The recent rumours involve possible bids by Apple and Google for the next round of Barclay Premiership broadcasting rights. Apple's possible bid is seen as providing premier contents for its Apple TV initiatives and the rumoured launch of Apple 32 inch and 37 inch TVs. Google similarly is eyeing exclusive content for its Google TV efforts. These initiatives can be seen as a new challenge for traditional TV, cable and satellite broadcasters, who have traditionally owned the rights to sporting events and shows.
Additional, Netflix is getting ready for the launch of its own original series, Lilyhammer, via its streaming video subscription service with all eight episodes available at once. New original contents through Internet media outlets will provide increased competition for traditional broadcaster for viewers. With increased access to high speed broadband connections at home and 4G services on their smart phones and tablets, consumers will now have more choices on where to view contents and provide new Internet media outfits with the chance to provide original or exclusive contents to its users.
Lastly, the lawsuits between video broadcasting sites, Youkou and Todou, regarding stealing video contents from each other simply highlight a similar trend in China. China being the world's largest Internet market provides a fertile ground for Internet video sites to provide original contents and exclusive broadcasting rights. In fact, these sites have been signing exclusive rights to shows produced in the United States, Taiwan and Japan to stream to its users. It also provides an alternative choice for Chinese consumers over state and local owned broadcasters.
Thursday, January 5, 2012
Tuesday, December 6, 2011
Using Social Network Communites for B2B marketing
For B2B companies, the use of social network for building communities is a key part of the social marketing strategy. A company hosted community for users of its product provides an excellent way for a company to engage its customers, monitor the conversation, receive feedback and learn from its customers. The information that a company learns about its own product, how it is used, and customer requirements through online communities allows the company to make incremental improvements and design better products in the future.
Online communities are a faster and more efficient means of communicating with customers than traditional user group meetings, trade shows and conferences. The use of communities should be a key component of customer relationship management (CRM) because it engages the customers, present a platform for them to provide feedback, and monitors customer satisfaction, all key components of CRM. Although it is difficult to quantify some of the communications and feedbacks received through online communities, or calculate ROI of online communites, the relationship that are build up with customers are invaluable for future sales and marketing.
It is also interesting to note that companies who are afraid of reviews and open communications in communities fail to realize that a larger percentage of communications and reviews tend to be positive rather than negative. Also some negative communications increase trust in the forum and users will not feel that it is just another marketing channel for the company. The build up of trust in an online community is critical if active discussion of issues is desired. Furthermore, only an active and real discussion forum can provide honest feedback and learning opportunities for the company.
Online communities are a faster and more efficient means of communicating with customers than traditional user group meetings, trade shows and conferences. The use of communities should be a key component of customer relationship management (CRM) because it engages the customers, present a platform for them to provide feedback, and monitors customer satisfaction, all key components of CRM. Although it is difficult to quantify some of the communications and feedbacks received through online communities, or calculate ROI of online communites, the relationship that are build up with customers are invaluable for future sales and marketing.
It is also interesting to note that companies who are afraid of reviews and open communications in communities fail to realize that a larger percentage of communications and reviews tend to be positive rather than negative. Also some negative communications increase trust in the forum and users will not feel that it is just another marketing channel for the company. The build up of trust in an online community is critical if active discussion of issues is desired. Furthermore, only an active and real discussion forum can provide honest feedback and learning opportunities for the company.
Ethics and Social Marketing
Social Marketing to the Business Customer is a book written by Paul Gillin and Eric Schwartzman about how to best utilize social marketing in the B2B market. One interesting topic that the book discusses is how companies should draft their social media policies and the many specific issues that may come up when companies and employees engage in social media in the public. The list of issues that may arise include privacy issues, employee right to free speech, use of disclaimers, potentail conflict of interest, compensation for bloggers or any other party for endoring products, confidentiality and copyright issues.
The list of potential problems raises a host of red flags and potential legal issues for allowing all employees to engage freely in social media without providing adequate training. Although employees have the right to free speech, a company policy encouraging employees to engage in social media marketing and communicating with the customers should not be implemented without significant investment in time and energy training the employees.
