The Marketing Innovation Blog

It's no longer marketing as usual.

Nike shows off its marketing muscle

Published on September 1st, 2010 by ngrimes

Nike and the NCAA have always had an interesting and nuanced relationship. The NCAA is always on the lookout for illicit money going to amateur players, but for many schools, their football programs are the largest source of revenue. Nike sponsors over 85 different college programs, and they keep those teams in the flashiest, newest, most eye catching uniforms possible.

Nike Chairman and University of Oregon alum Phil Knight has been responsible for the school’s over 400 different uniform combinations. In recent years, Nike has introduced what they call “Nike Pro Combat Uniforms” to complement their consumer line of Pro Combat gear. They select ten elite NCAA football teams and outfit them in special uniforms for specific (nationally televised) games.

Today, Nike streamed their uniform introduction event live on Facebook, and allowed viewers to share their thoughts instantly. When the presenter from Ohio State took some time explaining the history behind the 1942-inspired uniforms, users complained about “a history lesson.” When Michael Irvin pointed out that the green helmet for his beloved University of Miami reminded him of money, users made jokes about NCAA compliance, which was a timely reminder of all the recent NCAA investigations into agent/amateur player relationships.

These uniforms were not just for the players – Nike actually sold a limited number of these uniforms as fan packages.

Other sporting apparel companies sponsor NCAA football, but Nike owns it.

Digital Wallets: The Future of Mobile Banking

Published on August 27th, 2010 by griffinyorkkrause

Today, more than ever, it feels like consumers are constantly on the go.  No one has time to stop by the bank anymore and thanks to advances in mobile technology, they rarely have to.  This trend from stationary to mobile is only continuing to grow in the US, and this is especially true for the banking/financial industry. Currently, there are a variety of mobile banking/financial applications available where consumers can check balances, pay bills, make transfers, and find the closest branches and ATMs relative to their location.  Statistics show  that the number of consumers who use mobile banking is expected to grow to about 30 million in the next five years; however, now, only about 1,000 of the 30,000 independent financial institutions offer mobile banking to their customers.

Eventually, there will be mobile banking/financial apps that will enable consumers to use their smartphones as a means of payment at the supermarket, restaurants, or at the mall.  AT&T, Verizon & T-Mobile are teaming up with Discover Financial services to test a smartphone payment system that they are hoping to launch in the middle of next year.  This payment system would require consumers to wave their smartphones embedded with radio microchips across the reader during checkout.  It is also possible that rewards and receipts could be sent electronically to the consumer immediately.  In light of this recent news, Bank of America announced its partnership with Visa to also test a smartphone payment system expected to launch in New York this September.  The payment process is similar to the above mentioned example and is expected to run through the end of the year.

As this mobile technology evolves, consumers also have increasing concerns surrounding smartphone payment systems – internet non-connectivity, difficulty managing small screens and entering information on small keyboards, security issues and slow interaction. However, for many, convenience outweighs these potential pitfalls.  Now, the US is currently trying to catch up to Japan’s four-year lead of accepting smartphones as a form of payment, which is predicted to be as big of a hit here as it is in Japan. 

So, in the future, you will no longer need to fumble around for one of your credit cards at checkout or stuff all of those receipts into your wallet.  Instead, the process will be simplified and mobile phones will become an even bigger, more important part of our lives and daily routine.  Just don’t lose your cell phone…

Would you abandon your credit cards for your smartphone as a way of making payments?

Jenaleigh Landers is a recent graduate of Saint Anselm College and is the newest Account Coordinator at Griffin York & Krause.

Top 3 Facebook Innovations

Published on August 20th, 2010 by Brady

These are the three most important innovations happening within Facebook that marketers need to know about now. 

1. Location

The much anticipated Places feature was announced on Wednesday at Facebook HQ.  Users can now “check in” to real world locations and establish Place pages on Facebook.  It’s a little early to know exactly what this means for the platform, but it’s safe to say that “checking in” is well on its way to becoming a mainstream activity and Facebook could become the default location database (see “Location as a commodity”)

While most reports suggest a very small segment of the population currently use location based services, this number is now going to dramatically grow.  For many, the social benefit of connecting with friends around a location will be enough.  However, if this new feature is going to gain mass adoption and overcome the obvious privacy backlash we will need to see real world “checkincentives” from retailers, restaurants, entertainment venues and others.  Facebook’s revenue is predominantly based on advertising, and they are already providing a few tools that allow businesses to claim their Place and target consumers (details here). 

Facebook is also encouraging third party developers to build on the Places API (enabling apps to pull location data from Facebook and vice versa).  It was interesting that Facebook involved Foursquare, Gowalla, Yelp and Booyah in last night’s announcement.  This was a smart PR move, but these relationships are destined to become more competitive as Facebook introduces new features.

