NONE: ONLINE-ADS>> Jupiter Conference Coverge by ClickZ - 8/13/98
ONLINE-ADS>> Jupiter Conference Coverge by ClickZ - 8/13/98
richard_at_tenagra.com
Thu, 13 Aug 1998 11:23:29 -0500 (CDT)
Below is a special mailing to The Online Advertising Discussion
List about the Jupiter Online Advertising Conference, written by
Ann Handley, editor-in-chief of The ClickZ Network. You will
receive these reports in addition to your normal Online Ads
posts/digests.
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Jupiter Online Advertising Conference
Day Two Coverage: Beyond The Hype
Ann Handley
Editor in Chief
The ClickZ Network
http://www.clickz.com/
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If day one of the Jupiter forum was full of pitches and promises,
day two delivered the goods.
Panelists looked through the wide lens at online advertising today,
asking - and answering - some big questions: Where are we now?
Where are we going? Are we for real?
No one answered those questions more unequivocally than AOL honcho
Bob Pittman. "This is just the beginning," Pittman said during his
afternoon keynote speech. Acknowledging that the online ad industry
is still struggling with issues of delivery and measurement,
Pittman spelled out the yeah, butsÖ. "This is the worst it is ever
going to be," he said.
"Online has arrived," Pittman said. "Advertisers are already seeing
the benefits of it. Consumers are becoming dependent on itÖ. We are
shifting to a mass market."
Pittman trotted out some encouraging stats. AOL has 23 million
members right now, but predicts that number to swell to 75 million
within a few short years. Upper-income professionals are now
entering the online world in droves. And most interestingly, big
numbers of Americans expect to jump online sometimes in the next 12
months.
That last fact is particularly compelling to Pittman, because the
majority of those who indicated they were ready to come online
don't even own a computer yet. That's a telling indicator, Pittman
said, because it proves that the online world is shifting from an
arena geared to the well-educated and well-off, to the mass market.
Just as mass market embraced microwave ovens and VCRs, so too is it
embracing the online space. "The microwave and VCR are inventions
of convenience - what does a microwave do that an oven can't? --
and the mass market looks for convenience," Pittman said.
Online "is another example of convenience in a box," he said. And
convenience is the metric of acceptance. Like cell phones and
microwaves, "our goal is to get to the point where we are imbedded
in people's lives. Where they can't live without it."
The Upshot
So what's this mean for the online advertising industry? In short:
Plenty of huge opportunity.
We are already seeing the tip of the iceberg. Big guys like Barnes
& Noble and Unilever are perpetuating their brands online, while
new companies like Amazon and N2K are building their companies with
the web as the cornerstone. At the head of the advertising pack
will be those agencies that can offer their clients innovative
online marketing plans and garner more money for online spending
beyond traditional media budgets. New agencies that specialize in
the new media will emerge as strong contenders for those dollars.
And what of those clients who don't embrace the online marketplace?
They'll be left in the dust - just as brands like Lux, Duz, White
Castle and Rheingold Beer all found themselves without a market
when they didn't adapt to the new technology of TV 50 years ago.
Or, more recently, they'll be in the unenviable position of Coke,
which forfeited enormous market share to Pepsi when it failed to
embrace cable television. "Used correctly, it's a powerful and
strategic weapon," Pittman said.
Andy's Hot Tip for the Day:
Going once - the folks from OnSale are hosting a PRIVATE auction for
media buyers and other interactive types beginning TODAY, Thursday,
August 13, 1998 at 10 AM PST and lasting for 24 hours.
There will be great computer products, consumer electronics and
sporting goods - all the usual cool stuff you usually find at
OnSale.com. One exception: ALL BIDS start at $1.
Take advantage of this opportunity - OK?
To get to this private auction, go through ClickZ's Private
Entrance at http://www.searchz.com/onsale.html.
If you know other interactive types that might be interested in
this, pass this on.
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Earlier in the day was more evidence of the web as the real thing.
Some Fortune 500 types checked in with big thumbs up for online ad
spending: both Sears and Bell Atlantic are committed to spending
some serious money on both online advertising and on developing a
more compelling web presence.
Course, MasterCard and Pillsbury were slightly less bullish on the
web, reciting the "test-test-test" mantra before they put some real
money on the table. (Two words for their marketing managers:
Rheingold Beer.)
But equally enthusiastic was Volvo, which is rolling out its new
S80 model with the web as its primary, well..vehicle. During the
recent USA Today campaign, traffic on the Volvo site jumped from
17,000 visitors to 91,000 visitors in a single week, said Vice
President Mark LaNeve.
Honchos at Citibank and Bristol-Meyers Squibb, too, have made a
significant investment in web marketing.
Quotes Of The Day
"We are in the business of buying customers for our clients. We
don't buy impressions, we buy customers." - Scott Heiferman, CEO,
i-traffic
"It's my responsibility to get sales people beyond banners and
buttons." - Paul Corvino, VP & GM of Interactive Sales, AOL,
speaking about rich media
"The web lets you present a piece of your brand with which
customers can interact emotionally." - Lilach Katz, VP and Director
of Internet Business Strategy, Citibank
"Agencies don't trust publishers' numbers, so they are creating
their own ad management systems. But what makes their systems any
more superior to those of NetGravity, DoubleClick or Accipter? I
think we need to agree on a methodology of counting ad impressions
so we don't spin so many cycles on this issue." - Andy Bourland,
Publisher, ClickZ
"The goal is not for media to be rich, but to be relevant. You
don't need fancy, splashy video for a message to work." - Scott
Heiferman, i-traffic
Tchotchke Of The Day
Today's newly minted Most Innovative Use of Tchotchkes Award goes
to 24/7. Lots of exhibitors spent some change on those t-shirts,
Frisbees and squooshy balls. But they were all tossed into and
toted around the conference floors inside the gym bags clearly
branded with the 24/7 logo. The result was major visibility for
24/7; the kids at home get the Frisbees.
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Copyright (C) 1998 ClickZ Corporation. All rights reserved. May
be reproduced in any medium for noncommercial purposes as long as
attribution is given.
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