It also does not make sense to encourage all employees to participate freely in social marketing since it is impossible to control all communications and provide adequate training for such a large group. Instead, it make sense for companies to designate a select number of people with different expertise to advocate, communicate, monitor and engage in the social media arena. Social media policy and training can be provided to these employees so that their communications will engage the customers without causing legal, privacy and other issues for the company.
The list of potential problems raises a host of red flags and potential legal issues for allowing all employees to engage freely in social media without providing adequate training. Although employees have the right to free speech, a company policy encouraging employees to engage in social media marketing and communicating with the customers should not be implemented without significant investment in time and energy training the employees.
It also does not make sense to encourage all employees to participate freely in social marketing since it is impossible to control all communications and provide adequate training for such a large group. Instead, it make sense for companies to designate a select number of people with different expertise to advocate, communicate, monitor and engage in the social media arena. Social media policy and training can be provided to these employees so that their communications will engage the customers without causing legal, privacy and other issues for the company.
Monday, December 5, 2011
Personalized Website by Visual Appeal - A New Trend?
Studies have shown that different generation may have different criteria for judging the visual appeal of web pages. The study Generation Y, web design, and eye tracking, published in the International Journal of Human-Computer Studies showed that Generation Y (age 18-31 in the U.S.) prefers web pages that include a main large image, images of celebrities, little text, and a search feature.
http://users.wpi.edu/~djamasbi/2008-Djamasbi%20et%20al-AMCIS.pdf
Marketers and online retailers targeting this particular demographics should attempt to design their website with a main large image that takes up at least 40% of the web page, images of celebrities endorsers, large main text and an easily located search box. Detailed text and lists should be hidden from view unless a user clicks to a link or hovers over the particular function. A large static list of products with images and text should not appear on the main page. Instead features that include rotating images and scrolling features should be used to display larger images of products and allow the shopper to scroll through them. Actual lists should only be accessed through clicking on a link.
This study also highlight the limitless possibilities for the next level of website personalization by visual appeal and layout. Amazon.com is one of the recognized online retail leader in creating personalized shopping web page by recommended products, previous purchases, and browsing history. The use of personalized website by visual appeal and feature would further enhance the level of customization and provide a more visually appealing website for each user based on demographic and personal data. The web page would then be configured to fit the profile of each user - including more text and reviews for shoppers that may be more inclined to read specs and do research, less text for younger generation, quick visual graphically product comparison instead of a side by side technical spec comparison and more larger images for Generation Y. The web page visual design would evolve based on the click tracking and features used by each individual shopper. The next level of web page customization could be just around the corner.
http://users.wpi.edu/~djamasbi/2008-Djamasbi%20et%20al-AMCIS.pdf
Marketers and online retailers targeting this particular demographics should attempt to design their website with a main large image that takes up at least 40% of the web page, images of celebrities endorsers, large main text and an easily located search box. Detailed text and lists should be hidden from view unless a user clicks to a link or hovers over the particular function. A large static list of products with images and text should not appear on the main page. Instead features that include rotating images and scrolling features should be used to display larger images of products and allow the shopper to scroll through them. Actual lists should only be accessed through clicking on a link.
This study also highlight the limitless possibilities for the next level of website personalization by visual appeal and layout. Amazon.com is one of the recognized online retail leader in creating personalized shopping web page by recommended products, previous purchases, and browsing history. The use of personalized website by visual appeal and feature would further enhance the level of customization and provide a more visually appealing website for each user based on demographic and personal data. The web page would then be configured to fit the profile of each user - including more text and reviews for shoppers that may be more inclined to read specs and do research, less text for younger generation, quick visual graphically product comparison instead of a side by side technical spec comparison and more larger images for Generation Y. The web page visual design would evolve based on the click tracking and features used by each individual shopper. The next level of web page customization could be just around the corner.
