Yearly Archives: 2007

Measure This

By
Steve Poppe
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0
I finally figured out what business Google will be in 10 years from now: the media measurement business. Google will be the new “data” company known for measuring media habits, advertising effectiveness and purchase predisposition. The company born of search will become the world’s leading marketing analytics company.
 
Google’s work with the Nielson Company measuring cable TV viewership takes TV advertising accountability to a new level. We already know what Google has done with its AdWords program, which is probably only a few months away from being a lot more timely, powerful and predictive. And should they decide to focus on it, digital radio won’t be far behind. Google’s analytics and algorithms will help advertisers optimize ads, and trust me, that is a sweetspot. The only hiccup I see is if someone high up in the company, responsible for this part of the business, decides to venture off before Google completely believes in the effort. 
 
I’m no economist and forget what the exact data point is, but advertising and marketing is somewhere over 20% of the U.S. GDP. To be the company known for optimizing that chunk of change is a reachable goal for Google…and a truly focused mission, which it smilingly lacks right now.
 

Apple to hit the big screen?

By
Steve Poppe
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0
 
The company capturing the imagination of the world in consumer electronics – Apple (sans Computer) — has one hole in its portfolio. TVs.  Close your eyes and imagine what an Apple television would look like sitting in your den, living room, bedroom or kitchen. Its rounded corners. Sleek contours. Flat in a way only Apple does flat. And how about a TV monitor in your conference room with an Apple logo on it?   I can think of a media company, ad agency or two who might be willing to splurge.
 
With Apple’s computer sales spiking, doubling the market growth rate, and new flatter monitors having an impact, it’s only natural that Apple will try to steal some share in televisions. If you can see it, hear it, or digitize it, it is within Apple’s domain. The only question is when?
 

Done-gone-away

By
Steve Poppe
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0

I have followed Yahoo and its marketing efforts for a while, and watch with great interest as executives try to right the ship. The latest evidence Yahoo still faces challenges is the departure of CMO Cammie Dunaway.  I have said as recently as last week that Yahoo’s market strategy lacks focus. They have made some repairs to the brand, but still seem to be casting about for a direction. 


Not too long ago, and this is one of my favorite stories, I was in a planning meeting with board level officers at billion dollar home healthcare company. The CEO went around the room asking the other officers “What business do you think we’re in?” I knew we were in for a long day. Please read the internal memo (thanks ValleyWag) discussing the organization of Yahoo post-Ms. Dunaway, and tell me what business you think Yahoo is in.

Yahoo! Network Marketing
The following teams will now report into the Yahoo! Network Division (YND):
*       Audience “Go to Market” team led by David Riemer
*       Direct Marketing led by Nick Besbeas
*       Consumer/Customer Innovation led by Karin Timpone
*       Customer Care led by Laura Narducci
We will take the next few weeks to determine the head of a new YND Marketing organization. In the meantime, David Riemer will continue to be the point of contact for YND marketing efforts.

Strategy and Insights
Given the important role of insights to our company strategy we are aligning the Customer Insights organization with Corporate Strategy so we can better leverage insights across Yahoo, globally. Therefore, Peter Daboll will now report to Gerry Horkan, head of Corporate Strategy.

Customer Experience Division
The following teams will now comprise the Customer Experience division:
*       The Brand team led by Allen Olivo. Jorge Consuegra will report to Allen and focus on Brand Marketing for international.
*       Policy and Editorial team led by Ninj.
*       Central UED led by Larry Tesler.
According to this memo the Yahoo business is marketing, strategy and customers. Someone in the executive suite needs to find a business to be in.  Maybe then Yahoo will start gaining back momentum.
 

Kid Rockin’ Up and own the Coast

By
Steve Poppe
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0
 
There is a Rock and Roll Jesus…and it isn’t Bruce Springsteen. Kid Rock may be a bit of an acquired taste, but he certainly is genuine. As a father of two who might have a teen in the car at any time, I alternately giggle and cringe at some of his lyrics, but the man has some serious soul. Yeah, some self-references and bawdy rhymes are a bit overdone, but to hear him sing “Portrait” with Cheryl Crow, or rhymes like “I’m in it to win it, like Yserman” or “I’ve slept in dumpsters, got high with kings” puts Kid, in my mind, up there with others who sing from the heart. Ever been to Detroit? This dude is Detroit. Ever hear David Allan Coe sing?
 
