Category: media

  • As seen on TV – where are today’s trusted sources

    As seen on TV – where are today’s trusted sources

    In a local shopping centre over the weekend this business was selling massage tables using the fact they’d been mentioned on TV to enhance their reputation.

    Citing an appearance on TV in the hope of improving your credibility is very much a mid-20th Century way of doing things. In the 1960s or 70s an enthusiastic mention from a TV host was the way to get the punters beating a path to your door.

    Today, things aren’t quite the same. TV was on a decline as a trusted medium – despite the successes of talk show hosts like Oprah Winfrey – long before the internet arrived. The web bought social media and now buyers can consult their friends and peers before deciding to buy.

    What was interesting about the sign was there was no indication of a social media presence or web page and that in itself showed how old school this business’ advertising was.

    For the business owner, it would have been hard work getting a mention on TV. Space isn’t cheap to buy and getting a mention on a current affairs show requires either the services of an expensive PR agency or many hours of bugging producers and not a small degree of luck.

    Then again, maybe a complete lack of online engagement didn’t matter. The shopping centre I was in would have an average customer age well over forty and, most of the market the business was aiming probably comes from the sizeable retirement village across the road.

    How this business ignores modern communication channels is instructive about the generational change in business and society, particularly on how different age groups find their trusted sources.

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  • Delighting the customer – the new business normal

    Delighting the customer – the new business normal

    Salesforce’s Executive Vice President of Strategic Reserach, Peter Coffee joined the Decoding The New Economy channel at last week’s Dreamforce conference to discuss the new normal — delighting the customer.

    Coffee’s role at Salesforce is to help the company’s potential clients understand the new normals of business life. “It’s a lot of listening,” he says.

    In describing the new normal, Coffee is in tune with Salesforce’s CEO Marc Benioff in seeing mobile services as being one of the key parts of how business will look in the near future.

    “The fundamental statement is your mobile device is no longer an accessory,” says Coffee. “It’s the first thing you reach for in the morning and it’s the last thing you touch at night.”

    “Fundamentally people are mobile centric so we need to rethink our operations.”

    Continuing the social journey

    It’s not just mobile services that are changing the way we do, social media continues to be companies’ weak points in Coffee’s opinion.

    “There’s research that’s come out of places like MIT that shows traditional print and broadcast media are still valuable for creating awareness of your brand but the final step of turning someone from knowing who you are into deciding to do business with you is now made today only when a trusted network confirms it.”

    “People don’t make that final step of buying from you until they’ve consulted their trusted advisors.”

    “Another fundamental change that’s happened is that the connectivity of the customer is such that if you have a customer that’s unhappy with you for even five or ten minutes there’s a tweet or a Facebook post or a LinkedIn update just begging to leak out and damage your brand,” says Coffee.

    “The closer you can get to instantaneous resolution to the issue, the better.”

    Internet of machines

    With the internet of machines, the ability to resolve customers’ problems instantaneously becomes more more achievable in Coffee’s opinion.

    “Connecting devices is an extraordinary thing,” says Coffee. “It takes things that we used to think we understood and turns them inside out.”

    “If you are working with connected products you can identify behaviours across the entire population of those productslong before they become gross enough to bother the customer.”

    “You can proactively reach out to a customer and say ‘you probably haven’t noticed anything but we’d like to come around and do a little calibration on your device any time in the next three days at your convenience.’”

    “Wow! That’s not service, that’s customer care. That’s positive brand equity creation.”

    Delighting the customers

    All of these mobile, social and internet of things technologies will give businesses the tools to delight their customers and Coffee sees that as the great challenge in the new business normal.

    While many businesses will meet the challenges presented by mobile customers and their connected machines Coffee warns those who don’t are in for a painful time.

    “If you do not have delighted customers you have no market.” States Coffee, “the way that you delight customers is by making sure every interaction with you leaves them happier than they were before.”

    “Traditional silos of sales, service, support and marketing must be dissolved into one new entity which is proactive customer connection.”

    “Companies that neglect to adopt it will discover they have customers who are sensitive to nothing but price,” warns Coffee.

    Paul travelled to Dreamforce in San Francisco as a guest of Salesforce.

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  • Crumbling cookies

    Crumbling cookies

    On the last ABC radio spot we looked at how our data is being tracked, in the following 702 Sydney program with Linda Mottram we looked at the role of Internet cookies and online privacy.

    Cookies – tiny text files that store visitors’ details on websites – have long been the mainstay of online commerce as they track the behaviour of web surfers.

    For media companies, Cookies have become a key way of identifying and understanding their readers making these web tracking tools an essential part of an already revenue challenged online news model.

    Cookies also present security and privacy risks as, like all Big Data, the information held within them can be cross-referenced with other sources to create a picture of and often identify an internet users.

