By Kristine Shine Friday, May 28, 2010
MediaPosts Engage
Recent statistics show that Gen Y has already given birth to more than 13 million babies. With the generation being nearly 80 million strong, they will produce more children than baby boomers. What does this mean for marketers? Strap yourself in for a few decades of a wild ride! This generation is big and spans many years. It is also unruly, fickle, elusive and smart.
Gen Y women are re-casting the mold for what "mom" looks like. They don't sit in one place for long and don't define themselves by their "mommyhood." They are confident, know nothing but multi-tasking and believe their balance is found within their personal interests and global responsibility -- more than just work and family, as previous generations may have.
So, who are these millennial moms and how do marketers reach them?
It's important to understand that just because they have had children doesn't mean they have changed their outlook, activities, or personal beliefs -- they have just added "baby" to the mix. Being a parent is only one part of who they are and it co-exists with everything else they embody. There is less separation between "mommy time," "work time" and "me time," but rather a more infused state where all of their passions and interests come together.
Because multi-tasking is fully ingrained in this generation, moms' online time toggles between updating their Facebook pages, building their personal blogs and following, jumping in and out of multiple conversations within various communities, all while celebrity-watching and seeking out the latest fashion and beauty trends.
Consequently, don't limit your advertising to traditional parenting magazines and mommy sites. Yes, moms will pop into parenting sites to chat with friends about specific child-related topics but this is not where they are spending the bulk of their time nor is parenting their primary interest online. Research shows that moms' fourth task online behind email, banking and search is shopping.
This is a group that cares about how they look, the fashions they are wearing and the image they project. Some brands understand this and have already evolved their product and messaging appropriately. The Detroit automotive industry, for instance, has come out of the economic downturn, replacing the caravan with the crossover. Sleek designs coupled with safety, is what makes vehicles such as the Ford Edge or the GMC Acadia attractive to this new generation of parents.
Lastly, let's not forget -- daddies matter, too. With nearly 20% of fathers serving as the primary caregiver, it's not just about moms. This generation has a deep respect for each other and parenting carries equal responsibility. Moms are still the influencers but they are not the sole decision makers.
Brands need to think about a family approach to their messaging, not just mom-targeted communications. This doesn't mean stroller ads should appear on ESPN, but thoughtful family- oriented creative on your female-targeted sites will resonate much better than addressing moms only.
Gen Y moms are well-rounded women. Think about their various passion points and bring that into the discussions. We all know this generation likes to be communicated with, not to, so make sure the dialogue you are creating involves more than just "kiddie talk." They will have more interest in your brand and be more apt to stick around for conversations if you can connect with them personally and understand the many dynamics that make up their lives.
Friday, May 28, 2010
Monday, May 24, 2010
Why You Should Avoid the Hard Sell
USA TODAY MAy 24, 2010
Ask an Expert: by Steve Strauss
Do us a favor and avoid the hard sell, it's bad for business
Q: Can I just suggest that small business owners avoid the hard sell? Nothing turns me off like that.— Camille
A: I couldn't agree with you more. We have all come across the hard sell business and salesman. Sometimes it works and sometimes it does not, and often it completely backfires. Case in point: For Mother's Day my daughters and I went shopping in a tea store in a nearby mall. Rather than entering the Zen-like atmosphere one would expect, it was if we entered Glengarry Glen Ross.
You recall that great film from the 90s, don't you? Originally a David Mamet play, the movie depicts a couple of days in the lives of some real estate salesmen. The corporate office sends in Alec Baldwin (definitely in his pre-Jack Donaghy days) and he has a peculiar motivational technique: He announces that everyone except the top two salesmen will be fired in the next week. Not surprisingly, the salesmen resort to heavy-handed, dishonest, and hard-sell tactics to get sales and save their jobs.
Well, that is what my daughter and I seemingly walked into in the tea shop. It was the boiler room of Earl Grey! No, that sampler is not good enough, the $100 one is what you want! That tea you just chose will "spoil" in 10 days if you don't buy this $40 tin to put it in! It was a strange experience, and yes, we left without purchasing a thing. But plenty of others remained.
It's actually easy to see why a manager would push hard-sell tactics on his or her minions: It's easy and can get short-term results. Fear is a mighty motivator and instilling it in one's sales staff can ensure that sales will get done.
But in actuality it is a very shortsighted strategy. Consider all of the downsides to the hard sell:
•Poorer quality sales: When you force someone into buying something they may not really want, what you are really doing is setting the business up for failure. What often happens is that later, when the pressure is off and customers consider the interaction and the products they purchased, they decide that they do not really want or like the product. They will return it or even cancel their credit card authorization. What the company is left with then is a faux-sale and a disgruntled customer.
•Disgruntled customers: Indeed, this is potentially an even worse problem. Customers who get products or services crammed down their throat don't usually stay customers for long. Feeling used and abused, they rightfully take their money elsewhere.
•Unhappy employees: The parade of bad outcomes keeps on coming. Aside from fake sales and unhappy customers, forcing the hard sell strategy on your staff often leads to low morale and high turnover.
People will only work in a high-pressure sales environment for a few reasons:
• They really need the job
• They like the money
• They thrive under pressure
Most people however, when forced to sell something they do not believe in, or sell something to people who are only marginally interested, will look for a new job that is not so morally compromising.
•Bad morale: Between the high turnover rate, and selling stuff in questionable ways, the overall staff mood at the hard-sell workplace is typically very poor. Employees in such places don't believe in the company or the product and they often conspire against management, whom they perceive to be the enemy. This all in turn creates:
•A bad brand: It is hard to create a positive brand and stellar reputation when your employees don't like you and your customers resent you.
So please, do us all a favor and avoid the hard sell.
Ask an Expert: by Steve Strauss
Do us a favor and avoid the hard sell, it's bad for business
Q: Can I just suggest that small business owners avoid the hard sell? Nothing turns me off like that.— Camille
A: I couldn't agree with you more. We have all come across the hard sell business and salesman. Sometimes it works and sometimes it does not, and often it completely backfires. Case in point: For Mother's Day my daughters and I went shopping in a tea store in a nearby mall. Rather than entering the Zen-like atmosphere one would expect, it was if we entered Glengarry Glen Ross.
You recall that great film from the 90s, don't you? Originally a David Mamet play, the movie depicts a couple of days in the lives of some real estate salesmen. The corporate office sends in Alec Baldwin (definitely in his pre-Jack Donaghy days) and he has a peculiar motivational technique: He announces that everyone except the top two salesmen will be fired in the next week. Not surprisingly, the salesmen resort to heavy-handed, dishonest, and hard-sell tactics to get sales and save their jobs.
Well, that is what my daughter and I seemingly walked into in the tea shop. It was the boiler room of Earl Grey! No, that sampler is not good enough, the $100 one is what you want! That tea you just chose will "spoil" in 10 days if you don't buy this $40 tin to put it in! It was a strange experience, and yes, we left without purchasing a thing. But plenty of others remained.
It's actually easy to see why a manager would push hard-sell tactics on his or her minions: It's easy and can get short-term results. Fear is a mighty motivator and instilling it in one's sales staff can ensure that sales will get done.
