The Future of Ad Agencies and Social Media

To keep up with ever-changing advertising and marketing options, ad agencies are rapidly adopting new strategies and outlooks on how consumers interact with brands. While many ad agencies have been slow to adopt social media, others have been keeping up with the trends quite well.

But keeping up with change is never good enough in this industry; the most successful, game-changing campaigns are generally a bit ahead of the curve. It’s not enough to hitch your star to an existing facet of viral content; you have to create the content yourself. And you can’t wait for mass markets to catch up to new technologies before you begin thinking about how to incorporate new tech into campaigns and creative; you need to test how that tech will work now. Mobile and social ads are no longer new; what’s more interesting now is figuring out how brands can integrate creatively and effectively with location apps and casual games.

We talked with five people who are familiar with the connected worlds of digital media and ad agencies, and here’s what they had to say about the future of social media and advertising.
Software Is the New Medium

Tom Bedecarré is CEO of AKQA, an agency well-regarded for its digital and interactive work, a field in which AKQA specializes; you can see some recent examples of that work on the agency’s Facebook page.

He told us in an e-mail recently, “One of the newest forms of media is not media at all, but software and platforms. Increasingly, AKQA is developing applications and marketing platforms that provide greater utility, entertainment and information to our clients’ customers without relying on traditional media channels. One example of this is the Fiat eco:Drive application we created that allows Fiat drivers to monitor their driving skills and fuel efficiency and helps drivers to lower CO² emissions.”

More and more, agencies will be called on to be (or at least have the capacity to behave as) short-order web and mobile dev shops. You’ll need to make sure your creatives have access to skilled hackers and experienced web designers; you might even consider including a few highly technical, very creative engineers in your creative team, not just as part-time or freelance collaborators.
Groups and Friends: The Power of the Hive Mind

If you want to get inside your clients’ customers’ heads, just take a look at what their friends and peers are doing, saying and buying.

We asked David Armano, Senior Vice President at Edelman Digital, if he thought group or friend buying behavior could be used as a recommendation system for goods and services. His answer was resoundingly affirmative.

“If the numbers behind Groupon’s recent success with The Gap is any indicator, the answer is yes.” For reference, the partnership between the group-buying site and the national retailer completely smashed sales records for both entities with a simple digital coupon.

But group buying is most powerful when combined with sharing across social networks.

“The key,” continued Armano, “is that the group buying activity needs to be be present in your friends’ streams. Combine ‘likes’ with mass purchase behavior, and you’ve got the perfect storm of a signal that says, ‘Your friend got in on the deal, maybe you should too.’”
Transparency Is Still a Long Way Off

Part of the art of selling is the illusion that the company is doing what’s best for the consumer and not for their own bottom line.

We asked Jeremy Toeman, founding partner of San Francisco-based agency Stage Two if he thought online marketing has (or should have) more or less transparency in this regard than traditional marketing.

“This might sound odd,” he began, “but I actually think online marketing has less transparency than traditional does.

“In traditional marketing, your advertising was effectively blatant, from TV/radio/newspaper ad buys to junk mail to billboards on the side of the road. Online companies use tactics like SEO, spam/spam-blogs, pop-ups, text-link-ads, fake viral videos, etc.”

Steve Hall, creator and editor of industry blog Adrants, wrote in 2008 that most of the “viral” videos then (particularly the “guys backflip into jeans” clip that ended up being part of a Levi’s campaign) were, in fact, advertisements. And earlier this year, another tattoo-related fake viral video was discovered to be a marketing gimmick from Ray Ban. Fake virility isn’t limited to YouTube (YouTube); often, we find commercial entities trying to “push” supposedly non-commercial content on platforms such as Digg (Digg), Facebook (Facebook) and Twitter (Twitter).

Of course, consumers don’t figure it out… until they do. And they’re getting more savvy about fake transparency all the time.

Toeman believes brands and agencies should strive for more genuine methods of bringing an advertising message to consumers. “Personally,” he said, “I’d nix all the ‘hide the fact that this is an ad’ tactics completely and eliminate the methods of gaming systems.”

