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    MEDIATRENDS

    CONSUMERS

    #4PUBLISHED BY

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    2 MEDIACOM | BLINK#4

    What is the best way to reach consumers today? Are brands ready to meet

    the demands o digital natives? Will technology be a carriage or a barrier

    or messages? And what can we do to prepare or urther changes in

    consumer behaviour?

    These are just a ew o the many important questions that every advertiser

    should be asking themselves.

    Empowered by choices, we now live in a world o opportunity where everything

    is just a click away. As consumers, we expect to have our needs met imme-

    diately and nearly eortlessly, and more than ever, we are not araid to share

    inormation to get there. And with every online interaction, we are creating

    a ootprint.

    For advertisers, this has created huge opportunities and challenges. On one

    hand, the doors have been opened to a world o consumers, making it easier

    to speak directly and relevantly to audiences. On the other hand, however,

    consumers are now in charge o their own media consumption and are enclosed

    in interest-specic lter bubbles created by search engine algorithms. It is even

    harder or brands to get noticed in the rst place, and brands need to tackle

    both the consumers and the technology.

    To break through, brands need to look closer at the data that consumers leave

    behind and think about what makes them tick. Get it right, and the rewards

    will be worth it; consumers will love and trust your brand. Get it wrong, with no

    ocus on the consumer, and your brand will be let outside the bubble.

    In this issue o BLINK, we recognize that the shit in power rom advertisers to

    consumers is a noticeable one and that many questions still need answering.

    Inside, we identiy what advertisers are doing right, what they are doing wrong,

    and what they will need to do more o in the uture.

    I hope you nd it interesting, useul, and ultimately, empowering.

    Regards,

    Stephen Allan

    MediaCom Worldwide Chairman and CEO

    INTRO

    WELCOME

    #4 Winter 2011

    Circulation: 8.907

    MediaCom Global

    124 Theobalds Road

    London

    WC1X 8RX

    UK

    Tel.: +44 (0)20 7158 5500

    Email: [email protected]

    Web: www.mediacom.com

    Editor-in-Chie:

    Signe Wandler, MediaCom

    [email protected]

    Design & layout:

    Propellant, www.propellant.dk

    Art Director, Martin Dahlbeck

    Cover art:

    Stephan Walter

    Printed By:

    Vilhelm Jensen & Partnere

    ISSN: 1903-5373

    The opinions expressed in the

    articles are those o the authors.

    Minor textual contents may be

    republished as long as the original

    author and publication are cited.

    Find BLINK in the News & Insight

    section at www.mediacom.com

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    WHAT IS YOURRELATIONSHIP LIKE?

    STATUSUPDATES

    34

    10

    Take the quiz to test i your brand

    communication is up-to-date.

    By Dennis Grzenia and Daniel Bischo,

    MediaCom Germany

    Consumption is still a way o displaying

    social status but digital is changing thegame. What does this mean or brand

    communication?

    PHOTOGRAPHYGETTYIMAGES

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    A CROWDEDPLACE

    DIGITALIN RETAIL

    36

    44

    Interview

    Why crowdsourcing

    is a powerul tool.

    By Tricia Nichols, Managing

    Partner, MediaCom US

    The unstoppable march o digital

    marketing is orcing retail brands

    to undamentally transorm their

    relationship with shoppers.

    CONTENT02 Welcome

    06 Please Me Now

    10 Status Updates

    18 Cases: Dell & EA

    20 Hacking the Meme Code

    26 The Data Wars

    28 M:Files: The Power o Empathy

    30 Finding New Magic

    34 M:Files: What is your Relationship like? (QUIZ)

    36 Interview: A Crowded Place

    40 Digital Persuasion

    44 Digital: Retailers New Path to Purchase

    48 Interview: Time to Get Active

    #4

    4 MEDIACOM | BLINK#4

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    HACKING THEMEME CODE

    DIGITALPERSUASION

    THE DATAWARS

    20

    40

    26

    By Joerg Blumtritt,MediaCom Germany

    Social media and sophisticated

    algorithms make it increasingly

    difcult to get your message

    across.

    By Mauritz Kaptein

    Persuasion proles will help

    create more eective messages

    and valuable, trade-able data.

    By Daniel Nye Grifths

    Who controls inormation about

    where consumers go online and

    what they do there?

    THE

    CONSUMER

    ISSUE

    PLEASEME NOW06

    By Aimar Niedzwiedzki, MediaCom

    Beyond Advertising, Norway

    Are you entering the Customer

    Satisaction Treadmill?

    5BLINK#4 |MEDIACOM

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    6 MEDIACOM | BLINK#46

    Daniel Kahneman, the Nobel Laureate and the father

    of behaviour economic theory, described a principle he

    named The Customer Satisfaction Treadmill. The faster

    we get it, the faster we want it. The more convenient

    it becomes, the more we real ise just how convenient

    it could be. The more our unreasonable demands are

    met, the more unreasonable they become.

    Every time you go out of your way to pleasea customer you are adding weight to creating

    unreasonable demand. But it doesnt have to be this

    way: there has never been a need for IKEA to include

    a carpenter in its at packs. Because we have been

    trained in regards to what we expect from IKEA.

    An important force that shapes brand strategy today

    is the threat of substitute products or services,

    according to Professor Michael E. Porter from Harvard

    University. This factor leads business managers to

    believe that loyalty should be bought and included

    in automated programmes. With the entrance of the

    social net where the indiv idual voice suddenly becomesvisible, real-time support has become the latest trend.

