Bartz Takes the Hot Seat – Digits – WSJ.com

Yahoo CEO Carol Bartz in the WSJ on not divorcing Yahoo’s search and display assets in any discussions with MSFT:

Yahoo’s search and display businesses are greater than the sum of their parts, she said. The two businesses are “linked in the minds of the top 200 advertisers,” she says, noting that Yahoo’s salesforce can sell more advertising because they sell the combined concept. She also said that any deal between the two parties would have to give Yahoo access to the raw search data to enable it to optimize all its other ad offerings. “We would never debone the company,” she said.”

This is reaffirming the obvious — that search and display advertising are inseparable and enhance each other’s yields. Looked upon at large, Yahoo’s value pitch is around the targeted of its tier one display inventory — the Yahoo sales team spins a compelling vision of targeting and detection of consumer intentions much better than their counterparts at MSN or Google.  But … (big but), Yahoo search is not regarded as the defacto standard to the extent Google is (though it certainly beats Microsof’t’s efforts like a drum).

To revive Yahoo search I think the company needs to make an overt engineering committment to improving the quality of its SERP (search engine result pages) and make a convincing argument that its “black box” has attributes that distinguish it from Google. Until Yahoo can turn itself into a verb, it will hobble along, strong in a weak medium — banner ads, but weak in a strong medium, paid search.

The best asset they have going for them: reach. We did a big push through Yahoo during the last week of the Olympics and the results were impressive and the buy, for all its global complexity, amazingly efficient (thanks to Neo@Ogilvy and their fast moves to nail down availabile inventory).

via Bartz Takes the Hot Seat – Digits – WSJ.com.

“Sponsored conversations” are a dumb idea …

… even if the august analysts at Forrester have convinced themselves that as long as the bloggers disclose the payment and are permitted to say whatever they feel, that pay-per-post sounds better redubbed as a “sponsored conversation.”

I still think it is one of the dumber marketing manuevers in the social marketing bag of tricks.

Call me a purist but I like my critics to be objective and my reviewers to be uncomped. Product changes hands to be reviewed, not as gifts. Cash is spent on advertising, not on payola.

As long as bloggers don’t hide who’s paying them and have the freedom to write whatever they want, we think sponsored conversation will fit in well with the other forms of marketing through blogs,” writes Forrester analyst Sean Corcoran. The report – written in conjunction with Forrester analysts Jeremiah Owyang and Josh Bernoff – also includes advice for interactive marketers considering using sponsored conversations in their marketing arsenal, much of it centered on the critical issues of authenticity and transparency.

Whether you agree with Forrester or not, we’d love to have you (and your readers) engage in this dialogue with us. Please let me know if you would like a copy of the new Forrester report, “Add Sponsored Conversations To Your Toolbox.”

There are so many more intelligent ways to get a blogger or group of bloggers to talk about your brand without resorting to cash payments. And I don’t buy this re-tweet/give away for charity dodge either.

I will continue to unsub from “posties” and have long given up following analysts and experts who condone these tactics. The world is slipping into the Idiocracy quickly enough without the “experts” undoing all semblance of objectivity and honesty in the higest potential communications channel ever invented.

Links withheld in protest.

update: Owyang is determined to bait me into a pissing match on this one, now by citing Lenovo’s Voice of the Olympic Games program as an example of a “sponsored conversation.”  I am not going to get semantic with him on “sponsored” and “conversation” definitions. Lenovo did not pay any athlete to blog nor once suggested, demanded, hinted or discussed that the athlete mention the word Lenovo. We gave them free laptops and FlipCams with no strings attached. The point that just won’t sink in with him — no matter who huffs and puffs, is payola is wrong, cash-for-blogging sucks, and Forrester is on the wrong side of the whole pay-per-post debate. I revert to Mark Cahill’s pointer to the concept of journalistic ethics. I suggest every blogger with a shred of dignity read it. And yeah, yeah, I know. Bloggers aren’t journalists. I’m suggesting they may want to avail themselves of some journalistic best practices and take the high road. http://en.wikipedia.org/wiki/Journalistic_ethics

OS insights and rantings ….

Having rebuilt two machines this weekend and not having the restore CDs  that shipped with the boxes, I have dropped $300 getting certified versions of XP installed via the Net and Microsoft’s Genuine Authentication thingy.

