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Is there a Kindle in your future?

11/19/2007 by David Esrati

Picture of the Kindle from Amazon’s page.Remember, people scoffed at the first iPod, $500 for an MP3 player. They ridiculed the video iPod- “Who is going to watch a movie on that small screen, and pay $1.99 for a tv show I could watch the night before for free- puhlleeezeeeeee”

Well, we know what happened there. And remember, Apple wasn’t the first mover.

Today the news broke on the Kindle, Amazons entry into e-readers. E-readers haven’t exactly taken off, but then again- Sony has been hitting a bunch of singles lately, and they are behind the most successful e-book to date.

Amazon has taken the e-book to a new level, with constant connectivity via the Sprint high speed cell network, but, there are some hidden gotcha’s that make this book worth passing on – mostly, the fact that Amazon wants to charge you to upload your own data, or to subscribe to blogs. Eh, better luck next time.

Here is a brief description of the reader from the lengthy Newsweek article, which is well worth reading:

Amazon: Reinventing the Book | Newsweek.com
First, it must project an aura of bookishness; it should be less of a whizzy gizmo than an austere vessel of culture. Therefore the Kindle (named to evoke the crackling ignition of knowledge) has the dimensions of a paperback, with a tapering of its width that emulates the bulge toward a book’s binding. It weighs but 10.3 ounces, and unlike a laptop computer it does not run hot or make intrusive beeps. A reading device must be sharp and durable, Bezos says, and with the use of E Ink, a breakthrough technology of several years ago that mimes the clarity of a printed book, the Kindle’s six-inch screen posts readable pages. The battery has to last for a while, he adds, since there’s nothing sadder than a book you can’t read because of electile dysfunction. (The Kindle gets as many as 30 hours of reading on a charge, and recharges in two hours.) And, to soothe the anxieties of print-culture stalwarts, in sleep mode the Kindle displays retro images of ancient texts, early printing presses and beloved authors like Emily Dickinson and Jane Austen.

But then comes the features that your mom’s copy of “Gone With the Wind” can’t match. E-book devices like the Kindle allow you to change the font size: aging baby boomers will appreciate that every book can instantly be a large-type edition. The handheld device can also hold several shelves’ worth of books: 200 of them onboard, hundreds more on a memory card and a limitless amount in virtual library stacks maintained by Amazon. Also, the Kindle allows you to search within the book for a phrase or name.

My bet would still be on Apple- with a tablet style iPod Touch, or tablet Mac. Combined with the iTunes store, you have an integration that’s already proven- plus an Apple device would be able to play video- a key media tool that can’t be ignored. And hopefully, Apple won’t try to gouge you on uploading your own content- after all, it’s an Open Source world- shouldn’t you be able to upload anything you want that’s yours to your own device without paying the piper?

The big question is when does this device become cheap enough that it becomes cheaper for a newspaper to give you a reader instead of a printed newspaper? When does your choice of reading materials start serving up targeted ads? Amazon will have suggestions, no doubt- but, how will this help their partners move the sales needle?

Watch and see?

In the mean time- what do you think? And, do you want one? Even if it is butt-fugly?

Back when marketing still meant something

11/17/2007 by David Esrati

Cirque Du Soleil mime on stilts at the 2nd Street Public Market in Dayton OHToday I was at the farmers market and their were clowns/mimes there from Cirque Du Soleil doing advance work for the Saltimbanco show next week. Call it “street teams” or guerrilla marketing, it was refreshing to see a business go out and actively seek customers in their environment. Doesn’t happen much anymore. We’ve gotten lazy- trying to invite our message in by interrupting their entertainment with commercials, their landscape with billboards and their websites with ads.

But while I was shopping, I was listening to American Public Radio’s Marketplace on my iPhone, and heard a story of how Procter & Gamble invented the market for Crisco- and it reminded me why they are the marketing powerhouse- not just by dollars spent, but by long history of working hard to connect with consumers. Our current industry fixation with “Branded Content” is nothing more than a new name for the soap opera- a P&G invention.

Here is an excerpt of the podcast- and a link to the whole she-bang. Highly recommended short podcast:

Marketplace: Crisco: A marketing revolution
…Crisco maker Procter & Gamble was a pioneer in the emerging science of creating demand. Historian Susan Strasser says the Crisco experiment started in 1911, when the company was selling Ivory soap. Cottonseed oil was a key ingredient.

Susan Strasser: And they decided to develop a product that would use a lot more cottonseed oil, so that they could control that market, really.

P&G’s scientists came up with this white, fluffy substance. It sort of resembled lard, and yet had no taste and no smell. It wasn’t food, exactly, but the company would ask consumers to bake and fry with it. Thus began an American mass-marketing milestone.

Strasser: Originally, they tried to call it Crispo, but then they discovered that a cracker factory already had the trademark.

P&G hawked its new product as a “scientific discovery.” The company sent free samples to every grocer in America. They held Crisco teas — an early version of the focus group. P&G even niche-marketed the product as kosher to the Jewish community….