Generation Y Web Preferences
The international journal of human-computer studies published a study in 2010 on how to make webpages appealing to Generation Y, the demographics encompassing ages 18-31 in the United States.
http://users.wpi.edu/~djamasbi/2008-Djamasbi%20et%20al-AMCIS.pdf
The conclusion was that pages that have main large image, images of celebrities, little text and a search feature are especially appealing to Generation Y, who grew up with technology and are internet savvy.
The study however does not address potential differences in website appeal to different generation of internet users. As recent data have shown, website use by other age groups have increased dramaticaly in the last few years, and the average age of internet users and social network users have both increased as the older population jump online. Half all all new internet users in the United States will be aged 45 and older according to a recent estimate.
U.S Internet Users by 2014
TOTAL: 250.7 million (77.8%), up from 221.0 million in 2010 (71.2%)
- 3-11: 24.9 million (64.1%) / 18.6 million (49.8%)
- 12-17: 24.5 million (96.6%) / 23.8 million (94.6%)
- 18-24: 29.0 million (93.0%), 27.9 million (91.0%)
- 25-34: 39.6 million (90.0%), 36.5 million (87.4%)
- 35-44: 36.7 million (89.0%), 34.5 million (83.5%)
- 45-54: 37.9 million (87.0%), 35.1 million (78.6%)
- 55.64: 31.7 million (79.8%), 26.0 million (71.7%)
- 65+: 26.4 million (54.0%), 18.6 million (43.2%)
It is important for academia and marketing professionals to understand this trend and determine if there is a real difference in website visual appeal preferences between Generation Y and Generation X/Baby Boomers. The questions that should be addressed is whether the same website visual appeal applies to Generation X/Baby Boomers and if there is a convergence in appeal when it comes to website design. Although Generation X and Baby Boomers may be more used to traditional marketing media format that are largely text based - example magazines, newspaper and direct mail marketing, it is possible that that they will not judge the website appeal based on what appealed to them in the past. The study seems to imply that more text and a more static and list based website might appeal more to the non Generation Y demographics. A future study should be conducted to find out if a real difference exist among Generation Y, Generation X and Baby Boomers especially since going online have become a way of life even for the older generations.
http://users.wpi.edu/~djamasbi/2008-Djamasbi%20et%20al-AMCIS.pdf
The conclusion was that pages that have main large image, images of celebrities, little text and a search feature are especially appealing to Generation Y, who grew up with technology and are internet savvy.
The study however does not address potential differences in website appeal to different generation of internet users. As recent data have shown, website use by other age groups have increased dramaticaly in the last few years, and the average age of internet users and social network users have both increased as the older population jump online. Half all all new internet users in the United States will be aged 45 and older according to a recent estimate.
U.S Internet Users by 2014
TOTAL: 250.7 million (77.8%), up from 221.0 million in 2010 (71.2%)
- 3-11: 24.9 million (64.1%) / 18.6 million (49.8%)
- 12-17: 24.5 million (96.6%) / 23.8 million (94.6%)
- 18-24: 29.0 million (93.0%), 27.9 million (91.0%)
- 25-34: 39.6 million (90.0%), 36.5 million (87.4%)
- 35-44: 36.7 million (89.0%), 34.5 million (83.5%)
- 45-54: 37.9 million (87.0%), 35.1 million (78.6%)
- 55.64: 31.7 million (79.8%), 26.0 million (71.7%)
- 65+: 26.4 million (54.0%), 18.6 million (43.2%)
It is important for academia and marketing professionals to understand this trend and determine if there is a real difference in website visual appeal preferences between Generation Y and Generation X/Baby Boomers. The questions that should be addressed is whether the same website visual appeal applies to Generation X/Baby Boomers and if there is a convergence in appeal when it comes to website design. Although Generation X and Baby Boomers may be more used to traditional marketing media format that are largely text based - example magazines, newspaper and direct mail marketing, it is possible that that they will not judge the website appeal based on what appealed to them in the past. The study seems to imply that more text and a more static and list based website might appeal more to the non Generation Y demographics. A future study should be conducted to find out if a real difference exist among Generation Y, Generation X and Baby Boomers especially since going online have become a way of life even for the older generations.
