The Affari Edge Blog

After hearing so much about this new virtual world called Second Life in the news and conversations, I have finally decided to bite the bullet and try it out. Until I had conducted some research, I expected that it was just a better version of The Sims. I didn’t realize that people from around the world were spending real US dollars to buy fake clothes, cars, and sex. In fact, from what I have gathered so far, most people spend their time either in strip clubs or having (virtual) sex. I don’t even know what that means.

So why join a place where people are arguably wasting money on fake things in a fake world? Because more and more companies and advertisers are jumping on board everyday. Real estate companies, news and fashion companies are all a part of this second world. Not only are their brands being worn and displayed - they are being paid for by the program’s users.

I guess you can call this my own personal journey. From the moment I log in to the time I leave, I am going to be observing all of the advertising that is running in this virtual world. I have read that some companies insert special campaigns while others just have simple, one-time ads. With our agency focused on new media, this is definitely something I want to look into - if only to better understand how others are trying to cope with new technology. The idea of producing results from advertising in a world that doesn’t exist is extremely fascinating to me.

Wish me luck in my adventure as I search for a piercing insight into the world of Second Life advertising.

Companies and agencies around the world are in a panic over how to adapt to the new media wave. While many agencies are still clueless when it comes to new media, Starbucks has already taken new media to the next level.

Just when Starbucks seemed to have reached its creative plateau, it has emerged with a project that has the potential to grow the company even more. In an earlier blog, I commended Starbucks for their ‘creation’ of the ‘3rd Street’ medium. Now, this coffee shop has broken through all of the barriers that keep coffee shops - well - coffee shops.

Thanks to the new formation of the Starbucks record label, the brand will never be known as simply a coffee cafe ever again. Starbucks has always been known for its hip selection of music. For years they have offered a very selective collection of music to its customers. After seeing enough success within its stores, Starbucks has now launched its major record label - Hear Music.

What seems to be making even more news is the fact that none other than Paul McCartney has signed with the new label. Ken Lombard, president of Starbucks Entertainment, claims that the new label will be an excellent way to showcase great artists and expose them to both existing and new audiences.

The formation of this record label has so much built-up potential for the Starbucks brand. As Starbucks continues to grow it is doing much more than just creating new media. It is adding more and more dimensions to a lifestyle.

Hear Music and ‘3rd Street’ directly affect and influence the way people will live their lives. Everyone who buys in to any of these “Starbucks dimensions” is constantly encouraged to live the Starbucks lifestyle. It is a new branding phenomenon that we have never observed on a scale of this size. Starbucks isn’t trying to sell coffee and tea. Starbucks is converting people to a new way of life.

Throughout the Public Relations Blogosphere, and the blogosphere in general, there has been a lot of criticism for the concept of paid blogging. I’m not sure the criticism is entirely fair. After all, many companies hire outside representation or consultants to help with all forms of corporate communication. Why not hire people to help with a blog?

In this case, there are two kinds of paid bloggers. The first, and generally acceptable kind are bloggers who are paid to post a positive message about a company’s products or services. This has been done for years in other forms of media: in the 1950’s stars of live television programs would actually do the commercials for show sponsors; in radio, disc jockeys often record paid endorsements for companies. Marketing professionals understand that having trusted spokespeople can have an impact.

In the blogosphere, a number of companies have sprung up that pay bloggers to post about their companies, including PayPerPost, ReviewMe, Blogsvertise, CREAMaid, SponsoredReviews, and LoudLaunch.

While some bloggers have issues with this kind of paid blogging, it is growing in acceptance.

However, there seems to be an unwritten rule that hiring a “blogging consultant” to work with a corporate blog is virtually taboo. This second form of paid blogging is drawing some harsher criticism. For example, when a company called Forgetablogit started recently, the PR blog from PRWorks a satirical approach:

Introducing Blogco’s Blog-O-Matic: you tell us, we blog it for ya.

That’s right. Why bother with all that pesky thinking? Who needs all that painful typing? With Blogco’s Blog-O-Matic you simply let our team of bloggers do all the work for you, in half the time with a fraction of the credibility.