Hard edged musicians who write from the soul can lose focus and edge when they become rich. Green Day is no longer a punk band, but their music has grown and refined. It still rocks. Kid Rock is driving nice cars but he’s still hanging with the “people.” That’s his “idea.” Bruce, still rocks I guess, but his focus is on larger world things and his past. He lives in a gated community, I’ll bet. Enough said.
 
This week, Kid Rock sold more albums than Bruce, rising to #1. There is a new Rock and Roll Jesus in town. And he made the floor boards bend at Irving Plaza last Tuesday. It’s been a while since that has happened.
 

Yahoo…Some Focus?

By
Steve Poppe
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0

Jerry Yang the CEO of Yahoo has just articulated for investors the company’s three pronged approach for success. 1. “Become the Internet starting point for the most consumers.” At Zude we call this the “start page” strategy. The start page is your default browser setting – the page that appears when you first log on. 2. “Become a ‘must buy’ for the most advertisers.” That translates into being the marketshare leader in advertisers. 3. “Become an open technology platform for developers.” (No superlatives in this statement; just a policy change. 

 
These are all wonderful, smart business goals; goals with ballast as far as the investment community is concerned. My fear is they are not in alignment. One can certainly gain advertising marketshare by being the leading “start page” provider.   Those two work together one can argue. But start pages are not the cash cows that heavily trafficked social nets purport to be — places where users spend scores of hours a month. And then the notion of opening up the APIs to developers – well that has been done by Facebook and, soon, by MySpace.  It may work to help Yahoo provide more robust and sticky start pages, but I still wonder about its ability to gain time share (just made that up) of user’s online activity.
 
 
Much of Mr. Yang’s analyst presentation, I believe, was intended to communicate focus. I’m not so sure he delivered.
 

Things not Rosy for Trump?

By
Steve Poppe
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0

When Donald Trump is on the radio pushing free CDs on becoming a millionaire, what are your first thoughts? The ads, which run on New York Sports radio, say to me The Donald thinks sports fans are idiots. It also tells me he must be in a little of a down cycle, money wise, because these ads and the business idea are pathetic. “What sets millionaires apart from the average person?” he intones, “You just have to want it more.” Jesus, who is going to fall for this crap?

 
Other get-rich-quick schemers hawking real estate courses or ponzi schemes are at least smart enough to make up names to sell this unconscionable crap to those at the bottom of the IQ food chain, but Donald Trump?   If he has a PR person, a handler, or a manager, that person should be fired.
 

Wu hoo…activism.

By
Steve Poppe
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0

My last post addressed how low cost manufacturing in countries like China and India are going to make inexpensive cars available to millions of new drivers, the result of which will be a new environmental crisis. Another crisis occurring in China today is pollution. One man — Wu Lihong — is in jail in China because he decided to bring attention to the fouling of Lake Tai, a huge body of water which supports millions of people. One man in a county of 1.3B, through his activism, has captured the attention of the world. Did he know, as he rode his bicycle around the lake collecting water samples and photographing midnight effluent run-ff from chemical plants that he would become the spokesperson for China’s pollution problems? Doubtful. He just saw a wrong and wanted to make a difference. For more information on Wu Luhong, please click through to the link below or search for his story on October 14, 2007 at www.nytimes.com . 
 
 
 
Activism will be critical to solving all environmental problems and, so each of us needs to make a stand. Whether is means refusing small bags at the store when you can easily carry your purchase by hand, or not taking 30 napkins from the deli, or writing marketers who continue to send pounds and pounds of paper catalogs to us in the mail each year. Or how about not using air-conditioning in our cars when opening the window will do.  
 