    But how smart is it to be there, everywhere for the

    customer? And what is the purpose?

    UNSTRUCTURED DATA

    When someone shouts out into thin a ir via Twitter,

    that something is wrong with your service or

    product, and you reply without thinking through all

    the consequences and possible snowball eects, you

    are about to embark on a dangerous trail.

    Are you really ready to full that demand? Are you

    going to be there for the customer, mountain high

    and valley wide? If not, youd better not please every

    whim that we the customers express via these new

    social channels. Because most likely my barking has

    no specic aim. It is more often than not, an attempt

    to get attention from my surroundings, not you (the

    product) specically. I am saying you suck because

    I want recognition from my friends. It is a moderngame of forget me not. You just happen to be

    the content.

    Many brands are now using Facebook as a customer

    service platform. Ask yourself what the purpose

    and consequence might be. Airline companies that

    deliver personal ight services on Facebook are in

    fact creating a feeling of a personal assistance that is

    massively missing when they get to airport and on the

    actual ight.

    As a secondary eect is that their Facebook wall ends

    up as spam since everything is about 1:1 experience.They have lost a good tool for communication to many

    people in their attempt to satisfy their customers

    imagined needs. Brands that take this route are

    repeatedly solving the same problems over and over

    because the answer in not available as a simple query

    for the customer. Most questions are repetitive and

    basic. Things consumers should be able to nd in a

    good database. A good structured database. So the

    same message doesnt have to be sent hundred times

    to dierent people on the same wall.

    CUSTOMERS ARE AN INCREASINGLY HARD AUDIENCE TO PLEASE AND

    BRANDS MAY HAVE TO APPLY SOME TOUGH LOVE. HAVE WE FOUND THE

    RIGHT BALANCE IN THE RELATIONSHIP?

    BY AIMAR NIEDZWIEDZKI, MEDIACOM BEYOND ADVERTISING, NORWAY

    PLEASE ME

    NOW!

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    7BLINK#4 | MEDIACOM

    GET SATISFACTION?

    Even worse. You train your customers that they

    can shout in the woods and be heard. There are

    online platforms that actually help customers

    without creating increased demands on the brand.

    Getsatisfaction.com, a community-based support

    platform, gives fans of companies and their sta a

    place to share their knowledge of certain products

    or services so the pressure on customer supportdecreases. Swedish music service Spotify has done

    this with great success. Spotifys customer community

    routinely receives more than 100.000 visitors perweek. This trac provides support to Spotifys 10

    million registered users, and helps the Spotify team

    remain lean despite an exploding customer base.

    RANDOM ACTS OF KINDNESS

    Treadmilling isnt only about support. It is rst and

    foremost about creating situations where expectations

    are adjusted without a specic purpose or strategy.

    Business owners tend to spend more time looking

    for threats than opportunities. Jumping if the angry

    Twitter mob says their new logo is ugly. Considering

    the general publics level of knowledge the process of

    logo creation I am certain that one should be cautious

    about making such decisions based on ephemeral

    popular demand.

    Here is what a good business leader should do.

    Monitor and track conversations on the web with

    a suitable social analy tics tool. Acknowledge thefrustration on the subject publicly. Find out if the

    99,99% of customers who did not join the mob like

    your logo or not. Ask your employees. If the logois liked by the silent majority, then ght for them.

    That will earn respect from the mob over time. And

    give you something to talk to fans about: The actual

    reasons why you run the business the way you do. By

    having an open and honest strategy most critique will

    most likely become an asset.

    This is what happened when JetBlue (not an airline,

    but a happy jetting company) left many passengers in

    a horrible situation during a blizzard some years ago.PHOTOGRAPHY

    GETTY

    IMAGES

    CONTENT

    PLEASE ME NOW!

    I AM SAYING YOU SUCK BECAUSE I WANT

    RECOGNITION FROM MY FRIENDS. IT IS A

    MODERN TIMES GAME OF FORGET ME NOT.

    YOU JUST HAPPEN TO BE THE CONTENT

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    CONTENT

    PLEASE ME NOW!

    BUT HOW SMART IS IT TO BE THERE,

    EVERYWHERE FOR THE CUSTOMER?WHAT IS THE PURPOSE?

    The angry mob went ball istic on Twitter, media picked

    it up, and the companys CEO put on the mad hat and

    made a YouTube video. He gave a public apology but

    most importantly he made a promise on how JetBlue

    would deal with similar problems in the future.

    The next thing JetBlue did was make sure that all sta

    members tried really hard to make every passenger

    feel special. Not by replying on customer service mat-

    ters on Facebook. They actually state pretty clearly that

    they dont respond to specic customer service issues

    posted on this platform. Instead they perform random

    acts of kindness; like sta members performing as an

    a cappella band at their JFK Terminal, or instantly mak-

    ing their Caribbean ights freely available for rescue

    workers from the US when the terrible earthquake hit

    the islands in 2010.

    Real human attention gives your employees the

    power to become autonomic. This is how you make

    true champions of positive customer satisfaction.

    Loyalty programmes, and similar schemes, dont

    work as well as the human touch because they createexpectancy. When customers start to expect gifts or

    bonuses they dont value them as high ly anymore. It

    is bought loyalty. We are running on the customer

    satisfaction treadmill.

