Category mobile

The Geography of Marketing: Staying Connected

The number of people who own smartphones worldwide continues to rise. Therefore, mobile marketing is becoming more important for businesses around the globe.

While the technology that is used in mobile devices has improved markedly in recent years, there are still issues that marketers need to be aware of that can influence the overall effectiveness of their mobile marketing campaigns.

In episode #436 of UNTETHER.tv, Rob Woodbridge interviewed Jasmeet Sethi, Regional Head of Consumer Insights for Ericsson ConsumerLab in India.

In a blog post introducing the episode, Woodbridge explains that Sethi believes the greatest challenge he faces is understanding the user experience for consumers in emerging markets.

“Forget your perceptions of UI/UX if you are thinking of swipes or “pull to refresh” or tap and hold, user experience to Jasmeet means something altogether more fundamental,” writes Woodbridge. “We take for granted the almost pervasive access to high speed wireless data we have at our fingertips but, as you know, in certain parts of emerging countries that doesn’t exist. This is a critical first step in understanding how to build for these markets – if your app or mobile service requires an always-on connection to the stream, it will not work in much of India. This, and many other basic usability requirements, could do irreparable damage to great brands and limit success in these huge markets.”

Back in the United States of America

While having limited access to an always-on data connection and slow download speeds are definitely going to be problems in emerging markets, these issues are also problems for marketers here in the United States. Therefore, the lessons that Woodbridge and Sethi are trying to teach marketers around the world are also valuable to those marketers who are trying to reach U.S. consumers.

According to a report that was released last year by the Pew Research Center’s Internet & American Life Project, 77% of adult mobile Internet users in the United States said that they experience “slow download speeds that prevent things from loading as quickly as you would like them to” at least occasionally. In fact, nearly half (46%) of adult U.S. mobile Internet users reported that they experience this problem at least once a week. (Note: Data from this study was also reported in an article written by Amy Gahran on CNN.com in August of 2012.)

An even simpler way to illustrate this problem is to go to the maps that show the 3G and 4G coverage areas for any mobile network operator in the United States.

According the current coverage map for Verizon Wireless, Verizon 4G LTE is available in 480 cities and covers 87% of the U.S. population. However, there are still many areas of the country that still don’t have access to Verizon’s 4G network. In fact, there are major areas on the map where 3G coverage isn’t available. While these areas aren’t places where many people live, they might be places where people travel to. Either way, they are locations where mobile marketing might not be the best option at this point in time.

It should be noted that there are many places around the country, including in the metro areas of Atlanta and Minneapolis/St. Paul, where I have experienced regular data connection problems when I used my 3G smartphone. This includes outdoor spaces, as well as in malls and major retail stores.

In episode 6 of the Digital Dive Podcast, co-hosts Emily Binder and Melanie Touchstone talk about connection issues that they encountered in the metro Atlanta area when vendors used their mobile devices to accept mobile payments with apps like Square or LevelUp. In episode 7, they arrive at the conclusion that the problem is fixed when vendors are connected to a 4G network. Therefore, 4G might be the solution that marketers and entrepreneurs are looking for.

However, keep in mind, that although 4G LTE is available in most urban areas, not everyone has upgraded to a 4G-enabled mobile device.

Therefore, if your mobile marketing campaign requires an always-on data connection, it is highly recommended that you test to make sure that consumers can connect using various types of mobile devices in the geographical areas where the campaign will be running, and definitely test to make sure that they can connect using a 3G network. In fact, it wouldn’t be a bad idea to test at different times of the day using different mobile devices before implementing your mobile marketing campaign. Then, continue to test the data connection availability and download speeds from time to time while the mobile marketing campaign is running.

Final Thoughts

As Woodbridge and Sethi point out in the post introducing episode #436 of UNTETHER.tv, data connection issues and slow download speeds can limit the success of mobile marketing campaigns and possibly cause irreparable damage to great brands.

Although they were talking about marketing to consumers in India and other emerging markets, similar issues are still problems in many parts of the United States.

While having a 4G connection might solve many of these problems, 4G is not available everywhere. And, even in places where it is available, many consumers won’t be able to access it because they haven’t upgraded to a 4G-enabled mobile device.

Therefore, before your business implements a mobile marketing campaign that requires an always-on data connection, it would be a good idea to test the data connection availability and download speeds in the geographical areas where the campaign will be running using a variety of mobile devices during different times of the day. And, definitely make sure that consumers can connect using a mobile device on a 3G network. Furthermore, it wouldn’t be a bad idea to test the data connection availability and download speeds from time to time while the mobile marketing campaign is running.

Finally, if your business plans to offer mobile payment options using Square, LevelUp or some other similar service, it is probably a good idea to make sure that your business is connected to a 4G network. It is also a good idea to test to make sure that everything is running smoothly before you use the service to process transactions during peak sales hours.

Photo credits: LGEPR and ETC@USC on Flickr.

Chad Thiele

Marketing analyst and strategist, freelance writer, content curator, applied sociologist, and a proud UW-Madison alumnus. My goal is to help businesses achieve their marketing objectives and business goals while gaining additional experience in the exciting world of digital marketing. I'm currently looking for my next career challenge. Please feel free to contact me anytime at: chadjthiele@gmail.com.

