About The Fridge

The Fridge is the official newsletter of The Media Kitchen. The Fridge is a compilation of the ideas, insights, and independent thinking you have come to expect from us at TMK.

Why The Fridge, you ask? Because that is where everything important goes. Cut out an interesting article? Post it on the fridge. Save the date? Post it on the fridge. Great picture? Post it on the fridge. Got an A+ in English? Post it on the fridge. So, it’s only natural that when The Media Kitchen has news to share, we “post it on The Fridge.”

Friday, April 30, 2010

World Laughter Day Meets Laughing Yoga by Marc Hartzmann

Check out this article on AOL news about World Laughter Day written by our very own Marc Hartzman. It includes a quote from Barry Lowenthal about ...wait for it...Laughing Yoga!

http://www.aolnews.com/weird-news/article/world-laughter-day-looks-to-achieve-world-peace/19458301

Weekly Digital Exploration by Andre Woolery

Per usual, a few random sites that I have played around with this week:

Poll Everywhere – I haven’t tested it out yet but this allows for simple mobile SMS polling. It positions itself as well suited for polling in presentation but it may be an easy solution for clients. Imagine doing a simple text poll that doesn’t require dealing with vendors, shortcodes, licensing, etc. Definitely worth an exploration.
http://www.polleverywhere.com/

Instapaper – Greg Hills introduced this to me a few months back and it has quickly changed the way I consume web content. I never have time to read all the interesting articles I stumble upon throughout the day so this allows me to “read later”. I have also synced it to my Kindle and iPhone so it sends a digest of content I’ve bookmarked to read offline on these devices. Not the sexiest but highly functional.
http://www.instapaper.com/

Twitter Times – If you use Twitter as an RSS feed and have too many links to keep up with...use this to create an easily digestable digest of links streamed through your Twitter account.
http://www.twittertim.es/

Fiverr – Fun way to outsource things to be done for $5. Pretty self explanatory.
http://www.fiverr.com/

Teambox – A collaboration tool that seems much more straightforward than lets say a Google Wave and uses a Twitter-esque interface. Watch the video for a better picture.
http://www.teambox.com/tour

Enjoy your weekends.

Andre

Audience Buying: The biggest news to happen in media since the postal service by Barry Lowenthal


The dirty little secret that was never talked about, but always understood, is waste tolerance. A client with a hard to reach target (e.g. CEO’s who hated golf) or really high margin products (e.g. automobiles and yachts) often had a high tolerance for waste. These clients were willing to buy media with low target compositions because they had a hard time finding their product audience efficiently.

For these kinds of clients, buying a magazine that delivered 500,000 readers was still a ‘good’ buy even if only 10,000 readers were likely to be customers.

It’s no wonder John Wannamaker famously said ‘I know half the money I spend on advertising is wasted, but I can never find out which half.’ When you’re buying media with low audience compositions you’re probably wasting a lot more than half your media budget.

For years direct mail was the media channel with the lowest waste. DM was the best media channel to deliver one-to-one communication. Marketers around the world owe a great debt to the United States Postal Service and our neighborhood mail carriers. But there were still deficiencies with DM. We were not reaching customers close to purchase (we were reaching them in their homes), audience segmentation was limited and purchase behaviors were still not easily assigned to individual household residents. But it was still a lot more precise than a primetime TV buy.

But the Internet is fully disrupting yet another industry and this time it’s media buying.

Now, using the latest cookie technology media buyers can separate a digital media impression into two parts: the media placement (e.g. a banner on Forbes.com) and the audience. For instance I can now easily capture the cookies of people who visit my Client #1’s website, use those cookies to find prospects and customers when they request a web page while surfing, and serve them an ad. I can do all of this in near real time. I can also use those same cookies to find people who look my customers or who are part of their social network. I can even buy data and append those cookies to learn more about the folks that have visited my Client #1’s website.

I can now serve an ad to just the people I want based on actions they’ve taken that indicate where they are in the purchase funnel. This is a major development and will revolutionize the way media is bought.

Now when we buy display we no longer have to worry about waste. 100% of our media investment is working hard. Instead of buying media placements we will buy audiences. And just the audiences we want.

Once all media is digitized there will be no waste. While I hope that budgets remain intact, I can easily imagine that client’s budgets will shrink as the wasted investments are used to fund other business needs. Clearly this will wreck even more havoc in the agency business since billings are directly tied to revenue.