    TAKE IT TO THE C LEVEL

    Customer service can be immensely powerful for

    a brand if used correct ly. Just ask Tony Hsieh of

    Zappos.com, the CEO who built the worlds largest

    online shoe store by delivering happiness. To really

    understand the value of customer service as an asset,

    all Zappos.coms employees are obliged to attend

    customer service training in two of their rst four

    weeks of work, regardless of department and position.

    All employees are expected to drive a wow-eect

    through service. To make a lasting impression

    you must do something above and beyond whatsexpected. Make someone smile. But Zappos sta do

    this over the phone. Not via 140 characters or less.

    Seeing a problem online does not mean it must be

    solved online.

    The more I research customer service, the more

    important the human factor becomes. This is about

    humanising the brand or company. Our power as

    customers via the social net will aect the business

    strategy of the core business. This needs to be under-

    stood by the C-suite, the CEO and his friends up there.

    If they dont see any danger in automating satisfaction

    in measurable programmes or being present without

    understanding why, for us the customers, treadmilling

    will continue. That was key to the success of Zappos.

    com. Delivering happiness came from the CEO. It was

    a core element of the strategy.

    It is possible to love data and show some love to the

    customer simultaneously. But only when a clear busi-

    ness motivated strategy is in place, and not without a

    clear understanding of what tools to use. Being service

    minded and making sure that you help your customer

    is very important. But know when, where and how.

    Why and with what isnt such a bad idea either.

    So if you want to please me now, I dont mind. But I

    didnt expect you to, before you just did so. And now

    my expectations just went up a notch. Good luck.

    AIMAR NIEDZWIEDZKIAimar Niedzwiedzki, Marketing Entrepreneur,

    MediaCom Beyond Advertising.

    Author o marketing blog tasteasreal.com.

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    PH

    OTOGRAPHY

    GETTY

    IMAGES

    9BLINK#4 | MEDIACOM

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    MEDIACOM| BLINK#4

    PHOTOGRAPHYGETTY

    IMAGES

    I CONSUME,

    THEREFOREI AM

    10

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    CONSUMPTION IS STILL A MEANS TO DISPLAY SOCIAL STATUS, BUT DIGITISATION IS

    CHANGING THE GAME. WHAT DOES THIS MEAN TO BRAND COMMUNICATION?

    BY DENNIS GRZENIA AND DANIEL BISCHOFF, MEDIACOM GERMANY

    Cars are one of the worlds strongest

    signiers of social status and give everyone

    an opportunity to compare social standing.

    Today many of the signiers of our place

    in society can be seen in the goods we own

    which provide helpful, and often instant,

    indications of our place in the social order.

    In 1899, Thorstein Veblen, a US economist

    and sociologist, who became well-known

    for his Theory of the Leisure Class, shaped

    the term conspicuous consumption.

    That is, spending money on visible goods

    for the purpose of displaying income

    or wealth or social status. According

    to Veblen, the consumption of goods

    not only satised basic needs but also

    provided a means to build reputation.

    This not only promotes and justieslimitless consumption since you can always

    climb one step higher on the social ladder

    but also makes consumption a way of

    communicating our hopefully rising -

    status. For instance, we know that owning

    a Mercedes Benz indicates high status

    based on income, education, and prestige.

    Just think how you react when you meet

    someone new. You instantly categorise

    STATUSUPDATES

    them based on their appearance, their

    clothes, accessories and cars. We

    are all exposed to the consumption

    patterns of those in our reference

    groups and seek to replicate the

    patterns. That is why people consume

    to keep up with their peers and toimpress people in lower social classes.

    Richard Centers, author of The Psychology

    of Social Classes: A Study of Class

    Consciousness, denes social class as

    follows: A mans class is a par t of his

    ego, a feeling on his part of belongingness

    to something: an identication with

    something larger than himself. This

    denition still holds true but, accord-

    ing to the report Middle Britain, the

    traditional markers of social class like

    job, family background and wealth arefading away. Often people even assign

    themselves into the wrong social class,

    e.g. 36% of builders classify t hemselves

    as middle class and 29% of bank

    managers say they are working class.

    The traditional boundaries of social

    classes are fading and they are becoming

    less signicant. The reason being that the

    traditional ways of dierentiation and

    demarcation such as nationality, religion,

    or education no longer work as they did

    in the past.

    Instead people search for new reference

    groups, which results in a more fragmented

    aliation. You can be a banker at dayand roaming World of Warcraft as an

    orc at night. One does not rule out the

    other, since the current prole depends

    on current reference groups. And in every

    situation and every area of life, we can use

    dierent symbols to display our status.

    FROM PHYSICAL TO VIRTUAL GOODS

    As in so many other areas, digital is

    providing new ways to consume, display

    and build reputation. In the past, you had

    to pass my house to see my car. Today, you

    just have to Google me! On the internetanyone can nd enough information

    to determine the status of others.

    And there is a shift from physical

    status symbols to digital ones. Of

    course, physical status symbols retain

    their impact but status is now also

    conveyed by my Facebook prole and

    the amount of friends I have or by

    the magica l sword I own in World of

    1BLINK#4 | MEDIACOM 1BLINK#4 | MEDIACOM

    CONTENT

    STATUS UPDATES

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    Warcraft. This is a lso the reason why people

    upload photographs of their (posh) meals.

