Click Here and Earn $1,000!!!


“Congratulations! You are the millionth visitor! Fill in your data below and get $1,000 for free!”
I guess you’ve all come across these ads on the internet. Some of you may have clicked on them. Lately, these kind of ‘ads’ are disappearing. Those were/are all scams to get your personal and financial data or infiltrate your computer with viruses. Other (real) advertising banners have also become less and less effective, amongst other things thanks to these scams. What can we do to make online advertising effective again?

From a jaw-dropping 50-90% Click Through Rate to a poor 0.1% CTR (MacDonald 2015). You could say banner ads are not an effective way to promote your product, service or company. There’s also a term describing the phenomenon where website visitors consciously or subconsciously ignore banner-like information. This is called banner blindness (Nielsen 2007). Yet, there are some ways to improve your (banner) advertising.

Media rich engagement ads are ‘voluntary’ ads. In other words, they expand and play, once you hover above these interactive ads more than two seconds. Beware, consumers may also develop banner blindness to these engagement ads.
Banner blindness does not extend to audio, thus Podcasts are another effective alternative to traditional banners. For example, Spotify uses audio advertising like this. However, hearing the same voice and text over and over again, can be very annoying for consumers.

The opposite of Sponsored Posts and a very effective kind of advertising posts is User Generated Content. In short, consumers themselves post about you on their social networks creating a ‘buzz’. Be careful though: this ‘buzz’ can also be a negative one.
The idea behind Content Marketing is not creating ads that look like content, but actually creating content. “Don’t sell anything, just be useful.” Take a look at CMO.com, Adobe’s initiative (MacDonald 2015).

Another great way to increase advertising effectiveness is not to improve these banners, but rather on how to replace these ineffective (banner) ads. The answer to this problem is: using apps.
Starbucks does a tremendous job by using their app to involve consumers. ‘For Mobile Devices, Think Apps, Not Ads’ (Gupta 2013) discusses some tips to increase this consumer involvement:
– Add convenience
– Offer unique value
– Provide social value
– Offer incentives
– Entertain

The Starbucks app does more than just advertise its products. If you’re interested, you can read more about it in the article.

Do you know other new, creative ways to advertise? Let me know in the comment section below!

References:
– Gupta, S. (2013) ‘For mobile devices, think apps, not ads’, Harvard Business Review 91(3) 71-75.
– MacDonald, M. (2015) ‘Better than Banner Ads: Smart ways to spend your ad dollars in 2015’ via http://www.tintup.com/blog/better-than-banner-ads-smart-ways-spend-ad-dollars-2015-muriel-macdonald/ on September 23, 2015.
– Nielsen, J. (2007) ‘Banner Blindness: Old and New Findings’ via http://www.nngroup.com/articles/banner-blindness-old-and-new-findings/ on September 23, 2015.

Advertisements

Pewdiepie

I guess you’ve all heard of the YouTube celebrity Felix Kjellberg A.K.A. Pewdiepie. If not, he is the most subscribed YouTuber with an astounding 40 million subscribers, mostly playing ‘indie’ or unpopular videogames while live commentating the event. In 2015, his annual income is estimated to be 4 million dollars a year and his net worth is estimated around 16 million dollars. And he’s only 25 years old! (Net Worth 2015)
Where does all this money come from?

First, let me freshen up your memory by explaining the phenomenon called ‘Social Commerce’. “Simply defined, social commerce is the fusion of social media with e-commerce or basically the concept of word-of-mouth applied to e-commerce.” (Marsden 2010)
So, in the case of Pewdiepie’s channel there are some signs of social commerce. For example, every month Pewds gets a package containing several collector items which are all related by theme, like ‘Villains’. He unboxes the items on screen and comments on them. At the end of the video he advises people to also buy these ‘Loot Crates’. The video below is one of the examples of this word-of-mouth on his channel.

Another important way companies gain a lot of awareness is when Pewdiepie plays their game. Then, the so-called Oprah effect comes into force. The Oprah effect is the effect that an appearance on a famous show can have on a small business. (Investopedia 2015) Because Pewdiepie nearly has 10 billion views, a recommendation can have a significant influence on the game developers.

