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bo-jacksonOver the past decade or so many agencies have struggled to add digital services to their offerings. Those who succeeded realized the shortcomings that came with adding digital to the mix. For one, digital often became viewed as a siloed production group, where creatives and account service with backgrounds in traditional advertising, promotion, and PR called the tune for the unwashed geekdom. As a result we saw thousands of examples of print design and one-to-many thinking introduced to the Web by agencies.

Eventually these agencies made attempts in “integrate” digital into the agency culture and process. Their motivation was laudable, but the operational vision of the new agency was almost always illdefined and the methods used to achieve integration were doomed to fail.

One of those methods is to cross-train the workforce so the entire agency would eventually become conversant in and capable of producing digital marketing solutions, at least in the areas of creative and strategy.

On top of enriching the knowledge of the workforce, agencies thought their re-minted employees would provide a utopian flexibility: The Art Director who designs a print ad on Monday would pick up the website design for the same campaign on Tuesday.

Keep in mind the senior management in most agencies, those leading the charge for “integration”, come from a traditional marcom background. Most have/had little hands-on experience in digital.

sleepingFrequently the existing digital staff is tasked with developing both the curriculum and training for the rest of the agency, and this training strategy introduces many interesting issues.

Curriculum and content development for training isn’t a trivial matter. We’re talking about taking a huge amount of information and finessing it into bite sized pieces. This is a huge time-suck the employees who happen to have the digital experience, the “trainers”.

Because many agency leaders lack understanding of digital themselves, they significantly underestimate what is needed to support the most basic training needs. There is also a sense of resentment that grows amongst those designated as “trainers”. At first they’re flattered by the idea of sharing their knowledge and skills. But after spending a few months spoon-feeding traditional brethern with their hard-earned experience, they realize the structure of the agency will still position them as a downstream implementor, and very few of their “students” will ever spread their wings and fly.

The biggest obstacle to the cross-training philosophy is that the vast majority of folks in agencies who aren’t already doing digital don’t have the interest, desire or aptitude for it. This comment isn’t meant to demean, but to point out a hard, cold reality. You can’t take a talented athlete in one sport, train them in a sport in which they have no inate interest or desire, and expect good results.

mad signThe same goes for agency folks. Digital requires a different mindset and skillset – skills that only improve by being continually immersed in the discipline.

Sure, Bo Jackson’s of the agency world exist, but the idea of creating an agency were the majority employees are both multi-disciplined and highly-skilled is nothing more than a pipe dream.

Over the past several years I’ve ranted endlessly about the diminishing effectiveness of display advertising as an awareness and branding vehicle. The benefits that ad unit standardization has delivered, namely efficiency in both media buying and ad unit creative development, has also resulted in a significant downside: banner blindness and user indifference.

Our industry must reverse this tide through innovation, innovation that can only come through more collaboration between publishers and marketers. Today I ran across an ad that demonstrated innovation.

The ad below is a full page ad for Prius on the landing page for dictionary.com. But what’s truely innovative about this ad, is it doesn’t get in the way of goal oriented users, the exact mindset of users who visit dictionary.com.

dictionary-ad

Unlike page takeovers and interstitials, ads they have conditioned users to impulsively seek the “close” or “continue” button, this ad allows users to accomplish the task at hand without forcing another click. And unlike page takeovers, this ad is likely to actually gain the awareness of users.

Granted, ad formats like this can’t be easily replicated on other sites. And I’m not saying this is the greatest thing since Google, but it just goes to show advertisers that a little collaboration and creativity can result in something that pleases everyone – advertisers, publishers, and users.

Drifting creativesDrifting Creatives (Martin Hooper and Gavin Braman) are hanging out with us at infuz today. They’re traveling the country and offering their design skillz to the less fortunate.

We’re hoping they enjoy their stay in St.Louis and have time to contribute to small design project we’re sponsoring.

Fast EddiesLast week I found myself at two establishments in the St. Louis area that exemplify staying power and authenticity, Fast Eddie’s Bon-Air and Angelo’s Pizzeria.

Fast Eddie’s the ever popular roadhouse/bar in Alton Illinois with a seamingly simple recipe: cheap food and cold beer. They claim to to move over 4,000 half-barrels of tap beer a year and God only knows how many tons of grilled food.  Standing-room only crowds on weekends are quite common, even after doubling their footprint a few years ago by adding a large patio. While most bars in Illinois suffered after a state-wide smoking ban, Fast Eddie’s business exploded.

