Google.  King Fish Media generally ranks 9 or 10 on page one with Google and we were back on page seven with Cuil.  There were tons of rankings from the same sites listed over and over again.  Many of which had a mere mention of Custom Media rather than being a site about Custom Media. A search on King Fish Media itself turns up the freshest links and most relevant news on Google.  On Cuil it was a hodgepodge of old news and odd links.  I found this general pattern on a number of different key word searches.  However, the strangest thing was the image Cuil puts next to the individual search results.  In the vast majority of cases the images had absolutely nothing to do with the link referenced.  Usually they were random pictures or logos with no relevance to the result.  It was odd to see a link that referred to me personally with other people’s pictures.  Not sure what that’s all about, but it’s not “cuil”

Keep in mind this is just my own testing on week one.  To be fair, they will need time to get in a rhythm and be able to adjust their patterns based on how people actually search the site. Cuil is getting beaten up by the tech trades and bloggers who have a similar impression.  This is a good example of why you do a “soft launch” to work out the kinks.  They launched with a lot of PR which served mostly to have people take a very close look at their technology before it is ready for prime time.

It is worth keeping your eye on their progress, and especially how your sites ranks.  My snap judgment tells me that Cuil has not yet given web searchers a reason to change their behavior away from Google. And, what works for Google SEO will likely not work for Cuil.  The only people who may make out in this deal are the SEO consultants.

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Mark your calendars for a Folio Magazine Webinar on managing marketing timelines.  I will be the one of the speakers for the Folio audience of magazine marketing professionals.  The goal of the web cast is to give advice and best practices on how to create awareness and buzz for a comprehensive marketing program.  We will also cover how to create a rollout schedule to your sales reps, press and clients.  It is a topic I know well - I was the Marketing Director for several tech media brands including two of the most successful ones ever – PC Magazine and CRN.  The webinar is on August 14th at 2:00 eastern.  Click here to register.

In addition, I will be speaking at two sessions at this year’s Folio 08 (Sept. 22-24 in Chicago).  I will be covering “Upping Your Marketing Success Quotient” as part of the marketing track.  As part of the events track, I will be speaking at a session called “Models for Event Profitability”.  I will have much more about this as we get closer, so click here to learn more about attending the show.  It is a great networking and learning experience for anyone in B2C or B2B media.

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Word of Mouth (WOM) marketing is certainly not a new sensation; in fact it’s not even a hot buzzword anymore.  The reality is that much of what began under the banner of WOM is now being spoken of in the lexicon of social media.  Blogs, Wikis, User Generated Content (UGC) and the whole social media world are really built upon many of the principles started years ago with WOM. 

No matter what you call it, there’s now an environment capable of propagating the reality of your products quality and comparative value into the marketplace at blinding speed.  All these channels of communication and exchange make information available to a larger group of people at a faster rate than at any time in history.   

Even in this world of radical transparency and information exchange, I continue to be amazed at how much energy goes into messaging and marketing that attempts to gloss over product deficiencies rather than directing more focus and resources on fixing the underlying issues.  Often the result is marketing that dooms a product to fall short of expectations and to subsequently be raked over the coals of public opinion.   This kind of thinking completely misses the opportunity to tap the exponential power of social medial and WOM and fuels those folks who love to expose faulty products and the companies who make them.

Addressing core product issues isn’t always possible for a variety of reasons.  Lack of funding, short timelines to get a product to market or a host of other factors create the need for compromises.   No product, even fantastic ones, will likely go to market without their creators secretly wishing they could have slipped in a couple extra cool features.  

In the end, it comes down to the truth of your product.  Despite great marketing, huge media buys and all the other traditional marketing trimmings, a less-than product is destined for a very short half-life these days.  In contrast, high-quality offerings taken to market with savvy use of social media/WOM channels are likely to enjoy a longer run and do so with smaller marketing budgets. 

Next time you’re planning a go-to-market strategy, don’t underestimate the marketing value of a great product.  Waiting for, or pushing for, that next feature could be the best marketing decision you’ve ever made.    
 

