Monthly Archives: January 2011

Media Buyers To Wall Street: Online Will Be Up 11% in ’11, Mobile To Break Billion Mark

Online media buyers expect their budgets to expand 11% during 2011, according to a survey conducted by the equities research team at Deutsche Bank. The survey, which was conducted recently among 31 media buyers representing more than $5 billion in annual online ad spending, indicated that budgets should continue to expand at “double digits over the foreseeable future” for both paid search and display ads, and that other emerging digital media platforms such as mobile, social and group buying communities should also “ramp nicely” supporting the overall growth of digital media advertising budgets.
The Deutsche team, led by lead Internet analyst Jeetil Patel, said the outlook should hold at least through 2015, and that based on the outlook it is recommending four Internet stocks to investors: Google, InterActiveCorp, comScore and MediaMind.

“As has been the theme over the past few years, online advertising would continue to grow, gaining share from traditional media,” the analysts said in the report sent to investors late Monday. Noting that traditional print media appears to be “most vulnerable” from the reallocation of advertising budgets to online and digital media, the Deutsche team projected that mobile advertising would likely become a “billion dollar segment” in 2011, more than doubling its 2010 base.

“Advertisers are increasingly dedicating separate budgets for mobile, indicating that mobile ad spend is slowly moving out of the ‘experimentation’ phase,” the analysts said.

“Online media buyers are keeping tabs on new themes within online advertising such as radio, social, mobile and group buying,” they continued. “As these new business strategies flourish online, it does appear that online advertising growth would remain robust for the foreseeable future. While currently a limited number of players (ad networks and publishers) have the critical mass with these emerging ad formats, we do anticipate these categories to evolve into much bigger opportunities, likely expediting the share gains from offline ad spending. Just as important, online data analytics remains an important area of focus for media buyers in their daily online toolset.”

Make Fear Your Friend

About a month ago, I read this great blog by Peter Shankman on Embracing Fear. It is one of those rare blogs that has stayed with me and really made me think. Peter talks about the beginnings of mankind and how fear kept man alive. Fear of the saber-toothed tiger, being on high alert, kept the race going. He then talks about how, in modern day, fear has been transformed into something to avoid. Specifically, “Taking the safe job, for the safe paycheck” or not saying too much or putting yourself out there in fear of what others might say about you. This is followed by a personal story of his where he describes a blog he wrote and the backlash he received from another blogger who chastised him for his thinking. He names the individual and creates a moniker for the action using this person’s name. Peter says, “I believe that the fear we have of getting Laermered, whether by an angry old man, or even a real media outlet, holds us back from achieving the greatness that’s ingrained inside most all of us. I believe that the fear of getting Laermered holds us back as a people, as a country, and even as the human race. It’s time to change that.”

Now it is true that I may feel a greater kinship to Peter and this story and that is why it stuck with me. My past history with the world’s largest retailer created quite a stir, and even today I read Tweets (as recent as yesterday) about someone who wants to judge, criticize, and demean me without ever having had the opportunity to know the true facts, much less me. I admit that when I read what the more negative people write from time to time, it bothers me. I am human. But, call it stupidity, fearlessness, or just plain survival, I keep going and do my best not to let it bother me, knowing that I do the best I can and try never to hurt others in the process. I know too that I am not alone. People who are brave enough, or just plain naive enough, to put themselves out there in some way, shape, or form deserve something more than our judgment and endless criticism. It is far easier to be a critic than an idea generator afterall.

When we think about this in the context of our world, it brings to mind that old Apple ad, “Think Different” , sometimes also called, “The Crazy Ones.” The ad itself highlights some of the most innovative people of our time and also highlights the fact that many of these people were vilified along the way. What would our world be like without people like these? And when I look at an old Apple ad I can’t help but think about the Super Bowl, since it was Apple that changed the game from being merely a gridiron match-up to an ad extravaganza with “1984.” The game is just around the corner and there are stories abounding about the increased number of ads and ad minutes this year. While many may say that advertising on TV doesn’t require a brave marketer, I would beg to differ. The Super Bowl ad for a marketer is the equivalent of walking on a stage of your peers, naked. It is a statement that you believe that your brand and your work are worthy of the worlds largest TV stage and that you are putting yourself out there for all to see.