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The Geography of Marketing: Media Consumption Habits

The location and the size of the city that people live in tends to influence what sources they turn to for local news and information. This is something that marketers need to be aware of when deciding how best to reach their target audience.

In a blog post that I wrote last year, I pointed out that use of the latest advancements in technology tends to vary based on the location and the size of the community that consumers live in. At the time, my analysis was based on knowledge that I had obtained by traveling and living in various communities.

Since then, a report was published that verified many of my observations. (I want to thank Jason Konopinski for pointing out this study in a recent blog post that he wrote.)

The study was conducted in January 2011 by the Pew Research Center’s Project for Excellence in Journalism and Internet & American Life Project, in partnership with the Knight Foundation. The study explains that while most U.S. adults keep track of what is happening in their local communities, the local news ecosystem is complex.

According to the authors of report, “The results indicate that from large urban areas to rural communities, Americans often report similarly high levels of interest in news in general, in local news and information, and in national and international news.  Moreover, similar percentages of adults report following the specific local topics asked about, regardless of the type of community in which they live.”

“Still, community differences do emerge in the number and variety of local news sources used, as well as the degree of “local news participation” and mobile news consumption,” the authors of the study continue. “Many of the differences in local news consumption emerging from these data reflect the varying demographic composition of different community types in the U.S.”

Important Differences Based on Location and Community Size

The report highlights some of the differences in local news consumption habits based on location and community size. Here are some of the findings reported in the study:

Urban consumers obtain local news and information from a wide range of sources, including Internet searches, Twitter, blogs and the websites of local TV stations and newspapers. They also are more likely to obtain news via their mobile devices than consumers in small cities/towns or rural areas.

Suburban consumers tend to rely on local radio for news and information more than consumers in urban, small town/city, and rural areas. (The authors of the report say that this is possibly a result of relatively longer commute times.) These consumers are also the most likely to use a mobile device to obtain local news and information.

Consumers living in small towns/cities tend to rely on tradition media sources such as television and newspapers for local news and information. In fact, the study found that when compared to consumers living in communities of different sizes, consumers living in small towns/cities are the most likely to worry about what would happen if their local newspaper no longer existed. It is also important to note that these consumers are less likely to use the Internet and/or email or have a cell phone than consumers in larger communities.

Rural consumers use the fewest sources of media to obtain local news and information (average 3.3 local news sources per week, tied with small town/city consumers.) They are also the most likely to only rely on traditional news sources. Therefore, it is not surprising that they are the least likely to obtain local news and information via a mobile device, when compared to consumers living in larger communities.

Some of these variations can be explained by the demographics of the consumers living in each type of community. However, as the study points out, some consumers may not obtain local news and information via the specific media sources because it is just not an option for them.

Final Thoughts

The study that was released by the Pew Research Center’s Project for Excellence in Journalism and Internet & American Life Project, in partnership with the Knight Foundation, is an excellent resource for marketers.

As I pointed out in my blog post last year, use of different technological advancements, including social networking sites, tends to vary based on the size and location of the community that consumers live in.

As the Pew Research Center’s report points out, the size and location of the community also plays a role in whether or not consumers rely on a wide range of media sources for local news and information.

This data again points to the fact that marketers need to make adjustments in their marketing campaigns in order to reach their customers and prospects where they are, not where the business thinks they should be.

In the end, because media consumption habits are different based on the location and the size of the community, specific marketing campaigns that work in one place might not be as effective in a different part of the country.

Photo credits: ChrisYunker and Gerry Dincher on Flickr.

Chad Thiele

Marketing analyst and strategist, freelance writer, content curator, applied sociologist, and a proud UW-Madison alumnus. My goal is to help businesses achieve their marketing objectives and business goals while gaining additional experience in the exciting world of digital marketing. I'm currently looking for my next career challenge. Please feel free to contact me anytime at: chadjthiele@gmail.com.

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A Look at the Aging of America From a Retail Perspective

Andy Rooney once said, “It’s paradoxical that the idea of living a long life appeals to everyone, but the idea of getting old doesn’t appeal to anyone.”

This could be partially due to the fact that either through design or disregard, the products and services that brands offer tend to cater to younger consumers.

However, as times goes on, older consumers are going to be harder and harder to ignore.

As the baby boomers reach retirement age, the number of older consumers continues to grow. (It is worth noting that there will be more older consumers in the near future because there were higher birth rates from 1946 to 1964 and because older consumers who reach the age of 65 are projected to live longer lives in the future.)

While brands do intentionally target different consumers when they advertise their products or services, there are also some decisions that brands are making that may unintentionally exclude older consumers from making a purchase.

If You Can Read This You’re Too Young

In his book, “Why We Buy: The Science of Shopping—Updated and Revised for the Internet, the Global Consumer, and Beyond,” (affiliate link) Paco Underhill explains how retail will be transformed in the near future as a result of the aging of the population of the United States. In fact, he devotes a whole chapter to this topic.

According to Underhill, by 2025, we are going to need a whole new world when it comes to retail.