    The enabler of these new digital status symbols is the

    smartphone (a status symbol in itself). It is the physi-

    cal manifestation of my ability to show my consump-

    tion to the whole digital society within seconds.

    In addition, if you post something on a social network-

    ing site, you reach a minimum of several hundred

    of people within a second. Digitisation provides the

    capability to communicate to an innite audience.

    On top of this, virtual goods can also in themselves

    be used to display my social status and who I

    am. Digitisation has become an accelerator of

    consumption. And all goods must now submit to

    the mechanisms of this new way of distribution.

    Physical goods need to oer a fast, ergonomic

    and eective way to distribute themselves via

    digital media such as Facebook. This need to

    show o my physical goods online means that

    the design of products is becoming even more

    important, because my possessions have to

    look perfect in the pictures that I share.

    Tools like Instagram have responded to this need

    by providing multiple lters that can be used to

    enhance the pictures. Everything I photograph

    looks great in no time, whether it is a retro sports

    bike or a meal at my favourite restaurant.

    NEW CURRENCIES FOR A NEW WORLD

    When we talk about virtual currency, we mean

    objects in digital environments like game items

    (the magical sword from World of Warcraft or

    the tractor from Farmvil le etc.), that can be

    traded for real that is, the old - money.

    Taking this idea one step further, social mediaplatforms like Facebook, Twitter and YouTube also

    provide their own virtual currencies, namely likes,

    followers, views and subscribers. Likes and

    followers are sold for real money, and an increasing

    number of people have already paid with a tweet.

    While the digital immigrant may still distinguish

    between virtual and real money, digital natives

    view this distinction obsolete. In the future,

    it will make no dierence, whether I own

    1.000 Facebook credits or US$100 because

    money is nothing more than an enabler.

    The business of virtual goods especially within

    (social) browser-based games has exploded in the

    last few years. Even if we can play the game for free,

    costs occur if the gamers wish to add to the game, be

    it with a bigger farm or a superior spacecraf t. Such

    virtual items have the potential to become the new

    status symbols. In the US, the virtual goods market

    already reached US$1,6 bill ion by the end of 2010,

    while social gaming contributed US$835 million.

    PHOTOGRAPHY

    CUBAGALLERY

    12 MEDIACOM| BLINK#4

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    ON TOP OF THIS, VIRTUAL GOODSCAN ALSO IN THEMSELVES BE USED

    TO DISPLAY MY SOCIAL STATUS AND

    WHO I AM

    1BLINK#4 | MEDIACOMBLINK#4 | MEDIACOM

    CONTENT

    STATUS UPDATES

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    self-produced homemade video content can

    nd its way on the TV screen, as seen in

    the Deutsche Telekoms Million Moments

    campaign. Al l these brand communications

    help the user look good to his peer group.

    THE FUTURE: FROM ASPIRATION-

    AL TO MEANINGFUL BRANDS

    In Germany, there is currently an

    intense debate about forbidding the

    like button. The key argument being

    that it stores data about consumers

    who are not Facebook members and

    have thus not agreed to the storage.

    There is very little probability that

    the like button will be banned, but

    critical voices have been raised and ithas already caused suspicion. This is

    one of the reasons why the like button

    should not be seen as the holy grail of

    advertising. It goes beyond the likes.

    Brands that glue people together in

    communities go beyond the fullment

    of conspicuous consumption. To be part

    of a community one has to identify with

    others. However classic prestige-driving

    or aspirational brands tend to stress

    individualism or even ego (look what I

    can aord and you cant!) which is not

    helpful in the formation of a community.

    And let us not kid ourselves: Most people

    wouldnt care if 80% of all brands disap-

    peared tomorrow. Products and services are

    not as attached to brands as we may think.

    There are already clear signs of people

    liberating themselves from the paradigms

    of the previous decades individualism,

    consumerism, mass society as shown

    in impressive ways in the uprisings in

    Spain, UK, and recently with #occupy-

    wallstreet in the US. These netizens,

    digital natives, pirates - or however theymight be labelled - are highly suspicious

    of the old economic structures without

    being left, green or any other form

    of classic anti-consumer-ideology.

    In this new environment, trust is

    established through mutual experiences

    which take place on social media, no matter

    if it is politics, brands or products. The

    way that these new consumers tribalise

    CONTENT

    STATUS UPDATES

    A BRAND NEW PERSPECTIVE

    This development not only has an impact on

    products and goods, but also on com-

    munication. The advertising industry needs

    to embrace this new need to communicate

    status. This happens both on the creative

    side that is design and embell ishment

    but also on the structural media level.

    By integrating portable devices and cloud

    services into our everyday life, we have

    already entered the next level in the evolu-

    tion of media. Media barriers have been

    lowered and every piece of information (on

    signs, ads, products, buildings, and even

    people etc.) is linked to further content via

    constructs such as QR codes, augmented

    reality, or Shazam, to name but a few.

    Facebook has become a diary of status

    symbols or a museum of me as seen

    in Intels campaign (see QR Code). All

    relevant content is easily gathered by

    using the omnipresent like button. This

    mechanism is already heavily used by

    brands, especially in campaigns with a

    participatory aspect. People can integrate

    themselves into movie sequences and even

    Ater studying Theatre, Film and Media as well as Philosophy in Frankurt,

    Brussels and Berlin, Daniel started his proessional career in journalism beore

    heading to the Berlin ofce o Trend Research Company TrendONE. He joined

    MediaCom Germany in 2010 where he ounded and heads up Innovation

    Science, a research unit dedicated to applying trends and innovations to media

    planning. He and his team work across a broad spectrum o clients

    and industries.

