Posts Tagged ‘advertising’

Yeah, Well Your Agency Is Killing Unicorns

Daniel Stein recently wrote an attention-grabbing post over at Digiday entitled “HypeBusters: PR Agencies Are Ruining Facebook.” His basic argument: PR agencies are boring and uncreative, and their attempts at engagement are doomed to fail. The right people to manage Facebook pages are, apparently ad agencies. Guess which he works for.

I’m not going to lie — I’m dismayed at the juvenile back-and-forth that’s going on between different marketing disciplines over social media, with posts like this one or like this from Search Engine Journal previously. Didn’t people ever learn how to play nicely with others?

A tale of false arguments

Let’s start with the particular post in question. The primary issue here is the false dichotomies that are put forward. Why does everything have to be black and white?

Why does content have to be purely either “news, offers and the occasional contest” or “developing a brand’s purpose”? Can’t it be a blend, with some variety?

Where is the evidence that PR agencies can’t “do” creative? Isn’t it possible that agencies of all stripes could be creative?

The reality is that multiple partners are often involved in a successful Facebook effort. We frequently work closely with agencies of multiple stripes, and often help clients to develop governance frameworks so that each can bring their respective strengths to the table across multiple activities within a single channel.

Rather than throw up false assumptions about other agencies, look around. These over-generalizations just don’t hold true.

Shades of grey

I could point to Facebook pages we manage with hundreds of thousands or even millions of fans; or to multiple highly-engaged Twitter accounts with hundreds of thousands of followers, and use that as evidence you that only PR agencies can do this well.

I could point to examples of advertising agency-driven properties that completely fail because there’s nothing but superficial style over substance, and use that as evidence that ad agencies are ruining social media.

This would fit with the approach of the posts I mentioned above.

I won’t, because neither of these claims are true. This isn’t black and white.

Integrate for success

People who argue that only their discipline can “do” social media and that XYZ discipline is ruining it either have no idea what they’re talking about or are lying to you to get attention.

I’ve argued for a long time that effective social media, conducted over the long term and with actual business value, is derived from the integration and cooperation of agency partners. It doesn’t come from petty bickering and competition — from “my agency type is better than yours” behaviour — between so-called partners who don’t play nicely in the sandbox.

Enough with the attention-grabbing BS headlines and false arguments of superiority, already. Acknowledge that different disciplines can learn from each other, that there’s no “one ring to rule them all” and work nicely with your agency partners to do the best job you can for the client.

You know, cooperate. Like adults do.

Why Paying Bloggers For Posts Changes The Game

There’s been a lot of debate back and forth around bloggers (generally mommy bloggers, although they’re certainly not the only ones) receiving direct payment for posts over the last little while. The latest post to catch my eye was a controversial piece over at Mom Blog Magazine entitled Why PR People Get Paid And You Don’t.

I’ve shied away from this topic in the past, but after some interesting conversations I’ve had over the last few weeks I’m ready to weigh in.

A quick note up-front: I’ve been writing here for six years now. Over that time I’ve built this site up from a static site, that I coded by hand in Notepad, to a blog with 40,000 views each month.

While I’ve never accepted monetary payment for posting, I generally get several requests to incorporate ads each week. I get the attraction – it’s a lot of work to maintain a blog – and I don’t begrudge anyone from monetizing their site.

With that out of the way, on to the crux of the matter…

To put it simply, bloggers accepting (or demanding) payment for posts changes the game for them in several ways:

  • You shift from earned to paid media
  • You shift from content creator to service provider
  • You need to compete for budget

Let me explain further…

You shift from earned to paid media

If we break online communications into different spheres – owned, paid, earned and social media – PR has traditionally played in the “earned media” space. When PR people pitch a journalist on a story, we’re trying to “earn” that coverage.

