Tag Archives: powerhouse

Marketing Predictions for 2013

bandwagon

In 2012, there were increased developments for marketers. Social media sites, such as Facebook, created a massive mobile advertising business. Now the question is, what does 2013 have to offer? Advertising experts got together to show marketing predictions for the year to come.

The first strategy experts explored was “Mobile-First Strategy.” Facebook and Google are two sites responsible for the mobile ad spending tripling to $4 billion in 2012. According to eMarketer, “we expect mobile ads to increasingly become the top priority for advertisers on digital, rather than desktop.” This is the result of consumers spending more time and money on mobile devices.

Next experts explored the revision of “Banner Ads.” Banner ads do not work well on mobile devices, which has lead companies to reconsider using them. However, the ads will not be going away for good, instead businesses are working on a more creative way to post them and become user friendly.

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Study: iPad Accounts for Almost 95 % of Tablet Web Traffic

 

Aiming to get a sense for how powerful the tablet is, online advertising network Chitika looked at what devices it was serving ads to and found that it was almost exclusively Apple tablets.

For every 100 iPad impressions, Chitika is serving slightly more than one ad to a Samsung Galaxy and Asus Transformer Prime and under one ad to the Motorola Xoom, BlackBerry PlayBook and Kindle Fire. The Nook Tablet share is even lower, though clearly both the Nook and Kindle are marketed less as Web browsing devices and more as media consumption tools.

In total, the iPad accounted for more than 94 percent of ads, Chitika said.

It shows that not only are iPads outselling their rivals, but each one that is sold is also more heavily used, at least when it comes to Web surfing.

“Going forward the competition is going to be hard pressed to find a way to overthrow the seemingly omnipotent Apple,” Chitika said. “Not only do they offer a great product, they have the undying devotion of their enthusiasts.”

Powerhouse USA creates Smell-a-Vision : now TV viewers will be able to watch and “smell” their favorite shows

ORLANDO, Fla.—April 1, 2012— Local advertising agency Powerhouse USA announces the creation of Smell-a-Vision. Now television viewers everywhere will not only be able to watch their favorite shows, but they‘ll be able to smell them. The invention is expected to revolutionize the digital TV world as we know it.

David “DP” Preschel, president of Powerhouse USA and creator of Smell-a-Vision, has been dedicated to the fields of advertising and marketing for over 20 years and has finally created the breakthrough that marketers have been striving to accomplish for decades. “We wanted to give viewers a more interactive way to learn about our clients’ products. We have now incorporated a third sense into the viewing experience; all that’s left is to literally put the product in consumers’ hands! We’re working on that next,” he explains.

Preschel has worked tirelessly with the team at Powerhouse USA every night for years until yesterday when he finally discovered the secret to the olfactory viewing experience. When asked for details of the technology behind Smell-a-Vision, he declined to explain the process as worldwide patents are still pending.

Since rumors have spread over the Internet, phones have been ringing off the hook at Powerhouse USA. Those who wish to implement Smell-a-Vision in their advertisements range from car dealers (who doesn’t love that new car smell?) to bakeries, and oddly enough, septic companies. But the most curious call of all has been from political campaigns. “Unfortunately, we’re having trouble developing the musk of Newt Gingrich,” Preschel laments.

Powerhouse USA is a full-service advertising, marketing and promotions agency in Orlando, Florida that has produced over 3,000 television commercials ranging from car dealerships to massage therapy. On April 1, 2012, they introduced Smell-a-Vision to media outlets and television viewers everywhere.

“Gone Viral!”

Yahoo’s fourth-quarter net earnings decline 5 percent

Yahoo’s fourth-quarter earnings fell 5 percent as newly minted CEO Scott Thompson acknowledged the company needed to do better, but was short on details about his plans.

The company’s fourth-quarter net earnings declined 5 percent year-over-year to $296 million, with revenue off 3 percent to $1.17 billion. And search advertising revenue dipped 3 percent year-over-year to $388 million.

