Showing posts with label media transfer. Show all posts
Showing posts with label media transfer. Show all posts

21 Mar 2007

Consumer behavior and media

“New communication techniques force communication professionals to focus on the individual consumer, and to create a comfortable “trusted” environment in which the advertising message plays a limited role”

Every marketer executes an analysis off current competition on a regular basis. The central question being: what or who are my competitors?

In the case of lets say - Coca Cola - you could say that competition is PEPSI, FANTA and 7-UP. Some would argue that when the time is there to consume Coca Cola others may choose wine or coffee thus expanding the definition of competition. You could also state that competition is every fluid that passes any consumers throat, making even water competition. Not an easy task competing with water!

What this says is that there is a maximum to a product a consumer can handle in a fixed amount of time. This also applies to media. Consumers have only a fixed amount of time to spend on media and news gathering.

Mobile phones and the internet were introduced as new media in the early ’90ties. The main differences with “old media” are the fact that they are personal and interactive. This may seem obvious, but the impact of these differences is immense. People were able to connect to each other in a different fashion in the invisible virtual world.

Young and old

The virtual environment has one aspect to it that makes it very different to get used to. Research shows that people of the pre internet generation have less affinity with the digital world than people grown up with mobile phones and the internet. These differences are very persistent. My daughter teaches my mother how to send an SMS message en again and again ends up sending it for her.

This difference in behaviour has been reason for marketeers and publishers to target new initiatives at the younger generation first.

This even accentuated the difference between young and old. Despite the “Internet Winter” in 2002 a new revolution unrolls itself meanwhile, incorporating young and old. Since these differences are diminishing I will leave this aspect out .

Virtual (=not real?)

From Wikipedia, the free encyclopedia
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virtual in Wiktionary, the free dictionary.
The term virtual is a concept applied in many fields with somewhat differing connotations, and also, differing denotations.
Colloquially, 'virtual' has a similar meaning to '
quasi-' or 'pseudo-' (prefixes which themselves have quite different meanings), meaning something that is almost something else, particularly when used in the adverbial form e.g., "He's virtually [almost] my boyfriend". The term recently has been defined philosophically as, that which is not real, but may display the full qualities of the real.

Unlike in the physical world no roadmaps exist for the fast growing digital world, so who can tell what’s in it? Structure portals have grown in abundance, structuring the information on the net. Later search engines emerged, actively and automatically structuring information (but with a commercial motivation). Personal search agents are already available but not still not widely used.

As with the brain, virtual networks establish themselves. When a connection – or relationship – is satisfactory, the relationship will be used more frequently in the future, becoming a dominant path. This mechanism is based on a principle known as positive feedback. This principle is common in education, training and marketing. It influences behaviour in a positive way.

Once a path is dominant it will remain so since people are habitual and basically very loyal.

Still, the invisibility of information in new media requires a different approach towards customer behaviour. Customers have to de directed to or presented with the desired information. Other media are necessary to achieve the desired results.

Multi tasking

Media savvy people are able to use multiple media at the same time. This is like reading a book while listening to the radio. Recent research in The Netherlands executed by “Spot” shows that 64% of the time people are watching TV exclusively, while during the other 36% they have other activities besides watching TV. They state that other media have lower percentages of exclusive attention.
TV 64%
Surfing the Net 45%
Reading a magazine 39%
Mobile telephone 33%
Reading a News Paper 32%
Listening to the radio 7%
“Spot” is an organization that tries to attract as much advertising money to TV stations, so their research may be biased. Nevertheless, TV is as entertaining wallpaper, always there, while other media have a higher access threshold.

One has to ask oneself if multitasking is really possible. We all know how hard it is to do two things well at the same time. However clever, the brain has limited senses.

Since attention for a medium can also be expressed in media value (- or advertising income -) a market analysis for example for magazines should extend itself to all other media types available. Of course one could argue that the newly introduced media types are only frequently used by the younger generation. That it’s weight in the analysis should be seen in relation to its use. One has to bear in mind that the penetration ratio of these new types of media is gaining force rapidly.

There is a historical aspect to this all. Our society has developed rapidly after the Second World War We had to work together as teams to build up our lives on the rumbles of war. Broadcast behaviour and media were useful ingredients to find back our common identity. It took some twenty years and a new generation to realize that individual values like freedom of choice were at least as important as common values. It took a revolution of flowers in the western world to close the difference between generations. Nowadays individuality is common sense. Even young adults deliberately develop their own style and value sets. They even publish it in their own digital social networks.

I’m not educated to analyse sociological developments but there seems to be a strange correlation between the type of information distribution and the current social context. The broadcast media of the 50’s and 60’s and the social environment at the time, only one goal: rebuild society. The networked media of today and the individual perception of the younger generation have a more individual angle.