In the podcast they talked about how P&G educated the consumer in how to use their products- something that the web is incredibly useful for. Yet, how many company websites feature big how-to communities built around their product?

Screen shot of Flash intro to BMW motorcycle Xplor siteFor instance, BMW motorcycles has an xplor area that’s focused on tips and tricks for sport touring – the segment of the market that they have a preferred position. How to pack your bike best, tips on GPS usage, and segments on where to go. However, it’s a members only site for BMW owners- you have to provide a vin number- and not open to the general public. Why not open the doors- so that potential customers can get a feel for what “joining the family” by buying BMW means?

Back to the Crisco story:

Marketing scholar David Stewart says P&G’s genius was not only giving people a convincing reason to try the product but training them to use it as well, with free cookbooks and recipes.

David Stewart: First of all, they focused on the health benefits — recognizing that this was a time we didn’t know about transfat and so forth. And then they taught people how to use it, they taught people how to cook. They gave them ideas. And between giving them a real benefit and information about how to use the product, they were able to get people to adopt it.

Crisco’s crowning achievement was creating demand for something nobody knew they wanted.

In today’s open information economy- putting your “recipes” behind a log-in is as silly as trying to charge for it. Would Google have been as successful if they had asked users to pay per search? Sounds absolutely stupid, doesn’t it? How about having to log in to use Google? Again, very silly.

To make friends with consumers today you have to be informative, useful, practical- and be able to demonstrate value. So, before you do an ad that is either hard sell- or entertaining- think first about what it does to enhance the customers life. The same way P&G introduced Crisco as the consumers friend: “Honestly, with a little Crisco in your frying pan, you can have supper on the table in a jiffy.”

That was marketing.

New Volkswagen CMO from Volvo

11/9/2007 by David Esrati

I guess they are stuck on companies that start with V in their rolodex at Volkswagen- bringing in former the Volvo ad director to direct marketing and VW agency Crispin Porter Bogusky to try to sell some Vee dubs in the USA. It won’t help until VW addresses shoddy workmanship, poor resale value, low JD Power ratings and now, they will be fighting a rock bottom dollar when compared to all major world currencies. VW may as well put a revolving door on the office- and keep it spinning.

Volkswagen Taps Volvos Ellis as VP-Marketing – Advertising Age – News
Volvos global advertising director, Tim Ellis, is moving to Volkswagen to run its North American marketing operations, according to a Volkswagen spokesman…

New title
Though his title is new, Mr. Ellis will succeed Kerri Martin, director of brand innovation, departed the automaker in January. Volkswagen works with MDC Partners Crispin Porter & Bogusky in the U.S. and Omnicom Groups DDB Worldwide elsewhere. Volkswagen spent about $419 million in measured media last year the U.S., according to TNS Media Intelligence.

Mr. Ellis ran the recent account review that ended up with Volvo shifting its global ad business from Havas Euro RSCG to sibling Arnold and independent Nitro.

In a recent interview, Volkswagen of America President-CEO Stefan Jacoby told Ad Age that the marketer didnt plan to change agencies, though he did say some of the work done under Ms. Martin was too narrow. “We have to address our communications with a wider net,” he said.

Creative reputation
Since joining Volvo in 2003 from independent Swedish agency Forsman & Bodenfors, Stockholm, where he was a managing partner, Mr. Ellis, an American, has been known for doing more creatively with fewer ad dollars than his competitors.

Mr. Ellis is best known for 2004s “Mystery of Dalaro,” a hoax that started with a fake news story about 32 families in a tiny Swedish town all buying the new Volvo 540 model on the same day from the same small dealership. That led to a documentary about the eerie coincidence, which was soon revealed as a fake, by a director who didnt exist. The “Mystery of Dalaro,” created by Euro RSCGs Fuel Europe, ran across Europe in TV spots, and at great length on Volvos website.

Mr. Ellis, and Fuel, followed up with another low-budget, web-oriented effort called “Life on Board.” To make Volvo seem warmer and friendlier, they staged a series of conversations pairing interesting people who had never met getting to know each other by chatting in a Volvo.

Interesting revelation that VW spent $419 million on media- a bump from what was previously reported as a $300 million dollar account. Also, Mr. Ellis moved Volvo to Arnold- VW’s previous agency. Could a change be in the works? Stay tuned to the continuing drama of VW’s search for the old Bernbach mojo.

Video for fund raising events: there is a secret formula

11/5/2007 by David Esrati

Once a year the local runaway shelter, Daybreak, hosts a fund raising breakfast where they have table captains invite 9 people for a free meal.  Of course there’s a catch, you have to sit through a program that makes you feel warm and fuzzy about their charity cause. This year, the fifth year of using the “secret formula” for raising money- Daybreak asked The Next Wave to provide the 7 minute video for the event.

Yes, folks- it’s prescribed as 7 minutes, and you are supposed to make the audience cry 3 times. It’s near the close of the session, just before the gut-wrenching, heartfelt story of success despite the odds, and the final ask for donations.