In the meantime, more and more money should and will flow to media that are entirely addressable and precisely targetable, i.e. search and display. No longer will we have to buy media as a proxy for a particular audience. Now we’ll know exactly whom we’re reaching and where we can find them.

We are finally moving to a world of audience buying. We will no longer need to use a media vehicle like Elle to reach the fashionista. Now I can find the fashionista wherever he or she appears online. And probably pay a lot less for her.

Tuesday, April 27, 2010

Facebook - f8 Thoughts by Andre Woolery

If are not aware, last week Facebook expressed future plans at their f8 conference. Here is a relatively quick and easy synopsis of the major announcements:
http://www.fastcompany.com/1623277/crib-sheet-facebooks-f8-keynote

The most interesting announcement in my opinion is Open Graph.
Facebook’s success thus far can be attributed to many factors but the main element that makes it effective is the ease of socializing. Everything comes to you without much effort. You get tagged in photos, you see everyone’s status updates, you know when its someone’s bday, relationship changes... all achieved by just signing in. What Open Graph has the potential to do is make your web experience just as easy. Similar to how Twitter aggregates the conversations in real time, Facebook can now more holistically aggregate the content being recommended in real time and at a large scale while being socially relevant.

What does this mean for Facebook?
Crazy data. They will not only have the data of user behavior within their walls but also what you like outside of their network. This allows an interesting vantage point that ties social behavior, content consumption preferences, and how our social network interacts in the midst of all this. Imagine if you logged onto Facebook and there was an additional news feed that brought you web content that you behaviorally ‘liked’ ...it could make rss feeds, social sharing, and maybe even search less important.

What does this mean for consumers?
Your web experience may slowly be guided by your social networks recommendations. You will visit websites and see who and how many ‘like’ certain content (see attachment). Whether that’s good or bad is another debate.
You can visually see how this data can play it out with all the content your social network has ‘liked’ or ‘recommended’ here: http://likebutton.me/

What does this mean for your brands?
Implementing Facebook API’s into their site which may create more visibility for their content.
Potential behavioral targeting data that can offer stronger audiences.
Brands playing a stronger role in ‘recommending’ web content to their FB fanbase

Music, Barbeque, and Digital: A recap of SXSW 2010 by Darren Herman

I was the lucky chef down in Austin, Texas during this year’s South By Southwest conference/festival/boondoggle. In between consuming massive amounts of barbeque at Iron Works and The Salt Lick (arguably the best in the US) with founders/CEOs of some of the hottest digital media companies like FourSquare, Twitter, and Mint/Quicken, I spent quite a bit of time at the actual conference in the different digital sessions ranging from real-time data thru the future of TV. While I won’t recap every little detail in this article, I’d like to point out some highlights:

· LBS: Location Based Services such as FourSquare or Gowalla are becoming increasingly popular. During SXSW, they were used less about where you actually were, but whom you were with. LBS plays not only into creating efficiencies in tracking/finding people, but with playing into the world of “status” as you can talk about how you are with.

· QR Codes: First off, QR codes are not new, though they may finally become popular in the near future here in the US. While very popular in Japan because the cellphones have QR readers installed, QR code adoption has lacked here in the US. In the SXSW schwag bag, there were plenty of QR codes from different companies and one of the most interesting companies were Stickybits, which essentially are barcodes on individual stickers that can be placed anywhere and when someone scans it with a QR reader, it delivers additional information. Another level of augmented reality.

· Privacy: With the web becoming increasingly real-time, privacy becomes an issue as there is no central body policing it. There was lots of talk about the privacy debate and whether or not there should be a central force governing. Think about Chatroulette, Facebook, and Google Buzz – how much is posted there that you do not want everyone reading? Danah Boyd from MSFT research talked about this and more. If you Google her name and “SXSW,” you’re bound to come across quite a few posts about her keynote.


All-in-all, SXSW was solid this year. Attendance was up 40% over last year for the Interactive portion which diluted the crowd (IMHO) but the who’s who was down there and had many productive conversations.


The $44 Million Dollar Mistake by Jillian Rosaly


They say everything happens for a reason, and around NBC, that reason is Jay Leno. Despite being America’s blandest comedian, Leno is considered a god among NBC Executives. Now, better known for his powerful abilities to attack, conquer and defend his title as The Tonight Show host, his most recent actions supported and promoted by NBC, are just a peek at Leno’s evil alter ego, or are they?