If you need more convincing that labeling ads as ads might be a good thing, consider Old Spice’s recent campaign. Pure creativity and Internet (Internet)-culture awareness drove a YouTube campaign that was very clearly advertising; still, the company’s sales doubled as a result of the YouTube clips.
Location Campaigns Are the New Targeting Mechanism

In the past couple weeks, Foursquare took over Times Square and Facebook launched Places. Clearly, location-based services and related ad campaigns are going to become huge very shortly.

“We’re right at the beginning of an exciting time for the development of location-based services and marketing that integrates geo-location into advertising and applications,” said Bedecarré. “Recent announcements by Facebook and Google (Google) reflect the importance of location services.”

Hall says location-based marketing “will change everything.” He explained:

“With the ability to target people only when they are within purchasing distance, brands will be able to come that much closer to targeting nirvana. Offers can be made only to those meeting certain location (and even demographic) requirements, reducing waste and actually saving a brand a lot of money by minimizing its old school spray-and-pray mass marketing techniques. In a nutshell, mobile will, once and for all, make it possible for a marketer to target without waste.”

Getting your clients thinking now about how to integrate location and checkins into a campaign is key. While we can’t yet construct fully formed campaigns around Facebook Places, there are a slew of other services you can use as case studies for an at-scale campaign.

Starbucks, which does an excellent job in the social media advertising and marketing category, has seen good results from a recent Foursquare (foursquare) campaign, as have many other brands. And they were right to jump on the bandwagon early. Between the intelligence you can gather about your clients’ customers and your ability to find more highly qualified targets than ever before, location is indeed the holy grail for advertisers.
Display Ads Are Evolving

Jesse Thomas runs one of the most forward-thinking creative agencies around, but he’s not ready to pick out a headstone for display ads just yet. However, he did tell us that “the usual suspects” of banner ads and skyscrapers are definitely undergoing a change.

“Facebook’s ads have singlehandedly made ads social,” he wrote to us in an e-mail. “The idea of ‘liking’ an ad is genius… The idea of advertising a Page in Facebook via the Facebook ad engine and being able to access special advertising powers is nothing short of revolutionary. In a world of [expletive] Google text ads, Facebook’s social ads are a breath of fresh air. But we have a long way to go!”

And not all of Google’s ad-buy offerings are as excremental as Thomas thinks the text ads can be. “Google offered the ability to integrate the Facebook checkout (one-click purchase) option to their ads, and that was awesome at the time. You will see more of this in the future: Making ads better by integrating features from other parts of the platform that are no longer cool anymore.”

In other words, display can still be part of your ad buys and collateral, but you have to think creatively, target carefully, measure thoroughly and react accordingly. Use all the tools at your disposal to do so.

Jolie O'Dell for Mashable.

Unlogo

Thanks Lester for the tip. Interesting AR project that aims at removing specific items from digital reality, rather than adding them. In this case icons from videos

Unlogo Intro from Jeff Crouse on Vimeo.

Debenhams Interactive TV

Debenhams has launched an interactive TV channel today (Monday) to attract new customers by offering fashion and beauty advice, alongside the opportunity to buy.

Debenhams TV, which is available on Debenhams.com, Youtube and Debenhams’ iPhone app, includes interviews with top designers such as Ben de Lisi, Henry Holland and Matthew Williamson and expert fashion advice. There is also a ‘how-to’ focus with online fashion workshops and beauty lessons.

The station is expected to generate 1.5 million views in its first week. Customers can purchase products using a click-to-buy feature as they watch.

Menswear shows on the channel will feature exclusive footage from the launch of Debenhams latest brand, FFP, and other behind-the-scenes footage and interviews from photo shoots, fashion shows and launches.

Debenhams said it hopes to “attract the attention” of shoppers who might not already be using Debenhams.com.

Debenhams online trading director Simon Forster said: “Our online TV channel is a brilliant way for our customers to get style and beauty advice, see the latest fashions and just be entertained. You can see it on our website, through our iPhone app, on Youtube and coming soon – in our stores.”