    DANIEL BISCHOFF (*1981)Research Director at MediaCom Germany

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    QR CODE

    STATUSUPDATE

    into communities over social networks

    means brands need to be less pretentious,

    and make fewer grand promises, and

    instead donate value and meaning.

    In the future, brands will still be able

    to leverage the phenomenon of conspicu-

    ous consumption, yet they will have to

    tap into the accelerated opportuni-

    ties oered by digital media by

    becoming meaningful brands.

    So we see a shift towards brands that give

    meaning, support consumers who show

    their sympathy with others and thus foster

    community. As long as a brand focuses on

    being aspirational rather than humble, it

    is highly vulnerable to negative news thatgets spread fast over social networks.

    A brand that instead positions itself in the

    community by helping, doing good, being

    of real value for the communitys members

    is more robust and less likely to be harmed

    if someone posts a negative comment.

    LITERATURE

    Conspicuous consumption by Thorstein Veblen

    http://en.wikipedia.org/wiki/Thorstein_Veblen

    Denition o Social Class by Richard Centers

    http://www.jstor.org/pss/1388331

    Middle Britain Report by William Nelson

    http://www.telegraph.co.uk/news/politics/7053761/

    Were-all-middle-class-now-darling.html

    Virtual Goods and Currencies by Vili Lehdonvirta

    http://vili.lehdonvirta.com/

    Monetizing digital media by Ernst & Young

    http://www.ey.com/Publication/

    vwLUAssets/Monetizing_digital_media/$File/

    Monetizing_digital_media.pd

    Rethinking the Idea o the Brand by Umair Haque

    http://blip.tv/harvard-business-publishing-video/

    rethinking-the-idea-o-the-brand-4826346

    Ater graduating in economics, business studies, and social psychology,

    Dennis started working or MediaCom as a media planner. Thus he came in

    touch with various clients rom categories like telecommunication, FMCG,

    and insurance. In early 2010, Dennis became Research Analyst at MediaCom

    Science and is now responsible or trend research, social media, and

    communication consultancy.

    DENNIS GRZENIA (*1979)Research Analyst at MediaCom Germany

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    Will

    Critchlow

    HARDtalk is the agship programme on BBC WorldNews that asks the dicult questions. In this special

    series o interviews or Blink, Stephen Sackur, one

    o the BBCs most respected journalists, adapts the

    same uncompromising style with moguls and

    gureheads shaping the worlds o advertising, sales

    and media. This issue, Stephen goes head to head

    with Will Critchlow, the co-ounder and Director

    o Distilled, a London-based SEO and search engine

    reputation management (SERM) agency. Well-known

    across the industry, Will regularly blogs and speaks

    at conerences.

    BBC WORLD NEWS is a trademark of the British Broadcasting Corporation, BBC 1996.

    SS: Do you accept that what you do amounts to a manipulation

    o the Internet?

    WC: It really isnt about taking what is already there on our clients websites

    and manipulating things so they appear higher up in search results. Its

    actually about helping them change their business, change their website,

    change their online marketing so that they end up appearing there.

    I would say that theres a misconception that what we do is an external

    thing to our clients. In other words, they do their thing and we just tick

    away in the background manipulating things. Actually it s much more

    integrated than that, or at least it should be, and we push our clients

    hard to let us be integrated into what they do. What we do is very

    much a mixture o technical consulting, helping them produce an

    excellent website; content strategy, in other words helping them decide

    what they should be writing about; and promotion strategy which

    broadly speaking tends to look a lot like online PR.

    SS: Let me ask you about one particular aspect o your business,

    that is your work on search engine optimisation (SEO). It is

    possible to cheat isnt it, when it comes to this optimisation

    process? You can tag links across the web on unrelated content,

    or example. Do your clients ever want you to do that?

    WC: Firstly, what do we mean by cheating? Theres a whole spectrum o

    things ranging rom the completely legitimate with perhaps unintended

    consequences. There are some things that you might do completely

    naturally and normally that have an unintended inuence on how you

    perorm in the search engines. All the way through to things that are

    slightly worse than that. There are things that Google, or example,

    dont like you to do that actually have a perectly innocent explanation.

    Through to things that are very distasteul - alternative methods like

    spamming blog comments which just creates work or the owner o

    the blog in cleaning those things up. All the way through to the actually

    illegal, hacking websites, breaking into computers, that kind o thing.

    SS: You mention Google and as you suggested, it has a pretty strict

    set o guidelines. It has things it says are acceptable, and many

    things it says are unacceptable. Do you think that their

    guidelines are sometimes too strict?

    WC: I wouldnt say their guidelines are necessarily too strict. I think that they

    are occasionally a little bit vague and open to interpretation. They leave

    themselves leeway to say that they dont like something ater the act,very oten. I personally would like to see them tightened up and I would

    also like to see some kind o appeals process. Theyre very much judge,

    jury and executioner at the moment, especially in the markets where

    they have such a massive market share.

    SS: I just wonder whether this SEO process is as complex and

    multiaceted and as dicult as some people inside the industry

    seem to say it is, because obviously it serves your interests to

    have people believe that, because your business is all about

    selling your service?

