Category social media

Oreo Knows the Only Winning Move Is Not to Play the Game

After being challenged to a game of tic-tac-toe by Kit Kat, Oreo wisely declined in a way that would make fictional characters Dr. Stephen Falken and David Lightman proud.

As I explained in a recent post, movies often contain lessons mixed in with the car chases and beautiful people living extraordinary lives.

If you grew up in the 1980’s, you probably remember that in the 1983 movie “WarGames,” David Lightman, a young computer hacker played by Matthew Broderick, unwittingly accessed WOPR, a United States military supercomputer that was designed by Dr. Stephen Falken to predict possible outcomes of nuclear war. In the process, Lightman unknowingly almost starts World War III.

At the climax of the movie, Dr. Falken and Lightman try to teach WOPR that nobody wins in a war. The first lesson begins with multiple games of tic-tac-toe before moving on to war simulations.

In the end, the computer ends the war simulations and writes, “A strange game. The only winning move is not to play.”

Well said. Lesson learned. (Click here to watch that scene on YouTube.)

Competing for Laura Ellen’s Love

If you follow social media marketing news at all, you know that Oreo earned praise for the tweet they sent out after the power went out at the Superdome during this year’s Super Bowl. They also had success with this real-time marketing strategy during the airing of the 85th Academy Awards.

Other brands are taking note and are trying to replicate Oreo’s success.

Therefore, it is not surprising that when Laura Ellen, a Twitter user from Manchester, UK, tweeted that she was following both Kit Kat and Oreo on Twitter, Kit Kat jumped at the chance to challenge Oreo to a friendly game of tic-tac-toe in an effort to fight for Ms. Ellen’s affections.

As a post on Mashable.com points out, this scored huge points with Ms. Ellen. And, judging from the number of retweets and favorites, with the clever use of Kit Kats for Xs and (potentially) Oreos for Os, Kit Kat also scored points with the general public.

How About a Nice Game of Chess?

When faced with the option of playing Kit Kat in a public game of tic-tac-toe, Oreo decided to decline with style and grace. In my opinion, that was a brilliant move.

As Lauren Indvik points out in the article on Mashable.com, there are possible negative consequences of being the loser in a game that could get old real fast.

Furthermore, as the folks at ADVERVE point out, just because brands are rivals doesn’t mean they can’t have a little fun at the same time. As they ask, “Is it so unreasonable to think that there are Kit Kat lovers in the Oreo camp, or vice-versa?”

By declining to play the game by complimenting the taste of Kit Kats, Oreo found a way to create a win-win situation. Kit Kat gets a compliment, and Oreo gets some free advertising from Kit Kat, not to mention all the free publicity it received by the media covering the ad campaign.

As an added bonus, I would be willing to bet that this ad campaign made many people think of the movie WarGames. Knowing that this is a movie that is beloved by tech geeks around the world, this was a perfect move for Oreo to make in a social media ad campaign. Was it intended? Only the digital agencies involved could tell you that for sure.

Final Thoughts

With some things in life, nobody ever wins. In those cases, the best solution is not to play the game.

In the 1980’s movie WarGames, we learned that nobody wins in a nuclear war.

The same could often be said in head-to-head competition in the marketplace.

In the case of the Kit Kat tic-tac-toe challenge, Oreo proved wise enough to demonstrate that there is room enough for both brands in the marketplace, and that there is no need to show its skill in a game that often ends in a stalemate.

By declining the game in the way that they did, they created a win-win scenario for both brands.

Photo credit: Torben Bjørn Hansen 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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Finding Influenceable Consumers: Is There an App for That?

As I mentioned in a previous post, there are many problems that people encounter when they attempt to measure social influence.

Since writing that post, I’ve been thinking that maybe the method that people are using to find influencers is all wrong.

Or, maybe, I don’t completely understand how Klout is measuring social influence. (But, then again, it doesn’t sound like many people do.)

There is also the possibility that what I am thinking about really isn’t Influencer Marketing at all.

To get to the bottom of it, please give me a moment to explain my thought process, and then you can decide what option is correct, if any.

Influencer Marketing Defined

Wikipedia currently defines Influencer Marketing as, “…a form of marketing that has emerged from a variety of recent practices and studies, in which focus is placed on specific key individuals (or types of individual) rather than the target market as a whole. It identifies the individuals that have influence over potential buyers, and orients marketing activities around these influencers.”