Not a lot of people know that Pewdiepie actually is signed under Maker Studios, a company owned by Walt Disney, which produces videos for channels on YouTube. (Maker Studios 2015) The funny thing is, Pewdiepie says in his videos that he never gets paid to promote the videogames he plays. (YouTube 2015)

Is he telling the truth? Or is he lying and exploiting all of his subscribers? That making money is his main motive?
What do you guys think?

References:
– Investopedia (2015) Oprah Effect http://www.investopedia.com/terms/o/oprah-effect.asp
– Maker Studios (2015) Makers http://www.makerstudios.com/makers
– Marsden, P. (2010) Social Commerce: Monetizing Social Media, Hamburg: Syzygy.
– Net Worth (2015) Pewdiepie http://www.the-net-worth.com/2015/05/pewdiepie/
– YouTube (2015) Pewdiepie https://www.youtube.com/user/PewDiePie/

Road to Brand Evangelism

Since the beginning of social media brands gradually found their way to their customers. This can be done through advertisements and/or creating their own channels and pages on Twitter, Facebook or any other social media application. We all realize that the traditional marketing approach differs from the social media approach and we probably all know a couple of examples from our Facebook News Feed proving that point. We can’t imagine a social media world without digital marketing or advertising. Or can you?

Nowadays more and more people find advertisements annoying and therefore are finding alternatives for the services they normally make use of. Two great examples of this are Spotify and Netflix. People that normally would listen to the radio now prefer Spotify, which is ad free if you buy Spotify Premium. People that always watched their favourite series on TV nowadays use Netflix. And how do people get rid of most of the advertisements on the computer? They have an ad blocker installed.

So how does this ad blocker affect advertisements? I assumed it would have a negative impact for the marketer as those people won’t be aware of the brand and therefore can’t get engaged with the brand. Instead, according to Ben Kunz it possibly is the best thing that ever happened to the ad industry. Now people have ad blockers installed, the marketer knows this person is not interested in advertisements. Therefore the marketer does not need to pay for those that block advertisements on their computer. This will result in higher returns on investments.

Brands have three main social media objectives: brand awareness, brand engagement and word of mouth marketing. In the first stage awareness is created before you are able to get engaged with a brand. And normally you are engaged with a brand before you will start talking about it with friends, assuming it is in a positive way. In case a brand succeeds in reaching these objectives there will be brand evangelism. This means that you are trying to convince your friends and family to buy products from that specific brand.

A great example of this is KLM Surprise. When you tweeted on the airport you were going to take a KLM flight, KLM Surprise would contact you and get you a personal gift. Therefore they were going through all your information on Twitter, Facebook, LinkedIn or anything else they could find to surprise you. And because people were on the airport and had to wait for a long time, they could use this time to share their surprise with all their friends. This helped KLM succeeding with these earlier named three objectives.

On their road to brand evangelism KLM made some huge steps with KLM Surprise as this campaign became very well known. Now you are thinking of brand evangelism, do you reckon you are guilty of it? Are there certain brands that absolutely stand out for you? And did you advice people you know to buy their products?

Sources

Hoffman, D. L., and Fodor, M. 2010. Can you measure the ROI of your social media marketing? MIT Sloan Management Review 52(1) 41-49.
Weinberg, B. D., and Pehlivan, E. 2011. Social spending: Managing the social media mix. Business Horizons 54(3) 275–282.
Gupta, S. 2013. For mobile devices, think apps, not ads. Harvard Business Review 91(3) 71-75.
Kunz, B. (2015) Ad blocking may save digital marketing from itself’, http://digiday.com/agencies/ad-blocking-may-save-digital-marketing/, 16 September 2015.
Low, K. (2014) ‘The Importance of User Experience for Digital Marketing: 5 Key Tips’, http://www.clickz.com/clickz/column/2380064/the-importance-of-user-experience-for-digital-marketing-5-key-tips, 16 September 2015.

Digital marketing trends 2015: did it come true?

Earlier this year, I ran into a blog post on a website. This post was all about online and digital marketing and what the trends for 2015 would be. Of course, a big advantage of digital advertising is the possibility to share on social media platforms, which increases attention. It is thus very important for contemporary companies to follow these trends, so that they are not competed out of the market by competitors who do use these new techniques. I would like to discuss this article and kindly ask you, my readers, did these trends come true this year? Or do you think these trends are going to be more important next year?

Hereby, a selection of the most important advertising trends and some interesting examples.