“What’s wrong with this world? For starters, all the words are too damn small,” says Underhill. “See this sentence? How could you? Too damn small. How about the morning paper? Forget it. Too damn small. The directions on your jar of organic herbal laxative? Too. Damn. Small. And you’re not even going to try squinting. (It causes wrinkles.) If you can’t read it, by gum, you just won’t buy it. And if you don’t buy organic herbal laxative, nobody will. And if nobody buys it… well, you see where this is going.”

“Human eyes begin to falter at about age forty, and even healthy ones are usually impaired by their sixties,” Underhill continues. “With age, three main ocular events take place: The lens becomes more rigid and the muscles holding it weaken, meaning you can’t focus on small type; the cornea yellows, which changes how you perceive color; and less light reaches your retina, meaning the world looks a little dimmer than it once did. The issue of visual acuity, already a major one in the marketplace, will become even more critical—not just in some far-off future, but from this moment on.”

Is he making too big of a deal about the eyesight of older consumers? You can decide that for yourself, but first you might want to read some of the examples that Underhill provides as evidence.

“One of our fast-food clients realized that diners over fifty-five were their fastest-growing demographic, despite the fact that the menu boards used type that was almost impossible for older people to see well,” reports Underhill. “The company redesigned the menus using large photos of the food, and even though it meant listing fewer items, sales rose.”

Underhill also points out that, “The main market today for drugstores is older people, and that dependence will only increase. Certainly, of all the words we are required to read in the course of our lives, few are more important than the labels, directions and warnings on drugs, both prescription and over the counter. For instance, we have found that 91 percent of all skin care customers buy only after they’ve read the front label of the box, bottle or jar. Forty-two percent of buyers also read the back of the package. Clearly, reading is crucial to selling skin care and other health and beauty items.”

It is also interesting to note that the type on products that are frequently used by senior citizens (e.g., aspirin, a host of other common analgesics, cold capsules and vitamins) is often smaller than the type on products that are targeted to teenagers.

Can the Problem Be Fixed?

This sounds like an easy enough problem to fix. Just make the type bigger and the problem is solved, right? Not so fast.

You see, part of the problem is that many consumers rely on information in order to make purchase decisions. Therefore, brands need to provide a sufficient amount of information on their packages.

However, on a small box or bottle, there is a limited amount of real estate. Therefore, the choice is to either make the package bigger, provide less information or make the type smaller. It appears that many brands are choosing the third option—to the dismay of older consumers.

In the book, Underhill offers some possible suggestions that might help fix the problem, including package redesigns, better signage in retail stores, increased use of graphics on the labels, and tech solutions including sending additional information to our mobile devices.

In the end, he suggests the correct solution might be a combination of these and other possible fixes.

Final Thoughts

As Paco Underhill points out in his book, the aging of the population of consumers in the United States is going to provide numerous challenges to brands and retailers in the very near future. (These challenges include issues that I haven’t mentioned in this post.)

However, as with any challenge that is presented to the business world, they also provide an opportunity for businesses to profit by stepping up and finding ways to meet the needs of this important demographic.

As Paco Underhill sums it up, “Older shoppers are more important than ever, if only because there are more of them, and they have a lot of money to spend and time to spend it. Their presence will transform how products are sold in the twenty-first century.”

With this in mind, the question is: Is your business ready?

Photo credits: nicubunu.photo and bartsz on Flickr.

Chad Thiele

Marketing analyst and strategist, freelance writer, content curator, applied sociologist, and a proud UW-Madison alumnus. My goal is to help businesses achieve their marketing objectives and business goals while gaining additional experience in the exciting world of digital marketing. I'm currently looking for my next career challenge. Please feel free to contact me anytime at: chadjthiele@gmail.com.

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Seven Things on My Radar for 2013

Question: 2013 will be the year of what?

That is the question that many people are currently asking themselves.

In November, iMedia Communications published a blog post that featured 16 business leaders making predictions as to what they think 2013 will be best known for.

In the post, Mark Cuban, an American business magnate and owner of the NBA’s Dallas Mavericks, predicted that 2013 will be the year of entrepreneurship. Ian Wolfman, CMO at MEplusYou, predicted that 2013 will be the year of purpose (i.e., brands will do more meaningful things in the world and more advertising dollars will be spent for social good in an effort to earn the trust of consumers.) Furthermore, Alfredo Gangotena, CMO at MasterCard, focused on the changing economic conditions around the world, including new opportunities for business growth in Africa in 2013.

Other experts predicted that we will finally get mobile right in 2013, video will explode, we will be able to achieve better targeting for in-marketing consumers, and that there will be more consolidation and easier technology, among other things.

If that list wasn’t enough to inspire your imagination, I’d suggest checking out the “100 Things to Watch in 2013” list published by JWT Intelligence. This yearly list has some amazing predictions for 2013.

Some of the Things That I Will Be Watching in 2013

I don’t have access to the same information that the business leaders that I mentioned earlier in this post have. Therefore, I am not going to make a prediction as to what I think 2013 will be best known for.