What If You Can’t Change Their Mind?

It occurred to me that some people are set in their ways, and no matter what an influential person told them, there is no way that they are going to change their mind. Let’s call these people the “Unreceptives.”

On the other end of the spectrum, there are people who are willing to try anything. Therefore, they will be easily influenced by almost anyone who has a reasonable product or service to try. For the purpose of this post, let’s call these people the “Receptives.”

I’m guessing that most people fall somewhere in between these two extremes.

Is It Really Influence?

Just because a person who has a lot of connections to people who take a specific action after being encouraged to do so by said person, doesn’t necessarily make that person influential. He or she might just have a lot of followers who fall into the “Receptives” end of the spectrum.

The App That I’m Looking For

From what I understand, the current measures of influence start with the person and then measure how many people take specific actions online in response to the information that said person posts on the Internet (even if that person did not ask his or her followers to do so.)

From there the person is evaluated and given a score that can be used for many different purposes, including, in theory, Influencer Marketing.

What I’m thinking about is flipping the process around and starting with users, in general.

In other words, measuring how many times a person takes a specific action and rating them based on where they fall on the “Receptive” vs. “Unreceptive” spectrum that I talked about earlier. (Note: For social influence, it would only be whether or not they share a lot of information online, but it could hypothetically be used for other conversions, no matter how they are defined—the person using the app could decide that.)

This data could be combined with other demographic data available to create a lead score, of sorts. (For the purpose of this post, let’s call it a Receptivity Score.)

From there, the app would be able to identify groups of users who are most likely to be receptive to a brand’s product or service and generate a list of people who these people follow.

Users of the app would be able to aggregate the data to find people who have the most followers who meet the desired Receptivity Score threshold.

The Pros and Cons of This Method

As mentioned, an app of this sort would allow people to identify people (let’s call them “Influencers”, although that terminology would now be arguable) who have the most followers who meet the desired Receptivity Score threshold. It would also allow people to target “Influencers” who have many followers who are meeting this Receptivity Score threshold and are not being reached by the other “Influencers” who were previously identified, thus allowing users to fill in the gaps and reach more “Receptives” without too much redundancy.

This method would also help brands target “Influencers” based on the topic, because it would take into account specific characteristics of the target audience, not just the characteristics of the “Influencer.”

The downside is that this type of app would take a lot of computational power. (I think that this would still be the case even if the “Influencers” were identified using a sample of users.)

There is also the problem of getting demographic data. However, this problem can partially be solved by using Facebook data. (Note: This assumes that most people are giving valid demographic data to Facebook, in the first place. But, that is an issue to be looked at some other time.)

And, of course, there are always privacy issues and ethics to consider.

Finally, users of the app would still need to consider whether or not the “Influencer” that the app identified is a good fit for the brand, the product or service, and the message.

Final Thoughts

As I mentioned at the beginning of this post, this might be a better way to find the “Influencers” that brands target when they include Influencer Marketing in their marketing mix.

It is possible that there is an app out there that already does this.

It might also be the case that this app is still impossible to create.

And, finally, this also brings up the question as to whether or not it would still be called Influencer Marketing if this methodology for finding “Influencers” is used.

Either way, I’m still wondering if it is possible. And, if so, is there currently an app for that?

Photo credit: 401(K) 2013 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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Content Marketing: The Value of Reruns

The holiday season is fast approaching. With it brings holiday parades, Christmas shopping and gatherings with family and friends.

However, even though there are many additional things that demand your attention, the work still needs to get done.

In fact, chances are that your business has year-end goals that need to be met. This could very well mean many long days (and nights) at the office.

When you combine the daily work responsibilities with the increased activity in your employees’ personal lives, something will have to give.

It is very possible that your business’s content marketing efforts might be the first thing to get pushed aside because it does take time and the return on investment is not always immediately noticeable.

However, while the impact on your business’s bottom line might not be immediately noticeable or even trackable, most experts agree, content marketing often works.

And, now is definitely not the time to let up, particularly if your business can benefit from consumers’ holiday gift-giving traditions. Furthermore, if your business is a B-to-B, now might be the time of year that your customers are making plans for the next fiscal year, particularly if it coincides with the calendar year.

It Pays to Plan Ahead

If your business had the foresight to plan ahead, you might have created a few extra blog posts, white papers or informational videos when your employees had a little extra time on their hands. If so, now would be a great time to add them to your editorial calendar.

