Tag Archives: NEWSPAPERS

Creating a Well-Rounded Marketing Media Strategy

If you find yourself questioning the value of traditional media in your marketing strategy because:

  • Digital investment is generating lots of clicks to your website,
  • Your competition recently launched a web or mobile campaign,
  • And your inbox is flooded with promises from digital media vendors to deliver engaged consumers, premium content and targeting technologies at an unbelievably low cost?

The digital age has had an unquestionable positive impact on the ability of advertisers to zero in on consumers fitting their ideal demographic, geographic and psychographic profiles, with the proficiency of a star athelete like Lebron James or Eli Manning to hit their respective targets. But, just as you can’t put Eli Manning on the basketball court or put Lebron James on a football field and get the same results, you can’t expect digital media alone to accomplish all of the media goals and objectives in your marketing media strategy.

The purchase cycle
Big ticket purchases like cars, furniture, jewelry, and medical services are some of the most important retail investments affecting individuals—and the consumer doesn’t want to make a mistake.

Digital marketing is great at attracting audiences concerned with making the best decisions—people who are proactive about their purchasing decisions. And often, those who are proactive about searching are also proactive about engaging. This likelihood to engage means digital should be a core component of any well-balanced media plan. But marketers have a long purchase cycle to consider, during which awareness, information, reassurance and loyalty must be established and sustained to help the consumer confidently choose to invest in your brand above all others offering similar services. That’s where traditional media shines.

A good media strategy takes all kinds
Traditional media and their digital counterparts are vital media engines, and through the basic mechanics of media mix theory1, are inclined to fuel each other in the long purchase cycle.

Here’s a quick breakdown media mix theory, from Media Planning:

  • To reach people not reached with the first medium.
  • To provide additional repeat exposure in a less expensive, secondary medium after optimum reach is obtained in the first medium.
  • To leverage the intrinsic values of a medium to extend the creative effectiveness of the campaign (such as sight and sound on TV, intimate conversation on radio, long copy in print media and precise targeting in digital mediums).
  • Synergism, where an effect produced by the sum of the parts is greater than expected by adding together the individual components.

Traditional and digital media are equally and uniquely important in your media strategy mix and you build an effective media mix that contributes to profitable growth, that includes both traditional and digital media.

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Here are the latest online video advertising numbers

December 29, 2011
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Though advertisers and agencies are often increasing their investments in digital video advertising at the expense of offline/traditional branding/advertising efforts, findings from DIGIDAY and Adap.tv suggest funding also comes at the expense of current display advertising budgets.

According to a November study, advertisers were more likely to fund their online video advertising efforts from offline channels such as print and broadcast TV than their agency counterparts. Advertisers most often planned to shift budget from print (41%), while 29% said they would take dollars from broadcast TV to fund their digital video advertising efforts. Just 24% planned to pull from display.

Agencies said boosts to online video budgets would most come at the expense of display (43%), indicating a general move away from less dynamic ad formats, such as banner ads, in favor of those with greater engagement potential.

Channels Their Clients Plan to Shift Budget from to Fund Online Video Ads According to Agencies and Advertisers in North America, 2010 & 2011 (% of respondents)

In addition, 39% of agencies said they would fund video from broadcast TV budgets. Though findings appear to suggest advertisers and agencies are shifting budgets away from TV toward video ads, more than half (56%) of respondents viewed online video as a direct complement to—and not a replacement for—their TV ad programs. Just 11% looked to online video to replace their TV ads, reported eMarketer.

In the past year, both advertisers and agencies have shifted their primary video advertising objectives from brand awareness to brand engagement, perhaps suggesting marketers are moving away from viewing digital video as a mere extension of TV ads and moving toward embracing online video for its ability to more directly engage viewers in a dynamic way.

By enabling video ads with social sharing and other calls to action, marketers can use digital video as a springboard to additional online engagement on social networks, their website and even mobile apps.

Online Video Ad Objectives According to Advertisers in North America, 2010 & 2011 (% of respondents)

Mobile is a growing area of interest for video advertisers, yet publisher offerings lag brand adoption. For example, 42% of advertisers and agencies have purchased iPhone-compatible video ads, yet only 35% of publishers supported such ads. Differences for Android video ads (31% vs. 28%, respectively) and iPad ads (41% vs. 35%) were similar.

Builders, Realtors see signs of hope in Volusia-Flagler housing market

12/30/11

2012 highlights

Real estate professionals think 2012 will show a modest improvement from 2011. Here are some highlights:

– Foreclosure inventory could still be heavy for the next five years, but most people don’t foresee lenders releasing a “shadow inventory” and flooding the market.