While I can’t say what 2013 will be best known for, I can provide a list of some of the things that I plan to study and monitor in the next 12 months. That list includes:

1) Rapid Advancements in Technology

We all know how fast technology has changed the world that we live in, in just the past decade. Think about what the world will be like next year, then think about the remarkable changes in technology that we will witness in the next 10, 20, or 30 years. In order to stay ahead of the curve, I think that it is important for businesses to pay attention to what futurists like Raymond Kurzweil predict the world will be like, and make sure that they have the products and services that will meet consumers’ demands when the time comes.

Therefore, it is not surprising that Google recently hired Kurzweil to be the Director of Engineering. Sure, the real reason for the hire is because Kurzweil has decades of machine learning experience, but there are other reasons for having a brilliant futurist on staff (i.e., making sure the competition doesn’t have the same level of access to all the knowledge that he has in that head of his.)

There are other reasons to be thinking about the future of technology from a business standpoint. For further insight, look at number 11, 20, 27, 43, 52, 65, and 70 on the JWT Intelligence “100 Things to Watch in 2013” list.

2) Mobile (User Experience and Marketing)

According to comScore, “123.3 million people in the U.S. owned smartphones (53 percent mobile market penetration) during the three months ending in November 2012, up 6 percent since August.” (This doesn’t include the increase that we will most likely see after the numbers are in after the holiday gift-giving season. Also, keep in mind, this number doesn’t include tablet computer usage.)

Therefore, it is not surprising that many experts predict that mobile will play an increasing role in consumers’ purchase decisions in the future. Therefore, it would be extremely ignorant to ignore this important technology.

From a business standpoint, it will not only be important to monitor how consumers are using their mobile devices in their day-to-day lives, but it will also be important that consumers can easily find the brand’s products or services wherever they are looking, including when they are using their smartphones or tablet computers. And, when they do find the brand’s products or services online, it will be equally important that the information that they find is user friendly and optimized for the mobile device that they are using.

3) Mobile Payments

Mobile devices will not only change the way that consumers find and do research on products or services, they will also play an increasing role in how consumers actually purchase these products and services. In fact, according to a post on the Intuit GoPayment Blog, a recent Jupiter Research study estimated that, by 2017, one out of every 25 retail transactions worldwide will be completed with a mobile device.

Therefore, it is important that businesses start getting comfortable with this technology now, while the technology is still new and they have the luxury of time to experiment and make adjustments, as necessary. If businesses wait until a majority of their customers become comfortable with the technology, they might end up losing sales to competitors that have taken the time to experiment and perfect the transaction process.

4) Mobile-Influenced Merchandising

As an increasing number of people use mobile devices to gather information as they shop in brick-and-mortar stores, it is inevitably going to change the way that consumers interact with products in the real world. Retailers are going to want to do everything that they can to prevent what some experts call “showrooming.” Finding ways to get consumers to buy from the current store that they are in is going to become a top priority. Among other things, this might lead to more price-match guarantees to increase sales. There is also a possibility that consumers’ shopping behaviors will be altered in ways that we haven’t even thought of as a result of consumers having a mobile device in their hand while they shop. It is for this reason that I will be watching merchandising trends in 2013.

5) Privacy Issues

Changes in all sorts of technology, from Facebook to facial recognition technology, will have consumers worrying whether or not their personally identifiable information (PII) is getting into the wrong hands. In this environment, even the perception of a privacy issue can have a huge impact on whether or not consumers trust the brand, which can ultimately have an effect on the bottom line.

6) The Evolution of Marketing and Public Relations

It is important that businesses monitor changes in the marketing and public relations world. Each new technology that is introduced brings with it new challenges. Therefore, it is important to understand what is working for other companies and adapt that into your marketing plan, if possible. It is also important to try new things, test, and make changes when necessary. However, as Mark Schaefer points out in a recent blog post, one of the best ways to cope with the changes that marketers are facing today is to view technological change through the lens of marketing fundamentals. That way you can more easily weed out the stuff that most likely won’t work. In other words, a solid understanding of the fundamentals of marketing and public relations will still be the foundation for success.

7) Emerging Markets

Alfredo Gangotena’s comment in the post that I mentioned earlier really got me thinking about the possibilities that are available in emerging markets. Therefore, I plan to add this to my to-do list of topics to study in 2013.

Conclusion

These are just some of the things that I will be watching in 2013.

It is important to note that a change in technology could have a huge impact on all the other things mentioned on my list.

So now that you have my list, my question to you is: what is on your radar in 2013?

Photo credit: Official U.S. Navy Imagery on Flickr.

Chad Thiele

Marketing analyst and strategist, freelance writer, content curator, applied sociologist, and a proud UW-Madison alumnus. My goal is to help businesses achieve their marketing objectives and business goals while gaining additional experience in the exciting world of digital marketing. I'm currently looking for my next career challenge. Please feel free to contact me anytime at: chadjthiele@gmail.com.