Retail Week

Brand Campaigns Drive Most Social Media Following

Nice insight... Cheers Brian. Via eMarketer

OCTOBER 18, 2010
Three-quarters of Facebook fans have signed up with pages after invitations or ads from brands

Research on social media users who follow brands has shown marketers the importance of offering deals and discounts on Facebook fan pages as well as the nature of brand following as a form of self-expression, through which advocates can show support for a company they love. But what triggers Facebook users to “like” a brand is typically some form of outreach.

Most commonly, that outreach comes from the brand itself. Three-quarters of Facebook users worldwide who had “liked” a brand told DDB Worldwide and Opinionway Research in September 2010 that they had been spurred to do so by an invitation or advertising from the brand they followed. More than half had also followed a brand based on an invitation from a friend. Many of those invitations are likely a secondary form of brand outreach as well, as marketers encourage current followers to become brand advocates on their behalf.

Only about half of all Facebook brand fans ended up following brands after their own research, making action by marketers critical in building up a following on social sites even though most users already know and like the brands they become fans of.

The effort brands must put into amassing fans doesn’t stop there, of course. While the top reason former fans gave for unsubscribing from Facebook pages was waning interest in the brand, complaints about the information offered on fan pages were also a major factor. Posting too often or posting uninteresting information, taken together, turned off nearly half of respondents.

“Unsubscribers, at 36%, are something to watch out for. And though the majority of fans now unsubscribe by deleting a brand from their friends list, brands, when trying to measure the value of their community, are going to need to be more mindful of those who just hide the brand's message in their newsfeed," said Catherine Lautier, director of business intelligence at DDB, in a statement.

Keep your business ahead of the digital curve. Learn more about becoming an eMarketer Total Access client today.

Check out today’s other article, “Online Video Big Draw on Health Sites for Marketers and Consumers.”

Jay-Z: Decoded Campaign

Great project from Droga for Jay-Z. Via creativity

Niche focused, technology restricted (Silverlight required) and expecting a lot of effort from participants… all strategically sound based on a clear understanding of the audience and the subject matter.

Provides a really good example how we can integrate digital technology with the offline environment to influence and motivate real people to do real things in the real world. Which in this case are then tied back to further interactions in the online experience, then back offline, then online, etc ,etc … fantastic. Just wish i liked Jay-Z then i'd be into it!

Jay-Z spreads himself all over the map.

Droga5 New York goes all out in its launch of Jay-Z's upcoming memoir Decoded with a massive multiplatform campaign that takes every page of the book and brings it back to its birthplace, literally. The book, published out of Random House imprint Spiegel and Grau, is set to release on November 16. Until then, the campaign will recreate each book page on a traditional outdoor, or not so conventional space—think billboard, the lining of a suit, or bottom of a pool—all of it relevant to where the contents of each page originally took place.

"We've made canvases out of some pretty extraordinary places," says Droga5 Creative Chairman David Droga. "We've turned everything into outdoor—350 pages are outdoor and another 100 and 150 are things that money can't buy." The latter will involve some familiar other big names, which at press time Droga could not disclose. "A lot of other big global brands and icons have stepped up to turn themselves into canvases," he says.

"We're trying to do something that's consistent with the Jay-Z brand," Droga explains. "He does all these incredibly bold things in the music industry. He wants to do the same thing to the publishing industry. What's bolder than putting every single page of your book out in the real world, so if someone wanted to read it or discover it, they don't have to buy the book? He's so confident that the story's compelling, the reader will get so caught up in looking at this that they'll want to buy the book."

But fans need not be as jet-setting as Jay-Z to see each execution. A partnership with Bing maps gives the audience a chance to search for each page online via a scavenger hunt, which will provide daily clues to each of the various page locations. "I'd seen that Bing maps presentation from TED, which was extraordinary, and thought, Imagine if we could lay that over the top and suddenly you've got something that's global," says Droga. "You could be sitting in Arkansas and you could walk in the streets of Brooklyn." The agency had been in talks over the last year and a half with Bing to do a nontraditional promotion and finally found an opportunity when the book project came up.

The thrill of the search and book pages aren't the game's only rewards, however. The First players to find a page get a hard copy of the book with that page signed by the artist himself, and all will get thrown into a draw for the grand prize, a ticket to see Jay-Z and Coldplay in concert on New Year's in Vegas.