$150 for a XP license after I’ve paid for it in the past — but was too stupid to create recovery discs — is a) a lesson to myself and b) a warning to Microsoft that free beats the pants off of paid any day and that in this day and age, with Ubuntu getting better with every rev, the Giant of Redmond might want to go sit on the mountain and think real hard about a Windows 7 model that includes a free-kernel. The Win7 beta is free — and early adopters are reporting positive things. But come September, when it ships. The free ride ends.

Most vendors, like Lenovo, no longer ship physical XP discs with their systems, but instead ask their customers to create their own backup CDs during the system set up. I, of course, do not create these damn discs, and like most other aggrieved users, only rue that day when the hard drive fails (as all hard drives inevitably fail).

Combine a few things and Microsoft is in a perfect storm. 1. It’s the Economy Stupid: No one wants to pay for anything if there is a free alternative. 2. Track record. Vista is being written off. All eyes are on Win 7. Consumers are   looking at OS alternatives and coming to the conclusion that an operating system should be as irrelevant to them on a PC as it is on a phone. E.G. — give me a device that doesn’t need to boot, have patches, get viruses, or otherwise require a full time nerd to babysit.

Consumer Linux is becoming more and more attractive. If Linux can get some solid driver support rolling for consumers’ peripherals, hide the heck out of the kernel (a consumer user should never be aware of stuff like GRUB and Wine) with a friendly GUI skin …. I could have rebuilt both of these two ThinkPads with Ubuntu but didn’t, and paid $150 per machine to build them back up on XP for one simple reason:  the people who will be using these machine expect to see XP on them. Me? I’m more than happy to mess with Ubuntu. My wife is not.

Microsoft can buy a lot of time and hearts and mind with one simple solution — go free at one level and make it up in volume on upselling. Seriously. Whack a consumer for a credit card in this market and free starts to rule. Give me a free OS to enable a device, and when I decide I want some added benefit … then hit me with the credit card. If Microsoft can get on the free-bandwagon and get free into the corporate mindset, they buy another decade of success without any problem.

Interactive television and Lenovo — The Advertiser

Two colleagues, one current, the other former in an article about the new interactive model of advertising on the old medium of television. Former PC Week, McKinsey and CMO Magazine colleague Rob O’Regan writes the February cover story for The Advertiser. Nut graph:

After years of fits and starts trying to turn the concept of interactive TV into a broadly based reality, a collection of service providers, technology companies, agencies, and marketers finally seems to be making some legitimate headway in transforming TV into a more addressable, more targetable, and more measurable advertising medium.

Sure, we’ve seen this dance before. For years, we’ve been hearing promises of two-way engagement, better buying and measurement systems, and addressable ads for TV viewers. But real milestones have been elusive in an industry known more for inertia than innovation.

Something feels different now, however.

Rob quotes Gary Milner from Lenovo who ran our trial on GoogleTV last year with great success. Gary, as noted earlier, is blogging at The Digital Difference.


Riddle me this … TweetJacking or Citizen Branding?

I use TweetDeck to follow mentions of ThinkPad and Lenovo on Twitter.  For the past few weeks a new phenomenon has popped up, one that confuses me to no end.

So we have a user @moon, who tweets, fairly frequently, variations on the following message:

On Monday Groundhog Day I’m giving away a Lenovo IdeaPad S10 RT @moon 3 times and be the first to RT a selected Tweet on GHD”

Then he posts variations of that promotion by inserting the name of a well known “A-list” blogger or Twitterer — like @chrisbrogan or @scoble.

1. I don’t know what GHD is. [duh: GHD=Ground Hog Day]

2. I have no clue who Paul Mooney is. He has a website http://www.neuronspark.com but I can’t figure out what the business is. There are tons of affiliate marketing links on the right sidebar.

3. Why would he give away a $400 netbook? Is this an example of a grassroots promotion and by running his own contest he hopes to get more attention to his twitter ID and hence more followers?