Tuesday, November 15, 2011
Predicting the future of LinkedIn
What does the future hold for LinkedIn? The market has been pondering this question since LinkedIn's IPO this year. LinkedIn has thrived under the current economic conditions, with high unemployment rates and a surge in the number of people looking for jobs. The networking and job search features on LinkedIn are essential to anyone who is looking for a job in the current economic conditions. As new people sign up, they often spend additional time building up their profile, updating their experience, building up their network and simply finding out what LinkedIn has to offer.
Over time, the key to LinkedIn is to keep people coming back even when they are not unemployed, graduaing from college or looking for a career transition. To this end, LinkedIn has been rapidly expanding the professional networking and features on its website, in order to expand the value proposition it offers to its users. The expanding number of professional groups on LinkedIn is expanding the possibility for LinkedIn to become the center of future online professional exchange and seminars. This expands the role of LinkedIn beyond just networking for jobs. It provide a forum for ideas, solutions, information exchange and discussions. In addition, LinkedIn has started incroporating business news and industry news into the user home page to provide relevant and interesting news based on user profile.
LinkedIn members can also integrate their LinkedIn accounts with other applications or networks that can be used to benefit LinkedIn member's profile. This includes links to twitter accounts, word press blogs, huddle online workplace collaboration, project management tools, slideshare presentation tools, e-bookshelf, box.net for online file storage, and portfolio display. These tools add to the value to LinkedIn accounts and can eventually provide opportunities to do work collaboration and discussion online in a professional context. The goal is to increase the amount of time users spend on LinkedIn for non job search and networking related functions.
Lastly, LinkedIn also provides premium accounts for users. These premium accounts provide additional networking functionality and visibility. It also provides premium accounts for recruiters and companies who use LinkedIn for human resource recruiting purposes. These premium accounts provide additional revenues for LinkedIn to supplement advertising revenue. The business model of LinkedIn based on job search and networking also has the potential for generating a higher percentage of premium accounts compared to free accounts than other companies using the freemium model because it provides a potential direct financial benefit for the user - finding a new job or finding the right workers.
Over time, the key to LinkedIn is to keep people coming back even when they are not unemployed, graduaing from college or looking for a career transition. To this end, LinkedIn has been rapidly expanding the professional networking and features on its website, in order to expand the value proposition it offers to its users. The expanding number of professional groups on LinkedIn is expanding the possibility for LinkedIn to become the center of future online professional exchange and seminars. This expands the role of LinkedIn beyond just networking for jobs. It provide a forum for ideas, solutions, information exchange and discussions. In addition, LinkedIn has started incroporating business news and industry news into the user home page to provide relevant and interesting news based on user profile.
LinkedIn members can also integrate their LinkedIn accounts with other applications or networks that can be used to benefit LinkedIn member's profile. This includes links to twitter accounts, word press blogs, huddle online workplace collaboration, project management tools, slideshare presentation tools, e-bookshelf, box.net for online file storage, and portfolio display. These tools add to the value to LinkedIn accounts and can eventually provide opportunities to do work collaboration and discussion online in a professional context. The goal is to increase the amount of time users spend on LinkedIn for non job search and networking related functions.
Lastly, LinkedIn also provides premium accounts for users. These premium accounts provide additional networking functionality and visibility. It also provides premium accounts for recruiters and companies who use LinkedIn for human resource recruiting purposes. These premium accounts provide additional revenues for LinkedIn to supplement advertising revenue. The business model of LinkedIn based on job search and networking also has the potential for generating a higher percentage of premium accounts compared to free accounts than other companies using the freemium model because it provides a potential direct financial benefit for the user - finding a new job or finding the right workers.
Friday, November 11, 2011
ZMOT and Online Retailing
Google recently published a free e-book title ZMOT Winning the Zero Moment of Truth. In the book, ZMOT is described as "the moment when you grab your laptop, mobile phone or some other wired device and start learning about a product or service you're thinking about trying or buying. Putting it simply, it includes the online research, product comparisions, price comparisons, use reviews, coupon code search, online shopping, store availability checks that all internet users are all so familiar with. ZMOT occurs before the traditional FMOT (first moment of truth) which tradtionally occurs when the potential customer encounters the product in the store shelf.
