NONE: ONLINE-ADS>> Day 3 - _at_d:tech New York - 10/29/98
ONLINE-ADS>> Day 3 - _at_d:tech New York - 10/29/98
richard_at_tenagra.com
Thu, 29 Oct 1998 22:28:16 -0600 (CST)
Below is a special mailing to The Online Advertising
Discussion List about the _at_d:tech New York conference,
written for The ClickZ Network by Richard Hoy, moderator of
the Online Advertising Discussion List. You will receive
these reports in addition to your normal Online Ads
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_at_d:tech New York
Day 3
Richard Hoy
VP of Marketing
The Tenagra Corporation
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This Is Indeed Your Father's Internet
The web is clearly cross-generational, according to
panelists who took part in a discussion Tuesday. It's not
just attracting upper-income white middle-aged males. In
fact, the web is reaching markets as young as 2 and as old
as retirees.
"It's the cultural mainstreaming of all this technology,"
said Rebecca Randall of MaMa Media, which targets the youth
market from ages 2 to 12.
In the case of the younger set, the web is breeding a new
generation of "clickerati," who are defined by their comfort
and savviness with technology and the ease by which they
move among various platforms. The younger generation are
also classic multi-taskers, able to simultaneously listen to
music, watch TV, and do their homework.
"We look at technology to be as vital to this generation as
food," said Randall. "It's like the fifth food group -- it's
as vital and potentially as wholesome."
Marketers must be aware of the radically different market
segments who are online, panelists pointed out.
"I'm tired of seeing ads with a 25-year-old using products
that I buy," said Karen Orton Katz of Third Age Media, which
targets the 45-plus market. "I want to see women my age,
with bodies that looks like mine and a face with a few more
wrinkles. When I do, I'll gravitate to that product and
start to buy."
A Dessert Topping, Or Maybe Floor Wax?
Just what the heck does it take to be an interactive agency
these days? Top dogs from six of the major players in the
internet professional services market converged on Tuesday
to argue specifics about it.
No one wanted to be called an "interactive ad agency." All
agreed that what they do is much more than just an online
extension of traditional advertising services. But, as if by
design, the left half of the panel -- representing Fallon
McElligott, Red Sky Interactive, EURO RSCG/DSW Interactive,
and Modem Media . Poppe Tyson -- had a distinctly different
opinion from the right half of the panel - representing
Agency.com and CKS Group -- about what they do for clients.
The lefties, in one form or another, all described their
services as building a client's brand online through a
creativity that is independent of technology. Panelist G.M.
O'Connell summarized it best by saying that his company,
Modem Media . Poppe Tyson, "...spent most of [its] time
architecting relationships between customers and brands."
The right-wing insisted that a 50/50 mix of creativity and
technology are the trademark qualities of a good internet
professional services firm.
"You cannot create a world-class web site without an
understanding of technology," pointed out Mark Kvamme of CKS
Group.
"This is not an engineering problem, it's a creative
problem," countered Tim Smith of Red Sky Interactive.
"It's [technology] creative to the client because it makes
the cash register ring," shot back Kvamme.
But it was Chan Suh of Agency.com that offered the most
compelling argument for why internet professional service
firms need to clearly distinguish themselves with qualities
distinctly different then those found in the traditional ad
world. He pointed out that if such firms didn't do so, they
would forever be seen as simply an aberration of the
traditional ad industry, rather than a whole new industry.
And On Wednesday...
During the last day of _at_d:tech, things turned from the
rather heady discussions that characterized Monday and
Tuesday, to the more mundane. The Internet Advertising
Bureau held a three-hour open meeting to give both members
and non-members the skinny on the organization. They have a
slick, new logo and several initiatives in hand to bring
value to IAB members.
IAB Chairman Rich LeFurgy spent time stressing that even
though there is overlap, the FAST Forward initiatives
would not replace the bulk of what the IAB is trying to
accomplish. He characterized FAST Forward as really an
umbrella organization that will help rapidly facilitate the
IAB's goals in the areas of consumer acceptance of online
advertising, categorizing ad models, protocols and tools for
measurement, and standardizing the purchasing of online
advertising.
LeFurgy emphasized that the IAB's mission is to
support the internet publishing community and said it will
continue to do so in a number of ways. Among the things
discussed were expanding the Millward Brown research to
identify optimum banner frequency; kicking off a
professional development program (eight training sessions in
six cities are slated in the coming months); and gearing up
the IAB Road Show (a pitch to win over web-reluctant
advertisers).
The IAB's most critical need right now is in people -- for
committees, in particular. Find out more at
(http://www.iab.net/).
An interesting turn-of-subject during the meeting was a
diversion into the issue of how to build an interactive ad
sales force. Susan Bratton of _at_Home moderated a panel of
major sales executives who gave the audience a peek into
how their respective sales forces work. Representatives from
Women.com, Onsale, Jupiter Communications, and 24/7 Media
were on hand; along with the recruiting firm of Korn/Ferry
International. Here were the key findings:
-- It is extremely difficult to find good sales people.
It an issue for everyone. Ideally, the best people to
hire are those who know the right folks, and have both
tenacity and good listening skills.
-- Compensation packages are all over the place, but most
are salary plus commission and stock options. Base salaries
were as high as $200,000 for top sales people (though Gina
Garrubbo of Women.com pointed out that this level of
compensation is trivial compared to what TV ad sales reps
get).
-- Average ad orders for the panelists ranged from $20,000
(24/7 Media) to $65,000 (Women.com).
-- Geographic distribution is still a solid way to divide
your sales efforts. Companies like the fact that reps are
local.
-- Pay your own people a bounty to recruit new people. Not
only do they get extra cash, but people tend to recruit
others with which they will work well together. It ends up
building a better work environment for all.
-- Really support your people and make work a fun place. All
the money in the world won't make someone stay if the work
environment is dismal.
Quotes of the Day
"EVERYTHING you say says something about your brand."
-- Jim Garrity, First Union National Bank, pointing out that
all communications, not just those directed at
brand-building, affect your image.
"You should price good people out of the market." -- Scott
Paternoster, 24/7 Media, in response to the question, How do
you keep other companies from stealing your employees?
"We can shape it now, or let our competition shape it 10
years from now." -- Graham Cannon, Time New Media Inc.,
emphasizing that Time's online properties aren't expected to
make money. They are there to gain market share.
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attribution is given.
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