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Very exciting news – AMC’s Mad Men starts up again this Sunday.  For my money the best show since the Sopranos.  For those who have not seen the show, it is a look at a New York ad agency in the early 60’s.  A fascinating portrayal of the men and women of that era juxtaposed against the advertising, media and marketing business.  The choice to set the show in the transitional early 60’s was savvy because it allows the show to explore the changing roles of men and women right before Vietnam and the civil rights and women’s rights movements.

It is a guilty pleasure watching the behavior of these guys in the office – smoking, drinking and womanizing is standard procedure.  And, so were sexism, harassment, racism and anti-Semitism - all out in the open.  It is jaw dropping to watch behavior that was then commonplace vs. today’s super sensitive politically correct workplace.

If you are in the marketing/media business you have to watch the advertising aspect of the show.  I get a charge out of watching them meet with clients, come up with ideas and pitch creative.  It was the heyday of traditional interruption based marketing.  They came up with a campaign and then bought tons of media in print, on billboards, or on television/radio.  That were all the options available, and there is nary a word about ROI, custom content or interactivity.  It was one-way communication from companies to the masses.  The ad agencies and media companies had a nice thing going, and they got rich fat and happy running ads.  They really never had to prove the ads worked as long as the drinks were flowing at lunch.

The “hero” is agency Creative Director Don Draper who is my favorite fictional character since the man with whom he shares many traits – Tony Soprano.  Don is morally ambiguous and lives by his own code of honor.  He is very ambitious and masterful with clients when pitching ideas.  Like Tony, he leads a complicated life juggling his family, extra-marital activities and his bosses and staff at the agency. An interesting aspect of the show is how the women in Don’s life represent the different and changing roles for women in the early 60’s. 

Keep an eye on how Don and his team come up with campaign ideas for their clients.  While we can make fun of the primitive tools they had to get the message out to their prospects, Don has incredible insight into how to craft a message.  He understands that great advertising is all about tapping into the mindset of the customer.  He strives to come up with concepts for the “emotional sell”.  A valuable lesson for today’s marketers to remember – good advertising and marketing is all about the customer, their needs and how they feel about themselves.  Sometimes because we have so many tools and technologies at our disposal we forget the basic fundamentals.  How many bad ad campaigns have we seen from marketers who just want to tap into the flavor of the week?  Putting the wrong message on a cool site; or just adding social networking to the mix does not make for good advertising.

Many people think advertising is about convincing or persuading someone to buy a product.  It is actually about making them realize they have an unmet need (physical or emotional) that can be filled with your product or service.  The customers who lined up for days to get the new iPhone were not “brainwashed” by Apple’s advertising; or even wowed by the technology.  They were searching to fill an emotional need to be the “first to have something” which validates their personality (yes, I was a psych major).  Apple does a brilliant job of leveraging that emotion.

On that note, my favorite scene is when Don is out with a group of bohemian type beatniks at a poetry reading.  One of beatniks starts in on him for “making people buy things they don’t want or need”, and then condescendingly asks Don “how he sleeps at night”.  Don coolly picks up his glass of scotch, smiles and replies “on a bed of money”.
 

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Of all the things that fascinate me about the web there is a special place in my heart for Wikipedia.  I am a trivia nut, so I love trolling the listings, and I get a kick out of the earnestness of the people who contribute and patrol the site (more about that later).  It is now standard practice for marketers to create a Wikipedia page for their company.  And, it has become an art form to put up a page that does not veer too much in a sales pitch to prevent being smote down by the Wikipedia gods.  I have heard from many of my marketing peers who have done battle with the self appointed defenders of truth.

Because Wikipedia is very well indexed by Google having a company page helps your SEO efforts. When you Google King Fish Media, our Wiki page comes up in the third listing after our site URL and the Think Tank blog - and it is driven over 100 visitors to our site.  If you have not ventured into these waters as a marketer, you must try it.  These types of sites are quickly replacing more traditional sorts of reference materials. 

There have been a lot of debates to the validity of the information presented, and you do need to take the facts and information presented with a grain of salt.  The dispersed and anonymous nature of the policing opens the door for people with an agenda to set the tone. 

I am fascinated by those who have taken on the duty to police the site for factual accuracy.  What is their motivation?  What drives them to do what they do?  It’s not money since they are volunteers.  Valid questions as we move into the age of user generated content – or UGC as the cool marketers are calling it.  Over on Channel V Media’s blog they wrote about a game called wikiracing where participants add information to obscure pages and see how fast they are corrected or edited.