Online retailers have the additional advantage of combining the ZMOT and FMOT into an integrated shopping experience so that consumers are researching and "seeing" the products at the same time. Amazon.com website provides a good example in that product information, pictures, video, description, reviews, ratings, competitive products and price information are all presented together on one product page. Consumers now instantly have a large amount of information at their disposal for evaluating the product and making a decision. Amazon.com's one click purchase option also make buying on their site easier than any other purchasing method and also increases spur of the moment or impulse purchase through one single click. The disavantage of online retailers is the limited ways of enhancing the FMOT experience since shoppers cannot actually see and feel the product in their hand. This has hampered the growth of online retailing in certain product categories and services. At the same time, the increasing acceptance of online shopping and fact that online retailers have made returns easier, make it more likely that consumers will use ZMOT online experience to make their purchase decision and bypasss the traditional FMOT in the store. In this regard, Amazon.com is constantly enhancing their platform and have made it relatively easy for consumers to return products if it did not make consumers' expectation due to lack of FMOT experience.
Online retailers have the additional advantage of combining the ZMOT and FMOT into an integrated shopping experience so that consumers are researching and "seeing" the products at the same time. Amazon.com website provides a good example in that product information, pictures, video, description, reviews, ratings, competitive products and price information are all presented together on one product page. Consumers now instantly have a large amount of information at their disposal for evaluating the product and making a decision. Amazon.com's one click purchase option also make buying on their site easier than any other purchasing method and also increases spur of the moment or impulse purchase through one single click. The disavantage of online retailers is the limited ways of enhancing the FMOT experience since shoppers cannot actually see and feel the product in their hand. This has hampered the growth of online retailing in certain product categories and services. At the same time, the increasing acceptance of online shopping and fact that online retailers have made returns easier, make it more likely that consumers will use ZMOT online experience to make their purchase decision and bypasss the traditional FMOT in the store. In this regard, Amazon.com is constantly enhancing their platform and have made it relatively easy for consumers to return products if it did not make consumers' expectation due to lack of FMOT experience.
New Ideas from E-Marketing Presentation
Attended an extraordinary student e-marketing presentation where the business models and marketing strategies of leading social networks and online startups in both China and the United States were analyzed and dissected.
It is interesting to note that advertising and freemium business models dominate among social media companies and online startups in both China and the United States. This is the predominant revenue source for most of these companies. This highlight the extreme difficultly of generating revenues through charging for content or membership fees in the online world where information is still seen as free. For each exclusive membership site, there are multiple other sites that offer the same information for free, making it extremely difficult for content membership sites to gain market share and build up a large enough audience. Only the very premium or prestigious content provider can charge membership or subscription fees and often only for exclusive contents while most of the articles are provided for free. A potential future business model, is to charge a negligible fee for each use or access while depending on volume of users to drive revenues. A small almost negligible fee is likely to be more acceptable to online users compared to an annual or monthly membership fee.
It is interesting to note that advertising and freemium business models dominate among social media companies and online startups in both China and the United States. This is the predominant revenue source for most of these companies. This highlight the extreme difficultly of generating revenues through charging for content or membership fees in the online world where information is still seen as free. For each exclusive membership site, there are multiple other sites that offer the same information for free, making it extremely difficult for content membership sites to gain market share and build up a large enough audience. Only the very premium or prestigious content provider can charge membership or subscription fees and often only for exclusive contents while most of the articles are provided for free. A potential future business model, is to charge a negligible fee for each use or access while depending on volume of users to drive revenues. A small almost negligible fee is likely to be more acceptable to online users compared to an annual or monthly membership fee.
Innovative Startups Ideas to Learn From
Business insiders published a list of the twenty most innovative online tech startups recently. With the imminent launch our online auto repair marketplace business for online auto repair quotes and repair shop ratings, some of the ideas that was presented have direct application to our business.
