10 Digital Marketing Trends for 2013

This blog posting is one of my favorite series, I’ve been posting a list of 10 digital marketing trends in ’11 and ’12.

So what’s expected to happen in 2013?

Brazil has the FIFA Confederations Cup in preparation for the ’14 World Cup, the US has a fiscal cliff to climb and together with the EU an imbalance on revenues and expenses to address.  The NFL has some skulls to crack to fix their concussions problems, those employed in the US will hire the unemployed in foreign lands (read more outsourcing), more foreigners will purchase US land, buildings, businesses and IP, and of course, VP Biden is the newly assigned czar on gun control.

IMHO, 2013 will follow Amara’s Law: “We tend to overestimate the effect of a technology in the short run and underestimate the effect in the long run.”

So here they are: The top 10 digital marketing trends of 2013.

10. Gamification – “All Play and no Work makes Jack a rich boy!”

9.  Cloud computing enables scalability to allow for new experiences in video games

8.  Digital Content across devices enables personalization that follows users across platforms

7.  TV is old.  It’s still king of the screens, but it’s content that folks want anytime, anywhere on all four screens. 

6.  The Smartphone begins its attack on plastic in mobile payments.

5.  Tag Management becomes a competitive imperative

4.  Users prefer mobile devices when reading magazines and shopping

3.  Social Media Mainstream and Niches continue to grow, especially in Emerging Markets except China

2.  Big Data will lead to consumer insights and smarter experiences at the speed of light

1.   The glory goes to the man in the arena and not their bankers and consultants.  

10.  Gamification – “All Play and no Work makes Jack a rich boy!”

So have you seen websites that try to encourage your behavior by offering you a little badge for doing something?  Foursquare gives you a badge when you check into the same place three times for example.  Dashlane offers badges when you save passwords in their password and credit card maintenance software, and Fitocracy makes working out with your friends a competitive game.  Users can Level Up by improving their bench press and earning a badge, post it to facebook and let the world know about their development.

As Daniel Pink will tell you in his book, Drive, human nature is best motivated by a sense of purpose, autonomy and self-mastery.  These types of immediate rewards for accomplishing small tasks might seem like it’s meant for grade school kids, but the data doesn’t lie.  Gamification increases engagement, helps users spend more time on site, and

that drives ad revenue and subscriptions since folks tend to develop a sense of being invested based on the recognition and the bragging they’ve done on social networks.

We’ve come a long way from that LinkedIn profile bar that showed 90%complete.

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Facebook is a Bad Investment

We like Facebook for its internet marketing capabilities. But at a valuation of $100 billion, it’s definitely over-valued.

The world’s largest social media network only made $3.1 billion last year, with an income of about $1 billion – so that’s a valuation that is 100 times larger than its income.  And Facebook has 800+ million users, meanings its actual income is about $1.25 per user. But at the current valuation, the average user value is $125.

When thinking about the value of a user, it makes sense to look at media giants, like Disney, or CBS. After all, television is still king.  For instance, did you know that the average CPM for national television shows is about $15 – $30 per thousand? A TV commercial usually costs $150,000 to $300,000 per 30 seconds for national programs.  The most successful prime-time TV shows have a rating of 11.0, meaning they reach about 11% of all households in America (there are approximately 102 million households).

For the sake of argument, let’s assume that everyone in the US watches TV – that’s about 307 million folks. Let’s take a look at the major networks: Combined, Fox, NBC, ABC, CW and CBS took in approximately $21.7 billion in 2010 – a 5.3% increase over 2009, when they captured about $20.6 billion in ad revenue, according to ad-spending tracker Kantar Media.

So, the major players in the US market for television advertising took in $21.7 billion in revenue in 2010 (that’s the most recent number I could find using a quick Google search, but let’s face it, we know it didn’t grow more than a few percentage points at best in 2011). That values each user of the television industry (which, again, is all of us) at about $70.00. Does one website like Facebook really deserve more valuation than the entire TV industry?  We don’t think so.

Top 10 Internet Marketing Trends for 2012

I remember hearing from Larry Ellison that in 1999, business had not figured out how to use the Internet.  At first, I rejected the thought, but within a few minutes realized that we had a long way to go and I agreed with him at the time.  I often wonder if we’re figuring it out yet, and in 2011, and looking into 2012, I see a lot of innovations that make it a great time to be growing the e-business unit of most companies.

So let’s take a look at what 2012 has in store for us.