In the name of science I inserted myself as notable resident of my hometown of Beverly, Massachusetts – as an author. I write this blog and have had a bunch of marketing articles published so I thought author was my best bet.  And, my new found fame would give my mom something to talk about at the Boynton Beach JCC.  It seemed easy enough since the current list of 26 people is pretty weak expect for some 300 year old historical figures and a few modern exceptions – Kevin O’Connor who hosts This Old House on PBS, alternative rocker Mary Lou Lord (check her out on iTunes if you don’t know her, she is great) and world famous author John Updike.  The rest were a collection of people no one has heard of unless you were related to them. 

I put myself in there alphabetically between actor Howard Petrie and television sports commentator Derek Rae - under the radar flanked by a B movie actor who has been dead for 40 years and a Scottish soccer commentator.  My fame lasted exactly 27 hours before being struck down by a wiki police person with the user name of Adj.  Adj is a serial editor who seems to specialize in trivial information about Massachusetts towns – talk about a niche.  I was of one of 13 edits Adj made that day, and one of over 500 since April.  You can visualize Adj at a desk in a cramped basement home office surrounded by reference books, cats and stacks of old newspapers - sipping a cup of tea and staring at the screen over drug store reading glasses while stamping out informational miscreants such as myself.  There must be immeasurable pleasure and satisfaction in telling the world that I am a seemingly nonnotable resident of Beverly.  However, I would wager that more people read this blog in 2008 than watched the collective works of Howard Petrie, but I’ll let it go.

Maybe the information on Wikipedia is good and can be trusted if there is any validity to the wisdom of crowds.  I am not totally sure what to make of it as a marketing tool other than you better not cross the line or the Adjs of cyberspace will be there to put you in your place – the digital dustbin of history.

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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.

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This week the NY Mets gave us an example of what happens when you don’t understand the current media landscape.  They fired Manager Willie Randolph on Monday night, and did it via press release at 3:15 am east coast time.  The team was in Anaheim on the first day of a west coast trip.   So, they made poor Willie fly all the away to So Cal, manage a game (he won) and fired him after the game.  As I am sure you know by now the Mets have been getting killed in the media for this low rent move on a classy guy.  They are spinning all kinds of stories such as they didn’t want to fire him on Father’s Day to they didn’t make up their mind until Monday.  The sad truth is they actually thought that if they did it in the middle of the night it would lessen the news and press impact since it would be a day before the NY papers could jump on it.  That was a questionable strategy in 1978 or 1988, but in 2008 it is beyond moronic.  That “strategy” backfired and blew up in their face.  They got beaten up on every available media platform for nearly three days – print, talk radio, blogs, sports web sites etc. 

At the heart of this mistake is a lack of understanding of today’s media environment.  It is always on, and always in search of content.  The explosion of media platforms, brands and choices has eliminated the concept of “news cycles” as we knew them.  On demand content and viral distribution have made traditional news cycles obsolete.  In addition, the proliferation of media platforms has created a situation where any “hot” bit of content and news is blown out of all proportion.  Many of these media outlets thrive on scandal and controversy.  The search and hunger for edgy content seems insatiable.  How else do you explain Lindsay Lohan’s mother and talentless sister getting a reality show.  More shame for us native Long Islanders.  Wasn’t Amy Fisher’s sex tape enough humiliation? 

The media narrative ended up being about how clumsy, heartless and dumb the Mets management appears to be.  The net result is the Mets did some real damage to their brand image, and maybe their bottom line too.  We are in a new media world, and if you follow the old rules you are sure to get burned.

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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. 

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Just a short word on the passing of Tim Russert.   I spent much of last week thinking about and writing about media bias in the news organizations covering politics.  It was quite a shock to learn about his tragic death, as he was one of the last objective unbiased journalists on television.   Even though he worked his way up the ranks in Democratic politics he was equally tough on both parties.  You could make a case he was the most important journalist in America today.  Many people, including me, turned to him on Meet the Press and election night coverage to make sense of it all in a straightforward manner.  You could trust him because you felt he neither had an agenda nor was self promotional.  The timing of his loss before a historic election is a blow for this country.  We would hope that someone would fill the void, but it will be an impossible role to fill.