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They Only Cost a Tweet! #tweetshop

The Kellogg Company Introduces Special K Crisps to the UK

In his book, “Why We Buy: The Science of Shopping—Updated and Revised for the Internet, the Global Consumer, and Beyond,” (affiliate link) Paco Underhill points out that, “Close to 90 percent of all new grocery products fail, but it isn’t because people didn’t like them—it’s because people never tried them. In my opinion, a new product introduction that doesn’t include a well-funded, fully supported (with marketing) effort to give shoppers samples is not a serious attempt.”

Therefore, it’s not surprising that when introducing its new Special K Cracker Crisps to the UK at the end of last month, the Kellogg Company created a unique marketing campaign that not only gave customers a chance to try the product, but they also incorporated social media into the effort in a way that guaranteed that customers would spread the word about how awesome Special K Cracker Crisps are to their friends online.

Kellogg’s Tweet Shop

The idea was simple: They created a trendy pop-up shop in London’s Soho district that invited customers to get packages of Special K Cracker Crisps in exchange for a tweet that included the hashtag #tweetshop.

As an Ad Age article points out, this is not the first time that a brand has offered free products in exchange for a post on a social networking site. However, the article points out that it might be the first example of real-life interaction using a pay-with-a-tweet-concept.

In the Ad Age article, Dan Glover, creative director of Mischief PR, the agency behind the campaign, is quoted as saying, “We believe that physical and social are one and the same. When we had the idea it felt very simple, and we did a lot of checking to be sure it was a world first. We jumped on that and made it happen – it was eight weeks from idea to execution.”

Not only was this a creative way to get customers to sample a new product, but it also created a lot of buzz in the media, as well.

And, the pay-with-a-tweet concept ensured that people would be spreading the word online.

As Sarah Case, brand manager for Special K, explains, “The value of positive endorsements on social-media sites is beyond compare, so we’re excited to be the first company to literally use social currency instead of financial currency to launch this new product in our bespoke Special K shop.”

Word of Mouth—What Customers Were Tweeting

On Friday, September 28th, I searched for the hashtag #tweetshop. (This, by the way, was the last day that pop-up store was in operation.)

As would be expected, many of the tweets included photos that were posted on other social networking sites.

Some of the tweets included the hashtag #spons.

According to theEword, a search marketing agency located in Manchester, England, “Within the Kellogg’s pop up store, people are given a menu of Tweets to try out, all including #tweetshop #spons. While #tweetshop allows Kellogg’s to monitor the success of its social media campaign, the #spons hashtag ensures that it adheres to regulations put in place by the Advertising Standards Agency, which requires sponsored tweets to be clearly indicated.”

Here are some of examples of the tweets. (Thanks to the Twitter Blackbird Pie WordPress plugin, you can actually click on the links in the tweets to see the photos that customers tweeted.)

So cool! I'm at the first tweet shop in the world! #tweetshop #london
@pamche
Pamela Chehade
Kellogg's #TweetShop #popupshop on Meard Street. Actually pretty good crisps. (@ the tweet shop) [pic]: http://t.co/TjF7GYMJ
@Thesegoto11
Steven Ray
I've just had new Special K crisps and they're delicious! #tweetshop #spons
@AndyJoeyTaylor
Andrew Joseph Taylor
Just having cracker crisps in the special K tweet shop! It is rather good! #tweetshop
@Heph
Simon Hepher

Increasing Brand Engagement

The official UK Press Office for the Kellogg Company (@KelloggsUK) also asked Twitterers who were not at the Tweet Shop to tweet using the hashtag #tweetshop for a chance to win some free Special K Cracker Crisps.

By engaging the audience in this way, the Kellogg Company helped increase the awareness of the new product and hopefully got some additional people to purchase them.

Who wants to win3 new flavours of Special K Cracker Crisps? Please tweet #tweetshop with a message why you should win! http://t.co/5BC0AxsL
@KelloggsUK
Kellogg's UK

Conclusion

As Paco Underhill pointed out in his book, getting people to try a new product is of the utmost importance.

Getting consumers to sample a product and creating a buzz at the same time is a big win.

That’s exactly what the Kellogg Company did when they introduced their Special K Cracker Crisps to the UK in September.

By using a trendy pop-up store in London’s Soho district, the Kellogg Company found a way to get the product into consumers’ hands and, at the same time, get them excited about it.

From the consumers’ perspective, they got some tasty snacks—and it only cost them a tweet.

Chad Thiele

Marketing analyst and strategist, freelance writer, content curator, applied sociologist, and a proud UW-Madison alumnus. My goal is to help businesses achieve their marketing objectives and business goals while gaining additional experience in the exciting world of digital marketing. I'm currently looking for my next career challenge. Please feel free to contact me anytime at: chadjthiele@gmail.com.

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Only Half the Story: Instagram Now Has More Daily Active Users on Mobile Than Twitter

You may have read the Mashable article that reported that Instagram now has more daily active users on mobile than Twitter.

Yes, it’s true, according to comScore Instagram had 7.3 million daily mobile users in August, compared to 6.9 million for Twitter.

However, Twitter enthusiasts need not worry at all. After all, the numbers that were reported by comScore are only based on mobile users and many of Twitter’s users access the site via its website on their PC.

In fact, according to eBizMBA Inc., as of September 2012, Twitter is the 9th most popular website.