But in actuality it is a very shortsighted strategy. Consider all of the downsides to the hard sell:
•Poorer quality sales: When you force someone into buying something they may not really want, what you are really doing is setting the business up for failure. What often happens is that later, when the pressure is off and customers consider the interaction and the products they purchased, they decide that they do not really want or like the product. They will return it or even cancel their credit card authorization. What the company is left with then is a faux-sale and a disgruntled customer.
•Disgruntled customers: Indeed, this is potentially an even worse problem. Customers who get products or services crammed down their throat don't usually stay customers for long. Feeling used and abused, they rightfully take their money elsewhere.
•Unhappy employees: The parade of bad outcomes keeps on coming. Aside from fake sales and unhappy customers, forcing the hard sell strategy on your staff often leads to low morale and high turnover.
People will only work in a high-pressure sales environment for a few reasons:
• They really need the job
• They like the money
• They thrive under pressure
Most people however, when forced to sell something they do not believe in, or sell something to people who are only marginally interested, will look for a new job that is not so morally compromising.
•Bad morale: Between the high turnover rate, and selling stuff in questionable ways, the overall staff mood at the hard-sell workplace is typically very poor. Employees in such places don't believe in the company or the product and they often conspire against management, whom they perceive to be the enemy. This all in turn creates:
•A bad brand: It is hard to create a positive brand and stellar reputation when your employees don't like you and your customers resent you.
So please, do us all a favor and avoid the hard sell.
Hope for Small Business; Consumer Spending Up
HomeCBS Evening News: LOS ANGELES, May 23, 2010
by Ben Tracy
Spending is Up but Banks Are Still Tight on Lending Making it Difficult for Business Owners to Hire Workers
This past week pharmaceutical giant Pfizer announced it's cutting 6,000 jobs. While layoffs at big companies make headlines, 50.2 percent of all U.S. workers are actually employed by small businesses.
The recession has taken it's toll on small business, but some owners are getting creative in order to stay afloat.
It's been a rough two years for shop owner Everil Bell. The great recession turned her clothing boutique "My Favorite Place into a very quiet place. She had to let her one employee go as sales dropped 50 percent, reports CBS News correspondent Ben Tracy.
"People were looking for bargains or not spending at all," said Bell.
In 2008, more than 595,000 small businesses closed their doors and in the past two years more than 100,000 declared bankruptcy.
"The number one problem has really been just lost sales, lost customers," said Bill Rys of the National Federation of Independent Business. "You know, businesses can't survive if they don't have customers coming in the door."
When Bell's landlord raised her rent she figured her 35 years on Los Angeles' Larchmont Boulevard were over. Just down the street, Chris Wolfus' general store was also struggling.
"Sales dropped maybe 20 percent," said Wolfus. "A couple of people we had to lay off."
With both owners facing sluggish sales, Bell had an idea.
"I was thinking she's slow. I'm slow. I'm looking for a place," said Bell
Wolfus said, "She came down here one day and said, 'Hey, what would you think of doing something together?'"
So Bell moved a couple doors down and set up shop with Wolfus. Bell's dresses and scarves are up front and Wolfus' cards and stationary in the back. They now tag team the customers.
"Gee, you've got this cute card, how about this scarf that's out there?" said Wolfus.
They say foot traffic has doubled and sales are actually up nearly 10 percent.
"Does it seem like there are more customers and are they actually buying? Yes," said Bell. "In the last couple of months they've started to open their wallets a little bit more."
In fact, total U.S. retail sales are up 8.8 percent since last year, a sign consumers are getting their confidence back.
Banks are still holding onto their cash, making small business loans hard to get. The Obama administration is calling for a new $30 billion fund for community banks to jumpstart to lending to small businesses.
"Two-thirds of the net new jobs are created by small business owners," said Rys. "So if we're going to see a turnaround in job growth and a turnaround in the unemployment rate, we've got to get small business owners hiring again."
Meanwhile Bell and Wolfus continue to survive through healthy competition.
"I'm getting new merchandise tomorrow, so watch out," said Bell.
by Ben Tracy
Spending is Up but Banks Are Still Tight on Lending Making it Difficult for Business Owners to Hire Workers
This past week pharmaceutical giant Pfizer announced it's cutting 6,000 jobs. While layoffs at big companies make headlines, 50.2 percent of all U.S. workers are actually employed by small businesses.
The recession has taken it's toll on small business, but some owners are getting creative in order to stay afloat.
It's been a rough two years for shop owner Everil Bell. The great recession turned her clothing boutique "My Favorite Place into a very quiet place. She had to let her one employee go as sales dropped 50 percent, reports CBS News correspondent Ben Tracy.
"People were looking for bargains or not spending at all," said Bell.
In 2008, more than 595,000 small businesses closed their doors and in the past two years more than 100,000 declared bankruptcy.
"The number one problem has really been just lost sales, lost customers," said Bill Rys of the National Federation of Independent Business. "You know, businesses can't survive if they don't have customers coming in the door."
When Bell's landlord raised her rent she figured her 35 years on Los Angeles' Larchmont Boulevard were over. Just down the street, Chris Wolfus' general store was also struggling.
"Sales dropped maybe 20 percent," said Wolfus. "A couple of people we had to lay off."
With both owners facing sluggish sales, Bell had an idea.
"I was thinking she's slow. I'm slow. I'm looking for a place," said Bell
Wolfus said, "She came down here one day and said, 'Hey, what would you think of doing something together?'"
So Bell moved a couple doors down and set up shop with Wolfus. Bell's dresses and scarves are up front and Wolfus' cards and stationary in the back. They now tag team the customers.
"Gee, you've got this cute card, how about this scarf that's out there?" said Wolfus.
They say foot traffic has doubled and sales are actually up nearly 10 percent.
"Does it seem like there are more customers and are they actually buying? Yes," said Bell. "In the last couple of months they've started to open their wallets a little bit more."
In fact, total U.S. retail sales are up 8.8 percent since last year, a sign consumers are getting their confidence back.
Banks are still holding onto their cash, making small business loans hard to get. The Obama administration is calling for a new $30 billion fund for community banks to jumpstart to lending to small businesses.
"Two-thirds of the net new jobs are created by small business owners," said Rys. "So if we're going to see a turnaround in job growth and a turnaround in the unemployment rate, we've got to get small business owners hiring again."
Meanwhile Bell and Wolfus continue to survive through healthy competition.
"I'm getting new merchandise tomorrow, so watch out," said Bell.
Friday, May 21, 2010
Forecasts Don't Reflect Full Scope Of Mobile Spending
MediaPost Blogs
by Mark Walsh, Yesterday, 6:31 PM
A new online ad forecast from market research firm IDC predicts mobile advertising will grow nearly 10-fold in the next 10 years, to $1.8 billion from $220 million this year. That's strong growth, but starting from such a small base, the total in five years will still account for only a small fraction of digital advertising.
Compare that amount to the $27.3 billion that search advertising alone will total by 2014, according to IDC. "Search ads may be less sexy than mobile online ads, but it's where cash registers will ring most loudly in the coming years," wrote analyst Karsten Wiede in his online ad report.