4. Why is he inserting the names of @twitter celebrities?

It is very effective — @moon has dominated the Lenovo brand name in Twitter for a month, has induced tons of people to “RT” his giveaway, and in the end, got my attention, for I am writing this blog post, and sent him a direct ping asking “what is compelling you to give away the S10” and observing:  “moon: Why do you retweet your giveaway to every social media person like chrisheuer, jowyang, etc? Seems like spam at this point”

He replied: “I know chrisheuer and jowyang so I was hoping they would reTweet the giveaway.”

And I said:  “moon: just concerned because of Dec. KMART incident with XXXXXX and Izea/Payperpost people. Don’t want lenovo associated with that”

To which he replied he wanted to do the promo with Lenovo.

So here’s the observation. If you manage a brand online, get ready for people to leverage it — both professional and personal — for their own gain.The big question is whether to grease the skids and enable it, stand by and watch it happen, or send in the clowns and get all legal.

The question is this: should I be giving product to bloggers and twitter users to activate this sort of self-managed promotion/contest or am I on shaky legal/ethical ground? I did rip into the “Blog Slut” phenomenon and don’t want to demean the Lenovo brand name by getting into any kind of payola arrangements. That aside, @moon has pounded the word Lenovo and gotten other people to Tweet it far more than the usual organic flow of the conversation would have. So should I shut up and be happy for the free branding?

Brands run into this with affiliate marketing programs all the time. If you give people an incentive to market on your behalf you may not be happy with their techniques they use to do it. This one just has me perplexed.

As one twitter user just said to my ardeht Lenovo promoter: “@moon This is a very clever promotion you’re running. Bet you’ll get lots of new followers and interest in what you do.”





The Dour Marketer’s Reading List

As part of the occasional series of how to survive this evil, ugly economy with digital marketing, let me acknowledge the need of a lot of experienced marketers, to get smart — and fast — on all this Digital Stuff. Because a colleague just asked me for a bibliography to help teach himself digital, I figured a blog post and an invitation to you dear reader to suggest some additions would kill several birds with the same post.

Let’s start by saying I am not a fan of  “business” books. Sure, I’ve read Tipping Point and Execution and Blue Ocean/Red Ocean … I was even  involved in the writing of a business book when I was associated with Gartner’s editorial board in 2004.  (Multisourcing) I tend to order and read a so-called “business book” only when I need to, and then only if I need to get smart fast on a specific function.

There is no omnibus guide to digital marketing. Maybe I should write one, but it would be out of date before it was even outlined: for the future is here, it’s just unevenly distributed.*

Later on I will try to compile a blog roll of essential digital marketing blogs, but the genre of digital marketing blogs is a mess, and I’d say I personally only can read three or four on an ongoing basis.

This is a only a bibliography. Here is an “aStore” in Amazon if you want to buy them.

Search

Where to begin? Let’s begin at the center of digital, the very hub of where it all begins, and that is search. If you don’t understand search and how it works, then digital marketing in all of its forms and variants is going to be lost on you.

The best explanation of the history, the process, and the impact of search was written several years ago, but still is valid, and that’s John Battelle’s The Search. Trust me, but if you want to understand digital marketing you must understand search. Everything digital starts with a search.

Battelle gives you the history and theory, Moran and Hunt give you the nuts and bolts of how to run a search campaign from both the paid (SEM) and the organic (SEO) side. Search Engine Marketing, Inc. is out in a revised edition and gives a strong step-by-step cookbook for running a paid search campaign and developing a website that will rank high in any search engine’s organic rankings.

Metrics

The heart of digital marketing, the reason we care about it, is its accountability through metrics. One strong recommendation here is Avinash Kaushik’s Web Analytics: An Hour a Day. There are also some specific titles around Google Analytics, which isn’t a bad idea for some trying to master that environment specificially. Avinash is where you start.

Landing Pages

Tim Ash has a decent book on landing pages and the art/science of optimization.  Landing pages make the world go round in terms of improving “cse” or customer success events, so take some time and read Tim’s Landing Page Optimization

Display and banner media

I don’t know of a single book in this genre, but I would say that there is lot of good stuff at the Internet Advertising Bureau’s site. Especially on standards and practices.

If you are trying to make a case to stop doing dumb-ass traditional advertising and move it online, then read Joseph Jaffe’s Life After the 30-Second Spot.