While Leno has taken the blame and become the face of TV terrorism (i.e., destroying good and innocent shows), his persona has taken a serious hit for NBC’s shortfalls and their overconfidence in him. The Tonight Show with Jay Leno was the number one late night show for years, consistently beating out David Letterman with its kitschy monologues and caricature-like clips of dumb Americans. Yet Leno is somewhat of an anomaly, only succeeding during the 11:35 time slot, because no one exactly cared if he was funny. At the time of his retirement from The Tonight Show in May 2009, Leno’s ratings were at their peak, most likely from the buzz surrounding his imminent departure. Nonetheless, Leno had proven his relevance with the 18-49 crowd, an important demographic for ratings and subsequent advertising dollars for the network. At a time when NBC was struggling more than ever, as host of The Tonight Show, Leno was actually helping the network.

Six years ago in 2004, Leno announced his future retirement and passing of the keys to Conan O’Brien. The philosophy was that as Leno grew older with his key boomer audience, ratings would ultimately wane and O’Brien would step in to maintain a younger and sustainable audience. This turnover, at the time, seemed to be forward thinking; however, this really was a strategic move to keep O’Brien rather than lose him to another network. Five years later in May 2009, Leno was nowhere near ready to leave the show or NBC, and once again eager to hold on to talent, NBC Universal President & CEO, Jeff Zucker, decided once again to force the network into a format the public wasn’t quite ready for.

When the time came for O’Brien to take over, Zucker had nowhere to put Leno except where he could financially afford. Instead of giving Leno a weekly comedy/variety show that could slowly grow into a required destination for viewers, Zucker forced the daily late-night format into a prime-time slot. By broadcasting Leno at such a high frequency, NBC saved millions of dollars in production and promotional costs that would have (and should have) been used to develop and market five new shows. Instead of pumping $3 million each into those shows, NBC decided to push Jay Leno five nights a week at 10pm to lead into the news and, hopefully The Tonight Show with Conan O’Brien.

By failing to produce a proportionate number of pilots for the 2009-2010 TV season, NBC was overconfident in Leno’s abilities to stay relevant and bring in ratings at the 10pm hour. Leno did not help local news ratings nor did he help O’Brien, whose ratings were far below Letterman’s. However, NBC failed to do anything to help O’Brien. Subsequently, when NBC couldn’t hold out for Leno any longer, NBC canceled The Jay Leno Show, and as a reward for his failings, NBC pushed Leno back to his 11:35 time slot, a slap in the face to O’Brien.

As the story unfolded, O’Brien refused to be pushed back to make way for a 30- minute comedy show for Leno, who would ultimately steal viewers away. Surprising to many, NBC said O.K., letting O’Brien walk away and paid, in favor of Jay Leno.

Now, with its upfront presentation scheduled for May 17th, NBC will have to double up on pilots, convince buyers (with enough arm twisting and Neilsen ratings) that reinstating Leno was a wise decision, all the while sitting on a $44-million dollar check, payable to a Mr. Conan O’Brien. That check is not just a monetary supplement for a void contract, but symbolic of NBC’s lack of support behind O’Brien and a step backwards for the network. After attempting to save money, by pushing Leno five nights a week and keeping him around as talent to hold on to meager advertising dollars, NBC was willing to give up O’Brien and $44 million they didn’t have in favor of Jay Leno. Yes, he must be a god!

O’Brien, luckily enough, has found a new home at TBS. His new, untitled program will air four nights a week at 11pm. While many may view a switch from network to cable TV as a downgrade, this move will allow O’Brien creative freedom he otherwise wouldn’t have had with The Tonight Show. With less focus on ratings and the bottom line, O’Brien can work to focus on his core audience and loyal followers.

The move may finally be retribution for the disappointment and embarrassment O’Brien has faced, although quite gracefully, these past few months. Putting the large payout aside, there now seems to have much more value in NBC’s mistake. For someone as young as he is, to have the sizable career that he does, O’Brien is better off as a free agent, self-sustaining his own career rather than relying on a failing and bankrupt network to decide his fate.

Leno, whose ratings admittedly are decent and have beaten Letterman in recent weeks, now must use what’s left of his old (and old-aged) audience. Unfortunately, Leno, who was doing what he could in order to salvage his own career hurt his friend and took most of the blame for it. While Leno is certainly not a victim or the villain in this drama, he walked away with the short end of the stick. As his core audience matures and subsequently shrinks, Leno will once again be deemed irrelevant by NBC. History will repeat itself, and when it does, Leno should be prepared to back out gracefully.