1. Content consumption, video and e-commerce surge on mobile devices. 

Mobile computing is changing the way we consume content.  This was the year I started watching all the seasons of Mad Men, but I watched them on my iPad through my NetFlix app.  I check the New York Times in the morning while I’m waking up.  I use an app that automatically starts the daily podcast “The Wall Street Journal This Morning” with Gordan Diehl as my alarm clock in the mornings.  I subscribed to my first magazine this year on my iTunes account.  And I bought more via online apps than I did via the internet.   Any good marketer knows that their behavior is a data point of one, but as I think about my changes in how I get my content and my goods, I see that the change is going on all around me.  Perhaps that’s why Google just bought a CHECK FACTS Motorola so that they can compete with the world’s largest Media company, (and this might surprise you), Apple. read more

Why did Microsoft buy Skype?

What did Microsoft really buy in this deal?

Code? Nah…

The Skype technology code base is similar to a version 1.0 of a microsoft product and is notoriously known for having been riddled with technical inefficiencies.  The Microsoft Lync product has relatively similar features to Skype.  So if Microsoft really wanted better code, I would guess that they could have out-coded Skype for say a budget of about $1 billion and still have saved 7.5 billion dollars.  So lets take technology and source code off the table.  That’s not it.

Affiliate Relationships? Nope… read more

Tips For Targeting Latinos Online: New at #SESNY

Day 2 at #SESNY kicked off with a groundbreaking keynote. But wait. Let’s rewind. Earlier this month, I had the pleasure of interviewing Paul Lima of Lima Consulting on the topic of Digital Marketing To Latino Users. The Q&A was an eye-opening peek at the opportunity represented by the growing online Hispanic market, and a serious appeteaser to the inaugural launch of the Focus Latino track at Search Engine Strategies New York.

The keynote was introduced & moderated by Mike Grehan, Chair SES Advisory Board, Global VP Content, SES/Search Engine Watch/ClickZ, Carlos Vassallo, CEO, LatinVision Media Inc., Carlos Manzano, Executive Director, Latin Media & Entertainment Commission, City of NY, and Paul Lima himself. Mark López , Head of U.S. Hispanic Audience, Google, took the stage for the main event, which was jam-packed with awesome stats about Latino users. Oodles of them live below the fold, in addition to a hearty helping of takeaways from the follow-up session, Reaching Latinos through SEO, presented by Rafael E. Hernandez, Sales Manager, AudienceScience and Matias Perel, Founder and CEO, Latin3. aimClear live-tweeted both of these fascinating sessions. Read on for the goodies.

Mind-Blowing Stats, Brian-Nuggets  & Best Practices
Mike, Carlos V. & Carlos M, Paul, and Mark took turns sharing a slew of stats & targeting tips regarding the Hispanic Market. (Rad full write up in Bruce Clay Blog.) Here’s a sample platter of the main attractions:

• The U.S. Hispanic market is a $1 trillion market! That cannot be ignored.
• New York City has the most diverse Hispanic population than any other city in the U.S.
• By 2040, it’s predicted that 100% of the U.S. Hispanic market will be online. Searching, socializing, etc.
• There is no real divide between online & offline engagement. Online engagement, video & mobile usage is on par with the overall market.
• 53% of Hispanics use the Internet for shopping (searching to learn more about brands, find products,purchase products, etc.)
• Search prompts action, meaning search generates distinct offline action for U.S. Hispanic advertisers
• TV is an effective trigger for search – 78% of Hispanics have used search engine to find more info about something they saw on TV.
• U.S. Hispanics are Googlers! 93% of Hispanics use Google as their primary search engine.
• Mobile search drives store traffic. 1 in 3 mobile search queries have local intent.
• 15% of iPhone apps are local-based
• 24% iPhone users are Hispanic (they rely on mobile to stay connected with friends & family)
• Mobile is already an important component in the purchase funnel. 40% of Hispanics compare prices & find retailers via smartphones.
• Search dominates smartphone usage.70% of Hispanics use smartphones to search– in other words, search engines are most popular sites they visit.
• 8% of queries entered in Google today are in Spanish. This opens a huge pot of inventory that many companies haven’t tapped into yet.
• Regarding Spanish keywords vs. English keywords — there’s a substantial discount for Spanish KWs.
• 80% of Spanish KW queries are done in the English Interface of Google. This suggests bilingual users, who can be targeted by both Spanish & English KWs. #Winning

Mark Lopez, Head of US Hispanic Audience for Google presents with Mike Grehan, Head of Content Development for Incisive Media, the SES conference organizers, and Paul Lima, CEO of Lima Consulting Group and Carlos Vassallo, CEO of LatinVision Media

Best practices:

• Develop search capabilities for this market. You have to test your creative across languages. Keywords, images, copy– what you serve to English-speaking users may not resonate with Spanish-speaking users.
• Have an “Always On” strategy for search. Your target audience is searching 24/7.
• Make your offline marketing strategy a digital one. Ensure you are present as users search for their favorite offline content (such as TV shows).
• Extend to mobile search. It’s there, & it’s growing! Hispanics rely more heavily on their mobile devices.