However, a more pointed discussion took place on the Social Media Group blog:

I don’t mean to rain on anyone’s parade - but the whole notion of ghostwriting a blog pretty much completely destroys the purpose of creating a company blog in the first place (which is, mostly, to open up an authentic dialogue with your consumers for various reasons, with extreme emphasis on the word authentic).

Maybe because I work for a PR firm my view is tainted, but why is it perfectly acceptable to outsource every other form of corporate communication - but when outsourcing a blog, it’s a bad idea? Draft a press release = ok; draft a blog post = not ok. Create advertising copy = ok; create blog copy = not ok. Hire an outside spokesman = ok; hire an outside blogger = not ok.

I’m not quite sure I follow that logic. To be sure, any form of communication is better when coming from an actual employee of the company. But if the communications world has accepted the outsourcing of traditional communications, it will have to accept the outsourcing of new media communications.

What do you think?

Earlier on this blog, we wrote about Publix in the blogosphere. You may recall the crux of that post:

After searching their site, and not finding any obvious links to a blog (and the search for the word ‘blog’ on their site returned zero results), I made a call to Maria Brous, Director of Media & Community Relations. She explained that Publix does not have the current resources to devote to a public-facing blog. Rather, they are dedicated to serving their customers through direct interaction in the stores with friendly, knowledgeable associates and management, as well as a dedicated Consumer Relations Line with both telephone and email interaction. She did indicate that Publix can not monitor the blogosphere simply because of the volume of bloggers out there — a Technorati search on Publix found more than 31,000 entries and 13 blogs - mostly on MySpace. However, Publix customers themselves keep the company informed about what is being said about Publix.

This may be true at the corporate offices in Lakeland, but it does appear that local store managers do get involved in the blogosphere - especially with hyperlocal blogs. Earlier this month, the manager of the Seminole Heights store posted on the Hampton Terrace blog, which was re-printed on the Seminole Heights blog:

Hello all. Two Publix notes I hope you will find of interest…..

#1 We will be receiving a shipment of shopping carts tomorrow, so hopefully we will always have a cart available when you come shopping. Keep letting me know when you see them out in the neighborhood, as I will still get them. (update - 38 additional carts were requested and received)

#2 I have been doing a soft opening time of 7:30 a.m. each day to see how business would be. No sign on the door, just opening them up. If you are running to work/school and need something, walk on it. We are open. I am still running numbers to see if this makes sense to do. The more you come in and buy, the closer it will be to a reality. Remember, the time on the door will still say 8, but doors are open at 7:30.

Sincerely,

Chuck Kaelin
Your Neighborhood Publix Manager

This is how every business should approach the blogosphere - as another way to communicate with their shoppers. To be sure, when large companies let their lower level (even management) employees into the blogosphere, they have a significant issue with control. But the smart company will provide easy-to-follow guidelines and training on what is appropriate.

This is something that not even a local newspaper would print, because of just how hyperlocal the issue is. However, for the loyal customers in that neighborhood, this information can be quite important. There may not be a need for a single Publix store to write a blog, but if the company policy is for each manager to find and monitor local issues, they could develop an even better relationship with their customers in ways that no call center could ever do.

With media professionals across the country wondering what will be the next major media vehicle, many fingers started pointing to the, now, ever popular YouTube. It is everything every advertiser wants in a website: popular, trendy, user-friendly, and very clickable.

As of now, YouTube is nothing more than a platform for possible guerilla campaigns for most advertisers. Much of its content is user-created. Also, viewers and users of YouTube want to be entertained, not (as we put it in our industry) “persuaded or convinced to drink ‘x’ percent more of a product.”

Before anyone can start relying on YouTube as a long-term media possibility, it needs to go through many steps. First of all, the site is much too cluttered to expect a large impression upon an audience. It would be very difficult to effectively place spots where they would reach an actual target. Secondly, there is a huge debate right now over the copyrighted content on YouTube. Many videos on the site contain private content that is being leaked over the web. TV shows, movie clips, etc. Viacom is the first major company to file a lawsuit against YouTube. The attached article goes into the story further and explains some possible outcomes.