– December has been better than usual, and homebuilders think that mild momentum will carry into the new year.

– Home inventory has plummeted in the Daytona Beach region compared to last year, falling 42 percent. Expect that to continue.

– Builders are seeing signs of life. One Volusia County builder expects to construct 45 to 50 homes in 2012, up from 34 in 2011 and 23 in 2010.

SOURCES: News-Journal research; Daytona Beach Area Association of Realtors

DAYTONA BEACH — After suffering through one of the worst economic downturns in modern memory, local home builders and real estate professionals foresee a modest turnaround in 2012.

It’s already started with a better-than-usual December, which traditionally is a slow time of year for new contracts.

The Volusia-Flagler housing market has been in shambles since 2007, when foreclosures overcame the area and home prices fell drastically. Flagler County has periodically had the highest number of foreclosure filings in the state, and Volusia County has been near the top.

While the inventory of homes for sale is still high, real estate professionals believe 2012 will improve, if only a bit.

“We are seeing a lot more people coming in, more than in the past three or four years,” said Luis Medeiros, president of Palm Coast-based custom builder New Coastal Homes.

“We just had three sales in December for next year starts,” he said. “For me, that’s great in the Palm Coast market.”

For the past couple of years, Medeiros has been building just three or four homes a year, so going into the year with three contracts is uplifting.

“The people looking to buy a home are looking at the short sales and bank-owned and not liking what’s available. They’re looking at a $150,000 home that needs work. But, for a little more they could get a new home with everything they want,” Medeiros said.

Even so, Karen Radcliff, president of the Flagler County Association of Realtors, said she expects foreclosures and short sale homes in the county to be “pretty heavy in the market for three to five years because we have job issues and unemployment issues.”

But the area’s foreclosure inventory isn’t as big as it was during the peak of 2008 and 2009, and she doesn’t expect a “shadow inventory” of foreclosed homes to overwhelm the market.

Flagler County has generally seen a drop in new foreclosures in 2011 compared to 2010, although new filings in November increased, according to the most recent data available from research group RealtyTrac.

Mark Dougherty, executive director of the Daytona Beach Area Association of Realtors, doesn’t predict any dramatic increase in residential sale prices, but thinks prices will start to flatten, barring a slew of foreclosed homes hitting the market.

“The bread and butter inventory, two- and three-bedroom single-family homes, those properties are probably going to stabilize,” he said. “And that’s the typical thing because there are way more of those than anything else.”

SIGNS OF IMPROVEMENT

Median residential sales prices for the Daytona Beach Area Association of Realtors fell more than 8 percent last month compared to November 2010, from $120,000 to $110,000. But two large indicators of improvement — inventory of homes for sale and pending sales — were much better.

There was an inventory of 2,443 homes for sale in November, a 42 percent drop from the 4,219 a year earlier, according to the Daytona Beach Realtors group. And pending sales, which measure signed real estate contracts, increased 70 percent, from 246 in November 2010 to 418 a year later.

West Volusia is also holding out hope for 2012.

Chris Bowley, planning and development services director for Deltona, said he’s seen an increase in building permit applications during the last three months. Most are for single-family houses built on vacant lots scattered throughout the city.

In the Live Oak Estates and Arbor Ridge subdivisions, though, there is some building going on and more is expected.

“During the downturn there wasn’t much activity there,” Bowley said of Live Oak Estates. “But now there’s new home construction. Same thing goes for Arbor Ridge.”

Bob Fitzsimmons with Gallery Homes of DeLand also is seeing a “more active winter.

“I’m working with three clients right now. That excites me because this is usually a slow time before mid-January, when things pick up again,” Fitzsimmons said.

Low land prices, down 50 to 60 percent from the peak period, and more buyers confident that the market has bottomed out, are driving the recent activity, Fitzsimmons said.

HIGH PRICED CONDOS GAIN

The condo market in 2011 reported strong gains in high-price sales. Scott Nieminen, a broker at Palm Coast-based Realty Executives and the 2010 president of the Flagler County Association of Realtors, expects a small appreciation in prices next year, started by an increase in higher-priced homes.

“Gated communities, golf courses, waterfront – those things have a tendency to see it first, but across the board it’ll be an improvement,” he said.

Jim Paytas, of Daytona Beach-based Paytas Homes, built 34 homes in East Volusia in 2011, up from 23 the previous year.