Reaching Latinos through SEO
The following session focused more on SEO, and ways to optimize your site for Hispanic searchers. Rafael was up first, reiterating that Google has 72% of search traffic in Latin America. If Latinos are a part of your target audience, Google should factor into your SEO tactics.

Another significant tactic Rafael touched upon the importance of understanding how your audiences describes you; your business, brand, products, services, etc. What are the keywords they use to find you? Those are the keywords you should use to advise your SEO strategy. And, newsflash– they might not be the words you use to describe yourself.

Where to find keyword ideas:

• Your own content
• Your Analytics (high quality terms driving small traffic? low-hanging fruit!)
• Your competitors’ pages
• Your PPC data

Discover what’s working, and use it!

Matias took the stage next, set to dig deeper into Reaching Latinos through SEO.

Some stats:

• 30 mil U.S. Hispanics are online
• 89% search share in Latin America on Google
• 112 million Internet users in Latin America
• 6 million new web users in Brazil last year alone

Factors in SEO & Other Fascinating Takeaways

• Indexing - take note, is every page indexing?
• Contextualization (KEY in Latin America) – what’s the page about?
• Reputation is huge. Influences people to click, or… not.
• Think globally…. who owns your local domain? Use it!
• Sub-domains & sub-folders – separate your Spanish content from your English content. Avoid query string parameters /session variable.
• Language - how does your audience think & search online? How do they expect to find your content?
• Server - not the biggest deal, but having local IPs for your server can help add context to your site.
• Local links are more relevant, a better sign of trust & reputation to Hispanic users.
• The new social factor: social defined relevance. Sharing is the new linking! See how Google understands your social connections.
• As always, CONTENT IS KING. According to Matias, it’s also president & prime minister . The same rules apply. Create unique content worth sharing and linking.
• “Latinos love to share! Latinos love great content!” Leverage cool videos, infographics, thoughtful posts, incredible photos.

“Viva la diferencia!”
The biggest takeaway from this session (and perhaps the track in general)… Be mindful of the different ways Latinos say the same thing. Latinos have a lot in common – but every culture has some slight differences in how they express themselves. The same word (for example, “lightbulb”) can be expressed differently from Argentina, to Mexico, to Colombia. This is huge in terms of KW research and how you go about stemming. There are so many ways to say the same thing… within and between these cultures.

Thanks to all of the moderators & speakers for two terrific back-to-back sessions. These presentations certainly set the bar for future Focus Latino tracks to come. Stay tuned in aimClear Blog for more conference coverage– follow along with @beebow, @Matt_Peterson, @aimClear & @KJalivay for live-tweets straight from the floor.

SES New York 2011 Powerpoint Presentation

Digital Marketing To Latino Users: Paul Lima Interviewed

Search Engine Strategies has been part of the search marketing conference landscape for over a decade. With a powerhouse trifecta of outstanding speakers, crowds in the thousands, and a three-day agenda of sessions ranging from über techtastic to super social-chic, it’s clear to see why this summit is labeled must-attend for many industry pros.

This year, SES has added a brand new track to the conference agenda: Focus Latino. SES New York, the fourth stop on aimClear’s March Conference Road Trip, will host the debut of the LatinVision Media-sponsored track. Paul Lima, of Lima Consulting Group collaborated with Latin Vision to develop the agenda for the five unique sessions that will take place throughout the day, each with a keen focus on Internet marketing to the Latino/Hispanic community. The track will kick off with an Introduction & Opening Keynote that was coordinated by Paul, moving into morning and afternoon sessions Reaching Latinos Through SEO, Search & Social Marketing to Latinos: Roundtable, Analytics for the Latino Markets, and finally, Improved Conversions With Web Site Optimization.

I had the pleasure of sharing an interview with one of the marketers behind the much-anticipated Focus Latino track, Paul Lima (@Paul__Lima). Paul, founder of Lima Consulting Group, will take the stage on several panels throughout Day 2 of SES NY. Read on for the fruits of our Q&A.

| aimClear: Paul, thank you for your time today. When perusing your Search Engine Strategies bio, I was fascinated to learn you were a former commander of the Pentagon’s cyber-warfare unit. That seems quite the leap from interactive marketing—an industry in which you’ve been active for over a decade. Tell us a bit about how that career transition came about.

Paul Lima: Each side of my career has helped the other, like an upward spiral you could say. The opportunity to serve in such a specialized unit and with such talented soldiers afforded tactical and operational insights into the underpinnings of the telecommunications infrastructure that all Internet marketers rely on. My role there was no different than my role today as the owner of a digital strategy consulting firm; that is, to find appropriate clients and recruit the best people. But I have to admit, there was something very, very special about working with the institution that funded the Internet, and as one of the Generals I worked for said, innovating new ways to fight and win America’s wars.

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