Broadcast media are losing their role as a trusted friend to media that are able to create more complex relationships such as the internet and especially the mobile devices. Let us compare media on the level of screens and see what role they play in people’s lives.

Screens

This matrix below lists types of screens versus distance which results in a span of attention (media value).

The same exercise is valid for paper means of presentation.
Poster – leaflet – catalogue - news paper – magazine – ‘blog’.
The reader’s attention extends itself over a longer period of time towards the end of the chain. I intentionally added the blog type at the end of the chain because I believe there is no paper alternative replacing or out-smarting the current day magazine on short notice. Two reasons follow;

The paper magazine as it is today is at the end of its life cycle. Only price and distribution are discriminators. Old brands lead the market and new introductions fail in rapid succession, but magazines and new paper are here to stay they will have to find their place and synergy with other media.

Browse vs. read

The difference between browsing vs. reading must not be left unnoticed. There is a relationship between the quantity and depth of information that is transferred from medium to user and the medium used. It is not easy to read long articles on a computer screen or the internet. It is virtually impossible to browse and understand a scientific dissertation on a mobile phone screen.

Although my lists of screens and paper media are incomplete they draw a picture of a long historic development that will come to an end shortly. The noun ’media’ became regular in speech and journalism in the 1920’s. The etymology of the word media, where intermediate is meant, is off course much older.

Online Etymology Dictionary - Cite This Source media
"newspapers, radio, TV, etc." 1927, perhaps abstracted from mass media (1923, a technical term in advertising), pl. of medium, on notion of "intermediate agency," a sense first found 1605.
Online Etymology Dictionary, © 2001 Douglas Harper

The claim of marketeers is that they sell products by drawing customer’s attention with the use of communication media. They have to influence the customer’s behaviour towards that specific end and will use the most effective way of communication.

They will invest in three main issues; First they’ll maximize the number of eyeballs or viewer ratings. Secondly they’ll try to maximize the span of attention (in actual minutes or in visit frequency). Thirdly they will send the appropriate message.

Types of marketing

The figure below relates types of marketing to the span of attention in the same way I related screens to the span of attention.

The introduction of new media on a historic scale show that until the beginning of the twentieth century media were only paper and mainly used for information exchange. The use of newspapers was reserved for the upper class. Marketing became evident when newspaper makers found themselves in a world full of competition and had to find new revenues. Although the word marketing is as old as the Middle Ages. The profession originates from the early 1920’s. Could there be a relationship between the use of the word media en the birth of a new profession?

Dictionary.com Unabridged (v 1.1) - Cite This Source
mar·ket·ing
/ˈmɑr kɪ tɪŋ/ Pronunciation Key - Show Spelled Pronunciation[mahr-ki-ting] Pronunciation Key - Show IPA Pronunciation
–noun
1.
the act of buying or selling in a market.

2.
the total of activities involved in the transfer of goods from the producer or seller to the consumer or buyer, including advertising, shipping, storing, and selling.
[Origin: 1555–65;
market + -ing1 ]
Dictionary.com Unabridged (v 1.1)Based on the Random House Unabridged Dictionary, © Random House, Inc. 2006

Now a days consumers are confronted with a wide range of information sources to choose from. The sources chosen are often habitual. Older people refer to newspapers while the younger generation relates to digital sources. The first mass newspapers emerged with the new printing techniques around 1900. Magazines followed shortly. Of course newspapers and magazines have been in existence long before that, but here I would like to apply the mass type of the product. (The first magazine was Gentleman’s Magazine in 1731.)

Introduction of new media has come to an end. Modern media can reach anyone, anytime and anywhere. What more can an info carrier achieve. From now on innovations will take place in the areas of context, media synergy and consumer participation. In other words; functionality – software – application?

Customers have to divide their attention between media. Their time is limited to an absolute maximum and they have a lot to choose from; News paper, Radio, Film, Book, Telephone, Television, Magazine, PC, Mobile Telephone, Internet, Personal Media Centre, PSP and so on…

This means that all these media have to compete for a share of attention or a share of mind. Compete with water so to speak. This also means that new competitors will come out of the wall they are never your regular competitors, because your competitors will likely follow your strategy..

Mega Consumer Trends

Marketing research defines six mega trends for the next two decades or so. Here they are;

o Back to the roots (time for your self)
o Clanning (participate, self confirmation)
o Being alive (consciousness, health, life)
o Cocooning (protection and comfort)
o Egonomics (consumers seeks recognition)
o Vigilante consumer (in search for value, guard quality, represent customers , environment)

These trends all show that the consumer is in the central position. They chose when and where to consume and under which circumstances.