However, before the bust, Paytas Homes was building 100 houses a year.

“There is a renewed sense of urgency I’ve not seen since 2005. Prices have stabilized and buyers have to close on the lots now while prices are low and before they’re gone,” he said. “Following the recent trend, we could see 45 to 50 new homes in 2012. It’s not substantial, but better than what we’ve been doing.”

Apple Devices Dominate Mobile Online Shopping

The holiday season came a little early for Apple this year, but it’s not as if the company didn’t already know what it was getting. New statistics released this week from retail analysis firm RichRelevance indicate that iPads and iPhones are the top mobile devices that consumers use to make retail purchases.

By just how much, you ask? According to RichRelevance, 92 percent of all “online non-desktop sales” came from an iOS-friendly device during December. Better still (for retailers), those using their iPhones, iPads, and other iOS devices to shop online spent more, on average, than those shopping via other mobile platforms like Android: $123 for iOS devices versus $101 for Android devices. Even though desktop-based sales crushed mobile-based purchases in volume, the average order value of these purchases only reached $87.

“The numbers across our retailing partners sites demonstrate just how powerful the iOS platform is enabling mobile web shopping and, while still below 5 percent in total conversion, mobile traffic’s doubling in eight months is a trend we only see accelerating,” said David Selinger, RichRelevance CEO, in a statement.

In total, mobile device-based shopping hit around 3 percent of all online sales analyzed by RichRelevance—more than 3.4 billion sales in total, stretched across the months of April to mid-December. Translated out to raw dollars, mobile-based sales jumped from 1.87 percent of all U.S. online retail spending in April to 3.74 percent in December.

As mentioned, this news should come as little surprise to Apple, as the company has already seen snapshots of iOS mobile shopping dominance. Take, for example, Black Friday: According to IBM, the iPhone and iPad ranked first and second for consumer shopping on mobile devices on Black Friday itself (5.4 percent and 4.8 percent, with Android-based devices taking up third at 4.1 percent). That totals just over 10 percent of the mobile shopping market for Apple’s flagship products.

IBM also indicated that the specific Black Friday conversion rates for the iPad—a comparison of online visits versus purchases made—were double those of the mobile device category as a whole (4.6 percent to 2.8 percent.)

Even though Android enjoys a healthy lead in overall global market share for smartphones versus the iPhone—no doubt a result of Android’s ability to exist on multiple devices versus the single iOS smartphone product line—it seems that iOS users continue to carry the day for mobile shopping.

TV, online to remain strong in 2012 slowdown

MagnaGlobal has released its updated 2011 US Media Owners Advertising Revenue Forecast, which remains unchanged at 1.6% growth, including the impact of political and Olympics (P&O) advertising. Magna still expects media suppliers to generate $173.5 billion of ad revenues in 2011. However, due to persistent weakness in the US economy, the 2012 growth forecast has been revised down from 4.8% to 2.9%–including P&O.  A slowdown in real personal consumption expenditures, manufacturing activity, and ongoing problems in the labor and housing markets all contribute to the revised outlook.

Excluding direct marketing components, the revenue growth of core media categories is estimated at 2.9% in 2011 and 4.3% in 2012.

For the Local Mass Media category (local Radio, local TV, local Newspapers and Outdoor media), declines are expected through the second half of 2011 and into 2012. They now expect this segment to decline -1.1% in 2011 and -0.4% in 2012, driven primarily by weakness in Newspapers (-5.5%), while Radio will be flat (-0.4%), and Outdoor should grow 4.2% in 2011 and 4.5% in 2012.

TV will be the fastest growing medium after Online in 2012, with ad revenues increasing 7.1% compared with Online’s 11.6%. Magna believes the 2012 Elections and the Summer Olympics will generate incremental revenue of $3.1 billion for television: $2.5 billion in political advertising (the highest spending ever, mostly on local broadcast television) and $633 million around the London Olympics (up 5.5% compared with Beijing 2008, and primarily fuelling National Broadcast TV revenues).

Under the current expectations of a slow-but-positive economic recovery in 2012, media suppliers’ advertising revenues will continue to recover from the severe recession of 2008-2009. MagnaGlobal expects revenues to reach $178.5 billion in 2012, which is still significantly less than the pre-recession level of 2007 ($206.1 billion).

