Promotions 2.0Blurring the line between interactive advertising, promotions and social network marketing.

March 13th, 2009

Advertising in the Digital Age

The emergence of digital media has created some very fundamental and important changes in the world of advertising. New digital technologies are creating a wide range of new possibilities for two-way communication and measurement. The power of promotions to cut through clutter and capture consumer interest and attention is also beginning to blur the line between advertising and promotional marketing strategies. These changes are  redefining the rules for advertising in the digital age.

Disruption is Dead
We live in an increasingly crowded media environment. The average consumer is disrupted by thousands of unwanted advertising messages every day. Many of those messages are repeated with a frequency that just creates clutter and forces consumers to ignore the message. Even finding the right customer and placing an advertising message in front of him or her does not guarantee interest.

Reaching consumers where they are, where they spend their time, and where their attention is already focused requires advertising to consider many more simultaneous channel and platform executions than ever before. In the 1970s, an advertiser could reach 80% of U.S. women with a 
spot aired simultaneously on CBS, NBC, and ABC. Today, an ad would have to run on 100 TV channels to come close to reaching that same audience.

As the world becomes increasingly digital, Mobile, advergaming, social networks, and interactive sweepstakes have become more important as ad channels. These channels have increased appeal in the digital world because they go beyond awareness to create an experience. Advertising can’t convey an experience which make them infinitely more effective than traditional advertising.

Integrated advertising strategies driven by a promotional idea that creates consumer engagement are increasingly being recognized as essential for success. The power of promotions to cut through clutter and capture interest and attention is also beginning to blur the line between advertising and promotional marketing strategies. Increasingly, these two separate budgets are being considered as part of one single integrated strategy, with digital technologies and media being used together with traditional media channels.

This trend will  become even more dominant as digital consumers — brought up in the online world — do not  consider advertisements a mandatory part of their media experience.

Move beyond Awareness
In the battle for the attention of the consumer, “time spent” is a valuable indication of whether the advertising communication has been successful. Delivering an ad impression does not necessarily equal attention or consideration. There are multiple levels of consumer awareness, but are they still relevant in a world where consumers have the ability to scan, fast forward, jump, or ignore messages with the touch of a button.

Therefore, moving beyond awareness & engaging a consumer is increasingly valuable and effective. Engagement for a significant period of time, especially if that engagement is interactive, clearly indicates that the message has been delivered to a consumer who has demonstrated an interest.

For a significant portion of the online audience, interactive promotions have proven to be extremely effective. Consumers pay attention to interactive promotions, and they remember them.

Focus on Results
Every marketer has real-world results they would like to achieve from their advertising. This goes beyond metrics and measurement to actual conversion in the form of an action including, sales increase, product sampling, or a consumer database developed they can use for ongoing marketing.

Digital media and promotions are increasingly being bundled into an integrated marketing, advertising, and promotional strategy that activates a consumer across the engagement cycle moving them from awareness towards a specific measurable action.

Brand not Bland Promotions
In the digital age, well designed websites, advergames, and online promotions create engagement but can also be used to create connections between consumers and with a companies brand message & values. This in the future of interactive marketing and the core of what we call promotions 2.0.

Brand promotions can create a unique connection between brands and consumers. Cookie cutter spin & win programs are easily forgotten, but promotional ideas that create an experience can actively engage consumers while reinforcing a brand message.

The integration of social network components into a promotion can also increase brand preference & consideration due to the value that comes from a trusted recommendation.

Reinforce Connection
Multiple channels and messages can make it harder to make advertising messages stand out enough to be remembered in addition a recent Nielson study show that 78% in internet users trust consumer recommendations over advertising messages.

Today’s consumer wants validation from other consumers, and the opinions and testimonials of their peers are more important and impactful than the same words from a company spokesperson or message. Digital media and mobile technologies provide new and powerful ways to accomplish this goal through their ability to reach & connect consumers across a variety of platforms.

Sweepstakes and other promotions can also reach consumers in a differentiated way, and if awareness of the promotion is driven by a consumer recommendation it can become a very powerful and memorable advertisement.

Build an opt-in database
One key difference between traditional media and digital media is the ability of digital media to easily identify its audience members and establish a two-way communication. Building a customer database creates a valuable resource that can be used to inform, reward, thank, re-sell, cross-sell, & up-sell customers, increasing the value of that customer.

Advertising can be used to drive potential customers to sweepstakes or contest entries where data can be collected about an individual. In fact, according to Jupiter research 82% of consumers are willing to provide personal information in exchange for a chance to win a prize or receive something of value.

The ease of communication today based on Social Networks, email, and text messaging provides the ability to deliver effective advertising messages, which can include anything from rich media components to a referral with the added benefit that it comes with a built-in testimonial from a peer.

Do Something Different
Ultimately, the last goal of digital advertising is to create differentiation in the marketplace. The more cluttered the marketplace the more important it is too stand out and create purple cows as Seth Godin would say.

The importance of sound creative ideas that engage consumers across different media channels, capture interest and drive towards an action cannot be overemphasized.Whatever makes the product or service unique or stand out from competitive products deserves special emphasis.

In a world where the consumer is in control, promotions, incentives, and rewards have become increasingly important. The power of promotions to elevate the impact of an interactive advertising message and engage consumers can be a powerful way to accomplish differentiation in the digital age.