    WC: I would challenge that actually. We put a huge amount o eort into

    educating our peers and our clients on what it is we do, why we do it,

    how we do it. We run conerences to explain, we dont hold back our

    secrets. There defnitely are people in our industry who would ratherit be seen as a dark art and a mystery, but we are not among those.

    We believe that the biggest challenge, the biggest thing we need to

    overcome as an industry and as a business ourselves is ear o

    the unknown.

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    Advertising feature sponsored by BBC World Ne

    What we need to do is educate businesses that this process is not

    rocket science, its not horribly complex, its not horribly risky. There

    are defnite rewards, and its usually seen as part o a modern marketing

    mix or any business doing business online.

    SS: Just how important is it or a business selling itsel today to be

    at the top o the search list? To be either number one in any

    keyword Google search, or at least, to be on the ront page?

    WC: It very much depends on the business. I you are a business to business

    organisation selling entirely through personal networks and relationships,

    you could maybe get away with not even having a website. But i youre

    selling online or you have an e-commerce operation, appearing insearch is absolutely critical. It is literally a question o survival or

    many businesses.

    One o the key realisations or our business was that it very oten isnt

    actually about helping our clients rank or a specifc keyword. That

    activity is oten misguided and a low return on investment. Oten its

    much more valuable to help them build up a website that ranks or many

    new key words, and that can actually bring higher returns to their

    business. It is also more valuable, in my opinion, to the consumer than

    the activity o fddling around as to whether something ranks at number

    three or number one in a highly competitive niche, because youre

    actually adding new value to the internet; youre creating new content

    and youre allowing search engines to index content that they previously

    couldnt get to.

    SS: Let me switch ocus now to another important element o your

    business, search engine reputation management (SERM). Is it

    right to regard this as your clients wanting to bury bad news

    and accentuate the positive?

    WC: Thats a pretty close description o what they come to us asking or.

    The frst thing we say to them is that in the modern, connected,

    socially-networked world, its pretty much impossible to bury bad news.

    SS: You can bury it pretty deep down the web though cant you?

    WC: Depending on what it is and depending on what the alternative news is

    out there. The very frst rule o reputation management that Ive always

    preached to my clients is step one: stop doing the stupid stu. We hav

    taken on clients in the past who have still been doing the stupid stu

    and its never worked out well or anyone. When theres a constant

    ow o new stories that they dont like, it is pretty much impossible an

    a ools errand to try and pretend otherwise. The web is simply too

    good at uncovering interesting stories.

    SS: Assuming that they stop doing the stupid stuf, it then comes

    down to how efectively you can cover up the embarrassing

    behaviour that they displayed in the past?

    WC: It is defnitely one way o phrasing it. I preer to work with people

    who want to do new and interesting things that are more interestingthan their past and promote those. Thinking about what ranks when

    somebody searches or your name is, I would argue, a good activity

    or pretty much everyone because it is, these days, how you get a job.

    When you apply or a job, very oten they want to know who you are,

    what youve done beore and they want to know the real you, and the

    are going to creep around and see whats out there.

    SS: They want to know the real you, not the airbrushed you, but

    your job is really to promote the most positive view o you or

    any subject and that isnt always the most truthul is it?

    WC: So the activity we would be doing is promoting the new stu, whateve

    it might be. But that is not an activity that hides anything else. Its simpl

    presenting both sides o an argument. There is no way to remove

    existing stories rom the internet once theyve fnished.

    SS: Are you saying that i a client approaches you saying, my priority

    here is to ensure that it is as dicult as possible to access

    inormation about x, y or z, that Im rather unhappy about,

    are you saying that youve reused to do that or clients because

    that wasnt truthul or morally right?

    WC: No, what I would say to each o them is that you have to realise thatstu is always going to be able to be ound. We cant remove it,

    we cant make it that hard to fnd. To be perectly honest, the search

    engines these days are phenomenally good at presenting a variety o

    views o someone. When you search or a particularly controversial

    subject on Google or example, you will fnd that they actively return

    diering views on that frst page the search is on. So, I do counsel my

    clients that you can defnitely put a good story orwards but you can

    remove the other stu, and that defnitely has resulted in us not worki

    with some individuals.

    Interview conducted with Will Cr itchlow October 2011.

    For urther inormation on advertising and sponsorship on

    BBC World News and BBC.com please call +44 208 433 0000

    or e-mail [email protected]

    In the modern, connected, socially-networke

    world, its pretty much impossible to bury

    bad news.

    There defnitely are people in our industry whowould rather it [SEO] be seen as a dark art

    and a mystery...

    HARDtalk presenter, Stephen Sackur

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    THE CHALLENGE:

    Dells website had swarms o visitorsbut too many were leaving without making a purchase.

    We needed to nd a way to leverage stored data rom cookieswhich could clearly indicate

    which products or type o products each shopper was interested in or maybe even intending to

    purchaseto increase engagement and keep their Dell.com experience top-o-mind ater they

    let the site.

    OUR SOLUTION:

    We mixed cutting-edge technology with creative ingenuity to totally cut out inefcient advertising!

    We drastically improved the customer experience by increasing the relevancy o the advertising

    message seen by individual users, while minimising wastage and increasing engagement.

    HOW WE MADE A DIFFERENCE:

    In an industry-leading move, we developed a model that merged behavioural targeting technolo-

    gies capturing prospects visit history with dynamic creative tools that built customised messaging.