Nearly everyone I spoke with over the past few days felt like they lost a close friend.  He was such a presence on television, you actually felt like you knew him.  Just another reminder that as Buddhism states everything in life is impermanent.  It was heartbreaking to watch so many of his friends and colleagues talk about him all weekend.  However, listening to the tributes he was clearly a man who made the world better and lived every minute of his short 58 years.  Personally, I agree with his impressive son Luke, who said that if Tim could hear what was being said about him; he would be the most excited to hear that Bruce Springsteen paid tribute to him and played Thunder Road in his honor.  As a fellow Springsteen fanatic, I was very touched by the gesture from Boss who like Tim Russert is a master story teller with an ear to the common man.  Here is a passage from Thunder Road, a beautifully written song about vulnerability, yearning and redemption.

We got one last chance to make it real
To trade in these wings on some wheels
Climb in back
Heaven’s waiting on down the tracks
Oh oh come take my hand
Riding out tonight to case the promised land

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In an interesting bit of timing, the NY Times ran a story today about perceived media sexism toward Hillary Clinton. (A topic covered here yesterday) In a shocking development the mainstream media (NBC, CBS, CNN etc) strongly disagree with that notion.  They seem almost dismissive of the claims.   They are also quick to say that Hillary Clinton’s defeat was caused by her own mistakes and they are not responsible for her loss.  That is true, Hillary has no one to blame but herself, and Barack Obama played by the rules and won the nomination fair and square.  However, that does not absolve them of their actions, nor does it lessen the anger many feel towards them.

There is this passage and quote from MSNBC’s Keith Olbermann:

There was “constant reflection and analysis at MSNBC, and I must say there was constant good faith in trying to make certain Senator Clinton was not treated unfairly.”

Now that they have been called on the carpet they wrap themselves in objective journalism.  Ironically, Olbermann has made a name for himself making fun of Bill O’Reilly and the right wing bias at Fox News.  I don’t know if he realizes that he has become a liberal version of his friend Bill.  I used to enjoy watching him, but his rants have taken on an air of self righteousness and he has lost his ability to be objective. 

There are several problems with the mainstream media defense tactics.

As the old cliché goes – perception is reality.  Many Clinton supporters and women’s groups including NOW (click here to read a column from their President) are angry at the bias, and NBC/MSNBC and CNN have lost credibility with many viewers.  They can defend themselves all they want, but it won’t change the way many women (and men too) feel about the way their candidate was treated while her opponent got the kid gloves treatment.

I wonder if the many of the biggest offenders (who are generally men in their 50’s and 60’s) fully realize the way the media world has changed.  Every one of their comments is stored on the web forever, and can be easily passed around.  And, there is an army of bloggers to offer a counter opinion and analyze their comments.

The bottom line is they can deny it all they want, but we live in a new media world.  My advice would be to really reflect on how they handled the nomination process rather than trying to spin it away.  No one is buying it.

On a separate and personal note – Happy Father’s Day to the #1 reader of the Think Tank blog – my Dad, who is one of the smartest guys I have ever met.  The lessons I have learned from him are too numerous to recount here, and I use them every day.  Happy Father’s Day!!
 

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Before we leave the process that will eventually name Barack Obama as the Democratic nominee, let’s take a look back at one of the factors in this contest that helped him beat Hillary Clinton.  It can provide us some clues and insights into how he may fare against Senator John McCain this fall.

There has been much debate whether sexism played a role in the defeat of Hillary Clinton.  She and her campaign made a couple of well hashed over errors:  they underestimated Obama’s appeal, had no organization in the caucus states, and used Bill Clinton incorrectly.   Watching Bill Clinton in the 2008 campaign was like watching Willie Mays play for the Mets in 1973 – painful to watch a star whose time has past.  She was significantly hurt by the actions of Florida and Michigan to break the DNC rules which cost her big states she could have won.  And, it seems like she didn’t connect with the voters until she went from frontrunner to underdog.