Yahoo’s full-year revenue hit $5 billion, a far cry from the $6.3 billion it recorded in 2010. During the company’s earnings call Tuesday, Thompson said he’s spent “a lot of [his] time and attention”understanding the problems facing Yahoo’s display advertisingbusiness. Referring to the company’s results, Yahoo CFO TimMorse said during the earnings call, “we expected better.”

Thompson repeatedly said that it was too early to discuss how he plans to improve Yahoo’s performance. But he isolated the consumer data Yahoo holds as “the key component for driving innovation.”

“Our data may be Yahoo’s most underrated, underappreciated and underused asset,” he said.

Thompson said he aims to mine the data collected from Yahoo’s 702 million monthly unique visitors to improve the site experience for consumers, which he said would lead to more time spent on site and better results for advertisers.

Thompson and Morse downplayed the uncertainty that has dogged Yahoo throughout the fourth quarter and continues to follow the company. Morse—who took over as interim CEO after Carol Bartz’s ouster in September—termed the period “challenging” with “numerous distractions,” and Thompson said there was a lot of “commotion” surrounding the company.

Thompson’s appointment earlier this month may have settled the CEO question. ButYahoo co-founder Jerry Yang resigned from the company’s board last week, and questions persist over whether Yahoo will be sold.

As to the latter, all Thompson would say was that Yahoo “remains open to anything that’s good for our shareholders.”

300+ million users now access Facebook via mobile apps

Facebook is being boosted by app use, with it being reported in the last couple of days the world’s largest social network saw monthly active users of its mobile apps pass 300 million users.

Enders Analysis analyst Benedict Evans writes that the figure is correct as of 27 December, with iOS and Android applications accounting for more than two-thirds of mobile app use on the social network.

Evans uses Facebook’s own mobile data, comparing iOS, Android, BlackBerry, Windows Phone, Symbian and featurephone use, to the network’s 800 million total users and 350 million mobile users, which the company announced at the end of September.

fb Report: 300 million users now access Facebook via its mobile apps

Evans writes:

Quite unsurprisingly, these are dominated by the two platforms that have traction, iOS and Android. As Techcrunch pointed out a few days ago, Android has now passed iOS in DAUs, though Apple has passed the round 100m MAU figure.

Windows Phone remains quite insignificant, though that may change next year as Nokia’s efforts come fully on stream. Meanwhile around 70% of RIM’s 70m active users have installed the Facebook app. That’s a high penetration rate (it comes to around 50% for Android and iOS) on what is supposed to be a corporate product, pointing to RIM’s strength in messaging, but also to the way that the mix is shifting away from business customers and towards emerging markets and teenaged girls (in the UK at least).

From his breakdown, Evans deduces that 70% of mobile users and more than 30% of all users used apps to access Facebook.

Facebook has worked hard to rebuild its mobile websites, partnering with operators worldwide to offer free access to its service. The company also introduced social app discovery on its mobile website, making it almost as feature-rich as its apps.

U.S. auto industry recovering faster than anticipated; Automakers headed toward best annual performance in three years

The U.S. auto industry is seeing demand recover faster than anticipated, with carmakers headed toward their best annual performance in three years at sales of 12.8 million vehicles.

Consumers entered this year’s final month demanding models ranging from big pickups to luxury sedans to fuel-sipping hybrids after pushing November’s sales to the fastest monthly pace since the government’s “cash for clunkers” trade-in program in August 2009. General Motors Co. (GM) and Chrysler Group LLC, two years removed from bankruptcy, have been taking share from disaster-stricken Toyota Motor Corp. and Honda Motor Co.

U.S. buyers are replacing their cars after delaying new- vehicle purchases as long as possible, and they are snapping up F-Series pickups and Prius hybrids as consumer confidence in the economy jumps. That means the automakers haven’t had to resort to fire-sale prices to goose demand.