We need to be a little more protective of the environment. We need to become a little more indignant with those who are the problem. We all need to be a lot more like Wu Lihong. 

Two climates.

By
Steve Poppe
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1
 
 

I while ago I wrote about how 1 of every 3 cars in Puerto Rico is a new or lightly used Susuki (research while driving around.) Also, about how a production boom in Chinese automobiles is underway and that many of those low-cost cars are selling in Africa, where safety and emission standards are low. Well, today I read of Maruti Suzuki producing a car in India that retails for US$5,000. Anyone want to bet what the dominant car brand will be in a few years?  But scarier than that is the “People’s Car,” coming out next year in India which will retail for US$2,500. The producer? Tata Motors. Can’t you almost smell the fumes?

 

If you think the globe is warming at an alarming rate now, wait 10 years when there are a half billion more cars on the road.  The closet anthropologist in me says “Buy Tee-shirt stocks.”

 

Hopefully, we will be hearing much about global warming from the U.S. presidential candidates in the coming year and that’s a good thing. To me this suggests two of the most critical topics of our times: planetary climate and U.S. economic climate.  With a half billion more cars on the planet, the trees in Vermont will start dying. If everything is manufactured overseas and at a fraction of the cost, the US economy will start dying. We need to be able to manufacture at a lower cost here in the states. Anyone have any answers? I do, but you may think me a foo (thanks Mr. T.)

Branding is a brainer.

By
Steve Poppe
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0
 
One of my finer moments in advertising occurred in a new business pitch when I told the North Shore-Long Island Jewish Health System that their current tagline, developed by the previous ad agency, was spectacular. I later learned that was the reason we won the business. The tagline was “Setting New Standards in Healthcare.” 
 
As the lead planner on the business, I told NS-LIJ that every time they spent a dollar promoting themselves, the message should contain an example of Setting a New Standards In Healthcare.  “If I come to you with and ad,” I told them, “that does not demonstrate an improved standard of healthcare, send me home.”
 
It’s been a while since I have worked with North Shore, but living in their market area I do see some ads, and it really hurts to see that they have fallen into the “We’re here” trap. The latest ad I read told consumers that one of the hospitals has a neurosciences institute. The copy goes on to say they have state-of-the-art facilities, smart doctors, blah, blah, blah. We’re Here! Buried deep in the ad, though, were some actual new standards in neuro care for the community, but you had to hunt for them. The headline said  something doofy, like it’s a no-brainer, or some such.
 
Somehow the easiest ever branding idea was misplaced by a smiling person with a black bag of ads, who didn’t follow the brief. 
 

Doing evil to the evil, from the “do no evil” company.

By
Steve Poppe
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0

I don’t mean to pick on Google – in fact, I couldn’t live without them – but as a marketing geek I often look at where they’ve come from, what they do well, and try to see where they’re going. It’s getting harder.

 
Google started in search and kicked butt. They moved into video — a huge move — but it, too, was a search effort: searching for video. Google’s newer applications targeting Microsoft users are free web-based word processing, spreadsheet and presentation software. As a lay person, all I see here is a move toward Microsoft-busting, or doing evil to the evil, from the “do no evil” company. I’m not quite sure where this one fits in.
 
Google’s next move was to get into the advertising business buying DoubleClick, so they can put their hands on the controls of “monetization” grail. And today, a story was leaked to the New York Times that Google plans to offer open source mobile software within the year that will compete with Microsoft Mobile and help Google own cell phone apps, including advertising.
 
Once Google lost its master of search mantle, I lost my understanding of who they are. Now they are just a big, brilliant company on a mission to make money in as many different ways as possible.    
 
When creating the brand plan for Zude (our company’s social computing platform) our chiefs were driven by one thing: giving the “people” web pages and making it easy for them to publish. Our technology is meant to free users from hard-to-use web publishing tools. Zude is about freedom for all Web users. Sound noble? It is. It’s a mission. And as a single mission, it keeps us focused. People root for us.  Google had a product mission — search — and a rooting section, but once they moved off that mission some fans have started trickling out of the stadium. 
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