Despite the relatively small spending total, he called mobile a strategically important segment. He also warned that companies that didn't jump into mobile advertising now would regret it 10 years from now. That's "because if you don't stake a claim now both in terms of traffic and advertising market share as well as with regard to technology, you won't stand a chance to catch up later," he noted.
That sounds a tad alarmist, especially for marketers. Is inventory suddenly going to disappear on the nearly 5 billion mobile phones out there? It's only going to increase as more and more people adopt mobile Web- and app-centric smartphones that will expand the audience for mobile ads.
And brands that are ready to devote substantial dollars to mobile shouldn't have trouble lining up publishers, agencies and technology vendors more than willing to help them take the plunge.
At the same time, ad spending forecasts by IDC and other research firms don't necessarily capture the full amount of investment going into mobile. Like social media, a large portion of the spending in mobile is going toward earned media -- items like branded apps, promotional contests, mobile coupons and mobile Web pages. Such investments aren't typically reflected in the traditional third-party ad dollars projected in industry estimates.
So the economic opportunity tied to mobile advertising and marketing may be larger than the spending totals forecast, while the urgency about getting into the segment might be overstated. With so many years previously predicted as turning points for mobile advertising, it's hard for anyone to say with a straight face, "Get in now or miss the boat" on mobile.
by Mark Walsh, Yesterday, 6:31 PM
A new online ad forecast from market research firm IDC predicts mobile advertising will grow nearly 10-fold in the next 10 years, to $1.8 billion from $220 million this year. That's strong growth, but starting from such a small base, the total in five years will still account for only a small fraction of digital advertising.
Compare that amount to the $27.3 billion that search advertising alone will total by 2014, according to IDC. "Search ads may be less sexy than mobile online ads, but it's where cash registers will ring most loudly in the coming years," wrote analyst Karsten Wiede in his online ad report.
Despite the relatively small spending total, he called mobile a strategically important segment. He also warned that companies that didn't jump into mobile advertising now would regret it 10 years from now. That's "because if you don't stake a claim now both in terms of traffic and advertising market share as well as with regard to technology, you won't stand a chance to catch up later," he noted.
That sounds a tad alarmist, especially for marketers. Is inventory suddenly going to disappear on the nearly 5 billion mobile phones out there? It's only going to increase as more and more people adopt mobile Web- and app-centric smartphones that will expand the audience for mobile ads.
And brands that are ready to devote substantial dollars to mobile shouldn't have trouble lining up publishers, agencies and technology vendors more than willing to help them take the plunge.
At the same time, ad spending forecasts by IDC and other research firms don't necessarily capture the full amount of investment going into mobile. Like social media, a large portion of the spending in mobile is going toward earned media -- items like branded apps, promotional contests, mobile coupons and mobile Web pages. Such investments aren't typically reflected in the traditional third-party ad dollars projected in industry estimates.
So the economic opportunity tied to mobile advertising and marketing may be larger than the spending totals forecast, while the urgency about getting into the segment might be overstated. With so many years previously predicted as turning points for mobile advertising, it's hard for anyone to say with a straight face, "Get in now or miss the boat" on mobile.
Treating Workers Well Boosts Bottom Line
Harvard Publishes Study That Shows Treating Workers Well Boosts Bottom Line
The Golden Rule of Profitability
by Kent Bernhard, Jr. May 19 2010
A new study finds that treating the people at the lowest rung of the corporate ladder right isn’t just a nice thing to do. It improves the bottom line.
Want your business to make bigger bucks? Treat the grunts right.
A new McGill Institute for Health and Social Policy study published by the Harvard Business Review rolls up conclusive findings that, no matter the size of your business, the way you treat employees at the bottom rung of the company ladder has an impact on your bottom line.
That’s a direct contradiction to the pattern at most companies, where, for instance, high-skilled tech workers or executives get the big bucks and bigger incentives, and Wall Street rewards companies for squeezing the lower rungs of the ladder.
“These companies have been profitable for their owners and shareholders not only while being profitable for their employees, but because they have been profitable for their employees” Jody Heymann, the study’s author, said in a release. “These firms have been able to do this for a simple reason. How work is structured, how it is rewarded, and how workplaces encourage employee engagement are all central to the profitability of firms and to the quality of the daily lives of working men and women. Employees determine 90 percent of most businesses’ profitability.”
The researchers looked at companies all around the world, ranging in size from 27 to 126,000 employees. They examined a dozen companies from 2005 until now.
“The findings were striking,“ Heymann said in a press conference Wednesday. “Workers at the bottom profited, but companies profited as well.”
Companies cut turnover, found cost-savings, increased productivity, and decreased absenteeism and turnover, all by following the Golden Rule when it came to the least of their employees.
“This research confirms what we have known for some time, that these things are good for the economy and good for the bottom line,” said Heather Boushey, of the Center for American Progress. “These kinds of policies are good for workers and good for companies.
Among some of the other findings:
•By investing more in health care, employers managed to reduce the their workers' absentee rates and kept turnover rates low. Plus, the tactic boosted productivity. For example, American Apparel provided not only low-cost health insurance to its employees, it offered on-site exercise classes, massage therapy, and a more nutritious company cafeteria menu. All this cut illness and injury rates, and the costs that went with them.
•If companies did more training and offered more advance opportunities for those on the lowest rungs of the ladder, they were rewarded with lower turnover, easier recruitment, and increased efficiency. In Boston, for example, the firm Dancing Deer offered English as a Second Language classes to its employees, which improved communications between employees who had immigrated from a number of different countries and had no common language.
•Promoting from within had a big impact on keeping workers happy. Big-box giant Costco took this approach to advancement 98 percent of the time, and after the first year of employment, turnover was less than 6 percent for line workers.
•Companies that offered stock-option programs also benefited. After Dancing Deer put in such a program for all its employees, sales shot up 74 percent in a year and the value of those options increased 40 percent.
•Giving line workers more say in the direction of their work motivated workers and led to cost savings and efficiency increases. Novo Nordisk actively engaged line workers in questions about the production process and increased efficiency by 50 percent.
Heymann said the companies she studied were better able to weather the economic downturn than others in their sectors. For instance, one Australian company in the auto-parts field had instituted flexible time for its line workers. That allowed it to shift employees into more productive areas through the down times.
Another, Great Little Box, which operates in Canada and the United States, has been in an industry—packaging—that was particularly hard hit by the recession. But, she said, “they’ve actually been growing and buying out” competitors, because the company showed low-level workers its monthly financials and invited them to be part of finding cost-savings.
It isn’t just the big businesses that have benefited.
Rosanne Martino, general manager at the restaurant One If By Land Two If By Sea in New York, said her company had offered paid vacation and health care since 1999. And keeping those benefits in place has been a cause for employees as well as her company, helping it weather the downturn after the September 11 attacks and through the latest recession.
This year, she was able to enlist employees in a campaign to conserve energy that saved her restaurant $60,000. “It’s a win-win all around,” she said.
Martino said her company’s embrace of benefits and enlisting of workers in keeping those benefits in place had reduced turnover and theft, both banes of the restaurant industry.
