Monday, February 21, 2011

Going "Social" to Keep the "Mass" in Mass Media. From NYT: TV Industry Taps Twitter and Facebook for Viewers

Trying to exploit viewers’ two-screen behavior, the television network has built a companion Web site with behind-the-scenes video streams, so Oscar winners will be seen accepting an award on the TV set, then seen celebrating backstage on the stream.

Experiments like this one are a sudden priority in television land. As more and more people chat in real time about their favorite shows — on Facebook, Twitter and a phalanx of smaller sites — television networks are trying to figure out how to capitalize.

It’s as if people are gathered around the online water cooler — and the television executives are nervously hovering nearby, hoping viewers keep talking and, by extension, watching their shows.

Experts like Ian Schafer, the chief executive of the digital agency Deep Focus, say that Twitter and Facebook messages about shows may well be “the most efficient way to drive tune-in.” Though it is hard to prove the link, Mr. Schafer sees it firsthand when a news segment catches his attention or a basketball game is in overtime. “I’ll say on Twitter or Facebook, ‘You have got to tune into ‘Nightline’ or ‘60 Minutes’ right now,’ and then I’ll get people saying, ‘Oh, thanks for alerting me,’ ” he said.

The water-cooler effect makes big shows even bigger — the Grammy Awards had its highest rating in a decade on Feb. 13 — and gives small shows a new way to stand out.

On the same day as the Grammys, Howard Stern demonstrated the latter with his stream Twitter posts during a re-airing of his movie “Private Parts.” Suddenly, some people flipped over to HBO2 to follow along, and Twitter executives were thrilled. Adam Bain, one such executive, wrote, “This is what fiction TV producers should do every week.”

Acts like Mr. Stern’s make television viewing more social, even if the viewers are in separate rooms (or states).

“In a sense, you are in the living room, watching together,” said Jeff Probst, the host of “Survivor,” who used Twitter to talk with fans during the show’s season premiere last Wednesday while flying from New York to Los Angeles. Mr. Probst plans to make such viewing a weekly habit this season.

Television executives say the chats deepen viewers’ interest in a show, making them more likely to watch next time. BET stunned its competitors last month when “The Game,” a sitcom about football players’ relationships with women, drew more than seven million viewers, thanks in part to fevered online chatter. Debra Lee, the chief executive of BET, said “we can now tell when something’s a hit almost immediately — by seeing how many of the trending topics on Twitter belong to us.”

Twitter generally lists 10 such trending words at a time, and in the evenings, television shows are well-represented.

Television networks as well as some technology companies, Twitter chief among them, see benefits to their business from this behavior. Dick Costolo, the chief executive of Twitter, said last week at a mobile conference in Barcelona that online conversations about TV shows turn the programs into events, “meaning people watch them as they happen,” blunting the impact of digital video recording.

He may have overstated the impact of Twitter — digital recording remains prevalent — but it is clear that many people feel they have to watch some shows as they premiere in order to keep up with conversations online.

“We know people are multitasking while they’re watching TV,” said Albert Cheng, the executive vice president for digital media for the Disney/ABC Television Group, which oversees ABC. “The question is, how do we tap into that and create a whole different consumer experience?”

“We don’t have all the answers,” he added, “but we are definitely trying different things and seeing how people are reacting.”

In this television season, ABC introduced iPad apps for two shows, the since-canceled “My Generation” and the medical drama “Grey’s Anatomy,” that sync up polls and trivia to the premieres of new episodes. Those apps, for Mr. Cheng, double as research labs.

Much of the experimentation around the online water cooler is happening on cable before it trickles up to the broadcast networks. Lisa Hsia, the executive vice president of Bravo’s digital media arm, said that its online viewing parties for “Real Housewives” reunions gave a 10 percent ratings lift to the telecasts.

“The key discovery is that we’re not just driving digital growth, we’re driving analog growth,” she said.

The experiments are gaining the attention of TV advertisers looking to leverage the online communication about their brands. For the Super Bowl last year, Nielsen created a blended media score for clients that looked at the impact of both paid media and earned media. The highest-scoring clients had what Randall Beard, the global head of advertising solutions for the Nielsen Company, described as “pass-along currency” in their social media campaigns, like a coupon.