Zocdoc is a online doctor appointment booking service where people can easily book doctor appointments online. Revenues come from the $250 listing fee for doctors. The online service is free for users of the site. A similar model can be applied to scheduling routine auto repair maintenance. This could be extremely attractive for independent repair shop and local dealer service department who may not have want to maintain their own online auto repair scheduling service. The site also provides another additional source of customers for their business, many of whom may not otherwise hear about them.
Quora is a Q&A online query website where questions are answered by experts instead of the average Joe. For an auto repair quote and information website, this business model could be used to provide valuable and reliable information to help drivers identify potential problems before using the online auto repair quote service to request repair estimates.
Skillshare is an online class website where experts in any field can teach their topic of expertise to anyone who is interested. This can be customized for the auto repair field where experts technicians could post auto repair tutorials or white papers to help drivers understand what goes into each repair and how it is actually done. The use of expert tutorials and white papers can help drive traffic to the site, build up trust in the site among users and increase the value of the site to advertisers. Using professionally generated content will also increase the percentage of website visitors who may eventually use the site to request actual auto repair quotes and schedule appointments.
An analysis of the funding sources for these 20 innovative startup shows that most of the initial funding still comes from venture capitalists that support startups, with additional funding coming from wealthy individuals.
Zocdoc is a online doctor appointment booking service where people can easily book doctor appointments online. Revenues come from the $250 listing fee for doctors. The online service is free for users of the site. A similar model can be applied to scheduling routine auto repair maintenance. This could be extremely attractive for independent repair shop and local dealer service department who may not have want to maintain their own online auto repair scheduling service. The site also provides another additional source of customers for their business, many of whom may not otherwise hear about them.
Quora is a Q&A online query website where questions are answered by experts instead of the average Joe. For an auto repair quote and information website, this business model could be used to provide valuable and reliable information to help drivers identify potential problems before using the online auto repair quote service to request repair estimates.
Skillshare is an online class website where experts in any field can teach their topic of expertise to anyone who is interested. This can be customized for the auto repair field where experts technicians could post auto repair tutorials or white papers to help drivers understand what goes into each repair and how it is actually done. The use of expert tutorials and white papers can help drive traffic to the site, build up trust in the site among users and increase the value of the site to advertisers. Using professionally generated content will also increase the percentage of website visitors who may eventually use the site to request actual auto repair quotes and schedule appointments.
An analysis of the funding sources for these 20 innovative startup shows that most of the initial funding still comes from venture capitalists that support startups, with additional funding coming from wealthy individuals.
Wednesday, October 12, 2011
How to attract customers to U.S. Private High School School Admissions and Relocation Services
Compelling offers can be used to attract customers to the U.S. Private High School Admissions and Relocation Services. The compelling offer must provide value to potential customers. In this case the target customers are parents looking to send their children to the United States for private high school. The value propositions include admissions to top private high school, excellent test scores and worry free relocation. To this end, compelling offers that will attract potential customers include the following:
1) Money back guarantee if student do not gain admission to one of their top three choices.
2) Discount for bundle services that include all three phases - admission package preperation, test prep and relocation services.
3) Group discounts for multiple siblings.
4) Referral fee for bringing in new customers.
5) Volume discount for groups with multiple applicants using the service (e.g. middle school or tutoring schools)
6) Free U.S. travel and cultural guide book for potential customers.
7) Free basic seminars regarding issues facing younger students in the U.S.
8) Free online meeting with potential host and relocation guide.
1) Money back guarantee if student do not gain admission to one of their top three choices.
2) Discount for bundle services that include all three phases - admission package preperation, test prep and relocation services.
3) Group discounts for multiple siblings.
4) Referral fee for bringing in new customers.
5) Volume discount for groups with multiple applicants using the service (e.g. middle school or tutoring schools)
6) Free U.S. travel and cultural guide book for potential customers.
7) Free basic seminars regarding issues facing younger students in the U.S.
8) Free online meeting with potential host and relocation guide.
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