Edge Shave Gel Uses Twitter for Random Acts of Kindness

Great idea... that's actually being followed through. Via Adage

From Football Tickets to Megaphones, 'Anti-Irritation' Platform Grows

By Jack Neff
Published: October 14, 2010

ORLANDO, Fla. (AdAge.com) -- When a New England Patriots fan last month was irritated at his inability to get tickets to a game against the New York Jets, he tweeted his issues to the Edge shaving gel brand.

Edge has created an 'anti-irritation community' at its website EdgeShaveZone.com.

Within days, the fan, Matthew DeCoste, an interactive designer at Euro RSCG, New York, had tickets to the game as part of an "anti-irritation" campaign in which the Energizer Holdings brand is seeking to soothe some of the many gripes lodged in social media.

Mr. DeCoste had heard of the promotion from a friend at a time when Edge was giving out iTunes and Starbucks gift cards, and he thought he'd try upping the ante, he said in an email.

Of course, Edge can't solve every problem. Mr. DeCoste, who said he got tickets 20 rows back in the end zone, tweeted friends jokingly about the goal post blocking his view. "As the game started getting away from the Pats, I was getting text messages from the same Jets fans about the train schedule back to Manhattan in case I wanted to leave the game early," he said. "So, that was kind of irritating. That being said, I'm still appreciative."

Via its @EdgeShaveZone Twitter handle and #soirritating hashtag, Edge is slowly developing a following of gripers like Mr. DeCoste as part of a long-term campaign with big aspirations to own the position of irritation prevention.

Jeffrey Wolf, Edge's senior brand manager, terms it "the anti-irritation platform," which started last month via Edelman. It included releasing a ranking of the 50 most-irritated U.S. cities (Atlanta was first, thanks largely to traffic) and the Twitter campaign, which is backed by promoted tweets and e-cards to brand fans. Edge also has an "anti-irritation community" at its website, EdgeShaveZone.com.

Ultimately, the brand has bigger things in store for the effort, including as-yet undisclosed work coming later this year under development by WPP's JWT, New York, promo shop Ryan Partnership and media shop MEC.

The social-media effort has started slowly, with still fewer than 900 followers since it launched last month. But the following is likely to swell once more of the Twitterverse, a veritable cauldron of gripes, catches on to the chance of getting problems solved by adding the #soirritating hashtag in a sweepstakes for the social-media age.

Edge last month also sent a megaphone to a University of Alabama professor who said her husband wasn't listening to her and a Blu-ray disc player and the movie "Office Space" on DVD to ease the irritation of an employee annoyed by a coworker.

A few irritations are harder to tackle, such as recent ones about a neighbor's barking dog, a UPS package stolen from a porch, a ham-handed blood drawer, high Ticketmaster fees and a "power-mad boss" who's made employees cry for eight straight days.

Mr. Wolf is part of a panel of Energizer and Edelman employees who review the irritations and then decide which to address and how.

He's not sure what tangible effect the effort has had on brand sales just yet, but notes that it's part of a shift from a heavy focus on promotion under former Edge owner SC Johnson to more brand-equity-building activity since Energizer bought it last year. Energizer and Edge have continued to gain share in shave preparations since the sale (up 5.1 points for the four weeks ended Sept. 5, thanks in part to sibling Schick entering the fray earlier this year, but despite a new push by rival Procter & Gamble Co.'s Gillette Fusion ProSeries products).

"What I'm most encouraged about is where we're going to take this brand moving forward with this robust campaign we'll roll out within the next year," Mr. Wolf said.

Edge led the category with the introduction of shave gels 40 years ago, he said. "What I'm hoping to do with this brand is be the innovator or thought starter in marketing communications as well."

Boomers -- Yes, Boomers -- Spend the Most on Tech

Nice piece from Adage revealing the real age of the technophiles amongst us

Due to Broad Demographic Grouping Problems, Biggest Misconception About Group Is That They're All the Same

by Beth Snyder Bulik
Published: October 11, 2010

YORK, Pa. (AdAge.com) -- Marilynn Mobley has a desktop at work, a laptop at home, a netbook for travel, an Android smartphone and just last week she bought an iPad. She time shifts all her TV viewing using DVRs and enjoys watching Blu-ray movies at home. She's also 63 years old.