Viacom vs. YouTube: Unasked Questions

At this point, YouTube is at the fork in the road of new interactive media. It has the potential to clean itself up and become an innovator in internet advertising. Or, it can run into the same problems that we saw with Napster several years ago where lawsuits cheapened the brand and the product. With the help of Google, it seems that YouTube has all of the resources it needs to take that next step in the right direction. I know that many advertising professionals are looking for the next weapon to battle the media fragmentation epidemic.

A lot has been written in the political blogosphere about this video on YouTube. The MSM picked up on the controversy because it was posted anonymously. And it’s obvious that the person who created, Phil de Vellis, it would have preferred to remain anonymous. Huffington Post was able to get the scoop (take that mainstream media!). He subsequently quit his job and posted his reasons on HuffPost.Ah, but it won’t stop there. Consider this from a Wired article:

The video’s success has fired up a new round of debate about the impact of federal regulators’ decision a year ago to exclude unpaid online political activity from the detailed disclosure requirements that apply to political advertising in traditional media.

…

At the time, the decision was widely hailed by editorial writers and bloggers as a free speech victory for the lone digital pamphleteer. But some longtime politicos worried that the ruling would carve open a loophole through which large donors could fund stealth guerrilla campaigns to deceptively influence people.

But online political attacks are only a part of a much larger issue. In the future, it won’t be just politicians who are attacked. Companies could see attacks in much the same way. Jim Horton at Online Public Relations thinks so:

Corporations are next. It doesn’t take a great effort anymore to produce a video. The person who did this Anti-Hillary ad claimed that he finished it on a weekend at home. If that is the case, what is to stop any group from attacking a corporation and its leadership for their environmental policies or wages or health care? It is a matter of time before it happens.

The anti-Hillary video was viewed a million times before its creator confessed to producing it. He could have remained silent and continued on with his business. I suspect that more will do that so they don’t get fired from their jobs. Corporations in the news should monitor YouTube as a matter of course along with news and blog scans.

Some of these attacks are already out there. One attack on Sony’s Play Station 3 - “How Your Killed Your Brand” - is a great example of this. JetBlueHostage.com is another. There are countless more.

Some companies are trying to be proactive. Seth Godin pointed out that makers of Splenda were registering hundreds of domains that could be used as attack sites (such as SplendaKills.com or VictimsOfSplenda.com). But it’s not always enough.

Consider this post by Sterling Hager at AgencyNext:

This is the main website homepage of a company called Royal Dutch Shell, plc. Note the url: http://www.shell.com/. Note, too, there are no apparent blog offerings at this site.

Now here’s a blog entitled Royal Dutch Shell plc. which can be found at http://royaldutchshell.com/. Is this a Shell corporate blog? Not hardly. Click on that picture of a distinguished looking Mr. Alfred Donovan at the top of his blog and you’re taken to a June, 2005, Wall Street Journal piece which describes the then-88-year-old Mr. Donovan and his long-standing beef with Shell.

Imagine if Mr. Donovan were, instead, a large organization such a Greenpeace or National Resources Defense Council. The next form of “protest” will very well take place on line. And companies will be hard pressed to stop it from happening.

Is there a way out?

It might be flip to say “if you can’t beat ‘em join ‘em.” But that might be one possible avenue. Cleary Shell will never be able to pay Alfred Donovan for the rights to his domain. They might have a chance at CyberSquatting - but only because of existing provisions with most countries and ICANN.

But what happens when they can’t find their next attacker? Anonymity is cheap and easy these days. Lawyers can’t sue someone they can’t find.

Perhaps the only way to control the online dialogue is to be a very active player. Counteract protesters and attackers by being their first, with more information. Be candid about their attacks, provide transparency whenever possible (without divulging trade secrets, for example). The general public understands that some protesters can be wind bags… but if the only thing they are hearing are the attackers - they won’t know the whole story.

