BrandScan

November, 2006

  ggcomm
In this Issue  

Is It Your Computer Or A TV?
Print Vs. Online:  Reed Makes Its Stand
On The Conference Circuit
Making The Message Different
The Busy Engineer:  What's On Their Minds
Email Campaigns Making A Comeback
The Web Has Even Changed Press Releases
Court Rules Google's Use of Trademarks As Keywords Is Non-Infringing

 

 
  Is It Your Computer or A TV?  
  Online video, while only constituting 2.3% of the $16.7 billion spent advertising online, is expected to grow faster than any other form of Internet advertising, according to a report released by eMarketer.  This possibly understates the impact video will have online, since the study was conducted before the recent Google purchase of the hot video site YouTube for $1.65 billion.  Why are marketers so focused on video?  Many are thinking it’s the next “killer app” of online marketing, fueling important word-of-mouth marketing programs.  Online plant tours, tutorials, even humorous ad clips and campaigns will all be up for consideration in 2007 marketing campaigns for many companies.  Spending for Internet video advertising is expected to grow 71% this year to total $385 million.
     
  Print Vs. Online:  Reed Makes Its Stand  

Print advertising in trade journals or online ads?  There’s no question much of marketing spending is shifting from print to online, and we at Goldstein Group have certainly advocated for growing our clients’ online presence (though not at the expense of ALL print ad visibility).  But, magazine publishers as well have struggled with the transition in some cases.  Do print magazines have a role for the future marketer?  Does a print publication complement a magazine’s online presence, or compete against it for share-of-time among its readers?

Reed Business Information, in forming its new online division this past July, may be hinting at their answer.  “Future growth in b-to-b publications will come from their Internet products,” said Jeff DeBalko when he was named this summer to head the new Reed Interactive Division.  That’s not a surprising statement for him to make.

What IS surprising, though, is what he said next:  “Ultimately, our goal is to become an online company that creates world-class print products,” DeBalko said.  It’s the first time we’ve seen a statement from a print magazine publisher that says his company’s future rests squarely in online, rather than print, an almost “by-the-way” reference to print publications as clearly coming in second in priority to its future.

The challenge for Reed, DeBalko and all trade publishers is replacing the revenue stream print publications provide.  It takes a lot of banners, a lot of webcasts, and a lot of email newsletter ads to replace a single full page ad in a well-read trade pub.  As marketers, our task is to concentrate whatever print resources are allocated only on those publications with the highest readership (not just circulation) among our targets.
 
  On The Conference Circuit  
Agency head Joel Goldstein spoke this past month in Las Vegas at the opening session of the Non-Ferrous Founders’ Society annual convention, a group of metal foundry owners.  His topic dealt with best practices in Online Marketing.
 
  Making The Message Different  

Our agency often works with clients to hone their messages, to make them comparatively powerful and relevant in a world where all too often companies go to market with sound-alike claims and benefits that fail to stand out from competitors.

Noted speaker Jackie Frieberg, author of “Nuts! Southwest Airlines’ Crazy Recipe for Business and Personal Success,” underscored the importance of comparative messaging during a recent speech:  “We live in a surplus society, where similar companies employ similar people who have similar ideas about creating similar products to sell to similar people at similar prices."
 
  The Busy Engineer:  What's On Their Minds?  

Since many of our agency’s clients sell to engineers, understanding their mindsets and problems are an important foundation for many of our campaigns.  The 7th  update of EDN Magazine’s important “Mind of the Engineer” study contained a number insights engineering-oriented marketers should keep in mind:

  • It’s tough to reach any customer, but engineers in particular are a busy group, averaging nine projects at any one time.  Government and military engineers are less busy than the engineering population as a whole, averaging only six projects on their plates at a given time.
  • 59% of an engineer’s projects actually reach the market.
  • 81% of engineers are involved in a development project all the way through from initial design to market launch.  Attempts from a few years ago to segment the engineering population into those who work only in early-stage-prototyping or those involved in later-stage projects may no longer be effective.
  • Engineers said they do not feel prepared to provide support through to market launch, an opportunity for companies to build relationships and preference through tutorial/application support.
  • 31% of engineers work collaboratively with members of their design teams located outside the U. S.  Global brands are increasingly important.
  •  How does the EDN survey say to reach these busy decision-makers?  The rankings were colleagues as #1, PR as #2, then manufacturer’s web sites as #3.
What worries keep them up at night?  Keeping up with the latest tech specs, shorter life cycles for their products, outsourcing, global issues and international standards.  Said one frustrated respondent:  “Engineering is less valued today.”
 
