Q1 Online Ad Spend Up 14% Year-on-Year
As has been the case every year when first quarter online ad spend drops from Q4 spend, the headlines around IAB Australia's just-released Q1 '09 figures focus on the drop from one quarter to the next.
However, I'd like to focus on the positive, which is that year-on-year spending was up 14% - yet again delivering the biggest first-quarter spend since tracking started in 2002 - from $385 million in Q1 08 to $440 million in Q1 '09. This is significant for a quarter when the business world seemed stuck in fear in indecision. The report is only available to IAB members, but The Australian article is here.
Buyer-Seller friction
Something troubling that we're seeing in our training sessions is increased annoyance on the part of online media sales reps with agencies – almost to the point of animosity. It seems to come from frustration, and not understanding how to work with agencies due to cumbersome structural issues on both sides. And I know the agency side has its issues with reps as well.
While there needs to be some amount of friction between buyers and sellers, the feelings we’re seeing go beyond the norm. The problems are felt most acutely by sellers who are bundling online into a cross-platform package and trying to get to the right people within the agencies to make any traction.
So there are a few issues: no consistency in terms of how and to whom a cross-platform proposal should be pitched (your digital guys talk to my digital guys, or you talk to your regular agency contact?). Second issue is that there is no standard in terms of agency structure (digital silo, traditional silo, or integrated?), and thirdly the publishers are still sorting their structures (do our digital guys only call on digital agencies, and you stick to your print/radio/TV buyers and try to pitch cross-platform?, etc.). This is a challenge that will continue to evolve along with the digital media industry. In the meantime, acknowledge the reality and develop strategies that work for you.
Cross-generational learning solutions
I attended the LearnX Asia Pacific e-Learning & Training conference in Sydney in April, with a view to understand the latest best practices in terms of e-Learning and collaborative learning, and to reinforce my belief that we’re heading in the right direction in terms of product development for Digital Chameleon.
One of the primary themes throughout the conference was pull/user retrieval of information when and as they need it versus push/structured training sessions. This can be achieved by “chunking” course material into bite-size bits that users can access online.
Taking this a step further is the concept of social learning via collaboration. This is what Digital Chameleon has built into its e-Learning program – a social network where learners can comment, share experiences and opinions in an online environment. There were some concerns around limitations of internet access within some companies. The best refute of this short-sighted view was from one of the speakers who put up an image of an iPhone displaying the front page of the New York Times! People will always find work-arounds – especially Gen Y (who were a major topic of conversation throughout the conference).
As coined by the MD of the CyberInstitute, “ Blended learning is the new black.” That is, learning that combines some, or all of the following: tLearning (traditional, structured, face to face); eLearning (online, user access, re-usable content); mLearning (via mobile devices).
As people stay in the workforce longer on one end of the equation, and more Gen Y’s and younger enter the working world, companies will increasingly need to provide a range of learning options based on the wants and needs of their learners.
Campaign of the Month
If you haven't seen it yet, the Skittles web overlay site has gotten lots of buzz recently - it's an innovative idea and is based around a simple navigation menu that links to Skittles' communities on the web.
"Chatter" goes to Twitter - and what people are saying about Skittles, "Video" goes to the brand's YouTube page, "Friends" goes to Skittles on Facebook.
It's a bold move by a marketer (you could ask how long over half a million people will remain Skittles "fans" on Facebook, but hats off to Skittles for being innovative).
I think we'll see more instances like this where marketers reach out to audiences - without the help of a media channel that it has to pay for the pleasure. But I don't think it spells the end of the media by a long shot. It's testing and experimentation, and trying to figure out how to harness the power of the crowds congregating on social sites. Not an easy answer or Facebook, MySpace, Google/YouTube would have it sussed by now and be making lots of money from it.
What it does say, though, is if you're a publisher or a marketer who hasn't yet figured out that your audience is actively involved in the "social web," and you're not actively working on ways to take advantage of that, then the clock is ticking.
Take a look at what Skittles is doing
Thanks for reading, and see you next month!
Patty Keegan, Director
Digital Chameleon
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