A big factor in the race was a media bias for Obama and against Clinton.  This manifested itself in a mainstream media that seemed to be openly promoting Obama, while gleefully participating in the steady stream of sexist comments and jokes aimed at Hillary.  It was open season on petty analysis of her appearance, emotions and of course, the comments about how she came across as a bitchy woman.   Take a few minutes to check out these clips.   One is a brilliant piece from the Daily Show and other is a home grown video from YouTube.  Both illustrate numerous examples of the mainstream media taking sexist shots at Hillary.  It is sadly comical to watch a bunch of middle age white men (Mike Barnicle, Chris Matthews, Glenn Beck, Pat Buchannan, Wolf Blitzer) make statements that essentially says that Hillary is a shrew and a harpy who men don’t want to listen to because she sounds like a nagging wife.  Makes you wonder how happy these guys are at home.

In addition, journalists such as Keith Olberman of MSNBC and Frank Rich of the New York Times all but anointed Obama while never missing an opportunity to take a shot at either Hillary Clinton or John McCain.  By the way, making fun of McCain’s age is also fair game, and even sometimes the injuries he received as a POW.  Obama’s lack of experience and a real record and his relationship with Rev. Wright received as close to a free pass as you can get in today’s 24/7 media.

Try and imagine what would happen if these same middle age white male commentators used jokes and negative stereotypes about Obama’s race in the same manner as they did with Hillary Clinton’s gender.   When anyone even hints at race, such as Geraldine Ferraro, they are treated like a pariah.  Remember when a bunch of guys showed up at a Clinton rally held up signs and chanted “iron my shirts”.  It was laughed off as a prank.  What if it was an Obama rally and those hilarious frat boys were yelling “shine my shoes” or “fry my chicken” Not so funny, is it?  In fact, it is horrible.  However, it is hard to argue it was much different in terms of negative stereotyping.  Unfortunately, this gender bias affected the way the race was reported throughout the primary season.  Next, we will take a look at how media bias may have shaped the race.

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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.

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Last week my city, Beverly, MA held an election that may offer a small preview of this November’s election.  Here in the Massachusetts we have a wonderful law to reign in government called Proposition 2 ½ passed by referendum during a tax revolt in 1981.  Here in the bluest of blue states we have a segment of people who love their taxes.  It basically states that property tax can’t increase by more than 2.5% per year, except if the people in the town vote to over ride the law for a specific reason.  In our case it was to help fund the school system that is running at a deficit due to the usual suspects – increasing teacher healthcare and pension costs, unfunded state and federal mandates and exploding special education needs.  If it passed, the average homeowner would pay roughly $190 more a year in property tax and one of the six elementary schools in town would be saved from closing. 

It was quite a battle, a real steel cage street fight.  What struck me was the anti-government venom.  It was aimed at the Mayor, School Committee, City Council, Teachers Union and anyone who even walks by city hall.  There was also a generous helping of class warfare as the working class and seniors resented the upscale moms who led the fight for the over ride.  One of the leaders of the over ride movement made the classic marketing mistake of saying it would only cost “a latte a week” to fund the tax increase.  Oh boy! Talk about not knowing your audience.  That statement became a rallying cry from the working class people who wouldn’t go inside a Starbucks on a bet.  The moms (and some dads) were dubbed the Latte Divas by the anti-tax people who fought it out on the Salem News web site message boards.  I would read the forums and the anger was palpable.  The parents were advocating raising taxes “for the children” or our property values would plummet and the city would become a slum overnight.  Opponents ranted back about how unions, the government and entitled parents were ruining America, and how they can’t afford another cent is this bad economy.  Over rides for schools usually pass in small affluent bedroom communities, but in economically diverse Beverly (pop. 40,000) it was crushed 63% to 37%.  And, a real class division opened up in once cohesive community.

It was a fascinating look at how social networking and web 2.0 tactics shaped the debate.  The pro over ride parents (Yes! For Beverly) had their own blog, Facebook page and email distributions; and the forums on the local newspaper sites became ground zero for battles pitched by people from both sides using anonymous screen names.  Some of the postings were pretty mean, and would never be said if a real name had to be attached or it was face to face.  It is much easier to work up some real anger when hiding behind a made up name that can’t be tracked.  It got me thinking about the nature of these anonymous posts which are found all over the web on all types of sites.  Does the anonymity produce true and honest feelings that are hidden by social convention, or is it an excuse to be rude.  There is something freeing about putting the usual political correctness aside, but debates can escalate quickly.  It is an interesting situation for companies who host these types of forums, especially when someone can be slandered on your site.  Monitoring your site is a must to protect your brand.