The iceberg’s tip has been seen. Just how big is this one?

As noted throughout the blogosphere, the Project for Excellence in Journalism has released the State of the News Media 2007 report.  It is a comprehensive look at news - newspapers and magazines; local, cable, and national broadcast television; radio; and online.

As part of the online news analysis, the project looks at Citizen Media.  There are a number of salient points to be gleaned from the report:

“In the midst of these developments, the earlier form of citizen voice — blogs — began to grow in ways that raised question about whether it was becoming less a part of the grass roots and more a part of the establishment.“  In short, blogs have arrived.  You’re reading one now, aren’t you?  The Project found that 8% of online American adults author a blog or online journal.

The growth in the blogosphere has reached mainstream media.  We all know that even the venerated New York Times has started blogging.  USA Today has taken this a step further, building interactive components with their articles into a larger social networking ability.  The Orlando Sentinel is bringing in community members to do hyperlocal blogs for Central Florida communities.

The project found that the typical blogger has not changed much in the past year.  “In previous years of the annual report, we reported that bloggers tend to be younger, wealthier, and more tech-savvy than the general online population. The most recent data suggest this is still largely true.“  A majority of bloggers are less than 30 years old and almost all blogger (95%) read news online.

And it’s not just the production of  blogs that is growing.  The study found that 39% - 2 out of 5 - of online adult users have ever read a blog, a total of 57 million Americans. Consider that just 51 million Americans subscribe to a newspaper, and you can easily see how mainstream blogs have become.

Finally, the project looked at how bloggers make money - or if they do.  Only 8% of bloggers generate income from thier blogs, mostly by selling items or advertising.   The Project noted that the ad market for blogers is only $50 to $100 million, out of a $16 billion online ad market.  But then, bloggers don’t really do it for money.  The biggest reason was a chance for creative expression.

The project’s conclusion on Citizen Media is particularly telling:

A few years ago, many media critics offered varying degrees of skepticism toward the fanfare that surrounded the emergence of blogs. And a minority even questioned how long they would be around.

Heading into 2007, some of that skepticism — shared by much of the public as well —remains. How much can one trust the accuracy of news and information posted on blogs? How can blogs survive without a reliable revenue stream?

It may be a case of trying to fit a square peg in a round hole. Much of the talk a few years ago — that blogs would supplant traditional media — seems antiquated now. The relationship between blogs and traditional media, in the end, may be more complementary, even synergistic, as time moves on. Citizen journalism, and the interactivity it promises in Web 2.0, increasingly seems to offer the potential of enriching traditional journalism (by enriching citizens), not threatening it.

We belive the same can be said for “traditional marketing” and “traditional public relations.”  A corporate blog should never replace these avenues of communication; instead, a blog should be a part of an overall business communications strategy.

NOTE: All statistics quoted in this post were obtained from the State of the News Media report. 

I recently was asked by one of our favorite media reps to check out a restaurant that’s been open for about six months. The owner just doesn’t understand why they aren’t getting the business that they should. The media rep being one of the nicest guys ever thought maybe we could help put together a more diverse advertising plan to help grow this business.

Before setting an appointment with the owner, my business partner, Dave and I decided to give it a stealth try. We know from experience that the service greatly improves if someone knows you are there to observe their business. We wanted the unbiased, every day, customer-off-the-street service.

As we pulled into the parking lot, on first glance, the place should be destined for success. The restaurant is in a prime location for tourists and locals. In fact, based on location alone the place should be booming. The outside is clean, well-done and extremely presentable. They are also wise enough to have employees park in front, so it looks like there is a good crowd. People want to be where other people are.

As we entered the restaurant we were greeted by a very friendly hostess that promptly showed us to our seats. All seemed like a path to success until we took a winding turn into bleakness. Dave and I saw within about 10 minutes what the owner hasn’t seen in months. There was no life to the place. It was a dark pit of despair! About a third of the lights had either not been turned on, had blown light bulbs or no light bulbs at all. A couple of hanging lights were even missing lamp shades. None of the lights in the bar area had been turned on, even though people were sitting there. Adding to the dreary mood was a row of dead plants hanging mournfully over diners, several TVs that no one had bothered to turn on – adding more dark holes of gloom, and temperatures so frigid that other patrons were also visible shaking.