Earned media brings with it lots of advantages. It’s highly credible, it’s long-term (it lives on) and it increasingly plays a role in product sales. On the flip side, though, earned media is near-impossible to control – in terms of quantity of coverage, of tone of the journalist/blogger’s coverage or of the content of the coverage. However, the benefits have traditionally outweighed the risks (hence PR people have jobs).

To journalists/bloggers, that means that when a PR person approaches them, they have control of how they react to the ask. They can turn it down entirely and write nothing, or they can write a positive, neutral or even negative piece if they so choose. That’s fine, because they’re producing editorial content. PR people accept that risk when they pitch.

When money exchanges hands, the situation changes. Suddenly you’re no longer playing in the “earned media” space. Now you’re in the “paid media” space. That changes the expectations. If brands pay for placement, they have different expectations to when they just pitch for coverage. Not only do they expect the post to appear, but they also have different expectations around control of content.

Update: Paid media also suffers from a draw-back of being less trusted than earned coverage. (thanks to Jen Zingsheim for noting this in the comments)

It’s not a black-and-white situation in reality – mainstream media is now adopting more of a pay-for-play model – however, brands do get control over key messages within those stories.

Simply put: you earn coverage; you pay for ads. You can’t have things both ways. If you accept payment, expect different conditions.

Your role in the situation changes

The earned/paid distinction also plays into the second of the key factors in this debate.

On the earned media side, the PR person is looking for a win-win situation – they’re looking to win through favourable coverage; meanwhile they’re looking to provide value to the blogger through content opportunities that fit their needs (so they’ll publish not just this time but also down the road).

Once we’re dealing in the paid media space, the situation changes. Suddenly, you’re not just the recipient of a pitch, who gets to decide what to do. You’re a person who wants payment to provide a service. That means you need to demonstrate value to the party that’s looking to purchase that service.

This means a shift in roles. The PR person becomes a client, just as someone buying ad space is a client of the publication selling the ads. Meanwhile, you (now as a service provider) have more of an obligation around quality.

This leads into the last key factor here…

You need to compete for budget

When companies allocate marketing budgets to PR, advertising, interactive and social programs, they make a decision on how to allocate those resources to get the best results.

When PR agencies come up with their plans, they consider how to get the best results for the budget they have. Sometimes that will incorporate a blogger outreach program. They make the decision that this is the best use of their budget.

When bloggers require payment in order to write a post, they add another decision point in the budgeting process. That isn’t, by itself, an issue. However, the result is that the blogger then finds themselves competing against other options for budget.

That’s right – you’re competing for budget. That competition means:

  • You need to demonstrate your value, and “well you want my coverage so I’m valuable” isn’t an appropriate response.
  • Your asking price needs to be based in reality – on the value you can provide. How can you demonstrate your influence? Again, on the earned side the PR pro needs to do that research to satisfy the client; once you become paid media the onus is also on you.
  • You’re up against paid media with established CPM and/or CPC figures, with stated audiences and at least a ball-park number of impressions an advertiser can expect.

Again, is this bad? No. The reality, though, is that when you ask for money for your service, that needs to come at the expense of something else. Your value is therefore going to get compared to other investments. This can be a tough dose of reality for some bloggers, especially those with small audiences, who are used to getting the VIP treatment from brands.

Payment changes the situation

The bottom line here is that, when you ask for payment in order to write a post, the situation changes. You’re no longer just a blogger/journalist from whom a company is seeking earned coverage. You’re  a media property from whom they’re buying coverage.

Bloggers who decide to go this route need to understand that this is the situation. There’s nothing wrong with seeking to monetize your site, but if you’re not ready to deal with this reality then you could be in for a cold, harsh wake-up call.

There are plenty of different sides to this, of course. What do you think?

The Challenge – And Risk – Of Ad Agencies’ Growing Interest In Social Media

Too much has already been written about the recent Old Spice foray into social media. However, one aspect of the campaign has escaped most commentary – the firm – Wieden + Kennedy – is an ad agency. Not a PR agency, or a social media agency. An ad agency.