Online branding

There a few good books out there on this topic. Allen Adamson quotes me in BrandDigital. Andy Beal quotes me in Radically Transparent, a good book on reputation monitoring and management. Rohit Bhargava’s Personality Not Included is a good read. Charlene Li and Josh Bernoff’s Groundswell. Scoble and Israel’s Naked Conversations is worth mentioning in the context of corporate blogging … so many books, so little time. Seth Godin is an industry unto himself. Meatball Sundae is a good change-agent manifesto, but the granddaddy of all manifestos is Cluetrain.

I’ll tackle blogs later. This is just a quick lunchtime post for a colleague. I’ll revise this as time goes by — please give me some recommendations in the comments and be sure to only suggest books that you’ve actually read and would force me to read.

Design

This is a weird suggestion, but it did have an impact on me back in 1995 when I was developing and designing my first two sites: Reel-Time and Forbes.com. That is A Pattern Language, by Christopher Alexander. Richard Duffy, a friend from PC Week and the early early days of Forbes Digital Media recommended that book and it had more of an effect on how I think about functionality and usability than anything that followed.

*: William Gibson

CES finis

Writing from the airport with blessedly free wifi but no AC power, I get ready for that middle seat back to Boston and an alleged snow storm. Last night’s blogger dinner went well. I got to meet Greg Verdino, Steve Garfield,  and Joseph Jaffe in person. Had some interesting conversations about monitoring, advertising, media, new products, clouds, gadgets, porn stars and old french brandy.

I demoed a few products, but more importantly received some great feedback from Jaffe on the art of hosting a blogger event.

  1. Involve a strong connector. The Social Media Club was looking for a sponsor of a blogger dinner. I had a restaurant that needed some bloggers. That is an easy win.
  2. Work the invite list. I should have been more involved in lighting up my network and doing a lot of investigation of who would be blogging from CES. We had a list provided by the show’s press office, there were the obvious people to consider (I need to do a detailed post on the ever-shifting definition of a blogger as the blog CMS revolution and the ascent of the big gadget blogs makes some “blogs” more “media” than ever before, with large staffss and operations, versus one man bloggers like yours truly). We missed some good people, I should have been a little more involved, but ….
  3. Don’t be a dickhead with the agenda. Inviting people to hang out doesn’t mean asking them at some point to shush and listen to an executive suit with the microphone. When I was a reporter I hated the dog and pony aspect of marketing “parties.”
  4. The loud CPR music? Loud music in a bar or nightclub is an attempt by the owner of said establishment to make civil conversation impossible. After a few dozen attempts to communicate with someone interesting the frustrated person gives up and does one of two things:  orders a drink or dances, gets thirsty, and orders a drink.
  5. It never hurts to have one’s products lying around to be touched. Don’t have a bunch of over helpful people hovering with the old “may I help you?” Let people discover stuff on their own and if they have a question, be available to answer it.

Just read a good post by Rob O’Regan at Magnosticism about budget cuts and social giving way to the tried and true world of demand generation. He makes good points which I pledge won’t become the rule at Lenovo. The point of the post — survey shows marketers are sick of hearing Web 2.0 buzzwords but still feel the need to know more.

Which reminds me — a new role for me at the company. I’m now more focused on social media, less on “demand” generation (paid search, banners, metrics) and a project I can’t talk about. So, will my title change from VP of Global Web Marketing to something else? I dunno. Not a title person. Basically if it happens in web 2.0 it is my problem.

So I have that going for me.

Triage for tough times — The Dour Marketer

Here’s a list of tactics I think should be attended to before new monies are invested in digital marketing. Let’s call these three macro  tactics the Thrifty Trinity, and they are what I would tackle before making excuses that you can’t build the business without an investment. CFOs aren’t making investments these days, indeed, that 2009 budget you’re waiting to kick in next month? Assume it is going to shrink.

1.  SEO: I am not a fan of agency/consultant based SEO and ascribe to the Calacanis heretical view that if you need to perform SEO as an overt tactic then you’re doing something wrong. But SEO is the other side of the paid search coin — proof of the cliche that a penny saved through a higher organic ranking is a penny that can be spent elsewhere in the SEM portfolio of search terms. With paid search over 25% – to as high as 50% — of many digital media plans, SEO is cost effective tactic — strike that, SEO is like breathing, do it right and you thrive —  that requires general greater attention from production and content, good technical implementation, and an overall awareness from PR to blogs that clear, concise writing, credible links, and a manic desire to elevate one’s rank.  Just keep in mind — everything starts with a search. So start your dour marketing there. Just think like a customer, start searching like one, and see where your organization returns. Read Hunt and Moran. Avoid consultants.