Fast Eddie’s doesn’t boast fancy decor (in fact you might call the place “run down”), great advertising, or a charismatic owner. Their cheap food + cold beer recipe isn’t exactly a secret either. What Fast Eddie’s has is something most other establishments don’t: authenticity.

fast eddies 2

Fast Eddie’s isn’t a copy of something else. It isn’t pretentious, flashy, commercialized, or formulaic…and the menu is reliably the same. Their patrons also add to the realness of the place, an ecclectic midwestern bar crowd if you ever saw one: from leather-clad bikers to silk-tie businessmen, from fresh-face 20-somethings to craggled-face oldsters, from country bumpkins to city slickers.

fast eddies 3

fast eddies 4

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Angelo’s Pizzeria in Black Jack Missouri has a slightly different formula to success. This family run operation simply make the best thin crust, St. Louis style pizza in the entire metropolitan area. It’s almost shocking that such a thin wafer of crust can hold their generous slathering of toppings. And while other pizzeria’s try to keep customers coming back with novelty pie creations and skimpy toppings, Angelo’s continues to pile it on.

Angelos Pizzeria

And there’s the authenticity factor too. The family is the staff, from front to back, and their branding and marketing is basic if non-existant. The dining room is spartan despite grandma’s “masterpieces” hanging on the wall, they don’t have a website, and their pizza boxes are plain white…not even adorned with a taped-on menu or bounceback coupon.

And if you ever visit Angelo’s, don’t expect a packed dining room or long lines. Just expect to hear the repeated ring of the phone and “Hello, Angelo’s.”

chevy tattooI’m amazed to see the word “loyalty” misused so frequently in briefs, books, articles, etc. I believe what most author’s really mean is continuity, or at least I hope so.

My definition of brand loyalty is a consumer’s rigid predesposition to buy a product or service, even if a competitor offers a substantial incentive to switch: e.g. price discounts, gifts, special access, etc.

I have a friend who is a classic example of a brand loyalist. He drinks Miller Lite beer exclusively and drives nothing but Chevys. Persuading him to switch to Bud Light or Ford would be like asking an Ohio State fan to trade his season tickets for half-off Michigan tickets. It ain’t gonna happen.

Advertising, promotions, and PR play an extremely small role in creating consumer loyalty. Some consumers may identify with how a brand is portrayed in their marketing communications, but there is little evidence that branding is an important gateway to true loyalty.

When marketers speak of loyalty or “loyalty programs”, they quite often mean purchase incentives or points programs. Incentives can drive repeat purchases, but rarely will this rote buying behavior result in true loyalty. Unlike addictive drugs, once the incentive is removed, brand preference disappears.

Giving small purchase incentives to a loyalist who isn’t influenced by them makes no sense either.

I do believe certain marketing activities can reinforce loyalty and generate advocacy: for example, exclusive memberships that include insider access and beta/new product review opportunities. These are true loyality programs, not continuity programs.

Tweet ‘O8

Our agency (Infuz) does a lot of work within the context of social media. And being a curious lot, we recently created a site that allows users to ‘listen’ to conversations of voters via Twitter. An interesting experiment to say the least.

The 5 C’s of Engagement
Fundamentally, engagement is a state of deeply occupied attention. This may or may not include active elements of involvement and participation. For example, I might find a video highly engaging, although watching is pretty much a passive experience. Playing games, creating digital art, and messaging friends are good examples of active engagement.

I categorize digital engagement experiences by 5 Cs

• Captivation
• Conversation
• Collaboration
• Creation
• Commerce

Captivation is often a passive form of engagement: watching videos, listening to music, or viewing images. It’s important to understand there is a strong qualitative factor that separates apathetic media consumption from captivation. This is one reason I feel ‘time spent’ is an inadequate measure of true engagement. Ten minutes of exposure to second-rate content doesn’t carry twice the weight of a compelling experience lasting five minutes. I also consider single-player games, demonstrations, and e-learning applications interactive platforms for captivation.

Conversation is a highly interactive form of engagement and a fundamental characteristic of social media. Posting, commenting, and messaging are means for users to engage others in opinions and ideas. From a brand marketer’s perspective, conversations are a powerful force that can drive product awareness, consideration and affinity. Like captivation, conversations that are entertaining, emotional, or otherwise provide value are more engaging than conversations that don’t.

Collaboration through wikis, multi-player games, and work applications are other examples of engagement. Brands have only scratched the surface in building collaborative experiences that let consumers not only interact with each other, but with a brand in creating something interesting.

Creation is a form of engagement that encompasses two separate activities: making and sharing. Digital toys, drawing and music applications are just a few examples of platforms that allow users to make their own creations. Product customization and visualization features also fall into this category. Media sharing platforms that allow users to post and share images, video, and digital documents overlap the creation and conversation experience.

Commerce might be the most powerful form of engagement. The seemingly prosaic process of shopping and purchasing is often one of the most memorable interactions we ever have with a brand. Likewise, the experiential factors of seeking product information, quotes, and customer service have a critical impact on conversion and affinity.

 

 

 

 

Next time: Are all engagements created equal?

engaging eyes

What is “engagement” anyway?

Engagement means something a little different to everyone. Here are just a few examples:

ARF (Advertising Research Foundation)“Engagement is turning on a prospect to a brand idea enhanced by the surrounding context.”