However, even if you didn’t think ahead, it doesn’t mean that all is lost.

There is still time to pull in a guest blogger to create some non-branded content that your customers might find useful this time of year. You might even be able to ask employees who aren’t normally involved in your content marketing efforts to submit a blog post. You never know, you might find out that some of your employees have hidden talents that you were unaware of.

Content Marketing Reruns

Another thing to remember is that most people don’t have the time to consume everything that you produce throughout the year.

Therefore, just as television shows air reruns from time-to-time, posting old blog posts or other content on social networking sites might be a great way to keep your customers engaged and informed, with little or no extra effort required. (This is particularly useful if the content isn’t time-sensitive and therefore has a longer shelf life.)

Also keep in mind, people love lists. Therefore, now might be a great time to write a few best-of blog posts that highlight some of your best posts from the past.

Final Thoughts

There are some things that your business can do to keep your customers engaged and informed online, while still accomplishing all the other things that need to get done this time of year.

With the right planning, you won’t have to play role of Ebenezer Scrooge and require employees to work so much that they don’t have time to enjoy the holidays.

This can include posting content that was created ahead of time or pulling in a guest blogger to create non-branded content that your customers might find useful.

Also, keep in mind, just because you posted something a few months ago, doesn’t mean that the information isn’t still valuable to your customers. In fact, your customers probably didn’t see all the content that you created throughout the year.

Therefore, now might be a great time to repost some of your old blog posts on social networking sites or create a few best-of blog posts.

As television shows have demonstrated for years, content that is created might be just as valuable to consumers the second time around.

Photo credit: J.Elliott 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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Good or Bad, Customer Feedback Is a Gift

Some products or services fail because they fix a problem that too few people need fixed.

Others fail even though there is a demand for a product or service to fix a problem, it’s just that the company didn’t create the right product or service to fix it.

I think from the title of the post, you can see where I am going with this.

But, before I get into it further, let’s get a short history lesson from 3M.

The History of Scotch Brand Tape

According to the book, “Symbols of America: A Lavish Celebration of America’s Best Loved Trademarks and the Products They Symbolize, Their History, Folklore, and Enduring Mystique,” (affiliate link) by Hal Morgan, “Pure serendipity led the Minnesota Mining and Manufacturing Company, more commonly known as 3M, to the name Scotch Brand for its tapes. In 1925 the fad for two-toned automobiles created a demand for masking tape coated with a thin strip of adhesive on each edge. When the tape failed to stick properly, a disgruntled auto-body painter told his 3M salesman to take the tape back to his “Scotch” bosses and tell them to put the adhesive all over the surface of the tape. The slur stuck, the company took the painter’s advice, and 3M has been marketing tapes under that name with the familiar tartan trim ever since.”

Just to verify the validity of the story, I double-checked with Wikipedia.

While some of the details are slightly different, the key element of the story remains. That is, a customer was not happy with the product and let the company know about it instead of just changing suppliers without an explanation.

By taking the time to let 3M know how the product was not meeting his needs and offering a solution, the customer gave 3M the information needed to improve the product.

And, by actually listening to the needs of the customer, 3M not only made a product that satisfied the needs of one customer, it helped meet the needs of many of its customer and, in the process, launched one of the most successful brands of tape in history.

Customer Complaints Are Gifts

If the example that I just gave hasn’t convinced you of the value of listening to the feedback that customers give you, I don’t know what will.

But, for those of you who do need some additional convincing, I’d suggest reading a recent blog post by Adam Toporek on customersthatstick.com, titled “What Are Customers Complaints? They’re Gifts.”

In the post, Toporek outlines some of the concepts that are introduced in a book by Janelle Barlow and Claus Moller, titled, “A Complaint Is a Gift: Recovering Customer Loyalty When Things Go Wrong.” (affiliate link)

The blog post suggests that businesses need to change the way that they think about customer complaints. Instead of thinking of them as an annoyance or an indication of failure, businesses need to think of customer complaints as a way to identify customers’ needs that have not yet been met and as opportunities to turn dissatisfied customers into satisfied ones, and possibly create brand advocates in the process.

As Toporek points out, “The most important point about complaints is that they are an opportunity. Complaints are gifts because they are not silence. Silent attrition, when customers leave but never say a word to the company, is a huge issue in many businesses. According to Andrea J. Ayers of Convergys, companies, as an average across industries, lose 12% to silent attrition. In the credit card industry, the number is 43%!”