On Sunday, the Wall Street Journal ran an interesting story on the growing interest of ad agencies in the social media space. As they put it,

“As more and more advertising dollars flow into social media, some Madison Avenue firms are seeking to grab a piece of the action.”

The story cites several examples of ad agencies who are making a move to grow this side of their business. As they do so, they are moving into direct competition with the PR firms and social media agencies who, until recently, they have partnered with on client projects.

Many public relations folks have harped on the idea that PR agencies are best placed to serve clients’ social media needs because of their focus on relationships and conversations as part of their core business. If nothing else, Isaiah Mustafah’s wonderful social media tour de force last week proved that ad agencies can get it right online, with a combination of creativity, comedy and captivating two-way interaction. Meanwhile, however, the pragmatists among us have been observing the blurring of the lines for quite some time. I’ve argued, for example, that PR agencies can learn a lot from ad agencies including:

  1. How to better scale programs;
  2. How to plan and execute more creatively;
  3. That measurement is critical;
  4. How to effectively target their key audiences;
  5. How to better target messages.

Four challenges to PR firms from ad agencies

Public relations agencies – even those who have been working in the space for several years now – can’t ignore this evolution. The increasing attention of ad agencies raises several critical challenges from a PR and broader communications standpoint:

  1. Advertising agencies typically command bigger budgets for programs. That’s nothing new and PR people have long gnashed their teeth about that fact. However, when social media is brought into the mix, the larger budgets mean that ad agencies have more visibility, more flexibility and the potential for more creativity than PR agencies may enjoy thanks, not to their credentials or ability (though I’m not slighting them), but due to the source of their funding.
  2. Ad agencies have access to the marketing function, which often controls communications in general within organizations. That means that they will often have a shorter route to the top and, linked to the above point, may have greater influence with clients.
  3. Ad agencies are built around strong creative teams. They have the creative chops that can rival those of any PR agency.
  4. Control of the marketing side of communications means that advertising agencies have access to other assets that PR agencies may not have – graphics, logos, actors (once again, see Old Spice)

Risks if PR and ad agencies don’t work together

So, the stage is set for quite the tug of war. Trouble is, I suspect that no-one will win if a tug of war is what happens. In fact, a battle like this may hurt both sides as agencies wrestle over the grey area in client relationships. The risks of not learning from each other, and from not learning to place nicely together, are several:

  1. Fragmented social media efforts: A lack of cooperation between advertising and PR agencies, or between marketing and corporate communications functions, can lead to each doing their own thing in social media. That leads to fragmented, siloed failures as organizations roll out poorly coordinated, ineffective campaigns. As Forrester Research analyst Sean Corcoran outlined in December 2009, the different forms of media each have their own pros and cons. I suggested earlier this year that organizations need to effectively coordinate the various media channels and their complementary characteristics to  make them work together and to obtain optimal results.
  2. Sub-optimal results reduce future budgets: Siloed campaigns lead to sub-optimal results, as the weaknesses of each channel remain present without being offset by other channels. That leads to a reluctance from companies to invest in unproven technologies and techniques, leading to lower budgets for these programs in the future. Traditional approaches, which are losing efficacy over time, will continue to deliver similarly sub-optimal results in the long-term. Companies run a risk of a downward spiral with no end winner.
  3. Short-term spikes less effective: Ad agencies excel at generating attention around ideas, but can sometimes struggle more with long-term efforts – this is where the PR agencies’ focus on long-term relationships comes in, as they can plug the gaps in the timelines with sustaining tactics. Old Spice’s re-branding effort, which even has my girlfriend suggesting I try the product, will fail if it simply stops now. If that happens no-one beyond award judges will remember it in a few months. To really entrench their efforts, the agencies involved need to support the initial spike in attention with tactics that will maintain that velocity over the long term.

