Friday, April 23, 2010

This Is My Four-Leaf Clover: Internet advertising

I find myself increasingly and variously intrigued and infuriated by internet advertising.

Let’s take the infuriation first, if we may: the invasive pop-ups or the things that somehow float across the screen or some video demanding to take me away from what it is I actually want to look at. I’ll give you a good example. The "Diario de Mallorca". Good paper and pretty good website. Better than its main Mallorca-based competitor, "Ultima Hora". It’s easier to navigate and is better laid-out. However, it has this regular tendency, once you’ve clicked on whatever it is you want to read, to take you to an advert - often for some Seat or Peugeot you have absolutely no interest in. This obliges you to either unclick it or wait till it goes away.

There does of course have to be advertising, which opens up the whole discussion about newspapers, their ad revenues from the web and whether they should be free online or not. But this is not something for here. There is advertising, which is a business necessity for a website to function, and there is advertising - of the intrusive variety. To what extent is this intrusive advertising counter-productive? Out of principle, I refuse to click on it, and only have done so by mistake. Out of principle, I would never buy a Seat, if it’s being forced onto me when I have something better to do, like reading about what shenanigans such-and-such a local politician has been up to. And when it takes an age to load a page because of the damn floating ads, or whatever they are, there is further counter-productivity. I go somewhere else. I may not like "Ultima Hora" as much, but it doesn’t hack me off.

You have to presume that this intrusion doesn’t come cheap and also to presume that it works, even if referrals may be a low percentage and actual conversion (assuming this can in fact be measured) far less. But the potential to alienate readers cannot be underestimated, and then there are those, like myself, who form a negative image of a brand because it’s getting my back up.

Web advertising is a curiosity because it is an experimental work-in-progress. Unlike TV advertising, the model of which has remained pretty much unaltered since the first days of commercial television (in the UK at any rate) in the mid-1950s, advertising on the net has been in a constant state of flux since it was first realised that here was the brave new world of promotional opportunity. The cost can be high, but it all depends what is being advertised and how. The "how" is arguably the most interesting aspect, especially since the inception of social networking. Facebook and the rest may not be for everyone, but its potential - cheap promotional potential - is significant.

In Alcudia there is a bar, Shamrock. Facebook has transformed not only the bar in terms of its income and profitability, it has transformed the bar completely - in terms of its market and product. Yes, there have been, and are, other promotional tactics, but it is Facebook that has driven the change. I’m not going into detail, this may be for another time or place, but if there is such a thing at Harvard Business School as case studies on the role of social networking in marketing, then Shamrock might well form one of them. To emphasise - not just greater success but also a change in the business itself, all stemming from Facebook. It’s fascinating stuff.

The essential ingredient with the Facebook approach is that it is a form of push marketing - or poke marketing if you prefer. It is proactive and can create a rapid response. But this proactivity isn’t aggressive, as with so much unwished-for promotion, because of the very nature of social networks and their built-in likemindedness. Moreover, Facebook is without pretension in its marketing style. Some advertisers, or so it has appeared to me, have a kudos mentality that demands they pay fairly substantial amounts to appear on a particularly grand site. This may be beneficial to them, or it may not be, but for many, a complementary approach using social networks would almost certainly be beneficial, if not more beneficial. It does rather depend on how broad the marketing scope needs to be and therefore how much the initial contact or interest via the internet needs to be made, which is where paid-for representation can be, and often is, important.

What we’re moving towards is businesses adopting a bundling approach, of different types of site, with different styles. The only fear with the likes of Facebook is that its success, and that of those who use it creatively, will result in the sort of intrusive advertising that can deter. I, for one, hope not.


QUIZ -
It doesn't have to have four leaves, but what the ... "This is my four-leaf clover." Where's it from? Great song. Great band - IMO.

Any comments to andrew@thealcudiaguide.com please.

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