  Email Campaigns Making A Comeback  
 

In 2005, concerns about deliverability and spam were threatening to strangle the emerging field of email marketing.  So far this year, several metrics indicate that industry efforts to deal with those problems seem to be working.  Consider these stats, contained in BtoB Magazine’s recently published Interactive Marketing Guide:

  • In 2005, fewer people reported they were “less trusting of email because of spam” than the year before, down from 62% to 53%.
  • Email is second only to search engine marketing in how companies allocate online marketing dollars.  Eighty percent use email programs, and 88 percent expect email effectiveness to increase during the next three years.
  • Email spending, at $885 million in 2005, is forecast by Jupiter Research to grow to $1.1 billion by 2010.
  • AOL said the amount of spam reaching its member mailboxes declined 75% last year due to special filtering put in effect
As always in life, there’s a catch to email strategies as well:  rented lists are not performing as well as in the past, and in most of our campaigns perform half as well as internal lists.  So, it’s more important than ever to build your own internal lists through strong relationships with your customers and prospects.
 
 
  The Web Has Even Changed Press Releases  

When analyzing web log files for some of our clients, we’re finding that traffic is being driven to their sites by two primary sources, one a surprise, the other not so surprising:  search engines (not the surprise, of course), and PR releases and articles (surprise!).

Today there are more than 6000 news and information sites that exist.  When a company distributes a release, it’s immediately picked up by Google News, Yahoo! News, industry news aggregators, RSS feeds, and many of these thousands of news sites.  So, not only has the importance of news releases and PR articles increased in our web world, but the way we have to write releases has changed.

In the past, we wrote releases based solely on what would appeal to journalists and editors.  Today, we should write with our buyers in mind, since that’s primarily who’s reading them today.  Here are a few of the “new rules” for writing releases:

  • Don't just send press releases when "big news" is happening; find good reasons to send them all the time.   While in the past we wouldn’t distribute a release for some new contracts, awards, or speaking engagements, today those releases are on the short list of items to distribute.
     
  • Write releases replete with keyword-rich copy.   (Note:  services such as Businesswire allow us to insert xhtml links that allow readers to click embedded hyperlinks we’ve inserted into the releases to drive traffic back to your web site.  That not only helps improve search engine rankings for those keywords, but also boosts user sessions back to your site.)
     
  • Identify which releases drive the most traffic by including a distinct link in the release that carries visitors back to a landing page.  At the end of the year, you’ll be able to see which releases and topics generated the most interest, which not only shapes your PR program going forward but certainly provides marketers with valuable insight.
 
  Court Rules Google's Use of Trademarks As Keywords Is Non-Infringing  
A federal judge in New York has just ruled that Google's practice of selling trademarks as keywords that trigger links to particular Web sites other than those of the trademark holders does not constitute infringement because Google does not actually "use" the trademarks within the meaning of the law.  This ruling was entered on September 28 by Norman Mordue, the Chief Judge of the United States District Court for the Northern District of New York in the case Rescuecom Corporation v. Google, Inc. Judge Mordue granted a motion by Google and dismissed Rescuecom's complaint, which alleged trademark infringement with respect to Google's selling of the trademark "Rescuecom" to Rescuecom's competitors as a keyword.  


Goldstein Group Communications, Inc. is a technology advertising and public relations agency specializing in creating measurable results for business-to-business clients.

For more information on any of the above stories, contact Joel Goldstein, jgoldstein@ggcomm.com, 216.573.2300.

Goldstein Group Communications, Inc.
6480 Rockside Woods Blvd. South  Suite 300
Cleveland, OH 44131
Tel: 216.573.2300
Fax: 216.573.9964
Web: www.ggcomm.com

 

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