    These online data crumbs often follow us around the web as advertising platforms and other services, particularly social media sites, monitor our behaviour and the European Union’s Directive on Privacy and Electronic Communications is the first step by regulators to crack down on the use of cookies.

    Similar moves are afoot in the US as regulators start to formulate rules around the use of Cookies, in an Australian context, the National Privacy Principles apply however they are of limited protection as most cookies are not considered to be ‘identifiable data’, the same get out used by US government agencies to monitor citizens’ communications.

    Generally these rules promise to be so cumbersome for online services Google is looking at getting rid of cookies altogether .

    Ditching cookies gives Google a great deal of power with its existing ways of tracking users and ties into Eric Scmidt’s stated aim of making the company’s Google Plus service an identity service that verifies we are who we say we are online.

    Whether Google does succeed in becoming the web’s definitive identity service remains to be seen, we are though in a time where the questions of what is acceptable in tracking our online behaviour are being examined.

    For the media companies and advertising, putting the control of online analytics in the hands of one or two companies may also add another level of middle man in a market where margins are already thin if not non-existent.

    It may well be that we look back on the time when we were worried about  internet cookies tracking us as being a more innocent time.

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  • Fighting the content wars

    Fighting the content wars

    I’m moderating keynote Q and A’s at the ADMA Global Forum today. One clear message from the international speakers’ presentations is how original, unique content is one the key planks of a modern media strategy.

    “Content will be king” says McKinsey’s Joshua Goff, a thought echoed by Weiden and Kennedy’s Husani Oakley.

    During one of the breakout sessions, the AFL’s Sam Walch explained the sporting code’s strategy of using content to retain supporters and expand the sport.

    The fascinating thing about this content strategy is how organisations are having to deal with gathering unique, compelling material.

    For many businesses, getting customers to contribute material makes sense. Josh Goff showed how some businesses, even in the B2B space, were using user generated content to get a buzz happening around their sites.

    Others are commissioning their own work with the AFL employing nearly fifty journalists to provide content.

    What’s particularly interesting about the AFL is how this threatens broadcasters and the print media business models which increasingly rely on ‘events’ like sports. This is something I might explore on the blog over the next few days.

    In the afternoon ADMA session Michael Bayle, formerly of ESPN, described how much of that content will be accessed on mobile devices. Interestingly ESPN has the greater share of mobile visitors for US Sunday football despite not owning the broadcast rights. This is both an opportunity and challenge for rights holders, sporting organisations and media disruptors.

    The key take away from this morning’s ADMA sessions though is that we are going to be drowning in content marketing over the next couple of years. The challenge for those businesses engaging in those wars is to make themselves heard over the noise.

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  • Never going to let you go – the failing businesses clinging desperately to baby boomers

    Never going to let you go – the failing businesses clinging desperately to baby boomers

    Probably the driving factor of the consumerist society’s development was the baby boomers’ growing up.

    Through the last fifty years everything from Coca-Cola to baby products and hair loss treatments has been aimed at the cohort born between 1945 and 65.

    For many businesses and marketers this group has been so profitable it’s been hard to let them go.

    The US motor industry is a good example of this with Bloomberg reporting the over 55 age groups are dominating domestic car sales as younger folk turn away from car ownership.

    A similar thing is happening in Australia as TV executives decide that competing with the internet for millennials is too difficult so sticking with the over 50s market is safer.

    “We’d go out of business if we stayed with our traditional demographic of 16-39.” Channel Ten CEO Hamish McLennan told the Mumbrella360 conference in Sydney earlier this year.

    The problem for both the US motor manufacturers and Australian TV stations is the trends are against them.

    For TV stations trying to compete against the internet, the older age groups are following their kids across to the web at the same time that they are beginning to save for retirement.

    That need to save is also working against the car dealers, while many boomers fawn over new cars a large number simply aren’t going to be able to afford these indulgences. It’s not a good prospect for the motor industry.

    In the meantime, younger people are turning away from the motor car, Bloomberg quotes University of Michigan Transportation Research Institute s researcher Michael Sivak who penned a report on generational shifts in the US motor industry.

    “I have a son who lives in San Francisco; when I get a new car and I tell him what I got, he couldn’t care less,” Sivak said. “To him, it’s a means of getting from A to B. He goes into great lengths about taking a BART or bus, even though it takes him an hour longer. He does have a car, but uses it very rarely.”

    The movement away from the motor car indicates something much more profound about western society — if the baby boomer represented the age of consumerism, the entire Twentieth Century was defined by the automobile.

    For politicians and town planners wedded to a 1950s view of economic development, it may be they are making terrible and expensive mistakes in pushing freeway and other road projects.

    While aging baby boomers purr over their expensive cars, the forces of history may be passing them by. Those businesses pandering to those older groups might just want to consider whether they want to be left behind as the economy, and the kids, move on.

    It’s comfortable to cling onto what has worked for the last fifty years, but sometimes the lowest risk lies in letting go.

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