In addition, I could tell that there were some “PR plants” in there spouting the talking points from each side.  I don’t think many “average citizens” know the intimate details of municipal finance, collectively bargained teacher’s contracts and academic studies on the benefits of lower class size.  There were more than a few people with not so hidden agenda’s passing themselves off as John and Jane Q. Public.

This local battle may be a microcosm of the upcoming Presidential election. We will hear some of the same issues and charges from both sides.  Elitism and class division, education, taxation and the economy will be issues out front and center.  2008 will be the first web 2.0/social networking presidential election.  The ground war is going to move from mainstream media ads and direct mail to the web in a big way.  The blogs, video sharing sites, forums and online fundraising are going to be humming.  This may help Obama and his more youthful supporters, but the same tools can also make any scandal viral or misstep magnified.  We are in somewhat uncharted media waters, and as the cable news talking heads like to say “only time will tell”

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This week I had the pleasure of contributing an article to the Chief Marketer web site.  The article is about using web casts to drive leads and ROI.  This is a topic quite familiar to King Fish as we manage over 250 web casts yearly for our clients.

To read the article please click here to go to the Chief Marketer site, and check out all of the great content they have on many other issues relevant to today’s marketer.

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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. 

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No one in media today understands the concept of private media channels better than Howard Stern.  At first, his much trumpeted move to Sirius Satellite radio seemed like a way to get out from under the thumb of FCC and their constant monitoring. However, Howard had something more in mind than the freedom to drop an occasional f-bomb and in-depth stripper interviews.  Back in the prehistoric early 90’s he dubbed himself the “King of all Media” because he was successful on syndicated radio, did a highlight show on E!, had best selling books, and an autobiographical movie.  He was in all media, but they were not integrated and he was essentially renting channels from huge media companies who owned the shows and profits.  He now has two dedicated stations on Sirius (soon to be merged with XM), his own web site and Howard TV which is an On Demand pay service.  All three platforms are tightly integrated, and users pay for the radio show and TV shows, while the free web site is a promotion for both.

The radio channels are interesting because they create a unique environment for the show.  There is a news operation to report on news about the show and characters; and each day there is a wrap up show to talk about the events of that day’s show.  Each show is treated like breaking news on the radio, TV and web site.  It is very addicting to tune into – you get immersed in a parallel world Howard is President and Fred, Artie, Robin, Gary and the huge cast of characters are the cabinet and members of Congress.  The wrap up show is like MSNBC for the whack pack (Howard’s most loyal fans that have become part of the show). 

The net effect is a very high affinity environment that produces two sources of revenue – subscriber fees and advertising/sponsorships.  At a time when it is getting difficult to get people to pay for content, Stern fans are happily forking over money to be able to be a part of his private media channel.  Additionally, the integration and cross-promotion is critical to creating the feel of a private media channel.  Howard Stern may not be to your taste, but there is no denying he has been a media pioneer for the past 25 years.  Keep an eye on him, and you will get a sense of what the future of media channels may look like.

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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!

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The cable giant bought Newsday on their home turf of Long Island for $650 million after a bidding war with Rupert Murdoch and Mort Zuckerman.  When billionaires place that much value on a local newspaper (albeit in a lucrative market), maybe the demise of newspapers is not as close as we think.  It is fashionable among media pundits and bloggers to pile on the newspaper business and declare it done for.  They always point to the fact young people don’t read newspapers and get their news on the web.  Has anyone bothered to ask what the newspaper subscription rate has been historically been among young adults – I bet it has always been low.  Not a huge priority at that stage in life.  And, what happens when these hip kids who have no use for newspapers and land lines get older and have kids, houses, careers, etc. 

