reaching the new consumer

Reaching the New ConsumerKerri Pollard, Vice President of Client Performance, Commission Junction

January 23, 2007

Thank You

What is the Long Tail?

HEAD

TAIL

Most Popular Items Infinite Space

Infinite Choice Infinite #

of Niches

Chris Anderson, The Long Tail

Where does Web 2.0 Come In?

Lengthens the Tail

Fattens the Tail

Increases Demand

Dependence is Minimized

“When consumers interact, they discover

their tastes are far more diverse than the

marketing plans fired at them.”

The Shift

POWER

Institution Validation

Time Magazine, December 2006

“Welcome to YOUR World!”

You Demand to be Heard!

What I’ll Cover:

1. Who is the New Consumer?

2. New Vehicles

3. Affiliate Marketing & Web 2.0

4. What do WE Do Now?

5. Take Aways

1. Who is the New Consumer?

Pre Post

Aggregated Fragmented

Homogeneous

Passive

Converged Media Consumption

High Expectations

Interconnected

Informed

Active

Heterogeneous

Uninformed

Low Expectations

Disconnected

Singular Media Consumption

“Consumers are switching from consuming content to communicating”

Jim Nail, CMO of Cymfony

Consumers can now schedule their own media consumption

Jupiter Research, November 2005

The New Challenge

Harder to Reach;Harder to Engage;Harder to Persuade; and Harder to Satisfy.

Sounds like…..

Don’t tell me what I need or where to go!

Your Typical Teenager

Consumer Metrics Over the past five years, Americans have

increased their Internet time allocation by 75%eMarketer

12 to 17-year-olds, who represent $180 billion in purchasing power, spend 17% more time online than adults for personal reasonsForrester Research

62% of 1,000 heavy, Internet users have participated in some sort of blogging activityUniversal McCann & Insight Express, August 2006

#1 Yahoo Blog Search

in 2006

Perez Hilton

Consumer Summary

YoungerSmarter

In Control

To Be Entertained To

InteractInfiniteChoice

What I’ll Cover:

1. Who is the New Consumer?

2. New Vehicles

3. Affiliate Marketing & Web 2.0

4. What do WE Do Now?

5. Take Aways

2. New Vehicles

Samsung Blu-Ray Billboard

New Statistics

Between 2006 – 2011, the mobile TV segment alone will grow from under $200M to over $4BInforma Telecoms & Media, September 2006

Average CTR of a mobile banner ad is 2% - 3% vs. .2% for an Internet banner adABI Research, November 2006

Estimated 123.4M viewers of Internet video in 2007 – 65% will be maleeMarketer

$1.65 Billion Baby!

What are They Doing Online?

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Search Engines

Read News

Check Weather

Online Banking

Shop Online

Play Games

Access Local Info/Yellow Page

Auction Sites

Health Information

TV/Movie Listings

Travel Arrangements

Listen to Streaming Audio

Dowload/View Streaming Video

Read Blogs

View Stocks/Financial

Dowload Movies/TV Shows

Read RSS Feeds

Listen to Podcasts

Online Activities of Broadband Users in the US 2006; IPSOS Insight

10% listen to podcasts; 14% read

RSS feeds

34% download/view streaming video

86% use search engines

81%

What I’ll Cover:

1. Who is the New Consumer?

2. New Vehicles

3. Affiliate Marketing & Web 2.0

4. What Do WE Do Now?

5. Take Aways

3. Affiliate Marketing & Web 2.0

Sales

Leads

Awareness

Affiliate Marketing

“Show Me the Money!”

Web 2.0

You Have an Innovative Salesforce!

1996 2000 2001 2002 2007

“In Context”

Banner Ads

Testimonials

Email

Dynamic Content

Loyalty

Bust!

Product comparison

Search

Convergence&

Web 2.0Injection

What Do I Mean?

Compliment – don’t conflict – the

consumer’s path

Sample Injections

Affiliate Re-direct

#2 in the Natural Search RankingsAuthenticity is Key

Sample Injections

Golf putter

Odyssey prototype milled putter

Keywords that drill into a topic can

deliver a higher quality audience

Sample InjectionsWidgets: They bring the web to you; Think of them as tech jewelry – bling for your blog; ice for your desktop (Malik & Niall Kennedy)

Year of the Widget? Newsweek

End of the page view?

What I’ll Cover:

1. Who is the New Consumer?

2. New Vehicles

3. Affiliate Marketing & Web 2.0

4. What Do WE Do Now?

5. Take Aways

4. What Do WE Do Now?

Publishers need DETAILED

product data

The most successful publishers DON’T use the

product description field

Data is POWER

Open up your “library” beyond the

“bestseller list”

Enable your publishers to leverage

the “tail”

Custom Datafeeds

APIs

Deep Keywords

Learn to Let Go

McDonald’s 500m

“Don’t promote us near the

competition”

“We require exclusivity”

“That data is not available”

What I’ll Cover:

1. Who is the New Consumer?

2. New Vehicles

3. Affiliate Marketing & the Web 2.0 Injection

4. What Do WE Do Now?

5. Take Aways

5. Take Aways

The Consumer has ChangedHave You? Has Your Affiliate Program?

Minimize the use of the word “control”

Be Nimble, Cooperative and Accessible

Thank You!kpollard@cj.com