“The best form of advertising is a recommendation from a friend and a family member,” something that social media encourages, Mr. Beard said.

During this year’s Super Bowl on Feb. 6, Twitter users set a new record by sending 4,064 messages each second, the highest number of messages per second recorded during any sporting event.

A recent study by Deloitte of 2,000 American consumers ages 14 to 75 found that 42 percent sometimes surfed the Web while watching TV, and 26 percent sometimes sent instant messages or texts.

Analysts say such behavior will become more common as tablets and smartphones become more prevalent. Programs like “The Rachel Maddow Show,” on MSNBC promote iPad apps, and ABC’s Oscar Web site will come in the form of an app.

It’s not just television networks like ABC that are eager to wedge themselves into the two-screen experience. A wide range of Web sites, including People.com and NYTimes.com, are creating Web pages and apps meant to be viewed during the Oscars next Sunday.

Mark Golin, the editor of People Digital, said the People.com site would feature real-time trivia with a $10,000 grand prize. “We do a lot of run-up content in the days and weeks before” the Oscars, he said.

“We always have a big day after. So why not during the show?”

Jennifer Preston contributed reporting.

We seem to be going back full-circle. Decades and centuries ago, information and entertainment really was a shared social experience. Curiously, it seems we're only now rediscovering how great it to be able to share it again with others.

You sometimes just have to see the absurdity in it - have we really "progressed" only to be led back to the truths about our human nature?

Posted via email from The BING KIMPO Show!

Inspiring. @davemorgannyc nailed it. Some will make it by developing tech; others, by finding uses for it.

I love Groupon, and I've never even used the service. I love Groupon, and I've never even been to its Web site. Why do I love Groupon? I love it because, for the first time since Netflix, we have a "digital company of the moment" that's not just about some new whiz-bang technology.

To me, Groupon represents the beginning of a new trend in digital marketing companies. Here's  what I mean:

Business model innovation. The technologies that power the Web, email, ecommerce, couponing, social sharing and status update have already been invented. It's about time someone created a great company focused on how to turn those platforms into a great marketing service. In Groupon's case, it's a $2 billion a year revenue company in two years. We haven't seen anyone as successful at that since.

Not about the Valley (or New York or L.A., for that matter). Technology start-ups depend on access to critical masses of risk-taking engineers and lots of tech-savvy venture capital. Not so with business model innovators. They can start everywhere you have smart people who want to change the world. I am sure that Groupon's success with Chicago roots will be an inspiration to everyone out there. Innovation is no longer limited to Silicon Valley.

All about sales & marketing. Many argue that Groupon isn't defensible since it's a sales & marketing company at its core, suggesting that only technology companies can build competitive barriers to entry. Clearly, Groupon is building a "network effect" that could be as powerful as the "friend effect" of Facebook or the "auction effect" that Google created with AdWords. Time will tell.

The girl (or boy) next door. Groupon is run and staffed by people like those who most of the rest of us grew up with, went to school with, or have drinks with after work. That has not always been the case with many technology-driven start-ups. It makes the notion of start-ups feel more accessible to all. It helps democratize them. I think that this is good for all.

Given the apparent lack of technology defensibility, do I think that the founders shouldn't have taken the reported $6 billion offer for the company? No more than I think that Google or Facebook should have sold at those levels. I believe that Groupon is on to something big. I believe that it will revolutionize local marketing services. What do you think?

Posted via email from The BING KIMPO Show!

Friday, February 18, 2011

First shot fired in Philippine E-Commerce PR war? Hmmm. From PDI: Merchants invade cyberspace

MANILA, Philippines—In the Philippines, merchants are starting to make a killing online.

According to Ambareesh Murty, country manager of eBay Philippines, “e-commerce in the Philippines is in a rapid incline and shows significant promise.”

It is no secret that eBay is the largest purveyor of e-commerce in the world. It is a global online community where practically anyone can trade almost anything. It offers a low-cost platform for entrepreneurship and is open to everyone.