“It’s like we have 65 managers instead of three,” she said.
The Golden Rule of Profitability
by Kent Bernhard, Jr. May 19 2010
A new study finds that treating the people at the lowest rung of the corporate ladder right isn’t just a nice thing to do. It improves the bottom line.
Want your business to make bigger bucks? Treat the grunts right.
A new McGill Institute for Health and Social Policy study published by the Harvard Business Review rolls up conclusive findings that, no matter the size of your business, the way you treat employees at the bottom rung of the company ladder has an impact on your bottom line.
That’s a direct contradiction to the pattern at most companies, where, for instance, high-skilled tech workers or executives get the big bucks and bigger incentives, and Wall Street rewards companies for squeezing the lower rungs of the ladder.
“These companies have been profitable for their owners and shareholders not only while being profitable for their employees, but because they have been profitable for their employees” Jody Heymann, the study’s author, said in a release. “These firms have been able to do this for a simple reason. How work is structured, how it is rewarded, and how workplaces encourage employee engagement are all central to the profitability of firms and to the quality of the daily lives of working men and women. Employees determine 90 percent of most businesses’ profitability.”
The researchers looked at companies all around the world, ranging in size from 27 to 126,000 employees. They examined a dozen companies from 2005 until now.
“The findings were striking,“ Heymann said in a press conference Wednesday. “Workers at the bottom profited, but companies profited as well.”
Companies cut turnover, found cost-savings, increased productivity, and decreased absenteeism and turnover, all by following the Golden Rule when it came to the least of their employees.
“This research confirms what we have known for some time, that these things are good for the economy and good for the bottom line,” said Heather Boushey, of the Center for American Progress. “These kinds of policies are good for workers and good for companies.
Among some of the other findings:
•By investing more in health care, employers managed to reduce the their workers' absentee rates and kept turnover rates low. Plus, the tactic boosted productivity. For example, American Apparel provided not only low-cost health insurance to its employees, it offered on-site exercise classes, massage therapy, and a more nutritious company cafeteria menu. All this cut illness and injury rates, and the costs that went with them.
•If companies did more training and offered more advance opportunities for those on the lowest rungs of the ladder, they were rewarded with lower turnover, easier recruitment, and increased efficiency. In Boston, for example, the firm Dancing Deer offered English as a Second Language classes to its employees, which improved communications between employees who had immigrated from a number of different countries and had no common language.
•Promoting from within had a big impact on keeping workers happy. Big-box giant Costco took this approach to advancement 98 percent of the time, and after the first year of employment, turnover was less than 6 percent for line workers.
•Companies that offered stock-option programs also benefited. After Dancing Deer put in such a program for all its employees, sales shot up 74 percent in a year and the value of those options increased 40 percent.
•Giving line workers more say in the direction of their work motivated workers and led to cost savings and efficiency increases. Novo Nordisk actively engaged line workers in questions about the production process and increased efficiency by 50 percent.
Heymann said the companies she studied were better able to weather the economic downturn than others in their sectors. For instance, one Australian company in the auto-parts field had instituted flexible time for its line workers. That allowed it to shift employees into more productive areas through the down times.
Another, Great Little Box, which operates in Canada and the United States, has been in an industry—packaging—that was particularly hard hit by the recession. But, she said, “they’ve actually been growing and buying out” competitors, because the company showed low-level workers its monthly financials and invited them to be part of finding cost-savings.
It isn’t just the big businesses that have benefited.
Rosanne Martino, general manager at the restaurant One If By Land Two If By Sea in New York, said her company had offered paid vacation and health care since 1999. And keeping those benefits in place has been a cause for employees as well as her company, helping it weather the downturn after the September 11 attacks and through the latest recession.
This year, she was able to enlist employees in a campaign to conserve energy that saved her restaurant $60,000. “It’s a win-win all around,” she said.
Martino said her company’s embrace of benefits and enlisting of workers in keeping those benefits in place had reduced turnover and theft, both banes of the restaurant industry.
“It’s like we have 65 managers instead of three,” she said.
Thursday, May 13, 2010
3 Things About Social Media That May Shock You
MediaPost
Engage: Teens
By Morgan Stewart Thursday, May 13, 2010
My son produced his first movie this week. He's nine. I'm proud that there was an actual plot, and the background music helped set the tone for the havoc brought to our quiet cul-de-sac by a seven-year old zombie.
I'm now sure that his home-movie editing skills will surpass mine by the time he enters high school. He's a digital native who learned to use a mouse when he was two. He's since progressed from playing Word Girl to using iMovie.
Many teens today have similar stories growing up as digital natives. Thus, it was no surprise when I started evaluating the results of a recent survey we conducted that 27% of teens (ages 15-17) upload video, 35% upload audio, and 53% upload photos at least once a month -- double the rates of non-teens.
However, in the same analysis, there are things that shocked me.
1) Email or Facebook? It's a draw.
Whoa! Before you assume my judgment has been compromised by the fact I work for a company with email roots, keep reading.
We often hear people say things like, "I'm more of a texting person," or "I'm more of a calling person." This typography has become a part of our culture. Before sending a message, we consider what channel our target is most likely to respond to. We decided to quantify this by asking how respondents usually prefer to communicate with their friends.
When teens were asked their preference, 36% said email, 35% said Facebook, and 29% indicated no preference. Moreover, more teens use email at least daily than Facebook and more check email during school than check Facebook.
The issue is that 23% of teens have never created a Facebook profile. When looking at teens who have created a Facebook profile, the preference shifts to Facebook (28% vs. 39%).
While Facebook is far and away the most popular social network, it doesn't have a monopoly. Texting and email are more universal among teens.
2) More teens check MySpace than Twitter first thing.
For many teens, the first place they check in the morning is MySpace -- four times the number that start their day on Twitter.
But isn't MySpace dead? No, it's just that MySpace is no longer top of mind -- at least not on the coasts, where marketers and market researchers tend to be concentrated. According to Mikolaj Jan Piskorski, associate professor at Harvard Business School, MySpace hotbeds are in states like Alabama, Arkansas, West Virginia and Oklahoma. Even California, but in Fresno.
Teens' preferred social networks are a function of the school they attend. You're more likely to find MySpace schools in rural areas. While Facebook spread in urban areas, where students are more likely to interact across schools, it has been slower in rural areas, where schools are more isolated.
This presents challenges for national and regional marketers alike. Social networks are fragmented. We need to understand which social networks are most prominent in which areas. Figuring this out can give you a leg-up in certain markets while saving money.
3) Teens are nine times more likely to call than to use social networks for customer service.
So, are social networks are a good tool for customer service? Yes and no, according to our research. While marketers can't afford not to monitor what is happening on social networks, the reality is that customer service issues that make it to Facebook, MySpace, or Twitter point to earlier customer service issues.
Teens, like all consumers, would rather deal with customer service issues in private through your Web site, on the phone, or via email. However, teens are quicker to pull the trigger and post something to a social network when they don't get the issues resolved. They are three times more likely to use social networks as a means of "outing" bad customer service in their second attempt to resolve issues and four times more likely to post to social networks in their third attempt.