    Ads eature products rom each consumers visit history, keeping them resh days ater visiting

    Dells website.

    We tagged hundreds o pages within Dells sitesomething ew other blue chip advertisers have

    doneto pinpoint the reason or each visit, based on the products the visitor viewed, searched

    or, placed in their shopping cart or purchased.

    Our model recognised these prospects via a cookie, then retargeted them with customised ads on

    their next visit to an outside website running Dell advertising. So, i someone placed an Inspiron

    laptop in their shopping cart but exited beore purchasing, that consumer would receive an

    Inspiron ad later on, or instance, Yahoo.com. Other visitors might see ads or products they were

    researching, or be cross-sold on products they had purchased.

    RESULTS:

    Our targeting produced outstanding improvements across the boardclick through rates, conver-

    sion and ROI.

    OnlineadswithbehaviouraltargetingconvertednearlyTHREEtimesmore

    than those without behavioural targeting!

    Behaviouraltargetedadsaccountfor42%ofDellsonlineimpressionsbutthey

    driveanamazing83%ofonlineadvertisingrevenues

    BehaviouraltargetingimpressionsgeneratealmostSEVENtimesmore

    revenue per impression served than non-targeted impressions

    Onlineadswithbehaviouraltargetinghada70%higherclick-throughrate

    This campaign also won the US 2010 Creative Media Award or the Perormance Media &

    Marketing category.

    TARGETING GENERATEDMORE REVENUE

    MEDIACOM | BLINK#418

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    OPPORTUNITY/PROBLEM:

    EA had a huge amount o data on people playing EAs FIFA ranchise but werent doing

    anything with it.

    INSIGHTS:

    14 billion minutes o playing data told EA what people are doing within the game but not what would

    bring more people into the ranchise. We convinced EA that i we created a YouTube channel or all

    their ootball content, the combination o internal telemetry and external YouTube behavioural data

    would be powerul enough to change the way they did business or good.

    STRATEGY:For the rst time we persuaded EA to launch the FIFA AV ad on YouTube and Facebook rather

    than on TV. This gave us data on 380.000 individuals, data that changed the way we approached

    planning in uture.

    MAKING IT HAPPEN:

    Data changed our approach in our ways:

    CONTEXT:

    Distributing content and lighting media to coincide with engagement cycles, peaking

    on Sundays and in August.

    CONTENT:

    More people engaged with tips and tricks so we developed bespoke coaching advice

    videos that delivered 1,5 million views in a week.

    COMMERCIAL:

    Reworking EAs club agreements to get the most engaging content.

    MOBILE:

    Prompted exploration rom EA to deliver the mobile game or ree, as the data can prove

    more valuable than any loss in income.

    RESULTS:

    We delivered the best-selling sports video game o all time. And now EA need never use industry

    standard planning tools again.

    SMART USE OF DATA GAVE

    EA THE BEST SELLING

    SPORTS VIDEO EVER

    BY PUTTING SMART USE OF DATA AT THE HEART OF OUR PLANNING, WE

    CHANGED EAS COMMUNICATIONS AND BUSINESS MODEL AND CREATED THEMOST POPULAR SPORTS GAME IN HISTORY.

    CONTENT

    CASES

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    CONTENT

    HACKING THE MEME CODE

    ILLUSTRATIONJ

    ACK

    HUDSON

    20 MEDIACOM | BLINK#4

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    THE SOCIAL NETWORK TIMELINE IS, IN EFFECT, A PERSONAL NEWSPAPER. OUR FRIENDS

    POSTS ON FACEBOOK, TWITTER OR GOOGLE+ TELL US WHATS HAPPENING IN THEIR

    WORLDS. BUT LIKE EVERY GREAT NEWSPAPER, THE TIMELINE ALSO LINKS US TO OTHER

    INFORMATION, NEWS AND ENTERTAINMENT THAT WE MIGHT LIKE.

    BYJOERG BLUMTRITT, MEDIACOM GERMANY

    It is often said that our timeline is, in fact,

    a lter. We see only what our community

    of selected friends post. If someone posts

    things on social networks that we are

    not interested in, we will unfollow or

    uncircle him or her sooner or later

    depending on our mood, on the strength

    of our relationship and the netiquette,

    the rules of courtesy in social media

    that everyone has to obey to remain an

    accepted member.

    Advertising, in particular, seems to becontent that only very rarely passes

    through this lter, if at all. Just as we would

    in our meatspace communities, we try to

    avoid people pushing unwarranted business

    towards us. Thus, the timeline might be the

    toughest spam-lter there is.

    This phenomenon of a highly sophisti-

    cated algorithm combined with a social

    prediction engine has been named the

    HACKING THE

    MEME CODE

    lter bubble by author and entrepreneur

    Eli Pariser. The word bubble in this case

    has a thoroughly ambivalent meaning:

    a bubble that surrounds us, in which we

    are somehow trapped, because we no

    longer see the reality outside clearly; the

    second meaning of course is that of a

    soap bubble that will burst sooner or later

    like any other piece of online hype. There

    is concern that this bubble could not

    only diminish the quality of serendipity

    inherent in networks such as the internet,

    but also the ability of advertisers to reachnew audiences.

    THE RISE OF SOCIAL MEDIA AND

    THE CHANGES FOR MASS MEDIA

    The rise of social media has been

    accompanied by the decline of mass media.