2. Video

Right now my only interaction with video on Facebook is when a friend posts a YouTube clip in a status update.  I believe that’s about to change.

Last week we wrote about the formal introduction of television content to the social network through a partnership with the UK’s Demand FIVE.  We won’t rehash all the details, but don’t underestimate the opportunity for Facebook  to compete with Hulu and others in the space.

Recently Facebook also launched the Facebook Live application, a streaming video channel powered by Livestream.  The company will use this to broadcast content like last night’s press conference and the bizarre “post-game show”, along with interviews like this one with actress America Ferrera. If they develop more original programming and reach even a small portion of the 500 million profiles they have access to, they could attract a massive audience.

For me, the most exciting new video component on Facebook was launched this week by the third party development shop GixOO.  Their application called Rounds allows two people to video chat while playing games, surfing the Web and exchanging virtual goods.  Heineken is already getting in on the act by sponsoring the Rounds social game Truth or Dare (see video below).  I can’t help but wonder if this app could make Facebook a viable competitor to Apple’s FaceTime in the mobile video space.    

When it comes to video on the Facebook platform I think it’s clear to see we’ve only scratched the surface.

3. Currency

Facebook Credits are quietly becoming the dominant currency for social gaming.  Credits are points mostly used to make in-game purchases of virtual goods (think Farmville crops, etc.).  Yes, people are spending real money to buy virtual goods, included branded items, in huge numbers and Facebook keeps 30% of all transactions that use Credits.  If social gaming is already a billion dollar industry it doesn’t take a mathematician to figure out what this could mean for Facebook. 

Facebook Credits were even tied into the location game before yesterday’s announcement of Places.  Through a partnership with ShopKick, an app we discussed in a post yesterday, you can earn Credits by visiting select retail locations.  In another recent promotion with game developer Zynga, you could earn credits by making select purchases at 7-Eleven. 

But why stop at social games?  I believe Credits will soon be used for the purchase of music downloads, gift certificates and more. 

Can you think of a unique opportunity for marketers to leverage location, video and Credits?

Is there something more important happening on the platform that we missed?

Originality Is In…

Published on August 20th, 2010 by griffinyorkkrause

Sing your own songBeat your own pathMarch to the beat of your own drum.  Chances are you have heard those sayings before.  Now, more than ever, advertisers are playing up those themes of individuality and originality in their campaigns.  Brands now recognize the transition from generalized to specialized.   Today, consumers do not want to all look alike—instead, originality is in!

Like the concept behind NIKEiD, where consumers can personalize and design sneakers from scratch, New Era too, has embraced a similar approach.  New Era’s “Fly Your Own Flag” campaign encourages its customers to express their own unique styles through its hats.  In order to make that possible, New Era offers a variety of different styles—estimated to be in the billions—in an approach known as mass customization or personalization.  As a diehard Boston Red Sox fan, this is hard to do, but I will use the NY Yankees as an example.  For the NY Yankees alone, New Era offers 128 different hats with some designed in plaid, metallic cotton, and intergalactic styles.  No matter whom you are or what you do, New Era has a hat for you.

Similarly, Adidas’ new advertising campaign and New Era’s campaign are also alike.  In Adidas’ new TV commercial, a nerdy kid asks a waitress for the “freshest” thing they’ve got.  At the end of the ad, after being served the “freshest” Adidas shoes, it has the line:  CELEBRATE ORIGINALITY.  Click here to view the entire commercial.

For both New Era and Adidas, their customers define their brands.  When products can be customized, consumers are more likely to rally around those brands, become loyalists and generate positive viral buzz.  Especially in the fashion industry where competitors are offering essentially the same products, it is important to stand out.  Involving consumers in the design process is a great way to do just that.

What brand or product would you like to be able to add your own unique style to?

Source: NYTimes.com

Jenaleigh Landers is a recent graduate of Saint Anselm College and is an Account Coordinator at Griffin York & Krause.

Changing the Game at Retail

Published on August 18th, 2010 by Brady

It’s still extremely early in the location based services space, however a few important new partnerships may quickly introduce this trend to the masses.   

Yesterday Simon Property Group (Simon Malls) announced a partnership with Shopkick, a new iPhone app that rewards customers for a variety of location-based activities.   If you open the app and enter a participating retail location you’ll earn points called Kickbucks.  Early retailers include American Eagle, Best Buy, Sports Authority and Macy’s.  Once you’re in the store you’ll receive additional notifications including special offers and instructions for earning more Kickbucks which can be redeemed for gift cards, Facebook Credits and music downloads.  If you’re feeling generous you can even trade your points for a charitable donation through CauseWorld. 