Okay, so what about the food and service? Isn’t that what really matters most of all? Sadly, not really! In Dave Dee’s blog on February 27, 2007, he talks about an overpriced meal and an under valued artist. He hits the nail on the head that people will put up with mediocre food with great atmosphere. So, when you have a combination of average to below average food and service on top of a sub-zero atmosphere, the only surprise is that the place is still open after six months.

We actually had to finally walk up to the hostess stand to pay for our over priced meal. As we were standing there, Dave asked the waitress who came out in time for her tip if this was the only location. She smiled and said confidentially, “For now!” I thought as my stomach began to churn, “Please don’t afflict this on anyone else.”

So I said ALL of that to make this point, if you own a business send the most objective person you know in WHILE YOU AREN’T THERE to get a true perspective of your organization. As bad as this place was, with the right guidance this place can be turned around and in just a short time it wouldn’t be a far-fetched idea that this place would actually have repeat customers. The owner just needs to trim a few trees to put a little light on the subject and hopefully he can finally see the forest.

P.S. Could someone please pass the Tums!?

In the time that I have spent in the production world, and now in the advertising world, I’ve been able to see just what goes into a successful campaign to market a product or service. If you are new to the world of advertising or just intrigued by what goes into making a successful campaign work I think you will find that it’s all about doing the research on who your product or service appeals to, but also how your product or service is represented to your clients.

Click below to listen to the podcast…

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In 2005, the editors of the New Oxford American Dictionary declared “podcasting” the word of the year, defining the term as “a digital recording of a radio broadcast or similar program, made available on the Internet for downloading to a personal audio player”. That’s pretty good, but it is no longer good enough.

Here’s another one, from Wikipedia.org: “A podcast is a multimedia file that is distributed by subscription (paid or unpaid) over the Internet using syndication feeds, for playback on mobile devices and personal computers. Like ‘radio’, it can mean both the content and the method of broadcast. The latter may also be termed podcasting. The host or author of a podcast is often called a podcaster.”

Not bad, but I like this one too…
“Podcasting is an automatic mechanism whereby multimedia computer files are transferred from a server to a client, which pulls down XML files containing the Internet addresses of the media files. In general, these files contain audio or video, but also could be images, text, PDF, or any file type”.

OK, all cleared up for you now? No? Here is my definition:
“A podcast is any media content, usually audio or video shows, that are subscribable and transferable, to a consumer for use at any time, on any computer, laptop, portable media or MP3 player.
And no, you don’t need an Ipod to listen to my podcast!”

Netcasting is a synonym, and, if I had my way, would replace the term “podcast” to include blogging, audio, video, music, and pictuers in a channel that can be subscribed to.

As you can see, there are many different things that mean “Podcast”, but the simplest thing I can say about it is this: “Whatever makes an MP3 or Video file a Podcast is that you can subscribe to it, usually for free, and it downloads automatically, whenever the author releases a new episode.” That’s it. It really is that simple. Make a file, put it on the internet, and tell people to subscribe to it.

Our sister company, ESP Podcasting produces most of our shows, and turns them into Podcasts, where they are mainly hosted on the IPN Network. IPN is a free Blog, Podcast, News and Music host for you to create your own content, and get your word out to the masses. Anyone who has an interest, hobby, or message, and wants to shout it out to the world can become a podcaster. You probably have most of what you need already at your disposal.. Now that you have the basics, go to www.ipnetcast.com and start your blog/podcast/news site today!

Subscribe - Click this icon

whenever you see it to subscribe to a podcast, blog, or other content.

Full Disclosure: Chuck Palm is the owner of both sites ESP Podcasting and the IPN Network, where we host many of our free and for-profit podcasts. The preceding was an excerpt from the upcoming book “What the Heck is Podcasting”, due out in spring of 2007.

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