The interests of marketers in good customer service have never been higher. Make sure that customer service reps understand the increasing significance of "first call resolution," even if at the expense of the length of time spent on the phone with customers.
Perhaps the most shocking thing for me in conducting this research is to hear consumers talk about interacting with companies as being fun. Hearing how consumers get barraged with 3,000 marketing messages a day can jade us, but social networks are changing some of that by bringing consumers together to engage with brands in a way that's entertaining.
Not sit-back-and-laugh-at-the-funny-Super-Bowl-ad entertaining, but communally entertaining around sharing stories. As one respondent shared, "[Hot Wheels] posted something asking people if and when they received a speeding ticket. It was fun to read everyone's responses."
Engage: Teens
By Morgan Stewart Thursday, May 13, 2010
My son produced his first movie this week. He's nine. I'm proud that there was an actual plot, and the background music helped set the tone for the havoc brought to our quiet cul-de-sac by a seven-year old zombie.
I'm now sure that his home-movie editing skills will surpass mine by the time he enters high school. He's a digital native who learned to use a mouse when he was two. He's since progressed from playing Word Girl to using iMovie.
Many teens today have similar stories growing up as digital natives. Thus, it was no surprise when I started evaluating the results of a recent survey we conducted that 27% of teens (ages 15-17) upload video, 35% upload audio, and 53% upload photos at least once a month -- double the rates of non-teens.
However, in the same analysis, there are things that shocked me.
1) Email or Facebook? It's a draw.
Whoa! Before you assume my judgment has been compromised by the fact I work for a company with email roots, keep reading.
We often hear people say things like, "I'm more of a texting person," or "I'm more of a calling person." This typography has become a part of our culture. Before sending a message, we consider what channel our target is most likely to respond to. We decided to quantify this by asking how respondents usually prefer to communicate with their friends.
When teens were asked their preference, 36% said email, 35% said Facebook, and 29% indicated no preference. Moreover, more teens use email at least daily than Facebook and more check email during school than check Facebook.
The issue is that 23% of teens have never created a Facebook profile. When looking at teens who have created a Facebook profile, the preference shifts to Facebook (28% vs. 39%).
While Facebook is far and away the most popular social network, it doesn't have a monopoly. Texting and email are more universal among teens.
2) More teens check MySpace than Twitter first thing.
For many teens, the first place they check in the morning is MySpace -- four times the number that start their day on Twitter.
But isn't MySpace dead? No, it's just that MySpace is no longer top of mind -- at least not on the coasts, where marketers and market researchers tend to be concentrated. According to Mikolaj Jan Piskorski, associate professor at Harvard Business School, MySpace hotbeds are in states like Alabama, Arkansas, West Virginia and Oklahoma. Even California, but in Fresno.
Teens' preferred social networks are a function of the school they attend. You're more likely to find MySpace schools in rural areas. While Facebook spread in urban areas, where students are more likely to interact across schools, it has been slower in rural areas, where schools are more isolated.
This presents challenges for national and regional marketers alike. Social networks are fragmented. We need to understand which social networks are most prominent in which areas. Figuring this out can give you a leg-up in certain markets while saving money.
3) Teens are nine times more likely to call than to use social networks for customer service.
So, are social networks are a good tool for customer service? Yes and no, according to our research. While marketers can't afford not to monitor what is happening on social networks, the reality is that customer service issues that make it to Facebook, MySpace, or Twitter point to earlier customer service issues.
Teens, like all consumers, would rather deal with customer service issues in private through your Web site, on the phone, or via email. However, teens are quicker to pull the trigger and post something to a social network when they don't get the issues resolved. They are three times more likely to use social networks as a means of "outing" bad customer service in their second attempt to resolve issues and four times more likely to post to social networks in their third attempt.
The interests of marketers in good customer service have never been higher. Make sure that customer service reps understand the increasing significance of "first call resolution," even if at the expense of the length of time spent on the phone with customers.
Perhaps the most shocking thing for me in conducting this research is to hear consumers talk about interacting with companies as being fun. Hearing how consumers get barraged with 3,000 marketing messages a day can jade us, but social networks are changing some of that by bringing consumers together to engage with brands in a way that's entertaining.
Not sit-back-and-laugh-at-the-funny-Super-Bowl-ad entertaining, but communally entertaining around sharing stories. As one respondent shared, "[Hot Wheels] posted something asking people if and when they received a speeding ticket. It was fun to read everyone's responses."
Wednesday, May 12, 2010
Upfronts Preview: Networks Poised to Take in $9B
The WRAP
By John Consoli
Published: May 11, 2010
The Big Four broadcast networks are poised to take in about $9 billion in primetime ad dollars in this year's annual upfronts, which begin Thursday in New York -- mirroring two years ago, and recouping the $2 billion they lost in the middle of last year’s economic downturn.
Indeed, the networks seem likely to rebound with price increases in the 8 percent to 10 percent range --and possibly even be higher depending on the shows and packages.
"There is no gloom and doom about broadcast television advertising this year," one network sales executive told TheWrap. "The media buying community is not talking about price decreases and tough times this year because they know such posturing is not going to help them."
(See accompanying article: "A Very Good Year for Hispanic TV")
Last year, when media buyers took such a hard line on pricing, the networks decided to sell between 10 percent and 15 percent less advertising inventory in the upfront than they had the previous year. As a result, ABC and CBS both took in about $1.9 billion in primetime ad dollars in last year's upfront, while Fox garnered about $1.6 billion, and NBC $1.5 billion. The fifth broadcast network, The CW, sold about $300 million.
This year's totals could reach $2.5 billion each for ABC and CBS, $2 billion for Fox and NBC and about $350 million for The CW.
And advertisers are going to be more aggressive in buying more upfront ad time so the prices will be guaranteed, rather than taking a chance, as they did last year, on the scatter market. (Commercial time not bought in the upfront, where pricing is locked in for the entire season, is sold later in the scatter market.)
When demand continued at the start of the new season last September, prices for scatter ads rose tremendously, with the networks getting price increases of as much as 25 percent.
In fact, about 20 percent more ad dollars are being spent in the scatter market this season, and a lot of that is going to move back into the upfront, the network executive said.
What’s more, buying is expected to be concluded sooner.
Longtime media buyer Larry Novenstern, who most recently oversaw electronic media buying at Optimedia and is now an independent media consultant, believes this year's upfront negotiations could be done as early as mid-June and probably not beyond July 4 -- a month or more sooner than last year.
The network sales exec agreed. "You don't want to be a follower in a seller's market that's going to be strong like this. You want to be out front. The agencies that don't do early deals are going to be in trouble."
Fueling heavy demand is the competition within nearly all the major advertising categories. Ironically, the auto category, which was one of the hardest hit by the cratering economy, has seen many carmakers, like Ford, spend more money over the past year than they have historically. And Toyota most likely will continue to spend more to strengthen its brand to consumers.
In addition, WalMart's massive spending will continue to force other retailers such as Target, Sears and JCPenney to stay competitive. And in the wireless category, Verizon and AT&T will continue their back-and-forth battles.
