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Thursday, January 04, 2007

Sponsored Predictions for 2007

I would be entirely remiss if in the first week of the new year I did not write a post on my predictions for the upcoming 361 days - at least in so far as they apply to Sponsored opportunities. (Maybe I should post a follow-up in mid-year to see if I was on the level?)

  1. Google will, by year end, open up its test of graphic ad insertion to the general advertising public - meaning content matched graphic ads will allow advertisers to create a larger brand blanket, displaying ads in smaller, more regionalized pages to more effectively target niche consumers. As well, websites will be able to display a higher caliber of graphic ads without having direct relationships with larger brands - think of a Nike Golf ad on a local course website.
  2. The major search engines will integrate more and more customization for the end-user, making behavioral targeting more and more effective; however, this is entirely reliant on the search engines pushing not only all the extra tools linked to a MyYahoo! or customized Google - but also creating some type of incentive strategy for getting users to impart actual personalized information to the engines. Microsoft has probably made the biggest inroads in using the Messenger database to enable behavioral targeting - but they have yet to link that information with some form of IP recognition and a "critical mass" in MSN Live. Think of these as the baby steps, by the end of the year - because of the push for more and more relevancy - this behavioral baby will be running and tearing up the living room like all toddlers do.
  3. Cell phones and social networking have reached a critical mass - by the end of the year these tools will be more and more integrated. Imagine a MySpace profile merged with a cell phone number and contract information... throw in triangulation capabilities and open CRM and real-time inventory.... By year end you will have the ability to target a specific mobile user walking by the GAP in downtown San Francisco on Friday with an ad/coupon for buy 2 get 1 free on all screened baby-t's, because according to her shared MySpace profile she loves vintage tight t-shirts and her favorite day of the week is Friday (payday).
  4. Research will focus on how to reach users across multiple touch points with sponsored advertising, and not just focus on the ready to buy consumer. Consideration phases have been stretched, and in addition, competitors are constantly mugging your Brand - as a result, sponsored strategies need to look at reaching a Researcher, Window-Shopper, and Follow-Up Customer by behavioral intent. In order to do this though, more research has to be conducted and analytics have to become more robust to track assists, various conversion types, and life-time value of a single initial visit - it will happen - even if we have to lead the way in making sure it does happen.
  5. Video, Video, Video. Popular culture is shifting away from television sets and onto the Internet. The two technologies are already merging with digital recording and pay-per-view, not to mention the cross-over between desktop and big-screen TV - for those of us that have 36" plus monitors. Currently, sponsored video ads are glossed over by frustrated surfers, but with more and more popular online video content and the focus on having highly relevant ads - the effectiveness of sponsored video will grow - in other words, get in now. However, always keep in mind that a user is a person that is motivated by emotions... try video ads that are humorous, even if you are selling EDI - even IT Managers have senses of humor.
There are so many more... to quote Hamlet, "there are more things in heaven and earth than are ever dreamt of in your philosophies" - but I am trying in the new year to make sure my posts are less than 5000 words. Maybe tomorrow I will put up some more.

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