According to trendwatching.com trends for 2007 are;

o Status lifestyles (show – off )
o Transparency Tyranny (bad producer behaviour will be punished)
o WEB + (consumer generated web environments web 2.0 etc may be up to 5.0)
o Trysumers (try before you buy)
o Global brain (join forces, social networking etc.)

These trends all show high consumer involvement. Share of mind is key in modern publishing and/or marketing. Publishers and marketeers need to innovate or they will lose their grip on consumer behaviour and thus on their own media value.

A whole new attention related economy will develop.

Summary

Means : Do follow technology trends and place them in the appropriate life cycle. Don’t fall for fashionable solutions but look at the true value of infrastructures. Web 2.0+ will be the driving force behind new introductions of network based applications, independently available of place, time and device.

Message : Marketing and communication initiatives should always aim at customer participation. Treat customers as equals. They are media sensitive and ask for proof. Make them belong. Don’t show off!!

Media : To generate enough eyeballs different media or communication strategies must be used to generate media synergy within one communication concept.

1 Feb 2007

Cascading media

“New publishing concepts stress the different roles of and synergies between various media and produce content, context and relationship- tools in one go!”

What would it be fantastic if your radio commercial results in booming revenues and that your customers refer to your products in every conversation they have. Fortunately it doesn’t work that way or a lot of people would lose their jobs.

Since the introduction of new media (internet, mobile phones and games) marketeers and communication specialists are trying to get the best out of each medium.

During my appointment as director of technology and business development for a large IT company we addressed the issue of synergy between media. Joint efforts with publishers and TV-producers led to interesting developments in a world that was basically dominated by technology. Even what we called “look and feel” tasted like technology. These cooperation led to the view that interactive media should “smell” good, to give the user a feeling of comfort.

Later on I developed the philosophy of “cascading media”. The idea came in the early days of they Internet when traffic was the success factor for every initiative. A conversion of a TV audience to an Internet initiative can generate such amounts of traffic that success was guaranteed.

Media Transfer

Imagine a prime time entertainment show that uses the endgame to transfer viewers to an interactive environment where the viewers can participate in the game show for the next 24 hours, returning to the next episode of the game show. The game show reports back the results of the last 24 hours and shows which of the interactive contestants have qualified for the next TV show.

Transfer of eyeballs is a concept that is hard to achieve. People are basically lazy when sitting in front of their TV set. Just ask yourself what effort it would take to get you out of your chair and behind your computer to start up the Internet. Nothing I guess. To influence behaviour with such impact requires high rewards

If it is possible to find a way to guarantee such a transfer is worth a lot of media value.

Integrated media approach is becoming a regular standard in both media and marketing. For instance the radio show that uses SMS, telephone and Internet facilities to poll opinions during transmission. The opinions are used to spice up the discussion in real time.

Marketing campaigns that include Internet subscription, SMS services, Music events and privileged e-mail communication.

The TV world is also using SMS and telephone as a viewer feedback. In this case with the aim of making as much money as possible. Call TV type programs are of a simple structure. “If you know the answer, call us and win the possibility to win a prize”. This transferring mechanism is the simplest in existence.

Nevertheless, This TV world is a lazy one. It sticks to plain TV, radio broadcast and straight forward campaigns. They support their programming with digital variations like streaming missed programs, Pod-cast etc. Only occasionally different media are incorporated into the programs / campaigns concepts.

Two random non existent examples will illustrate what I am implying;

1. Imagine a TV show called Game-Set-Match. (GSM – Global System for Mobile communications)). Of course the main driver here is the mobile phone. Answers are given in real time. Besides the studio audience anyone can play along. The GSM players outside the studio qualify for the next show. The intermediate results can be found in the Internet Control room, accessible only to those who played the game.

The span of attention of the format is prolonged long after the TV show has ended. In format advertising increases the formats media value and a massive phone income is generated.

2. I developed a combined Internet TV format called WebQuest™. I was in the early days of the Internet. Powered by a TV game show it would be the start of a digital treasure hunt. The hunt would lead the audience along certain pre planned websites of the program’s sponsors, enhancing the formats media value. Players and audience will come to the control centre to evaluate the intermediate standings, get tips and hints. Contestants can chat with each other and help or even delude the opponents. The frequency could be daily for stronger relationship and more frequent eyeballs. The results of the hunt are presented in the next TV show. The hunt can continue for weeks and the final treasure can be of considerable value.

Both formats were introduced with both public and commercial TV. It seemed a bridge to far at the time, but here we are, seven years later and still no true cross media format is programmed. Transferring the TV audience towards digital media is not an issue in TV thinking.