Competitive battles also will continue in the tech category with Apple and Microsoft; in electronics between Sony, Samsung and LG; in soft drinks between Coke and Pepsi; and in fast food with McDonald's, Wendy's, Chili's, KFC and Applebee's. Even banks and other financial services companies have returned to television in a big way.
"There are competitive and marketing needs in all the major categories that call for the kind of brand building advertising that TV does best, and TV advertising is still the best way to impact large audiences quickly," Jon Nesvig, president of ad sales at Fox Broadcasting, told TheWrap.
"Last year at this time there was no advertiser who said they could look beyond a few weeks or a month to decide where and how to spend their marketing dollars,” another broadcast network executive said. “There was a protracted decision-making process last year. I'm not seeing that attitude right now."
Even at NBC, which took in the smallest amount of upfront dollars last year, inventory is tight.
Individuals familiar with the sales situation there said the entire NBC lineup is more than 85 percent sold of its second-quarter ad inventory through June. And NBC is going to have more expensive commercial time to sell in this upfront without the lower-rated “The Jay Leno Show” eating up five hours of primetime per week.
By John Consoli
Published: May 11, 2010
The Big Four broadcast networks are poised to take in about $9 billion in primetime ad dollars in this year's annual upfronts, which begin Thursday in New York -- mirroring two years ago, and recouping the $2 billion they lost in the middle of last year’s economic downturn.
Indeed, the networks seem likely to rebound with price increases in the 8 percent to 10 percent range --and possibly even be higher depending on the shows and packages.
"There is no gloom and doom about broadcast television advertising this year," one network sales executive told TheWrap. "The media buying community is not talking about price decreases and tough times this year because they know such posturing is not going to help them."
(See accompanying article: "A Very Good Year for Hispanic TV")
Last year, when media buyers took such a hard line on pricing, the networks decided to sell between 10 percent and 15 percent less advertising inventory in the upfront than they had the previous year. As a result, ABC and CBS both took in about $1.9 billion in primetime ad dollars in last year's upfront, while Fox garnered about $1.6 billion, and NBC $1.5 billion. The fifth broadcast network, The CW, sold about $300 million.
This year's totals could reach $2.5 billion each for ABC and CBS, $2 billion for Fox and NBC and about $350 million for The CW.
And advertisers are going to be more aggressive in buying more upfront ad time so the prices will be guaranteed, rather than taking a chance, as they did last year, on the scatter market. (Commercial time not bought in the upfront, where pricing is locked in for the entire season, is sold later in the scatter market.)
When demand continued at the start of the new season last September, prices for scatter ads rose tremendously, with the networks getting price increases of as much as 25 percent.
In fact, about 20 percent more ad dollars are being spent in the scatter market this season, and a lot of that is going to move back into the upfront, the network executive said.
What’s more, buying is expected to be concluded sooner.
Longtime media buyer Larry Novenstern, who most recently oversaw electronic media buying at Optimedia and is now an independent media consultant, believes this year's upfront negotiations could be done as early as mid-June and probably not beyond July 4 -- a month or more sooner than last year.
The network sales exec agreed. "You don't want to be a follower in a seller's market that's going to be strong like this. You want to be out front. The agencies that don't do early deals are going to be in trouble."
Fueling heavy demand is the competition within nearly all the major advertising categories. Ironically, the auto category, which was one of the hardest hit by the cratering economy, has seen many carmakers, like Ford, spend more money over the past year than they have historically. And Toyota most likely will continue to spend more to strengthen its brand to consumers.
In addition, WalMart's massive spending will continue to force other retailers such as Target, Sears and JCPenney to stay competitive. And in the wireless category, Verizon and AT&T will continue their back-and-forth battles.
Competitive battles also will continue in the tech category with Apple and Microsoft; in electronics between Sony, Samsung and LG; in soft drinks between Coke and Pepsi; and in fast food with McDonald's, Wendy's, Chili's, KFC and Applebee's. Even banks and other financial services companies have returned to television in a big way.
"There are competitive and marketing needs in all the major categories that call for the kind of brand building advertising that TV does best, and TV advertising is still the best way to impact large audiences quickly," Jon Nesvig, president of ad sales at Fox Broadcasting, told TheWrap.
"Last year at this time there was no advertiser who said they could look beyond a few weeks or a month to decide where and how to spend their marketing dollars,” another broadcast network executive said. “There was a protracted decision-making process last year. I'm not seeing that attitude right now."
Even at NBC, which took in the smallest amount of upfront dollars last year, inventory is tight.
Individuals familiar with the sales situation there said the entire NBC lineup is more than 85 percent sold of its second-quarter ad inventory through June. And NBC is going to have more expensive commercial time to sell in this upfront without the lower-rated “The Jay Leno Show” eating up five hours of primetime per week.
Tuesday, May 11, 2010
Here Comes the Recovery!
The New York Times
By JACK STACK
After spending the last six months on the road talking to hundreds of business owners around the country, I have come to a conclusion that might surprise you: the economic recovery is already well under way. And, if you don’t start putting a strategy in place to take advantage of it, you’re risking the future of your company.
Especially given all of the turbulence out there related to the debt problems in Europe and the ups and downs of the stock market, I know the idea that things are already turning around might shock some of you. I’m pretty sure my message surprised the folks who heard my speech at the Gathering of Games conference last week in St. Louis.
But I’ve been speaking eyeball-to-eyeball with entrepreneurs all across the country — in places like Pittsburgh, New York City, Richmond, Va., and Fresno, Calif. — and when I ask them how they did in the fourth quarter of 2009 or the first quarter of 2010, I keep getting responses like, “amazing,” “fantastic,” “record-breaking” and even “best we’ve done in years.” The funny thing is that despite their recent success, most of these folks seem reluctant to acknowledge that things have gotten better. Why? Well, I have two theories about that: one, people feel so burned by the last few years that they still fear a double dip — and they’re still waiting for another shoe to drop. Two, I think some people are staying quiet because they don’t want to give anyone in Washington credit for the recovery. They feel that they have recovered due to their own innovation, creativity and hard work and not due to anything related to the stimulus.
But regardless of why no one is talking about it, the recovery is happening. Here are some signals I’ve been watching:
Consider what’s happening at our company, SRC. Keep in mind that we sell into a lot of different markets, such as energy, housing, construction, agriculture, automotive, marine and rail, which makes us a great overall economic indicator. I’ll admit that I’ve been caught looking in the rearview mirror since the fourth quarter of 2008. When the economic tsunami hit, our businesses came to a halt, and we had to create new products and find new markets and new customers. I’ve been so focused on expanding new businesses to help us survive the downturn that I missed what was happening right under my own nose — the resurgence of our existing businesses.
All of a sudden, we experienced a surge in growth in the parts of our business that were hit the hardest, including our automotive division. We just had a record-breaking month for sales of brake-shoe kits in the heavy-duty truck aftermarket. These kits replace worn-out brakes on trucks. When trucks are putting on a lot of extra miles, it means they are moving goods from one place to another — a clear sign that orders are increasing. Meanwhile, Guildmaster, an SRC affiliate that makes home furnishings, recently attended an important industry trade show held in High Point, N.C. The company experienced a 70 percent increase in sales over a similar show held last October, suggesting that consumers had begun spending money on their homes again.