Customer complaints are gifts, indeed!

Customer Feedback on the Internet

As the 3M example shows, customers have been giving companies advice about how to make a better product for many years. In fact, they may have been doing so since the beginning of time for all I know.

However, in the past, it was very easy for the message to get lost before the right person at the company received it.

Just think about what would have happened if the customer who had complained about 3M’s tape told a person who did not care enough to relay the message to a person who could do something about it. If that had happened, 3M would have left a lot of money on the table and might not have become the company it is today.

Luckily, it is now much easier for the customer to get his or her suggestion into the hands of the right person by posting a complaint on the Internet. Or, to state it a different way, it is now easier for the decision makers in a company to get access to the suggestion.

Also, keep in mind, not all feedback is bad. If a company is doing a great job of meeting the needs of its customers, there is a chance that they will let others know about that, too.

Positive feedback in the form of reviews on review sites is one of the best types of advertising that a company can get. This is even more important given the fact that review sites tend to rank well on search engine results pages.

This is another reason to pay attention to the feedback that your company receives, good or bad.

Final Thoughts

No matter how much a company likes its own product or service, customers will only buy it if it fills a need better than the competition’s product or service.

Therefore, the feedback that a business receives from its customers might be more valuable than one might think.

When the feedback is good it acts as an advertisement for the company.

On the other hand, customer feedback can also tell a company that they have not yet met their customers’ needs.

This gives them the opportunity to make changes to the product or service that might benefit many of their customers, and in the process, increase sales.

It is for this reason I can confidently say that, whether good or bad, customer feedback is definitely a gift.

Photo credit: globochem3x1minus1 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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HubPages, Squidoo and Getting Paid to Use Facebook

Recently, I joined HubPages as a way to help get the word out about my blog and possibly earn a little income by writing.

If you are not familiar with HubPages, it is an online community designed to help writers share their content.

The site allows users (a.k.a. “Hubbers”) to post articles (a.k.a. “Hubs”) on the site.

One of the benefits of using the site to publish Hubs is that it is set up in much the same way as a standard social networking site is.

When you sign up for the site, you can follow other Hubbers and Hubbers can follow you.

To encourage participation within the community, you earn a HubScore and receive accolades for participation (these are similar to the badges that you receive on Foursquare.)

Hubbers can also share another person’s Hubs with their followers, thus making it easier for good content to be spread.

As I alluded to, you can also earn income on HubPages through Google Adsense, the Amazon and eBay affiliate programs, and through the HubPages Ad Program.

It is this aspect of the site that got me thinking.

Monetizing Social Networking Sites

When people talk about monetizing a social networking site, they are talking about finding ways to make money from the site.

As is the case with many social networking sites, HubPages makes money off of display advertising. However, unlike many of those social networking sites, with its Ad Program, HubPages lets the Hubber keep the earnings from 60% of the impressions and HubPages gets the rest. (This encourages Hubbers to post quality content.)

For the record, HubPages is not the only site that lets users earn money. Squidoo, the site that was started by Seth Godin, uses a similar revenue-sharing model.

I wonder if this is something that Facebook could do to earn more money.

While I haven’t fully thought this through, I’m thinking that if Facebook paid users a portion of the revenue that they received from Facebook Ads when their content was viewed by other users either via the timeline or on their profile, it would encourage users to use the site more often and post more valuable content. (It could also help increase the time that users spend on the site.)

Facebook could use a formula similar to EdgeRank to determine how valuable the content is and how much the user should receive.

This definitely would make me want to use the site more often.

However, more importantly, it might get users to actually notice and interact with the advertising on the page.

You see, since I started using HubPages, I have started noticing display ads more often, at least the ones on HubPages. I know that those ads will possibly make me some money, so I at least look to see what ads are showing up based on the content on the page.

If users know that they are going to be making money based on the ads that run on Facebook, they might start noticing the Facebook ads, too. (This would be a great experiment for a neuromarketer to test.)

And, once you get users to notice the ads, there is a good chance that they will start to click them.

Therefore, even though Facebook would be giving away a small portion of the ad revenue, Facebook would still benefit if the total ad revenue increased substantially.

Why Facebook Should Pay You for Your Personal Info

I’m not the only one to suggest that Facebook pay its users.