2. Social: Get Google Reader, figure out how to subscribe to RSS feeds of searches on your primary brand terms (e.g. “Chevrolet” “Chevy” “Impala” etc.), a couple C-level executive names, and start reading what people say about you. Avail yourself of the torrent of free advice on how to engage an angry customer and make it your mission to make one happy. Repeat over and over. Don’t advertise on Facebook because you think it is au courant. Don’t pay a blogger for coverage. Open your own blog. Make it your blog. Talk about your dinner. What you are reading. Get comfortable with it.  It’s a good career move and when the time comes to get involved with corporate blogging, you’ll know what you’re talking about. Don’t let your external PR agency dictate the terms to you. Don’t pay attention to social media monitoring services. You can’t afford either.

3. Plan: if you have a media budget then sit down, take a hard look at a single dollar. Let’s call this “your next marketing dollar.” Now take a hard look at your media plan, your operation budget, and ask yourself — how can I make this dollar sing for its supper? What portion of it needs to go into paid search? What portion in display/banners? Should I be playing in affiliate marketing programs? What is my goal? What is the success event I want that dollar to drive and how am I going to make every penny in that dollar prove its contribution to that goal?

Next: a quick reading list

Shooting fish: Blog Sluts

I would no sooner pay a blogger to mention a product or service than I would pay a reporter for the same coverage.

The notion of engaging a third party — agency or individual — to produce content about a brand or product is tantamount to deceptive advertising and a mark of stupid desperation on the part of the marketer who approved it. (clarification: and then publish it as being ostensibly “objective”)

I have no issue with lending a product to a blogger or reviewer affiliated with the mainstream press under the usual terms of a loaner/reviewer program. I would not gift product or services  nor pay a fee to the writer.

Note the last word: “writer.” Bloggers, like journalists, are “writers” in my mind. I don’t care if their preferred medium is an audio podcast or a video Vlog — if they publish content publically and with an eye of making money from that traffic via advertising or promotion of their services, they are, loosely, to my mind, a “writer.”

If bloggers want to be accorded the same respect and gravitas of a professional journalist/writer then they need to abide by the same code of ethics. Journalists don’t accept money to cover stuff. Period. They may do that in some backwards nations, but not in the USA. Bloggers who join any sort of program that compensates them for coverage of any kind — positive or negative — openly disclosed or not — are, in my traditional ethical mindset, crossing the line.

Bloggers in the social media space — consultants and theorists — are probably due some excuse if they check out these services and report on them dispassionately. But as an ongoing revenue stream and practice — it’s grounds for not being considered in any media plan. I understand there are many bloggers who need to make some money from their blog and I don’t dispute their right to monetize their traffic, but payola is crossing the line. Contextual advertising, or an overall sponsorship is one thing. But paid posting is a no go.

Bloggers don’t need to behave like a Washington Post reporter: accepting no gifts, no junkets, pay for “free” coffee, and avoiding anything that would indicate a bias. Blogs seem more like oped — at least at a personal level — than the press, but if a blogger wants the respect and authority accorded to the mainstream press then they need to behave like one. Disclosure statements are not enough.

I recently unfollowed one prominent social marketing blogger and columnist for perceived ethical transgressions. I regret that I am unfollowing another today. I am not going public with my unfollow list, but let’s say there is a coterie of social marketing bloggers — not actual marketers but theorists or agency people — who are really pissing me off with their echo chamber and questionable ethics. I am turning them off.

I am not going to call people out in public anymore. This social marketing niche is getting way too incestuous and repetitive and frankly, stupid in its repetitive back slapping, re-affirmation, ego stroking, and over amplification of the same desperate case studies.  Rather than squawk and bitch I am simply turning up the squelch. End of rant.

Disclosure: I don’t run ads on this blog, I used to be a reporter, no one sends me free stuff (other than Uncle Fester), and I need to stop being angry so much.

Esteban beat me to this on Dec. 4th