Here’s another signal: lead times — the time between when you order and when you actually get your parts — are becoming longer and longer. So many companies cut back on inventories and labor over the last two years that they’re not ready to handle an uptick in orders. At SRC, for example, we suddenly have $3,000 gasoline engines that we can’t finish building because they’re waiting for $30 worth of parts that we can’t get delivered. Those lead times are increasing because demand is on the rise.
But I’m also seeing clues beyond SRC. A friend of mine, Shawn Askinosie, who runs Askinosie Chocolate in Springfield, Mo., just called to tell me he’s running out of cocoa beans because his sales are so much greater than last year — and he can’t get a fresh supply from Ecuador until August. Fortunately Shawn has some great contingency plans to maximize the returns he gets from the beans he has left. But the point is that cocoa beans are suddenly in demand. Another friend of mine told me that Caterpillar just called up its suppliers and told them to expect to double their orders over the next year. Have you checked the price of copper lately? It has begun to rise rapidly and because copper is a critical component to many industries, a surge in demand can be a key signal that the economy is on the move.
By JACK STACK
After spending the last six months on the road talking to hundreds of business owners around the country, I have come to a conclusion that might surprise you: the economic recovery is already well under way. And, if you don’t start putting a strategy in place to take advantage of it, you’re risking the future of your company.
Especially given all of the turbulence out there related to the debt problems in Europe and the ups and downs of the stock market, I know the idea that things are already turning around might shock some of you. I’m pretty sure my message surprised the folks who heard my speech at the Gathering of Games conference last week in St. Louis.
But I’ve been speaking eyeball-to-eyeball with entrepreneurs all across the country — in places like Pittsburgh, New York City, Richmond, Va., and Fresno, Calif. — and when I ask them how they did in the fourth quarter of 2009 or the first quarter of 2010, I keep getting responses like, “amazing,” “fantastic,” “record-breaking” and even “best we’ve done in years.” The funny thing is that despite their recent success, most of these folks seem reluctant to acknowledge that things have gotten better. Why? Well, I have two theories about that: one, people feel so burned by the last few years that they still fear a double dip — and they’re still waiting for another shoe to drop. Two, I think some people are staying quiet because they don’t want to give anyone in Washington credit for the recovery. They feel that they have recovered due to their own innovation, creativity and hard work and not due to anything related to the stimulus.
But regardless of why no one is talking about it, the recovery is happening. Here are some signals I’ve been watching:
Consider what’s happening at our company, SRC. Keep in mind that we sell into a lot of different markets, such as energy, housing, construction, agriculture, automotive, marine and rail, which makes us a great overall economic indicator. I’ll admit that I’ve been caught looking in the rearview mirror since the fourth quarter of 2008. When the economic tsunami hit, our businesses came to a halt, and we had to create new products and find new markets and new customers. I’ve been so focused on expanding new businesses to help us survive the downturn that I missed what was happening right under my own nose — the resurgence of our existing businesses.
All of a sudden, we experienced a surge in growth in the parts of our business that were hit the hardest, including our automotive division. We just had a record-breaking month for sales of brake-shoe kits in the heavy-duty truck aftermarket. These kits replace worn-out brakes on trucks. When trucks are putting on a lot of extra miles, it means they are moving goods from one place to another — a clear sign that orders are increasing. Meanwhile, Guildmaster, an SRC affiliate that makes home furnishings, recently attended an important industry trade show held in High Point, N.C. The company experienced a 70 percent increase in sales over a similar show held last October, suggesting that consumers had begun spending money on their homes again.
Here’s another signal: lead times — the time between when you order and when you actually get your parts — are becoming longer and longer. So many companies cut back on inventories and labor over the last two years that they’re not ready to handle an uptick in orders. At SRC, for example, we suddenly have $3,000 gasoline engines that we can’t finish building because they’re waiting for $30 worth of parts that we can’t get delivered. Those lead times are increasing because demand is on the rise.
But I’m also seeing clues beyond SRC. A friend of mine, Shawn Askinosie, who runs Askinosie Chocolate in Springfield, Mo., just called to tell me he’s running out of cocoa beans because his sales are so much greater than last year — and he can’t get a fresh supply from Ecuador until August. Fortunately Shawn has some great contingency plans to maximize the returns he gets from the beans he has left. But the point is that cocoa beans are suddenly in demand. Another friend of mine told me that Caterpillar just called up its suppliers and told them to expect to double their orders over the next year. Have you checked the price of copper lately? It has begun to rise rapidly and because copper is a critical component to many industries, a surge in demand can be a key signal that the economy is on the move.
Tuesday, May 4, 2010
Belo Records Skyrocketing Ad Results
Well my media friends..the category that brought you many happy financial returns that went through severe finacial turmoil during the last 12 months and all but left town...is BAAAACK! It's time to crank up dealership dollars again to help generate store traffic. Start your engines and no speeding. Dr. Philip Jay..
by Wayne Friedman, Yesterday, 12:49 PM
One of the purest TV station group plays, Belo Corp. witnessed rocketing advertising results in the first quarter, with the lead automotive category surging 45% over a year ago.
Total overall advertising sales scored an equally impressive 17% gain for the period, with total revenue up 15.6%. Political advertising was at $6.3 million -- $5.6 million higher than the first quarter of 2009.
The company also benefited from special sports programming. Olympic sales from its NBC affiliates and Super Bowl sales also boosted its numbers. National spot advertising continued to outpace local spot ad efforts, rising 18% to local's 9.2% rate.
The company anticipates overall sales efforts to continue, with April estimated to be 10% higher against the same month in 2009. It also says that automotive spending continues to be pacing at 40% above levels of a year ago.
Another big contributor -- as with most TV station groups of late -- is retransmission dollars. Belo's rose 19% in the first quarter to $11.6 million. The company says outlying periods will see more modest gains.
Another area in double-digit percent improvements: Digital advertising sales, which climbed 12% to $7.3 million.
Belo has been able to trim corporate costs, which are down 3.2% in the first quarter of 2010. But it warned that expenses will grow in the second quarter.
The company's net earnings climbed 57% to $13.5 million, with net operating revenues at $154.3 million versus $133.5 million in the first quarter of 2009.
Belo comprises 20 TV stations -- nine in the top 25 markets -- with ABC, CBS, NBC, FOX, CW and MyNetwork TV affiliations, reaching more than 14% of U.S. television households.
by Wayne Friedman, Yesterday, 12:49 PM
One of the purest TV station group plays, Belo Corp. witnessed rocketing advertising results in the first quarter, with the lead automotive category surging 45% over a year ago.
Total overall advertising sales scored an equally impressive 17% gain for the period, with total revenue up 15.6%. Political advertising was at $6.3 million -- $5.6 million higher than the first quarter of 2009.
The company also benefited from special sports programming. Olympic sales from its NBC affiliates and Super Bowl sales also boosted its numbers. National spot advertising continued to outpace local spot ad efforts, rising 18% to local's 9.2% rate.