“We’re proud to say that entrepreneurship is in our DNA,” Murty says. “It is a small platform to reach millions of buyers across the globe.”

Also, Abhimanyu Lal of eBay says the company makes “inefficient markets efficient for millions of users.”

But eBay considers the Philippines a special market. With the sudden rise of broadband penetration and mobile broadband, more Filipinos discovered the convenience of shopping and selling online.

“The Philippines is seeing the value of e-commerce,” Murty says, noting that most Filipinos spend a substantial amount of their time on the Internet.

The longer they stay online, Murty says, the more they are inclined to buy and sell.

And they have the numbers to support their words. eBay Philipines has over 750,000 registered users. These consumers come from all 12 metropolitan areas in the country.

Metro Manila has the most active online shoppers. The most active buyer cities in the country are Metro Manila, Cebu, Davao, Baguio and Cabanatuan.

But eBay is not limited to the big cities. “You’ll be surprised to know that there is a seller based in Jolo,” Murty said.

In a country that is home to tens of thousands of small and medium entrepreneurs, eBay seeks to foster stronger ties with consumers by providing convenience and safety.

There are over 3,000 sellers in the Philippines. They consider eBay as a primary or secondary source of income. These sellers trade on eBay Philippines daily across 2,000 categories of products. From lipsticks and handbags to gadgets and toys, every user can find something useful or interesting online.

In addition, eBay says the Philippines is a unique market.

In a recent survey, company officials discovered that Filipinos prefer to buy brand-new fixed-price products as opposed to second-hand ones. This runs counter to how an auction is usually conducted—buyers and sellers haggle over the price of a particular product.

Upon learning this, eBay modified its format to suit Filipino buyers and sellers. It launched the “buy it now” program to cater to the Philippine market and other eBay consumers across the globe. The program enables online customers to purchase merchandise right there and then without bargaining with the sellers.

Another modification is eBay’s group-buying site Kuponan. This site offers users substantial discounts and a variety of deals with restaurants, spas and other services.

The company functions as a middle man between merchants and consumers negotiating discounts for the latter.

Also, consumers need not immediately pay the entire amount of the merchandise they bought through eBay. They have the option to pay a certain amount and settle the balance over a specific period of time. This is the company’s version of the “five-gives” scheme where buyers are allowed to pay on installment.

The Philippine market was the first to enjoy eBay’s Kuponan before the company launched the program across the globe.

“We received an overwhelming response from Metro Manila,” Murty says.

eBay also notes that more Filipino women are active online shoppers. Over 50 percent registered users on eBay Philippines are women.

When asked why they think Filipino women are prominent users here in the Philippines, while male users dominate the online marketplace in countries like India and Malaysia, company officials said that Filipino women enjoy a higher degree of independence.

The women here enjoy a higher standard of living compared with those in other parts of Asia, Murty says. They account for a large portion of the workforce and have more disposable income.

As for security, which is a primary concern for most users who are inclined to shop online, eBay ensures that all transactions are safe and secured.

“As part of our commitment to deliver safe, easy and the best deals, we have created a protection program that insures all transactions up to P11,200,” Murty states.

Only a handful of people know that eBay has a Verify rights program in the global marketplace. Murty explains that around 2,000 employees are dedicated to verify the authenticity of each item sold on eBay.

“We pay them to determine if [a product] is real or not,” he says.

The buyer protection program was also created to receive, and respond to, user’s feedback.

“We make sure that each user has a good experience so that they will try again,” Murty explains.

If a merchant were to sell fraudulent items through eBay, that seller will be barred from trading.

If there are penalties, then there must rewards. Merchants who provide excellent service to buyers receive the Power Seller award from eBay.

“It is a privilege we give out to sellers who fit the criterion, but we also reserve the right to strip them of that award if the circumstances call for it,” Murty says.

Citing the company’s bright prospects, Murty expects cooperation, not competition, in the years ahead.

“Our users deserve our collective effort, and we make sure that they have an experience that is one of a kind,” he says.

Like a rocket poised for lift-off, e-commerce is ready to fly and conquer the online marketplace.

Posted via email from The BING KIMPO Show!