“The industry has managed production levels to where demand was this year and didn’t get ahead of itself,” said Jeff Schuster, a Troy, Michigan-based analyst for LMC Automotive. “With inventory now being replenished, it’s not a situation where we’re seeing too much production or seeing heavy incentive use.”

Spending on marketing promotions averaged less than $2,700 a vehicle throughout the industry, down about $74 from a year ago, according to LMC and J.D. Power & Associates.

Consumer confidence surged in November by the most in more than eight years, and the portion of consumers planning to buy a new vehicle within six months climbed to the highest since April, data from The Conference Board showed Nov. 29.

The average age of cars and light trucks on the road today has risen to 10.6 years old, Jenny Lin, Ford’s senior U.S. economist, said on a Dec. 1 conference call.

“We are going to see more and more of this pent-up demand realized,” Lin told analysts and reporters.

She cited declining gasoline prices for providing “relief” to consumers, who responded with purchases of sport- utility vehicles and pickups. Sales of Dearborn, Michigan-based Ford’s SUVs climbed 29 percent and F-Series trucks increased 24 percent.

GM’s deliveries of Chevrolet Silverado and GMC Sierra pickups surged 34 percent and 22 percent, respectively, and Chrysler’s Jeep brand sales soared 50 percent. The average price for unleaded gasoline has dropped 71 cents, or 18 percent, to $3.28 a gallon on Dec. 3 from its peak this year on May 4, according to AAA, the nation’s largest motoring group.

Consumer demand was broad-based, as Toyota (7203) and Honda boosted deliveries of smaller vehicles, making up for production lost after March 11’s tsunami and earthquake inJapan and more recent floods in Thailand disrupted their supply chains.

Toyota, Asia’s largest automaker, reported a 49 percent increase in sales of Prius hybrid models, including its new wagon variant. Deliveries of its redesigned Camry sedan climbed 13 percent to 23,440, securing its position as the top-selling car line ahead of Nissan Motor Co.’s Altima and the Ford Fusion. Toyota slashed discounts on cars by 32 percent last month, according to researcher Autodata Corp.

Honda, the only automaker among the 10 largest that didn’t have a companywide U.S. sales increase for November, still managed to boost deliveries of Civic cars by 3.4 percent. That’s the first increase since April for the Tokyo-based automaker’s top-selling model.

Among luxury brands, Daimler AG (DAI)’s November deliveries jumped 47 percent, as the brand’s year-to-date sales closed to within 1,600 of Bayerische Motoren Werke AG (BMW)’s BMW line. The two German brands are vying to replace Toyota’s Lexus, the annual luxury champ for the last 11 years, which also lost production to the March disasters.

Industry sales accelerated to a 13.6 million seasonally adjusted annualized rate, according toWoodcliff Lake, New Jersey-based Autodata. The pace exceeded the 13.4 million average estimate of 14 analysts surveyed by Bloomberg.

“The recovery is showing a little bit more resiliency than what people feared,” Paul Ballew, chief economist for Nationwide Mutual Insurance Co., said in a Dec. 1 phone interview. “Vehicle sales are inching their way back up to 14-, and then eventually 15- and 16-million units.”

If December matches November’s 14 percent increase in industrywide deliveries, auto sales will finish the year at 12.8 million cars and light trucks. That would exceed the 12.7 million sales total that was the average estimate of 18 analysts surveyed by Bloomberg in August.

Jefferies Inc., IHS Automotive and TrueCar.com are now considering increases to their estimates for 2012 deliveries, according to analysts at the three firms.

Auto sales may total 13.5 million light vehicles next year, the average of 14 estimates compiled by Bloomberg. The industry delivered 11.6 million cars and light trucks last year, up from a 27-year low of 10.4 million in 2009.

The seasonally adjusted annualized rate for auto sales “appears to be building to a 2011 exit run-rate close to 14 million without a full Japanese supply recovery and bad economic news cycle,” Adam Jonas, a New York-based analyst for Morgan Stanley, wrote in a Dec. 1 research note. The momentum “bodes well for 2012,” he said.