Furthermore, I think it’s misleading to compare Twitter and Instagram, because they are two very different types of social networking sites. In fact, even though Facebook now owns Instagram, Instagram and Twitter currently have a very symbiotic relationship. That is, many Instagram users use Twitter to share their photos with other people in their network—particularly those who aren’t using Instagram. This benefits both Twitter, as its users can share additional content, and Instagram, as its users can have their photos reach a larger audience.

Therefore, the fact that Instagram has more daily active users on mobile than Twitter is only half the story.

In fact, I don’t think that it’s a story at all.

In the end, Twitter is still a great place to for advertisers to focus when trying to generate buzz about their products or services. As I plan to point out in the next post, this is particularly true when used in conjunction with some other event or as a part of a larger marketing or public relations campaign.

Photo credit: eldh on Flickr.

Chad Thiele

Marketing analyst and strategist, freelance writer, content curator, applied sociologist, and a proud UW-Madison alumnus. My goal is to help businesses achieve their marketing objectives and business goals while gaining additional experience in the exciting world of digital marketing. I'm currently looking for my next career challenge. Please feel free to contact me anytime at: chadjthiele@gmail.com.

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Facial Recognition Technology and Privacy: Is a Deal Really Worth It?

When you mention facial recognition technology, many people cringe and think of an invasion of privacy that will lead to the government tracking their every move and taking away their civil liberties.

On the other hand, when facial recognition technology is mentioned to other people, they get excited about all the possible cool things that can be done, from improved security systems to marketing opportunities.

Where you stand on this issue is probably going to determine how you feel about a new high-tech loyalty program that is being tested by redpepper, an advertising agency with offices in Atlanta and Nashville.

But, before we get into that further, I want to refresh your memory about another use of facial recognition technology that I talked about in a post last month.

In the post, I mentioned digital signage that is using facial recognition technology that helps identify basic demographics (gender, approximate age, body type, etc.) of the consumers who are looking at the digital sign and then uses that information to deliver relevant ads to them.

Personally, I think that this use of facial recognition technology is harmless because it is only identifying the characteristics of the person, not who the person is. In other words, the consumer’s face is not being matched to a large database to identify their exact identity.

It’s a good thing that I didn’t argue that such a database doesn’t even exist, because only a few days later, I learned that there is a database that I didn’t even think about—Facebook.

Here’s where redpepper enters the story.

Facedeals

As an article on the Los Angeles Times website reports, “A new app is being tested in Nashville, Tenn., that can check in people on Facebook and send them offers using facial-recognition cameras.”

“Called Facedeals, the new service uses cameras installed at businesses’ front doors to read people’s faces as they enter,” the article continues. “If the people who come in are users of the app, they will be checked in, and based on their “like” history, they would receive a customized offer.”

Keep in mind, the idea of getting a deal based on checking in is not new. Businesses around the country are doing the same thing using Foursquare and other location-based social networking sites. In fact, last year I wrote a blog post about Concentrics Restaurants in Atlanta, Georgia. With the help of PlacePunch, Concentrics Restaurants was doing a really great job of offering deals to loyal customers who checked in on Foursquare, Facebook, Gowalla or Yelp.

It appears that the main difference is that Facedeals uses facial recognition technology to check a consumer in every time they enter an establishment that participates in the program. In addition, Facedeals also customizes the deal offered based on the participants “likes” on Facebook.

You can find additional information about Facedeals on the redpepper website.

Privacy Issues

If you search YouTube, you will find that there are people who are letting their opinions be known, both for and against Facedeals.

As you would expect, the normal privacy issues are being brought to the forefront.

Personally, I’m not against using facial recognition technology in this manner. The main reason for my stance is that it is opt in.

However, other people could argue that Facedeals could still track you based on your Facebook profile information even if you don’t opt in and just not tell you. But, let’s face it, the government might already be doing this.

The only problem that I have with Facedeals is that by automatically checking you in on Facebook, all the people who you are connected to on Facebook would know where you are every time you enter a participating establishment. (Without the facial recognition component, you get to choose when to check in and where to share the information.) This could be fixed by having a setting that allows the user to decide not share the check-ins on their Facebook page.

Conclusion

In the future, more technologies are going to be introduced that will push the envelope and challenge both our imagination and how we define our expectations of privacy.

Everyone is aware that facial recognition technologies exist.

However, some people are going to fight to limit its use.

Businesses that plan to use facial recognition technology need to be aware that they serve customers who embrace this type of technology and those who are vehemently against it. Therefore, they need to decide whether or not using a service similar to Facedeals is worth the effort.

Ultimately, though, it is the consumer who gets to decide. If enough people who are against this type of technology voice their opinion to the business owner, the business owner will be forced to listen. On the other hand, if a majority of customers embrace the technology, then its use will become a more common occurrence in businesses all over the world.

Therefore, it is going to be interesting to see how the people of Nashville welcome Facedeals.

My question to you is: If you were given the opportunity to participate in this type of service, would you choose to opt in?

Photo credit: david drexler on Flickr.