Transferring however, is a commercial mechanism with a lot of history. In the “paper”-days newspapers and magazines often used paper coupons to allow readers to react to a certain subject (or product). You could send in your personal data and receive a product or a sales call. We have been transferring people from;
o Advertisements to shops
o From commercial to internet
o From TV format to SMS
o From billboard to Shopping Mall
o Etc.

Transferring is the most intensive behavioural influence a marketeer can achieve. If you are able to transfer 10% of a viewer’s audience in a game show to the same game on the Internet, what would the additional media value be worth? The converted audience is an interested “intense” audience, worth more than accidental viewers. If you could lure them into leaving personal data you’d have a privileged audience you can target in the future.

Will advertisers be interested in a cross media approach to reach their customers and can you sell a cross media advertisement package in one deal? I think so. Proof is already there in the market. Advertisers are shifting from loyalty programs towards integrated involvement programs.

The examples I gave so far come from the entertainment industry. But all kinds of communication will follow the same pattern. Be it commercial communication for products or services, education or even government.

The use of consecutive media in a commercial concept I call a “media cascade”. One medium refers to another intensifying the customer relationship with every step.

Media Cascades

The philosophy is based on the creation of relationships. I recognised 4 basic steps earlier that apply tot all sorts of communication (personal, commercial, non-profit, etc)

Step 1 Attention. Make sure your recognised. Shout! A simple yet attractive message is required.

Step 2 Information exchange. Tell about your product or service and check if more is needed.

Step 3 Transact. Build trust and exchange information / services or products that establishes the relationship

Step 4 Now you can start building. Connect your Relationship into your business processes and use the added value of this relationship in building new relations.

Since all steps have a different character different types of media will be used in each step. Where Step 1. is a typical broadcast step (TV, Radio, and Print) Step 3 for instance is an interactive step where to customer supplies information to you. “Warmer”, more personal media should be used because the communication is drawn to a personal and trusted level. Mobile phones and internet communities are typical in this step.

You have to realise that you have to convert people from one step to the next and so from one medium to another. Your reach (eye balls) in step one falls out into two Referral (media transfer of customers) and Waste (users that do not react). Maybe you can catch them still by adding different angles in Step 1, the most crucial step.

This integration of media results in a different approach towards marketing and business processes and as a result toward ICT since processes must be designed to accept external information (Step 3). For instance subscriber self-care portals.

Research in the USA showed already in 1998 that personal media like the internet could not boost without other media as a referral platform. Different types of media referring to the internet resulting in concrete sales were;
– TV 55%
– Radio 15%
– Print 7%
– Internet 23%

The cascades you can build around different types of communications can consist of different media. Let me give you a few examples.

In the market for government information congresses are used regularly to relate to fields like industry, healthcare etc. It is obvious that in order to generate enough attention Billboards, Broadband Advertising, etc are used. Secondly potential attendants are facilitated with a subscription facility (internet, paper forms). Once the primary exchange of information has taken place the congress becomes the relationship platform. Not only between organisation and attendants but – even more important – between attendants.

There is a distinct relationship between the message you want to send and the distance between the used media type and its user. You could divide media in 4 different categories using this rule. The closer the medium the more trusted information can be exchanged and the more interactive the relationship will be. You should also appreciate the different situation the viewer finds himself in.

Just a brief overview of screens and distances as I described in media characteristics. From these categories a media cascade could be build. I will leave the paper equivalents out this time.

Media categories

45 feet Billboards, Cinema screen, etc. The viewer finds himself in a random crowd. No interaction.
9 feet TV Screens. Viewer finds himself in a family type of situation. Remote controlled
3 feet PC/Internet. Viewer sits in his personal environment, possible with trusted friends.
0 feet Mobile Phone, PSP, iPod / iPhone etc. User/viewer is alone. Usually no one else is allowed in this environment.

Since these media types play a different role in users lives and behaviour these messages sent are different but must be tuned to the goals your organisation has set for it self.

Rightly tuned synergy between media could lead to;
. More business
. Tighter consumer relationships adding value to your portfolio
. Better tuned business processes
. Better information mining opportunities
. Better margins

Monomedia

This all does not mean that I see no existence for stand alone media. I can see magazines, TV programs, newspapers, book and so on with no additional cross reference what so ever. The thing is that the used formula must be so powerful that it automatically generates word of mouth referral.

Summary

Means : Customer interaction, the prime ingredient of a trusted relationship, requires flexible and reliable service processes. ICT supporting these processes will change rapidly over the next years. Business alignment is not enough. Business prediction is necessary. Old monolithic systems will be shielded off – encapsulated – with portal technology based on web 2.0 type solutions, creating direct input form the outside world.

Message : The message distributed over a range of media should have a strong conceptual idea behind it. It should be applicable in all 4-steps in a media cascade.

Media : Cross media marketing will increasingly dominate the marketing world.