1. Transparency
Companies have to give their customers a ‘realtime peek’ into their businesses, to give people a relevant experience. A great example of transparency is a ‘’behind the scenes’’ movie, hereby an example of a Vistaprint movie.

2. Realtime marketing becomes local
Because of social media, consumers are more volatile than ever. For companies, it is important to be able to make use of certain events right away, instead of planning marketing actions months before. More and more tools make realtime marketing possible, such as this cool asset sharing tool:

3. Human advertising
Review marketing becomes human advertising, consumers determine the message of a company. Instead of collecting reviews, companies are given the ability to respond directly to customer recommendations. Companies can reach their public any time, based on the newest review posts. See this video of Rivvur:

4. E-mail marketing
A lot of consumers would definitely say that e-mail marketing is not a good way of advertising, because they find this really annoying. Marketers believe otherwise, because the one-on-one contact with consumers is valuable. With the help of new tools and smart customer data, customer behavior can be used to send targeted e-mails.

For me, transparent companies are very interesting. I like to see something from within the company and I’ve seen this a lot in 2015. I’m very interested in your opinions and maybe some additions. I haven’t mentioned all the trends, but I think the upper mentioned trends are the most important.

http://www.marketingfacts.nl/berichten/de-10-trends-voor-online-en-digital-marketing-in-2015

http://www.forbes.com/sites/avidan/2014/11/09/11-marketing-trends-to-%20watch-for-in-2015/

http://www.saydaily.com/2014/11/trends-in-digital-media-2015

Instagram showed how the ads will look like there

We all know that new technological companies will face challenges how to monetize it´s users some day. Instagram is thinking some time about ads or in generall how to monetize users. 

The ads will be shown to american users first but it is not sure when. Guys from Instagram said that they don´t want to piss of their users and for that reason they will test ads and make it happen slowly.  

Instagram said that this ad or picture that you can see below will be shown to all american users in their feed

Image

The goal of this is they want users to have hand-on approach to ads and then measure how they will react. Instagram said that the new ads will be different then organic content. New ads will have sponsored statement there. 

GPShopping, the new future or hopeless advertising?

GPShopping is a new invention that is created to give you advertisements which are located near you. With use of the GPS system in your phone you will be tracked down and if you walk near a shop, it will automatically send some advertisementsto your mobile phone.

Image

This invention is the latest update of wireless technology and can be very usefull. It probably gets an on and off button so people who don’t want to be disturbed by these advertisements won’t have to see them.

This invention can offer you much more. The shops are able to offer you anything if you are near the store. They can give you mobile coupons, discount, a welcome message, see videos, see your discount points and many more things. Shops also can use this GPS system to count their visitors in store and compare them with the sales. There are so many things to learn about the customers while tracking them down.

What do you guys think? We all agreed in class that we don’t want to see any more advertisements and stuff, but is this a good replacement? Is this something you would like when you walk through the shopping mall?

Who will win the social media battle?

Is it going to be Adidas or Nike? The two giant companies have been in rival since many years. We can see that Nike is a larger company in terms of revenues, but what strategy will Adidas follow to change that? The will take advantage of the social media of course!

Adidas has invested a lot on social networks, and especially on Facebook. They try to introduce new ways of attracting customers, for example, in 2012, Adidas made a tour within the Netherlands with 3 famous Dutch football players. The trick here was that some hours before they visit each city, they were announcing the event on Facebook and Twitter. The result was magnificent. Thousands of people showed and enjoyed the football event Adidas made while they had the opportunity to win a lot of special prizes. Obviously, that did not happen only in The Netherlands but also in other European countries like Italy. A solid proof that social media strategy can work.

Image

But what will follow shortly? The world cup of 2014 is approaching. The event where athletic companies are making most of their money, after the Olympic games. Adidas has a competitive advantage here, since it is the official sponsor of the world cup. How will Nike respond?
Already they prepare new football gear, which is mostly advertised through social networks, and at both companies, from the likes and re-tweets, it is obvious that marketing mainly through social media has a serious impact and response.

Sources: http://www.marketingweek.co.uk/news/adidas-eyes-brazil-2014-as-next-social-media-battleground-with-nike/4006846.article

http://www.allanalytics.com/author.asp?section_id=2220&doc_id=260051

http://rickmulready.com/adidas-social-media/