Conclusion

Agencies need to agree to work together to integrate their communications approaches. It can be tough – the bottom line is that their business objectives often conflict with each other. However, neither is usually “the bad guy” and it can work. If that doesn’t happen, clients need to establish a framework that ensures agencies work with each other, rather than against each other, with cooperation established as a key criteria when evaluating agency performance. For that to happen, companies need to resolve their own internal conflicts between marketing and public relations. Good agencies can help clients make that happen.

What do you think? Have you experienced this blurring of the traditional lines between agencies? How well do you think agencies can hope to work together, given their conflicting objectives?

Conflicted About Ad.ly

Ad.lyBrowsing through my Google Reader feed this evening, a story in the New York Times caught my eye. The story was about ad.ly – a relatively new service that pays Twitter users to insert advertisements into their Twitter stream.

In the piece, Brad Stone gives a reasonable outline of the service, which counts “celebrities like Kim Kardashian, Dr. Drew and the musician Ernie Halter” among its customers. It also includes a quote from Robert Scoble:

““It interferes with your relationship with your friends and your audience,” said Robert Scoble, a technology blogger with more than 100,000 followers on Twitter, who says he “unfollows” people on Twitter who send him ads.”

Checking the site, ad.ly also counts Darren Rowse, Jason Calacanis, Jeremiah OwyangBrian Solis and Gnomedex founder Chris Pirillo among its users.

I’ve made my feelings about advertising services on Twitter known in the past. Notably, I got a little upset when some advertisers started posting misleading ads through a service called Magpie back in April this year.

However, I feel a little conflicted about this story.

Pros

Money on the side

Ad.ly lets Twitter users generate additional income with little effort.

Control the ads

Users have full control over the messages that are posted – they approve every message posted through their account.

Disclosure

Every message, according to the site, is disclosed as an ad:

“The end of every Ad.ly tweet (except tweets for charity) is marked with “(Ad)” notifying your audience that this is an advertisement. In order to ensure authenticity, every Ad.ly Tweet has to be explicitly approved by the Twitter publisher and is disclosed as an ad.”

Cons

Hijacking your connections

People don’t follow you to hear about the services that pay you to broadcast their messages. They follow to hear about the things YOU like. Still, I don’t watch TV to check the ads out there, but I do watch them. That said, I don’t like it.

While I don’t recoil to the same extent as others (Shannon Boudjema outlines her concerns succinctly here), I still feel uneasy about the concept.

Social media becoming unsocial

Ad.ly inserts ads into your Twitter stream. It’s traditional media piggy-backing on social media. There’s a disconnect between the “push” mechanism in use and the two-way nature of the medium.

Gut

Logic aside, something just doesn’t feel right for me. I have nothing to back this up – perhaps it’s because I don’t consider monetizing my Twitter followers often, but it sits wrong with me.

Bottom line

In case you can’t tell, I’m finding this one tough. Most of the solid logic points to the idea being reasonable, especially given that the Tweets are both approved by users and disclosed as ads. Still, I can’t bring myself to consider using it.

The logic is there, but… there’s a but. but it doesn’t feel right for me. I can’t put my finger on this one.

What do you think?

Interactive or Engaged?

(This is a guest post by Valerie Merahn Simon. For more about Valerie, check out her bio at the end of this post.)

I recently came across a press release about a new social media initiative taken by a large restaurant chain. A highly regarded advertising agency was responsible for the successful initiative, which resulted in a growing Twitter following, significant Facebook fan base, and impressive number of YouTube views. The website now offers a wealth of information on everything from nutritional information to in-store specials and promotions, as well as various sweepstakes. There are interactive quizzes and games. It really did appear that the agency was executing a fully integrated communications effort.

Then I read a blog post by John Bernier, a marketing manager for Best Buy, responsible for leading a team of employees in launching Best Buy’s “Twelpforce,” and realized what was missing. Bernier notes that customer’s must take advantage of social media as an “opportunity to listen to the customer to provide them more of what they need, when they need it, where they want it.