Chad Thiele

Marketing analyst and strategist, freelance writer, content curator, applied sociologist, and a proud UW-Madison alumnus. My goal is to help businesses achieve their marketing objectives and business goals while gaining additional experience in the exciting world of digital marketing. I'm currently looking for my next career challenge. Please feel free to contact me anytime at: chadjthiele@gmail.com.

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Please, Don’t Put a QR Code There!

A recent report from ScanLife points to the fact that more people are scanning QR codes this year than they were last year, at least QR codes that were created by ScanLife. This can be explained by the increased usage of QR codes by advertisers and by the fact that more people own smartphones now than they did last year.

It is noteworthy that according to ScanLife, 60% of people who scan QR codes do so at home. This might indicate that QR codes are less effective when people are asked to scan them while they are on the go.

However, I need to point out that these findings are probably biased based on what brands hire ScanLife and how they use QR codes in their advertising campaigns.

Not Everyone Is in Favor of QR Codes in Advertising

In general, using QR codes to market a product or service is a very polarizing topic among marketers. Either they love them or they hate them.

As Margie Clayman points out in a recent blog post, “Truthfully, there is some bad feeling about QR codes, but the main reason for those bad feelings is that many marketers have not used QR codes in the most effective way possible. In fact, a lot of people have used QR codes in a way that creates annoyance and frustration versus happiness and joy.”

In the post, Clayman gives some good advice about what not to do when using QR codes in your marketing campaigns.

Where the Ad Is Placed Makes a Difference

There is a lot of advice out there about how to use QR codes in your marketing campaigns if you do a Google search.

However, sometimes, a brand can do everything correct when creating the campaign, only to have it fail when a employee at the store level puts the sign in a location that might not be appropriate.

For example, earlier this week I stopped in a local gas station to use the restroom and noticed a QR code on a sign on the wall. The sign was for a good cause, and the QR code was big enough to be scanned.

As I waited, I thought about taking out my smartphone and scanning the ad. But then, I looked over just a few feet to the left at the urinal and realized that I might look a little perverted pulling out a smartphone and using the camera in the men’s room.

Remember, not everyone knows how to scan a QR code. In fact, some people might not know what they are. Therefore, in this instance, scanning the QR code might be more trouble than it’s worth.

In this case, the negative feelings that I had were more powerful than the good intention of the ad. (I know that I am only one person, but I’d bet others have felt the same way.)

If the sign with the QR code was placed in the bathroom stall where people would scan behind a closed door, then I think that would be acceptable. If the bathroom had a separate area for washing your hands in another room, that might be an okay place also. However, if it is placed right by the urinals, it could cause problems for both the business and its customers.

Just to see if I was overreacting, I Googled the topic and found out that Dave Delaney wrote a similar blog post last year.

Conclusion

There are a lot of marketers who think QR codes are ineffective. Others disagree.

Both might be correct, depending on the situation.

If your business does choose to use QR codes in their marketing campaigns, there is a lot of good advice out there if you do a Google search.

However, no matter how well you plan your marketing campaign, if the advertisement is placed in an inappropriate location at the store level, all your efforts could be wasted.

Therefore, it might be appropriate for chain stores to have guidelines as to where to put certain types of advertisements within the store.

Furthermore, if not that many people are scanning QR codes that are placed in your advertisements, you might want to check to see if there are other factors that might be discouraging people from scanning the QR code—including the location of the advertisement.

So, what do you think… would you scan a QR code in the restroom?

Chad Thiele

Marketing analyst and strategist, freelance writer, content curator, applied sociologist, and a proud UW-Madison alumnus. My goal is to help businesses achieve their marketing objectives and business goals while gaining additional experience in the exciting world of digital marketing. I'm currently looking for my next career challenge. Please feel free to contact me anytime at: chadjthiele@gmail.com.

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Where Consumers Live Can Influence the Efficacy of Your Marketing Efforts

Where people live influences many of their behaviors.

Even in the United States, there are subtle differences based on region and the size of the city that consumers live in.

I really began to notice this as a teenager.

For most of the year, I lived in a small to medium-sized city in Central Wisconsin. However, I spent my summers with my father in a city about 15 minutes from Ann Arbor and about 40 minutes from Detroit.

In the summer, I would be exposed to clothing styles that were somewhat different from the ones that I was accustomed to seeing in Central Wisconsin. However, where I really noticed a difference was in the music that I heard on the radio, as I would get to hear radio stations from Detroit that would play music that sometimes didn’t become popular in Central Wisconsin until months later, if at all.

Later on in life, I also spent some time living in Baton Rouge, Louisiana, and Atlanta, Georgia.

In each location, there are many things that are the same. However, there are subtle differences that make each city unique.

Technology and Target Marketing

In the last few years, social media and mobile phones have changed the way that consumers all over the United States live.

However, people living in big cities like Atlanta, Chicago or Minneapolis are getting exposed to the latest and greatest in technological innovation. These major metropolitan areas are the testing ground for some of the new apps and social networking sites.

In contrast, people living in rural areas and even those who live small to medium-sized cities are only being exposed to the major players in the social media world.