Tuesday, April 20, 2010

The Fridge Turns 1!


It is my absolute pleasure to announce The Fridge had a birthday recently, and is now officially a one year old. It's grown up before our very eyes. Isn't it cute?

We look forward to even more exciting, informative, and insightful postings to be added to The Fridge as it continues to grow into it's new digital format.

Sunday, April 18, 2010

Do I really want people to know where I am?! by Barry Lowenthal

Lately I’ve been a keen participant on FourSquare, a mobile GPS-enabled social network that launched last year at SXSW. I was late to the game and downloaded the mobile app to my iPhone at the start of this year. In the beginning I was checking in everywhere and encouraging all my friends to sign up. I had visions of planning my nights out based on where my friends were congregating, hoping for big meet ups. Currently Foursqure has about 750,000 members, picking up about 120,000 at this year’s SXSW festival. Only about 30 of my friends are signed up.

According to FourSquare I check in about 65 times per month or about twice each day. Currently I’m the mayor of The Lite Choice on 8th Avenue and 22nd street. I was enticed to go there by a FourSquare promotion, which I’ll expand on later. Sadly, despite my daily check-ins, I hold only one mayorship.

I am not the mayor of The Media Kitchen. Jessica W has that distinction. She dethroned Andre W. I’m not even the mayor of my co-op. But at least I’m the mayor of The Lite Choice.

At first I was checking in, FourSquare parlance for telling the system where I am and immediately broadcasting to all my friends my whereabouts, everywhere I went. When I arrived at work, I’d check in. When I left for lunch, I’d check in. Much to everyone’s surprise I am not the mayor of Aquagrill (my favorite Soho eatery and right around the corner from my office). Jennifer M, the owner has that distinction. I should probably talk to her about the promotional opportunities of letting customers become the mayor, but I digress. When I left work, I’d check in on the subway platform (I get service on the platform at Houston and Varick). When I was waiting in line at The Garden of Eden on 23rd Street, my favorite take out place, I’d check in, and finally when I got home I’d check in.

Then I decided I didn’t want people knowing where I was lunching and what time I was leaving work or whether I had nighttime plans. Sine I have a doorman I wasn’t worried about the perils of over-sharing as highlighted by pleaserobme.com.

My issue was I just wasn’t sure that my real whereabouts where reinforcing the image I wanted the world to conjure up when they thought of me. I started checking in less and less and I only started checking in when I was some place really cool, the kinds of places that reinforced my brand.

I know a lot of people don’t think that their whereabouts help shape their ‘brand’, but being actively involved in the communications business for over 20 years, I do. Remember that seminal piece in Fast Company called ‘The Brand Called You’? In fact I tell my clients all the time that where consumers encounter their brands will help shape a brand’s meaning and value. Why should my personal brand be any different?

Since I suspect a lot of people are just like me, what’s the long-term utility of these types of mobile platforms when people won’t use them truthfully? Maybe people don’t have to use them truthfully for them to succeed? Maybe they will be just one more way to manage my brand in social media, just like my Facebook status has long ago become.

I had one particularly encouraging moment on FourSquare some weeks back that I referenced earlier and will expand on now. When I checked into the Spice, a new restaurant on 8th Ave and 22nd, I got a promotional note saying if I went to the Lite Choice one block away I could super size my order. I ordered a small and got a medium, which made me very happy. When I became the mayor I got the same offer. I was still even happier.

While I may not want everyone knowing my whereabouts, I will check in to FourSquare whenever I go out to eat because I like getting promotional offers that are relevant and close by. For me FourSquare, and sites like it, are becoming the modern day version of the coupon clipping, something I thought I’d never do. And I like it.

The brilliance of Foursquare, and many other location-based apps, is that they satisfiy many of my narcissistic primeval urges, afterall doesn’t everyone I know really care where I am and what I’m thinking right now? That is until I loose interest and become bored checking in or just don’t want them to figure out how boring my life really is. But that’s when marketing kicks in with location-based coupons. Then I’m hooked all over again.

I just got an offer to dethrone the mayor of The Mermaid Inn and get a free lobster sandwich. I may even try and move my business from Aquagrill.