Social Media is not simply an opportunity to pass information along and talk AT the customer, it’s an opportunity to engage and learn from your customers, and the marketplace. While the Best Buy website may not offer much in the way of sweepstakes or promotions, it offers many opportunities to engage and learn from customers; forums, the Geek Blog, IdeaX, ratings and reviews, and, of course the Twelpforce, offer customers the opportunity to make the most of Best Buy. And it allows Best Buy to make the most of its customers.

Advertising is an opportunity to create and communicate a message, to craft exciting and interesting ways to get the public to take note of the brand, in a manner in which the company would like it to be perceived. Public Relations is about developing the conversation between and about companies and the public; building relationships with the employees, customers and other targeted groups.

Social media provides a means for the consumer to voice opinions, and I believe the companies that will find the greatest success will understand the difference between interactive and conversational. While I very much agree that there are many lessons PR can learn about social media from advertising (see Dave’s earlier post ) and acknowledge that the ad agency designed campaign noted above certainly offered the client many benefits, the focus was on the restaurant, not the consumer. For a company to be most effective in its use of social media, it must offer customers the chance to take center stage.

Do you see the difference between customer interaction and engagement? If you were a marketing director, would you hire a PR Agency or an Advertising Agency to help develop and implement your social media strategy?

Valerie Merahn Simon serves as a Senior Vice President at BurrellesLuce media monitoring and measurement, and writes a national public relations column for examiner.com. She is also co-founder and host of #PRStudChat, a monthly twitter chat between PR professionals and students moderated by Deirdre Breakenridge. She can be found on Twitter or LinkedIn.

Five Things PR Folks Can Learn About Social Media From Advertising

Photo symbolizing the divide between public relations and advertisingWe in the public relations industry seem to love to look down upon those on the advertising side of the communications industry when it comes to social media. They don’t get conversation, we tell ourselves smugly. They think in terms of one-way information pushing, not two-way dialogue.

Stop and think for a minute, though. Regardless of the media buy budgets, advertising agencies command big dollars. They land smart, creative people. They execute highly original ideas. They have a voice at a senior level. As much as folks on the PR side might hate to admit it, we can learn from the advertising folks. This is especially true as the different communications disciplines converge.

We’ve recently hired a creative director from the advertising side, and his perspective is breathing new life into our approaches.

So, what can we in PR learn about social media from the advertising side?

1. Scale matters

Relationships are important and conversation is key, but results are king. Successful businesses are built on scale – of sales; of profits; of customers. Advertisers understand that for a consumer-facing product to become a true success, it has to break outside small cliques and niches.

2. Creativity beats staid

As the public relations, marketing and advertising worlds converge, we increasingly find ourselves competing for the same business. This means we need to compete not just for strategic vision and execution, but also for creativity. What’s more, clients will pay for big, creative, results-focused ideas.

3. Measure, measure, measure

If we’re to go head-to-head with other disciplines, we need to measure the heck out of our programs. They certainly do, and they use it to make the case for their programs. This is one lesson I’ve found easy to adopt. I’m a big proponent of measurement and measurable objectives, so I welcome this.

4. Target your audiences

Remember all those ads you didn’t like? They weren’t targeted at you. Good advertisers are laser-like in their targeting as they know you can’t please everyone.

5. Craft your message carefully

I read a great piece the other day (unfortunately I don’t remember where) that said something like:

Good advertising sells product. Great advertising sells the aspiration behind the product.

In PR, we have an additional challenge when it comes to the publicity side – not only do we need (in some cases) to accomplish this, but we need to craft messages that get our clients in the paper in the first place. For, unlike on the advertising side, our coverage is earned with journalists rather than bought.

Rocket science? No. Important? Yes.

What else?

Misleading Magpie Ads = Unfollow

A while back there was a minor uproar around the launch of Magpie, a Twitter-based service that offered to pay users in exchange for placing ads into their Twitter stream. Fast forward a few months – this weekend Read Write Web’s Marshall Kirkpatrick published an alarming post looking at some of the companies that have chosen to advertise through this service. Some of those listed include Apple, Skype, Flip, Box.net and others.