Sure, these people might be aware that some of the new apps or other social networking sites exist, but they don’t have the chance to use them or they try them and lose interest because there are fewer people in the area who use them, and thus, these users don’t experience the immediate benefits that their counterparts in larger cities do.

I would speculate that people in large metropolitan areas are going to be more receptive to new technologies of all sorts as they are developed because they are being exposed to more of the technological advancements that are currently available.

This is something that marketers need to keep in mind as they decide whether or not to use the latest advancements in technology to get the word out about their products or services.

For example, I recently wrote a post about digital signage that can deliver different ads based on the physical characteristics of the person who is looking at the sign. This type of technology might be welcomed by the folks living in New York City, Los Angeles or Seattle. However, if the same signs were placed in smaller towns, the people might get freaked out about it because they are not getting exposed to the other technological advancements that are out there. (I don’t have data to support this hypothesis. The only way to know for sure is to test it.)

What I can say, though, is that marketers who are targeting consumers living in large metropolitan areas have a lot more cool new toys at their disposal when they are trying to reach their target audience. Using these same tools in a smaller city probably won’t produce the same results.

Conclusion

Consumers living in large metropolitan areas are being exposed to a lot of different things that their counterparts living in smaller communities may not experience for months or years, if ever.

As a result, people who live in smaller communities are not getting to experience the gradual change in technology as it is developed. Therefore, these consumers might not be as receptive to the major advances in technology that can revolutionize the way that marketers communicate with their customers and prospects.

Furthermore, because usage of various social networks varies based on the community, campaigns that work in one place might not be as effective in a different part of the country.

Therefore, marketers who live in large metropolitan areas need to research how receptive consumers in other areas of the country are to new technologies before using them to market their products or services. If they don’t, they might end up wasting a lot of money on ineffective marketing campaigns. Or even worse, they might create a backlash that the public relations department will need to fix.

Photo credit: Navin75 on Flickr.

Chad Thiele

Marketing analyst and strategist, freelance writer, content curator, applied sociologist, and a proud UW-Madison alumnus. My goal is to help businesses achieve their marketing objectives and business goals while gaining additional experience in the exciting world of digital marketing. I'm currently looking for my next career challenge. Please feel free to contact me anytime at: chadjthiele@gmail.com.

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From Mobile Phones to Minority Report: The Future of Advertising Begins Now

Technology is changing the way that consumers shop. It is also changing the way that brands and retailers advertise the products and services that they have for sale.

In a post that I wrote earlier this month, I pointed out how mobile phones are becoming a bigger factor as more consumers reach for their smartphones to research and purchase products.

Retailers have taken note and are providing opportunities for tech savvy customers to find additional information about products and services, find available discounts, and make their shopping experience more enjoyable.

For example, IBM Research is testing augmented reality technology in its IBM mobile app.

According to an article on trendhunter.com, “The app acts like a personal shopper, using augmented reality technology to provide shoppers with more personalized product information as they’re browsing through store shelves.”

However, many shoppers won’t want to take the time to pull their mobile phones out when they shop.

This is where digital signage can help.

The First Step to Minority Report Advertising

If you watched the 2002 movie “Minority Report” that starred Tom Cruise and Colin Farrell, you probably remember the scene in the movie where Chief John Anderton (Tom Cruise) is walking down a hallway in a subway station and the advertising is being targeted specifically to him as a result of retinal scanners identifying which people are in the area.

To some people, the idea of this type of ad targeting is creepy. To others, it’s exciting.

In this post, I’m going to ignore the privacy concerns and other issues related to this type of targeting, because we’re not quite there, yet.

What is currently being experimented with is facial recognition technology that helps identify basic demographics (gender, approximate age, body type, etc.) of the consumers who are looking at a digital sign. With this data, the digital signs are able to deliver ads that are relevant to the consumer. For example, a digital sign in the men’s department of a clothing store might deliver an ad for Levi’s jeans to men, while women might get ads for the dresses on the other side of the store or maybe even ads with a gift-giving theme.

Just think about it, many stores are already using video displays to advertise the products that they sell. Why not leverage them to deliver more relevant content that can increase sales. And, as an added bonus, retailers can also track basic ad performance and make changes to the content displayed. For more information, check out the Immersive Labs website. They are one of the companies that is taking the lead in this type of technology.

Final Thoughts

Mobile phones are going to play a huge factor in connecting retailers and brands to their customers and potential customers.

However, for consumers who don’t feel the need to reach for their mobile phones while shopping, other technologies are out there to help get their attention when they are in a store’s “brick-and-mortar” location or any other place in the terrestrial world.

By using digital signage similar to what was featured in the movie “Minority Report,” retailers and brands can deliver relevant ads to consumers that can help increase sales of the products and services that they are selling.

The future of advertising begins now. And, to me, that’s exciting.

Photo credit: eyeliam on Flickr.

Chad Thiele

Marketing analyst and strategist, freelance writer, content curator, applied sociologist, and a proud UW-Madison alumnus. My goal is to help businesses achieve their marketing objectives and business goals while gaining additional experience in the exciting world of digital marketing. I'm currently looking for my next career challenge. Please feel free to contact me anytime at: chadjthiele@gmail.com.

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