Tech Use

"The misconception that boomers do not appreciate tech crosses all generations. I've heard it from fellow baby boomers who say, 'Wow, you're so into technology,' and on down to 20-year-olds who are also surprised," said Ms. Mobley, a strategic counselor for Edelman in its Boomer Insights Generation Group.

However, she's not nearly as unusual as the media portrays. Boomers are almost as likely as Gen X and Gen Y to own computers, access the internet daily, own mobile phones, DVRs, digital cameras and GPS systems. And while boomers do trail in areas such as early adoption of new devices and services, many of those generation gaps are closing.

"It's actually a myth that baby boomers aren't into technology. They represent 25% of the population, but they consume 40% [in total dollars spent] of it," said Patricia McDonough, senior VP-analysis at Nielsen Co.

In fact, spending on technology is one area where boomers are ahead of their younger counterparts. The 46- to 64-year-old group now spends more money on technology than any other demographic, according to Forrester Research's annual benchmark tech study. That includes monthly telecom fees, gadget and device spending, and overall online purchases. They averaged around $650 spent in online shopping vs. Gen X ($581) and Gen Y ($429) over a three-month period.

And adoption rates of the tech areas where they do lag are soaring. In 2000, baby boomers made up 28% of the internet population and accounted for just 24% of the traffic on a typical day, according to Pew Internet & American Life Project data. But by 2010, those percentages had climbed to 34% of the internet population and 32% of all traffic. Ten years ago, only a quarter of boomers went online every day; in 2010 that number jumped to 70%.

Among 50- to 64-year-olds, social-media usage grew by 88% from April 2009 to May 2010, up from 25% to 47% of all users in that age group, according to Pew Internet. And one in five of them now use social media every day, up from one in 10 last year.

Along with the timeless youth platitude that "old people just don't get it," the misconceptions about boomers and technology incompetence may also be a demographic grouping problem.

The age range in many market-research surveys and studies, for instance, often puts the oldest demographic group at 50 and older. However, Robert DiLallo, director of Grandparent Marketing Group, New York, said that designation is too broad.

"People who are 65 and older were at the tail end of their careers when the real tech revolution began and did not get introduced to the internet that way," he said. "I'm 60 years old, but I'm no more like a 70-year-old in my tech use than I am an 18-year-old."

THE FACE OF TECH CONSUMPTION: Edelman strategic counselor Marilynn Mobley

Forrester's research, for instance, found that among seniors ages 66 and older only 67% owned cellphones. However, 84% of young boomers ages 45 to 54 and 80% of older boomers ages 55 to 64 owned cellphones.

Boomers also use their phones for more than calling, vs. seniors. According to Deloitte's annual media research, 66% of boomers send text messages, trailing Gen X-ers at 80% and millennials at 88%, but way ahead of the 28% of matures (64-plus) who text. Another 37% of boomers have accessed the internet by phone, just behind Gen X at 42% and millennials at 55%, but again ahead of matures at 20%.

Grandparent Marketing Group research notes that the boomer generation and millennials are strikingly similar demographic groups. Both number around 80 million and both grew up in some of the U.S.'s most prosperous eras ('50s/'60s and the '90s).

So it should be no surprise that boomers' internet behavior is more similar to millennials, according to Pew research. Both groups overwhelmingly use email (91% of boomers/94% of millennials), search engines (88%/89%), research health information (78%/85%), get news (74%/83%) and check out online ratings (30%/31%).

The key for marketers to reach boomers is not to dismiss technology as irrelevant to them, but rather to figure out what technology they prefer.

"Which platforms resonate with which demographic?" said Ed Moran, Deloitte director of insights and innovation. "Take gaming for example. For male mature users aged 60 to 75, the PC is the preferred platform, while for the under-15 age group, it's consoles or the iPhone."

Ms. Mobley concurred: "I think the biggest difference in the way boomers use technology vs. the younger generations is that we tend to see it as a way to get something done -- whether that's something at work or staying in touch with friends and family. Gen X and especially Gen Y just see it as a part of life."