I don’t subscribe to the extreme view that Twitter must forever remain untainted by ads, however the nature of the ads that Kirkpatrick revealed is disturbing.

Apple ads on Magpie

Do you see what I see? I see ads worded to clearly imply the person in  whose stream they appear both purchased an Apple product and liked it.

In my eyes that’s misleading and deceptive. It hijacks the trust that people establish with others online and uses it to falsely recommend products.

One of the reasons that social media is so powerful is that people trust other people like themselves. These ads play on that trust and abuse it.

I’m trying to shy away from implying blanket rules for people using social media tools (one of the lessons I learned from the ghost twittering saga recently). So, rather than tell others what to do, I’ll tell you how I react.

If I see someone with Magpie-sponsored ads in their feeds, I start to feel I can’t trust what they say.

When I see companies like Apple, Flip and Skype using these tactics, I lose respect for them.

On either side, would you want people reacting to you that way?

As Marshall concludes, “to the advertisers out there – is this cynical scheme the best you can do to engage with all the new ways people are communicating online? That’s pretty bad.”

The Lines Are Blurring

The lines between public relations, marketing and advertising are blurring.

This likely won’t be news to anyone who has followed this space for a while, or who works in the agency business, but it’s something I’ve thought about a lot recently.

A few things spurred this thinking:

1. We recently pitched a potential client with not just a public relations and social media plan, but also with a creative, branding and guerilla marketing plan. It makes sense – we have people and skills for it – but I did do a double-take during the preparation. Once I’d consciously realized the shift, it made me stop and think.

2. Mitch Joel, who I’ve always thought of as a digital marketer, wrote a post about how to pitch journalists and referred to himself as “…a PR professional since the late eighties” in the comments.

3. Listening to an episode of Marketing Over Coffee featuring Eric Schwartzman, Schwartzman listed the following three topics as a PR practitioner’s top priorities:

  • Your company’s website (which converts awareness to action)
  • Email campaigns (because email has such a high rate of adoption)
  • Search engine optimization (because people turn to search engines to find their information)

People have written about this many times before; however it’s been on my mind more than usual recently. It’s indicative of a fundamental shift that communication-related disciplines are undergoing as digital tools and a changing media landscape mould the environment in which we work. It’s something that more clients seem to be asking for.

It’s also part of the reason that I believe pure-play agencies, whether they focus on social media, public relations or any other discipline, need to adapt and evolve by incorporating other disciplines in their work in order to survive.

Have you noticed this shift? Do you find yourself pitching for – or doing – work that you might have considered outside your discipline five years ago?

ROI: Why Social Media Will Grow

If you haven’t seen this video from Gary Vaynerchuk, well, you need to. Gary eloquently explains why advertising in traditional media is falling and why advertising in social media is growing, and will continue to grow: measurable return on investment.

Layer that on top of the methods for measuring other outcomes in social media, which we’re developing, and you’ll see why social media can be such a powerful addition to your communications and marketing mix.

Thoughts?

What Does The Agency Of The Future Look Like To You?

Sapient, a business consulting and interactive services firm, recently released the results of a US-wide survey that asked corporate Chief Marketing Officers what they wanted from their advertising and marketing agencies over the next year.

Here are the top ten results:

  1. Greater knowledge of the digital space.
  2. More use of "pull interactions."
  3. Leverage virtual communities.
  4. Agency executives using the technology they are recommending.
  5. Chief Digital Officers make agencies more appealing.
  6. Web 2.0 and social media savvy.
  7. Agencies that understand consumer behaviour.
  8. Demonstrate strategic thinking.
  9. Branding and creative capabilities.
  10. Ability to measure success.

Want to read up on a few of these themes?

Check out these posts:

Corporate marketers and communicators: does this list match what you’re looking for? What’s missing from the list for you?

(Hat tip to Michael Seaton for drawing my attention to this release).