In the same way, the start-up entrepreneurs who take risks every day by not just putting an idea out there for all of us to see, but also putting their livelihoods at risk, are the lifeblood of our future. It is this set of fearless creators that will someday populate the next generation “Crazy Ones” ad. So, as we read the blogs, watch the ads, review the latest media idea, be constructive in your thoughts. It may be a reaction to the shootings in Arizona, but I believe that in the marketing world, we can do more to help, support, and offer constructive criticism rather than work to win or gain the spotlight by tearing others down. With that I will leave you with Peter’s recommendations for making fear your friend.

1. Embrace Fear
2. Calculated risks are the rocket fuel of our society
3. Eat your fear. It tastes good and will make you stronger.
4.
“Great spirits have always encountered violent opposition from mediocre minds.” -Albert Einstein.
5. If you don’t first believe in yourself, don’t expect anyone else to believe in you, either.
6. The only voice you have to listen to without fail is the one inside.
7. Pain is just weakness leaving the body. (I actually own a USMC shirt with this statement)
8. Living a public life is more dangerous than staying private, but much, much more rewarding. – Bloggers – this includes you!
9. If you’re not getting “Laermered” every once in a while, perhaps you’re not reaching your full potential.

All I Wanted For Christmas…

While I realize that not every reader celebrates Christmas, I do know that most partake in the commercial aspect of the season in one form or another. In the end though, no matter your religious proclivities, it is the season of giving. So, in that spirit, keeping Christmas going for just a little longer, I am writing this light-hearted blog with a few tidbits and fun-facts about giving, getting, and more.

First, I asked some colleagues what they considered the “best gifts” for marketers to be. Here are just a few of the most common answers.

  1. “An up tick in the economy.” It seems that this holiday wish remains tops with just about everyone but definitely the marketer. I have an abundance of friends from the Detroit area and they, more than most, responded with this wish.
  2. “For agencies: a big win without a pitch.” Not as crazy as it once was. This year and likely those to come, will see more and more agency shifts that occur outside of the normal process. The biggest this year was likely the GM agency shift to Goodby.
  3. “Happy, profitable clients!” This from a smart marketer and agency person who understands that without profitable clients, there can be no profitable agencies.
  4. “Momentum” This, related to the economy, is the lifeblood of us all. As a consultant, there is nothing worse than getting into a project, really understanding a clients needs and then finding that the funding has been cut, or the people have changed, or that they simply wanted to shortcut the project to get it done quicker for less money.
  5. “More Clients.” Enough said.
  6. “iPad” This came up more than once because while we are all marketing professionals, we are consumers first. Who DOESN’T want one of these?
  7. “An idea worth sharing!” And in this age of data overload, finding the gem within the field of weeds, is truly special.

8.   A working cyrstal ball.
9.   The best gift a marketer can give himself/herself is the willingness to look beyond the corner of the box!

There were many other suggestions but these reigned supreme not only because of the number of people who agreed with them but also because, with the exception of the iPad, they were really about “gifts” that were NOT commercial.

Still, as marketers, one of the best gifts we can receive is the gift of knowledge. Over the holiday season, most of us marketing geeks can’t wait to get our hands on the retail numbers and other holiday statistics as they prove to be a great forecasting tool for the new year. And, “other” data are just plain entertaining, and good conversation starters at the staff meetings and bars in the new year. Even though the season is over, we all deserve to laugh a little and to keep things light from time to time. So, let’s see what Santa brought us this year. (Data courtesy of a tweet from Digital Surgeons)

  • The average shopper spent $688 for gifts this year. Not a bad number but still down from the pre-recession number of $900.
  • $232 was expected to be spent on electronics, on average, per consumer
  • $662 on food, travel and decorations
  • Visa will have seen 5340 swipes per minute between Thanksgiving and Christmas
  • There will be 1.2 billion candy canes sold this year
  • $32 billion+ will have been spent on online shopping
  • Over 130 million gallons of eggnog will have been sold
  • 70% of retail sales annual revenue is made in December
  • $2.25 billion is generated from photos with Santa in shopping malls
  • 20% of Americans finished holiday shopping on Christmas Eve
  • 275 million Christmas cards were mailed on December 17th
  • 50 million Christmas trees are sold each year
  • 250 will catch on fire in someone’s home
  • Santa traveled at 3,604 miles per second
  • The top selling gifts of 2010 were the XBox 360 Kinect and Kindle
  • $64 Billion was made from Black Friday sales
  • 4 million tons of trash are generated from gift wrap/bags each year
  • Nearly 30% of smart phone users will have researched or purchased gifts via mobile devices

I hope that some of these facts were a surprise, put a smile on your face, or maybe even sparked an idea for yourself or a client for this new year. May your 2011 be full of life, love, joy and yes, profits this year. A time of hope for us all!