The company anticipates overall sales efforts to continue, with April estimated to be 10% higher against the same month in 2009. It also says that automotive spending continues to be pacing at 40% above levels of a year ago.
Another big contributor -- as with most TV station groups of late -- is retransmission dollars. Belo's rose 19% in the first quarter to $11.6 million. The company says outlying periods will see more modest gains.
Another area in double-digit percent improvements: Digital advertising sales, which climbed 12% to $7.3 million.
Belo has been able to trim corporate costs, which are down 3.2% in the first quarter of 2010. But it warned that expenses will grow in the second quarter.
The company's net earnings climbed 57% to $13.5 million, with net operating revenues at $154.3 million versus $133.5 million in the first quarter of 2009.
Belo comprises 20 TV stations -- nine in the top 25 markets -- with ABC, CBS, NBC, FOX, CW and MyNetwork TV affiliations, reaching more than 14% of U.S. television households.
Ask an Expert: Print ads can work well with your website
by Steve Strauss Ask an Expert/ USA TODAY
Q: What is your opinion on print advertising? Is it dead like some critics say? I see three potential venues for my ad dollar: print, social media, and online. Where would you spend your advertising dollars? — Charles.
A: To put a little spin on Shakespeare, I have come to praise print, not to bury it.
Is it true the world of print media is changing radically? Of course, no secret there. But I also think reports of print's death have been greatly exaggerated. Go to any magazine stand and you will see what I mean. There are still hundreds of magazines out there, and newspapers big and small are figuring out ways to carry on.
That said, it is equally true that there are fewer ads and fewer print options than a decade ago. Let me suggest, however, that the changes offer the savvy small business person some tremendous opportunities.
Here's why:
For starters, one of the main things you want from your advertising is the chance to STAND OUT. It used to be that advertising in print media made that difficult because there was so much competition. But because there are fewer businesses advertising in print now, and fewer ads in any given publication, your ability to stand out has increased.
Fewer ad pages mean your ads can be stars.
In addition, because print publications need advertisers, there are some good deals to be had. So a half-page ad in a magazine or large ad in a newspaper will not only offer you greater exposure due to less competition, it will also cost less than you probably expect.
But that's not all. Print advertising continues to offer some great benefits not shared by its online counterparts:
It is highly targeted: Print advertising offers you the chance to catch people by their interests, or religion, hobbies, work, age, etc. Targeting your marketing to the right demographic is fairly easy by advertising in the right place, and it can be highly profitable.
It does not evaporate: Magazines stay in homes for months. Newspapers may be around for days. Web pages come and go. In addition, people reading web pages digest information far quicker – and move on – than do people reading print content.
It is great for branding: A print ad is a physical thing; it can be copied and placed in your store, or even on your website, for years. Electronic ads do not have the same cachet.
All of this is not say that online advertising is not important; it is. But by the same token, as we rush to understand and embrace this new world of e-advertising, let us not forget that print can play a significant role in the mix.
Indeed, ideally, print ads can and should empower your online ads. Research indicates that a not insignificant portion of online searches stem from offline ads – people see and ad in a newspaper or magazine and then search that topic on the Internet.
As such, aside from your URL, print ads today should contain product names, key words and phrases, taglines, etc. By using print ads to drive people to your website, you essentially get a twofer, benefitting from both offline and online exposure.
Bottom line: Print ads are not only a smart offline tool right now, but can become an effective part of your online strategy as well.
Today's Tip: Discover Small Business Watch has found a significant uptick in small business confidence:
• Small business confidence jumped 9.4 points from March to April and the percentage of owners who rate the economy good or excellent is the highest it has been since August 2008 — right before the collapse of the financial markets.
• 30% of small business owners say the economic climate will get better in the next six months — up from 20% in March.
Ask an Expert appears Mondays. You can e-mail Steve Strauss at: sstrauss@mrallbiz.com.And you can click here to see previous columns. Steven D. Strauss is a lawyer, author and speaker who specializes in small business and entrepreneurship. His latest book is The Small Business Bible. You can sign up for his free newsletter, "Small Business Success Secrets!" at his website —www.mrallbiz.com.
Q: What is your opinion on print advertising? Is it dead like some critics say? I see three potential venues for my ad dollar: print, social media, and online. Where would you spend your advertising dollars? — Charles.
A: To put a little spin on Shakespeare, I have come to praise print, not to bury it.
Is it true the world of print media is changing radically? Of course, no secret there. But I also think reports of print's death have been greatly exaggerated. Go to any magazine stand and you will see what I mean. There are still hundreds of magazines out there, and newspapers big and small are figuring out ways to carry on.
That said, it is equally true that there are fewer ads and fewer print options than a decade ago. Let me suggest, however, that the changes offer the savvy small business person some tremendous opportunities.
Here's why:
For starters, one of the main things you want from your advertising is the chance to STAND OUT. It used to be that advertising in print media made that difficult because there was so much competition. But because there are fewer businesses advertising in print now, and fewer ads in any given publication, your ability to stand out has increased.
Fewer ad pages mean your ads can be stars.
In addition, because print publications need advertisers, there are some good deals to be had. So a half-page ad in a magazine or large ad in a newspaper will not only offer you greater exposure due to less competition, it will also cost less than you probably expect.
But that's not all. Print advertising continues to offer some great benefits not shared by its online counterparts:
It is highly targeted: Print advertising offers you the chance to catch people by their interests, or religion, hobbies, work, age, etc. Targeting your marketing to the right demographic is fairly easy by advertising in the right place, and it can be highly profitable.
It does not evaporate: Magazines stay in homes for months. Newspapers may be around for days. Web pages come and go. In addition, people reading web pages digest information far quicker – and move on – than do people reading print content.
It is great for branding: A print ad is a physical thing; it can be copied and placed in your store, or even on your website, for years. Electronic ads do not have the same cachet.
All of this is not say that online advertising is not important; it is. But by the same token, as we rush to understand and embrace this new world of e-advertising, let us not forget that print can play a significant role in the mix.
Indeed, ideally, print ads can and should empower your online ads. Research indicates that a not insignificant portion of online searches stem from offline ads – people see and ad in a newspaper or magazine and then search that topic on the Internet.
As such, aside from your URL, print ads today should contain product names, key words and phrases, taglines, etc. By using print ads to drive people to your website, you essentially get a twofer, benefitting from both offline and online exposure.
Bottom line: Print ads are not only a smart offline tool right now, but can become an effective part of your online strategy as well.
Today's Tip: Discover Small Business Watch has found a significant uptick in small business confidence:
• Small business confidence jumped 9.4 points from March to April and the percentage of owners who rate the economy good or excellent is the highest it has been since August 2008 — right before the collapse of the financial markets.
• 30% of small business owners say the economic climate will get better in the next six months — up from 20% in March.
Ask an Expert appears Mondays. You can e-mail Steve Strauss at: sstrauss@mrallbiz.com.And you can click here to see previous columns. Steven D. Strauss is a lawyer, author and speaker who specializes in small business and entrepreneurship. His latest book is The Small Business Bible. You can sign up for his free newsletter, "Small Business Success Secrets!" at his website —www.mrallbiz.com.
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