This marks the first time I’ve seen an app in the location space that connects with your existing brand loyalty card.  One can imagine the value this could provide for the retailer and the consumer in terms of personalized offers, recommendations and more. 

Many critics doubt there will be enough consumer adoption for this app, or others like it, to provide a significant return for retailers.  Facebook could completely change the game for everyone in this space when they announce their location plans later today on the new Facebook Live.

I believe it may take some time to reach a critical mass, but eventually our phones will be our loyalty cards and granting retailers access to our location data will become a valuable proposition. 

Do you think Shopkick will appeal to a limited audience or will teens and parents join the early adopters and take advantage of location based apps sooner than later?

Theater of Public Influence – Episode 28

Published on August 18th, 2010 by griffinyorkkrause

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Mike Stevens is absent but the rage is still flowing like wine … or fermented tea anyway.

In this episode, Ben, Brady, Mike G. and Liz sit down for a two-for-one helping of Check it Out.  First up, we take a look at Kombucha, the fermented tea beverage that’s stirring up controversy at Whole Foods stores.  Can its miraculous healing power outweigh its taste and hidden alcohol content?  Next, we get into a heated debate over low-fi video production spurred by a pre-show viewing of HBO’s The Neistat Brothers. There is certainly nothing else like this handmade home movie television show and Ben is determined to keep it that way.

Finally, we wrap things up with a new segment called GY&K Q&A, in which our panelists have to give quick answers to stupid questions – play along at home by sending your questions to auditorium@griffinyorkkrause.com.

Mike G. and Liz bravely taste-test Kombucha prior to recording – that’s show prep!

Check out the trailer for HBO’s The Neistat Brothers and tell us what you think

Turning Content Into Commerce

Published on August 13th, 2010 by griffinyorkkrause

In an attempt to reach consumers, from the big screen to everyday life, marketers and the entertainment industry are working closely together to develop content that will not only drive commerce, but will also grab consumers’ attention by merging a media brand with appropriate products.

The partnership between The Home Shopping Network (HSN) and the upcoming movie, Eat Pray Love, which is scheduled to debut today, is a great example. Last week, HSN hosted a total of 72 hours of promotions for the over 400 Eat Pray Love-inspired products like food, bedding, clothing, bags, digital products, jewelry and other accessories from India, Italy and Bali, the majestic backdrops to the movie. The giant shopping hub offered Sony Pictures a channel to reach their target demo, and Sony Pictures helped HSN sell more products.

Once a movie becomes a hit and it has established a loyal fan base, franchises are more likely to extend their brands. Earlier this year, OPI, a popular nail polish brand, launched a line inspired by the movie, Shrek Forever After. The line features Shrek-inspired colors — greens, yellows, purples and blues— with movie-inspired names — Rumple’s Wiggin’, Ogre-the-Top Blue, Fiercely Fiona, and Who the Shrek Are You? Now, those Shrek fanatics can channel their favorite green ogre even when outside the movie theatre.

Overall, these partnerships are fun and creative ways to reach their target consumers, sell products, and differentiate themselves from their competitors. With all of the rapidly expanding entertainment choices out there, it takes a bold move to turn audience attention into commerce.

Source: www.adage.com

Jenaleigh Landers is a recent graduate of Saint Anselm College and is the newest Account Coordinator at Griffin York & Krause.

Facebook Takes on TV

Published on August 12th, 2010 by Brady

Facebook will soon offer content from the UK’s Channel Five TV network.  Viewers based in the region will be able to watch the network’s programming through an embedded player on their Facebook page, making Five the first broadcaster to offer a wide range of on-demand TV programming through the dominant social network. 

Five is a relatively new (established in 1997) and progressive network that currently funnels their video content through Demand FIVE, a Web site and online video player that offers free and paid downloads for rental or purchase.  This is the same player they will use to offer content through Facebook, though it seems all programming will be free (at least to begin with).  According to the site, “Demand Five is all about giving you the choice to watch telly when you want to, not according to rigid schedules.”  

Just as CBS now offers the “Watch & Chat” functionality on their site, it’s easy to imagine how TV viewing could become much more social when it literally takes place on Facebook.  Revenue could come from traditional video advertising through the player, social gaming tied to programming, contests and more.  Imagine video downloads that users pay for with the Facebook Credits they’ve earned on FarmVille?

Will we soon be logging into Facebook to catch up on our favorite TV shows?  Do you think the social network will become a viable competitor to Hulu and YouTube, or will the existing broadcast content partnerships prevent that from happening?