Direct Media is exhibiting an increasing discrepancy between traditional activities (Directories and Direct Mail) and digital (Internet Yellow Pages, Paid Search, Lead Generation). Traditional direct media remains significant ($26.2 billion in 2011), but it is increasingly challenged by digital alternatives. Digital direct media, on the other hand, continues to outperform. Paid Search growth has accelerated this year to 21.7%, and is expected to maintain double-digit growth in 2012 (13.0%). Recent algorithm improvements have helped accelerate cost-per-click trends and have led brands to rely more heavily on search engine marketing and search engine optimization. So, for 2011, they now expect $31.1 billion in total online ad spend, up 19.5% vs. 2010.

FBI Uses Social Media To Search for Fugitive Who Inspired “The Departed”

Many advertisers have included social media outreach in their campaigns for years, but Wednesday’s arrest of fugitive James “Whitey” Bulger illustrates how the FBI is also a convert to Facebook, Twitter and YouTube.

The law enforcement agency launched a campaign in 14 cities on Monday aiming to help agents catch Bulger, the Boston mobster who had been on the lam for 16 years and was the inspiration for Jack Nicholson’s character in the 2006 film The Departed. The campaign included outreach on Facebook, Twitter and YouTube. By Wednesday evening, the feds had their man: Bulger surrendered in Santa Monica, California. The FBI announced the arrest on Twitter:

Before we give too much credit to social media, though, it should be noted that Bulger was ultimately done in by a TV ad. The ad, which appears above and targets Bulger’s companion, Catherine Greig, was also placed on the FBI’s Facebook Page on Monday. It was also loaded to the agency’s YouTube Channeland referenced in its Twitter feed.

The FBI began using social media in 2009, when it set up shopon Facebook, Twitter and YouTube. “To reach out to the public, we need to be where people are—and we know tens of millions of people spend their time in social media sites,” said John Miller, head of FBI Public Affairs, in a statement at the time. Prior to that, a company called NIC, which was founded by a former law enforcement officer, introduced a Most Wanted iPhone app that displayed the agency’s “Most Wanted” list.

Motor Industry Still Feeling Effects from Japan Tsunami

Toyota Motor Corp. and Honda Motor Co. are speeding returns to normal production after the March 11 earthquake and tsunami idled factories and created shortages of parts. The slowdown in May sales came about because limited supply of fuel-efficient cars like Toyota’s Prius lifted prices and curbed purchases.

“Consumers were being told so dramatically after Japan that there’s going to be a shortage of cars, but this is going to be a temporary situation and so many of them will just wait,” said Alan Baum, principal of industry consultant Baum & Associates, who predicts 13 million auto sales in the U.S. for 2011. “To the extent May is a reasonably poor month, I’m not going to get carried away and say that’s going to transcend through the rest of the year.”

U.S. sales of cars and light trucks may rise to 13 million this year, the average of 16 analysts’ estimates compiled by Bloomberg. That would be the most since 13.2 million in 2008.

Average U.S. gasoline prices dropped for 14 straight days since May 11 to $3.80 a gallon for regular unleaded, according to AAA. Prices earlier in May were at the highest level since 2008, reducing demand as the country’s vacation season started.

The earthquake in Japan may result in 3 million to 3.5 million units of global production that will be lost or deferred into next year, according to researcher IHS Automotive. Worldwide light-vehicle production may rise to 73.7 million units this year from 71.9 million in 2010, according to IHS.

Toyota, which built 45 percent of its cars in Japan last year, may lead declines among major automakers with a 27 percent drop in May deliveries, the average of three estimates. Honda Motor Co., the second-largest Japanese automaker by U.S. sales, may say sales fell 25 percent, the average of three estimates. Nissan Motor Co. deliveries may decrease 7.3 percent, the average of three estimates.

“Predominantly this is a supply issue,” George Magliano, a New York-based senior economist for IHS Automotive, said in a telephone interview. “The auto market was developing considerable momentum coming into this month before issues related to Japan.”

Automakers benefiting from their Japan-based rivals’ supply constraints may be led by Hyundai Motor Co. and Kia Motors Corp. Their combined U.S. sales may pass Toyota for the first time, according to Santa Monica, California-based TrueCar.com. Deliveries for Hyundai and Kia may surge 43 percent in May to 115,434, behind only General Motors Co. and Ford Motor Co., according to the auto pricing website.

Toyota, the world’s largest automaker, has said it expects production in North America to return to about 70 percent of normal levels beginning in June, from about 30 percent in May. Honda forecast last week that North American production will return to 100 percent in August for all models except Civic small cars, and said May 17 that global production will return to normal before the end of the year.