This definition is a bit confusing and sounds more like a branding goal than a description of a user experience. Isn’t “turning on a prospect to a brand idea” the goal of most advertising? If so, does engagement simply mean ‘advertising enhanced with surrounding context’?

The ARF definition is also very broad and includes three qualitative variables that would require sophisticated (if not expensive) measurement methods.  How do you measure “turning on”, “enhanced”, and “context”?

stopwatch

Steve Hall of Adrants “Time Spent (with medium) + Response Rate (average CTR, letters to editor, subscription/renewal rates, number of comments left on a blog) + Average Ad/Content Recall Rates + Uptick in Measured Brand Metric”

Steve admittedly didn’t spend much time whipping up this formula, but it’s definitely more tangible than the ARF definition. Unfortunately the variables Steve offers raise important questions about the qualitative aspects of measuring engagement.

  •  ‘time spent’ – Are extremely compelling interactions that take little time less valuable than moderately compelling activities that take more time?
  • “response rates” – I assume Steve believes engagement with publisher content provides value to the advertiser. As discussed earlier, this probably isn’t the case.  Also, ‘response rates’ as a metric assumes the last interaction before a “response” is always most valuable. We still don’t know if that is true.
  • “recall rates” -  I can vividly recall many ads I do not like, as well as ads for brands I do not buy. That said, recall is still a useful measurement of attention and awareness.

Eric Peterson of Web Analytics Demystified “Engagement is an estimate of the degree and depth of visitor interaction on the site against a clearly defined set of goals.”

Visitor engagement formula

Eric’s formula of engagement is a decent framework for publishers and brand site managers, but doesn’t provide much guidance for creating a universal advertising metric.

The other problem with formula is also strength; each component can be weighted to fit what each publisher believes to be most important. As a result, “engagement” would never become a quantifiable constant that can be used to measure one publisher against another.

Many types of engagement
All definitions of engagement illustrate another challenge: there are many activities and experiences that can be considered engagement. Peterson’s formula demonstrates that publishers can readily establish a consistent, formulaic metric representing numerous activities. For advertisers, this isn’t so easy.

A single campaign can simultaneously span many touch-points, each offering a different set of possible activities. And this undoubtedly changes with each subsequent campaign.

 

Next time: The five Cs of engagement

Publishers and advertisers view engagement differently
Advertising supported publishers and corporate/brand site managers have always used web analytics to measure basic forms of user engagement, e.g. number of visitors, page views, time spent, etc. These measures also provide publishers with immediate feedback on traffic levels, and ultimately, the trend of available impressions that could be sold.

 

As Internet users began spending more time with high bandwidth content and Web 2.0 applications, publishers soon realized revenue models based on pages served wasn’t such a great idea. Some even theorized users of this content might be more valuable to advertisers.

 

Advertisers already knew rich media outperformed standard banner ads in both branding effectiveness and CTRs, so it was easy to conclude that high bandwidth content and social media experiences would provide similar value.

 

Many managers of brand sites and interactive marketing researchers successfully identified correlations between site metrics such as repeat visits, time spent, and page views and brand metrics. Unfortunately the traffic on most brand sites is relatively small, thus difficult to move the needle in a big way. Brand marketers are increasingly dependant on high traffic publishers and ad networks to connect with new consumers.

 

The wall between advertisement and publisher content is high on most ad supported sites, as it should be. However, banner blindness is now an unspoken truth and the primary goal for most online advertisers today is to simply get a user’s attention.

 

In many ways, advertisers and publishers compete for attention – this is nothing new, but if a publisher is successful in growing highly engaged users, doesn’t that engagement come at the expense of the advertiser?

 

Advertisers are primarily interested in getting consumers to engage with their brand, not in increasing ad exposures to users who are engaged in doing something else. Too often brand engagement is peripheral to the engagement experience.

 

Next time: What is “engagement” anyway?

I’ve written a long diatribe on our industry’s attempts to define and measure engagement. I’ll post my thoughts here in bite-sized chunks over the coming weeks.

Engagement is still a hot topic in the interactive marketing community, even after years trying to define, measure, and monetize it. I want to take a closer look at the challenges we’ve faced and even offer some suggestions.

Advertising media is most often valuated and purchased using ‘exposure metrics’ like GRPs, impressions, and time spent. Although brand marketers have been long frustrated to translate audience exposure into a real ROI, these metrics have become both familiar and grudgingly accepted yardsticks of media value.

By the early 90’s most of us believed the experiential nature of interactive media could offer far more value to advertisers than simply exposing consumers to a commercial message. In the years since, broadband penetration and the explosion of user generated content increased our interest in packaging engagement as a metric.

The barriers we face
After much discussion and debate, we still find ourselves unable to address these key challenges:

  • Engagement means something different to ad supported publishers, brand site managers, and advertisers
  • Too many activities can be considered “engagement”
  • The value of engagement is highly dependant on qualitative factors

Next time: Publishers and advertisers view engagement differently

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