After watching the four previous years videos, we knew one thing- we weren’t going to do anything like them: a montage of interviews, “recreations” and narration by staff. It was time for something totally different- something where you wouldn’t know what’s coming- or get caught up in the delivery of the story- just a focus on the story.

Our original idea was to draft David Chappelle to do the MC of the video- and I actually spent 20 minutes talking with him, face-to-face, and offering to pay him to help us out. The goal was to bring national attention to the shelter- and to make more kids aware that it was a positive place for them- instead of an option of last resort. Unfortunately, Mr. Chappelle isn’t reliable- so we found one of Daybreaks own to step in- Mr. Robert Neal Jr.

By placing the clients behind the screen- 60 minute anonymous interview style- we knew that our audience would focus on the story- not on the personalities, when the ending came, it would all draw together in a powerful close. We didn’t want slick production values- and the number of times we had to set up made it an even more daunting task- but the real payoff was the results- watch the video before you look to see how effective it was.

I watched the audience at the table next to me: totally riveted to the big screen, when the totals were counted:

(more…)

Who needs Television Networks anymore?

11/1/2007 by David Esrati

We’ve been predicting the end of the Network television since the earliest days of high-speed internet access. Now, some content producers are starting to realize they don’t need the airwaves for access either:

Mininova Closes Distribution Deal for TV-Show | TorrentFreak
The “old media” is slowly realizing that BitTorrent is a great distribution platform, and above all, an excellent marketing tool. Today, The Red Band Film Company and Mininova announce the first official deal to distribute a TV-show on the popular BitTorrent site.

The immense popularity of TV-shows on BitTorrent doesn’t go unnoticed, not even to TV-producers. Several TV-production companies already leaked their pilots on BitTorrent, but Red Band and Mininova take it one step further.

Mininova and Red Band made a distribution deal for the upcoming TV-show Pariah Island, a new comedy series which parodies reality TV shows like “Survivor” or “Pirate Master”. Although Red Band can’t be compared to billion dollar production studios such as 20th Century Fox Television and Warner Bros., it is a sign that times are changing and that TV-producers are looking for alternative distribution channels.

“We at Red Band recognize that downloading sites such as Mininova are a distribution medium, one which can be partnered with in a true participatory arrangement,” says the Red Band production team.

The Red Band team adds: “With this deal, Mininova gets overnight credibility as a partner of content producers, thereby disproving the notion that such sites are “pirates” seeking only to break copyrights. Mininova gets producer credit on Pariah Island, and their logo will eventually appear on Pariah Island. In exchange, Pariah Island gets advertising space and other promotional activities on Mininova.org.”

Erik, one of the founders of Mininova told TorrentFreak that the partnership will show that Mininova is more than a venue for pirated material, and hopes that more production companies will choose Mininova as a distribution platform in the future…

Would David Chase launch the Sopranos on BitTorrent? Probably not, unless he had major sponsorship (yes, we’re headed back to the day of “Soap Operas”- sponsor driven programming). Apple’s iTunes store is a more likely outlet, but this space is still in a shoot-out phase with Amazon, the networks and the billion pound Google gorilla in the corner.

If there is one player who dropped the ball- it was TiVo who had first mover opportunity- by having a user profile, a hard drive to store programs but no true Internet connection until recently. With the iPhone being Time’s gadget of the year, don’t count Apple out as becoming the leader in IPTV- and marketing targeting.

The end of the Network is near, we just don’t know exactly how the story will end.

The Web 2.0 marketer: where every page is a home page

by David Esrati

We teach a seminar called Websitetology to try to educate clients on web 2.0. We also teach a fair number of other ad agencies (even the local competition) because, well, that’s the kind of people we are.

One of the things we stress is that if you aren’t on the first page of Google you don’t exist, and that content drives traffic. Build valuable content and they will come.

Unfortunately, it’s falling on mostly dead ears. Even huge advertisers like Apple, Burger King and BMW don’t seem to understand how to port their marketing to the web properly. It’s not about how your site looks, especially your “home page”- it’s about the content on every page: every page is home for someone- about something.

So- it was good to see new media bigwigs Avenue A/Razorfish do a study to confirm what we already knew- excerpts from the Ad Age article follow- with a short primer on what we know works on the web:

Do Home Pages Have a Place in Web 2.0’s Future? – Advertising Age – Digital
Avenue A/Razorfish: Brands’ Main Sites Decline in Importance as Consumers’ Reliance on Search Grows
By Abbey Klaassen Published: October 01, 2007

Garrick Schmitt was sitting in a meeting, listening to a client talk about the need to make its website “Web 2.0-compliant,” complete with tag clouds and profile pages. “Tag clouds?” thought Mr. Schmitt, VP-user experience at Avenue A/Razorfish. “Really?”…

The request seemed curious to him — do that many people really use tag clouds that a brand marketer’s website needed to incorporate them? Surprisingly, he couldn’t find the answer to that question. So he decided to find out. (more…)

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