    Although it is undisputed that the 30 TV

    spot is still the most eective means of

    advertising and is likely to remain that way

    for a long time, it is becoming harder and

    hearder to reach some audiences through

    the classic communication channels.

    Advertising is perhaps more sensitive to

    this development than any other form of

    communication. However, it also becomes

    increasingly dicult to reach out to

    audiences, be it for advertising, political

    announcements or any other kind of

    communication. This lter bubble process

    will add a new dimension to the rising

    complexity of communications planning

    that we have to take into consideration.

    Social media platforms provide multiple

    technological means to make this lter-

    process even more seamless, eective and

    invisible to their users. By organising our

    contacts into groups, lists or circles, users

    are encouraged to (re)create hierarchies of

    relevance (inner circ le, extended ci rcle,

    nuisance circ le, spam). Thus content

    posted by someone from the buddies

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    circle might get a totally dierent amount

    of attention compared to content fromsomeone in the business partners or

    opinion leaders circle.

    MY INTERNET DOES NOT LOOK

    THE SAME WAY YOURS DOES

    A third layer after the timeline and the

    circles between the user and outside

    reality is created by Google and other

    search engines that use the select ions made

    by users in their social media proles (time-

    line, circles) as input for their algorithms

    to provide the most relevant results for our

    queries. These technologies take contentposted by our friends to predict what would

    be relevant for us.

    We can no longer expect to be shown any

    kind of objective search ranking, instead

    we will get our very own list of results

    that might be completely dierent from

    that of our colleagues or neighbours.

    Google translates this into what it thinks

    we would nd relevant. This will heavily

    impact Search Engine Optimisation (SEO).

    How will searchmarketing specialistsin the future be able to guarantee that

    youll get a top-10 search ranking? For

    SEO purposes it will thus also become

    important to see the URLs of websites we

    want to promote recommended as often as

    possible by being posted or tweeted.

    The targeting of display ads can be

    improved in the same way. This is, of

    course, a good thing at rst, since cam-

    paigns will perform more eciently and

    the user will experience more relevant

    advertising. But, at the same time, theinventory that addresses a broad audi-

    ence, maximising reach - a prerequis ite in

    building brand awareness - becomes

    more fragmented.

    Thus social media works as a lter,

    induced by the user, but also selects what

    the user gets recommended by search

    engines and display advertising. Very

    few platforms allow users to access and

    edit the predicted preferences of these

    algorithms in the way that Google, forexample, does on http://www.google.

    com/ads/preferences. This might become

    more common following the EU Privacy

    Directive that became eective in May

    this year and will be implemented in

    national legislation soon.

    Finally, the media consumption of the

    classic channels is also aected by the lter

    bubble. Studies have shown that nothing

    inuences a consumers choice more

    heavily than the recommendation they

    get through their timeline, which therebybecomes a screen that might preselect what

    someone would watch or read. Its not only

    media consumption our brand prefer-

    ences also start to be aected by the posts

    from our community to our circles, friends

    and our timeline.

    MEANINGFUL BRANDS

    One side eect is that the meaning of

    brands in peoples lives changes. With

    ILLUSTRATIONJ

    ACK

    HUDSON

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    mass media advertising, the most

    valuable brands would have been thosethat gave their buyers a sense of prestige.

    Conspicuous consumption is based on

    mass communication. It requires that

    others easily recognise what brands

    we buy.

    When the process of building brand

    preferences gets somehow atomised, as

    we experience when enclosed within our

    lter bubbles, others may no longer notice

    the signicance of our brand-choices. At

    the same time, it becomes increasingly

    important to show aliation to your

    community, to get acceptance and to be

    welcomed as a member.

    Brands that contribute something of

    value to a community, something that notonly the buyer but the whole community

    can benet from, will be the brands that

    succeed. They will be more likely to show

    up in their buyers posts, telling their

    friends, look, I care about all of you.

    THE MEME

    So far we have been mostly looking at

    what gets ltered out. But what about the

    content that does make it inside our lter?

    Since most users follow more people

    than they know in person, there must be

    something that gets through.

    Umair Haque, a writer for the Harvard

    Business Review, has coined the term

    meaningful brands in opposition to themore conventional aspirational brands that

    we previously bought into.

    With the meaningful brands we have a

    rst hint of how advertising within the

    lter-bubble might still work. Apart from

    that, and in addition to the obvious - the

    personal statements, the thoughts, and

    emotions that people share with their

    followers - there is a specic type of

    content that gets propagated from one

    personal circle to the next, that is repeat-

    edly shared, retweeted, liked or whatever

    4form of handling a certain platform

    might provide.

    THE FILTER BUBBLE WILL ADD A NEW DIMENSION TO THE

    RISING COMPLEXITY OF COMMUNICATIONS PLANNING

    THAT WE HAVE TO TAKE INTO CONSIDERATION

    2BLINK#4 | MEDIACOM

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    Joerg Blumtritt (*1970) is managing

    director at MediaCom Germany.

    Ater his graduation in statistics and

    political sciences he started work-

    ing as a researcher in behavioural

    sciences, ocused on nonverbal

    communication. Projects were

    unded by EU Commission, German

    ederal government and the Max-

    Planck-Society. Subsequently he ran

    marketing and research teams or

    TV-channels ProSiebenSat.1, RTL

    II and magazine publisher Hubert

    Burda Media, introducing new quali-

    tative methods like Netnography (