I do agree that some of what newspapers currently do is obsolete.  National and global news is a commodity – either online, on TV or from the wire services.  Having it appear in a local newspaper serves very little purpose to the reader, who has probably already seen or heard the story in another more immediate platform.  For newspapers to succeed in the future they need to think locally – people love local news – the more local the better.  Reading about politics and tragedies in foreign lands is important but it really has little effect on the average person’s life.  However, they sure do like reading about their own slice of life in their town and region.  These stories have a real and emotional connection, and who doesn’t like keeping up on local gossip.  I may not know all the facts of what’s going on in Darfur or the real difference between Sunni and Shiite; but I know the gory details of an upcoming property tax increase vote in my town and the story of the kid up the street who was arrested for drug possession.

To take it one step further, instead of expending resources by having international and national news bureaus, redeploy those resources into good old investigative journalism on the local level.  Some of the best work from a newspaper is when they uncover crime, corruption or some other injustice in their backyard.  The Boston Globe did a great job this year exposing Mitt Romney’s illegal alien gardeners and some questionable ethics from the current speaker of the Massachusetts House of Representative, Sal DiMasi.  Newsday has a long history of doing that on Long Island, and I hope the new owners will be committed to that tradition.  There is real value in providing this type of content and service to a community.  And, it builds readership affinity for the advertisers, most of which are small local companies who do not run big web or TV campaigns, and rely on the local paper to get their message out.

The local angle is why I think the Cablevision/Newsday deal will work.  They can create an integrated media channel (print, web, cable, events) for readers and the local advertisers who want to reach them. In addition, Newsday now has ownership by people who actually live in the community and have a vested interest.  The days of the big remotely-owned newspaper chains and the homogenization of news that it brought may be over.  Maybe it is time that the local paper goes back to the future and becomes a major player in their community.

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Although still the number one show on network TV, American Idol has seen a steady rating decline this year to it’s lowest totals in five years.  Many theories have been offered  - lackluster contestants, people growing tired of the format, a general post-strike decline in viewership to name a few.   I would suggest another reason why the show has generated almost no buzz this year and people are tuning out.

In the past AI has been a masterful example of combining content and sponsorship.  In this age of permission based marketing, they came up with a formula that was compelling to fans while providing companies like Coke, AT&T and Ford a great marketing vehicle.  Once this show became a huge hit – the producers and FOX amped up the tie ins and revenue opportunities.  They produce records, concerts tours and TV shows.  The voter results show was expanded from 30 minutes to an hour to sell more commercials.  And, they added more promotional deals with iTunes and with “guest mentors” who had new albums to hawk.  Slowly but surely, the marketing and advertising overwhelmed the content portion of the show and this year was the tipping point.  For example, the addition of an AT&T sponsored segment where “random” fans call in to ask questions is nothing but filler and painful to watch.  You almost expect Ryan Seacrest to come out one night wearing a sandwich board with an ad for Maaco Auto Body shops.

I am a fan of the show, but felt like I just spent two hours a week watching an infomercial.  The desire for promotion really hurt the perception of this year’s contestants by forcing them to sing songs by artists who are not relevant to today’s audience.  Two weeks of Beatles songs were a bore – for today’s kids, it does not mean that much, and for those of us over 35, we have heard them a million times.  Then they moved on to Dolly Parton, Mariah Carey and Neil Diamond –who shockingly, all had new albums and tours to promote.  Can anyone name me three Dolly songs? Mariah has more #1 hits than anyone – but are any of them remotely memorable.  However, the highest rated show on the unintentional comedy scale was “show tunes” week with Andrew Lloyd Webber. 

You get the feeling it all about driving sales and playing it safe for the sponsors.  It is just a little coincidental that contestants who are different (i.e. possibly gay) or edgy (tattooed) find themselves gone early and the bland survive.  The success of the incredibly boring and cloying David Archuleta (known as the “Gasper” on Idol fan site Vote for the Worst.com) is symbolic of that trend.  He may be the single least entertaining person on television.

For the show to be successful past next year, the producers really need to examine the balance between content and marketing.  While we often profess that content based permission marketing is the wave of the future, AI is a cautionary tale of what happens when the mix gets out of balance.  I know we are all in business to make a buck, but guys, take it down a notch or you will kill the golden goose.

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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.

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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.

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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!

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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/.

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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.

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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.