In an article posted on money.cnn.com, David Goldman explains that in order for Facebook to increase its revenue, a pair of New York University business school professors are suggesting that Facebook pay users for the privilege of selling their personal information.

As the article mentions, “Here’s the idea: Facebook would pay its users a nominal fee — say $10 a month — for the right to send their relevant personal information to advertisers. Companies looking to advertise their products or brands to a specific group of people would pay Facebook for that data and for the ability to directly market to those individuals.”

As the author of the article explains, Facebook could add a new revenue stream, and increase the company’s transparency and trustworthiness at the same time, by giving users the ability to make money by opting in to such a program.

Potential Drawbacks of Paying Facebook Users

There is definitely the possibility that paying Facebook users could backfire on the company.

Let’s look at both ideas separately, starting with the idea that I suggested.

First, as I pointed out before, paying Facebook users a portion of the ad revenues will likely make users even more aware of the advertising. This could turn some people off.

Furthermore, users wouldn’t really make all the much money unless they post a lot of content, are connected to a lot of people and those connections interact with the content—a lot.

People might also question whether or not the social media giant was giving them their agreed-to ad revenue, particularly if they used a formula that is difficult for users to understand (i.e., one that is similar to EdgeRank.)

There is also the possibility that people would game the system by creating fake accounts, liking and interacting with their own content and clicking ads just to make money.

If Facebook went the route that the New York University business school professors suggest, it could run into similar issues, including having users game the system by creating fake accounts, losing trust and credibility if users question whether their data is worth more than $10 a month, and possibly losing users because they would be even more aware of the site monetization.

Conclusion

Facebook is going to have to find additional ways to make money with the site to increase revenues in order to satisfy their investors.

Paying users to use the site is an interesting idea that could increase revenues. However, there is the possibility that it could backfire.

As I mentioned, I haven’t thought this through completely, but it is an interesting idea.

So, what are your thoughts? Do you think it would be a good idea for Facebook to pay its users?

Photo credit: tellumo 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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Facebook Ads Can Be Highly Effective

Even before Facebook went public on May 18, 2012, people were questioning what value Facebook offered to the business community.

Since going public, Facebook has been under even more scrutiny.

In particular, people have questioned the effectiveness of Facebook advertising.

While many of the critiques have merit, particularly when you are looking at the revenue potential of Facebook, as a whole, that doesn’t mean that your business should ignore Facebook when you are trying to determine where to invest your adverting dollars.

In fact, when used correctly, Facebook advertising can be highly effective.

The question is: What do you need to do to effectively use Facebook to advertise your products or services?

Killer Facebook Ads

When looking to answer that question, a good place to start is with the CEO of aimClear, Marty Weintraub.

In his book, “Killer Facebook Ads: Master Cutting-Edge Facebook Advertising Techniques,” (affiliate link) Weintraub gives detailed advice that covers everything from setting KPIs to launching Facebook ad campaigns and analyzing the results. Examples are also provided to add clarity.

As he points out in the book, every step of the process is important if you want to set up a successful Facebook ad campaign.

Furthermore, Weintraub addresses some of the criticisms that people have when it comes to Facebook advertising.

For example, Weintraub states, “I can’t tell you how many times I’ve heard from people that Facebook ads don’t work…yet their landing page is terrible. If you care about conversion, landing pages can make Facebook ads look either really effective or really terrible.”

And, as to the concern that some marketers have about Facebook ads low click-through rates (CTR), Weintraub mentions, “In reality, not that many FB impressions result in clicks. It’s just that the impression count is so massive that even a very low CTR, as compared to search, can result droves of traffic.”

Conclusion

In an effort to meet the informational needs of investors, analysts have put Facebook under the microscope.

While Facebook advertising, in general, might not be as effective as other advertising techniques when certain KPIs are used to measure the success of the advertising campaign, that doesn’t mean that Facebook ads are a complete waste of time.

It might be the case that businesses haven’t learned how to align the way that their Facebook advertising campaigns are set up to their business goals or that the average business doesn’t take all the steps necessary to create a successful Facebook ad campaign.

If you want to get valuable insights on how to create successful Facebook advertising campaigns, you should start by tapping into the knowledge that Marty Weintraub has to offer.

The recommendations and advice that he gives in his book would take years to learn by yourself.

As I mentioned in the review of the book that I posted on Amazon.com, “Marty Knows Facebook Ads.”

Photo credit: dkalo 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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