Check it out…

Published on July 28th, 2010 by griffinyorkkrause

In the increasingly content-heavy world we live in, today, unique and innovative ideas, apps and digital campaigns are king. Here are four pretty rad digital projects or campaigns that reeled us in, and ones that we think you should check out:

1. This week, the G4 channel reversed its name to its palindrome, 4G as part of a promotional campaign for Sprint Nextel’s 4G cell phones. The weeklong campaign hopes to reach early adopting tech savvy males, which not so coincidentally matches the demo of G4 viewers – a match made in geeky heaven. G4 and Sprint hope the partnership improves the channel’s ratings, Sprints reputation and the sales of its 4G phones.

2. A whole slew of big names like Sundance, YouTube, Kevin Macdonald and Ridley Scott teamed up for their newest partnership and big idea Life in a Day, the marriage of social media and film. Only July 24, the team behind Life in a Day asked people around the globe to create a user-generated feature film, offering a glimpse of their life on camera for 24 hours. The footage, that has to be submitted by Saturday, July 31, will be compiled into a film time capsule – a portrait of the world in a day. The film will premiere at the Sundance Film Festival in January. If you haven’t checked out the short interview from Kevin Macdonald about the film’s concept, you should.

3. It’s about time ‘check-ins’ were driven by incentive. And now thanks to Google backing location-based app SCVNGR, starting tomorrow, your check-ins will now lead to tangible prizes. If you haven’t checked out SCVNGR yet, you should. It’s like Foursquare on steroids. Users complete guided challenges lead by app and its 600+ partners which include museums, colleges, local restaurants, and even The Boston Globe.

4. Following their largest recall ever, Toyota launched a digital campaign to launch their 2011 Sienna minivan that features the adventures of a The Sienna Family – a quirky mom/ dad duo with two kids who, perhaps, love their Sienna minivan a bit too much. Not only is Toyota telling you that it’s absolutely cool to push their Sienna minivan (a.k.a. the ‘Swagger Wagon’) but they’ve launched a Facebook page and YouTube channel allowing you to share The Sienna Family with your family (and friends). 

Five Mobile Commerce Trends for 2010

Published on July 23rd, 2010 by griffinyorkkrause

By Jenaleigh Landers

Are you a person that is glued to your phone all the time? More than likely you have answered yes. Today, it is a rarity to see anyone without a cell phone in their hand texting away. The truth is, the mobile market has grown so rapidly that it has allowed users to stay “connected” all day and every day. Today, as many people lead an “on-the-go” lifestyle, the most effective way to reach consumers is via their mobile devices. Below, are five mobile commerce trends making a splash in 2010 that are helping marketers effectively reach their fully-connected consumers:

1. BARGAIN HUNTING
Everyone loves a good bargain and it has become that much easier to find a great deal with mobile applications.
• The RedLaser application enables users to scan product bar codes to find out which retailer is selling the product at the lowest price.
• With mobile applications for Google and thefind, consumers can search for the lowest prices on their favorite products right from their mobile phone.

2. MOBILE TICKETING
Do you hate standing in line at the movie theatre on a Friday or Saturday night? Thanks to Fandango and MovieTickets.com, you no longer have to. Both are using mobile ticketing to make going to the movies a less stressful experience.
• According to Juniper Research, transactions, worldwide, from mobile ticketing are predicted to be over $100 billion by 2012.

3. BANKING
Even banking has gone mobile with customers accessing their accounts online from their phones. Now, customers at participating banks have the option to deposit their checks by using their cell phones, making a trip to the bank no longer a necessity.
• According to data from comScore, “13.2 million people accessed their bank accounts from their phones during the month of April alone, which is a 70% increase from a year ago. And similarly, the number of people using mobile banking apps more than doubled, to about 5 million in the last year.”

4. PURCHASING TANGIBLE GOODS
Not only are consumers using their mobile phones to find discounts and coupons and to purchase ringtones and applications, but they are also using them to buy tangible goods.
• eBay has come out with a mobile application that notifies bidders when they have been outbid so that they can cast another bid or keep track of ending auctions.
• Apparel, auto parts, cell phones/accessories, sporting goods and collectibles are the top categories of purchased items using the eBay mobile app where every two seconds there is at least one item purchased.
• From 2008 to 2009, there was a 200% increase in goods sold via the eBay mobile app, and it is expected to increase in the future.

5. MARKETING
If you have not realized by now, cell phones are where marketers are targeting consumers. In fact, the national Retail Federation states that, “74% of online retailers either have in place or are developing mobile commerce strategies, while 20% have already implemented their complete plans.”
• Not only are advertisements being sent via text message, but popular cell phone applications like Pandora are now displaying ads as well. (source:  www.mashable.com)

What do you use your cell phone for? Banking, purchasing tickets, bargain hunting, staying on top of your most recent eBay bid?

 

Jenaleigh Landers is a recent graduate of Saint Anselm College and is the newest Account Coordinator at Griffin York & Krause.