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Check us out at our new blog Online Marketing Voodoo. Here we will cover web analytics, online marketing campaigns, case studies, consumer generated media, business blogging and emerging technologies that influence Internet marketing.

Video: It’s not just for Television anymore

That black box that the family used to gather around to watch the likes of Three's Company isn't alone anymore. While certainly not obsolete, television is certainly no longer a single source for consumers to watch video. The Internet is fast becoming the source of video reference, as more people in the US are watching online video - with more frequency - than ever before, according to a recent report by eMarketer.

A simple sampling of how video has evovled:
-In 2003 there were 52.3 million online video viewers.
-The projection for 2010? More than DOUBLE that number with 157 million viewers.



With everything, someone wins and someone loses. In this case, viewers win because they can now watch sports clips, television series, and other videos at their leisure. This is important for companies with a huge online presence. There are options (and integration considerations) when determining reach and frequency in their marketing efforts. Broadcast advertisers (and those that sell in that space) lose however, as consumers are no longer restrained by broadcast network schedules.

The trend should be a red flag for marketers not yet factoring video on the internet into their plans. If you haven't already, it's time to step up to the plate and adjust budgets to reflect this upwardly mobile trend, if they really want to reach their target where they are "consuming" media.

Increased use of Internet by Hispanics

The United States is clearly a melting pot of cultures: Italians, Hispanics, African American, and many other cultures. Yet, according to an eMarketer report the “Hispanic market in the United States is one of the toughest demographics to understand.” This is due in large part that the Spanish language and dialect is not the same everywhere, and many speak both English and Spanish. Further, you have Hispanics who immigrated here as 1st and 2nd generation Hispanic Americans to take into account.

But according to the eMarketer report, defining buying preferences for this cross-section of American culture is about to get easier thanks to the increased reliance on the Internet by Hispanics. In 2005, there were 15.7 million Hispanics using the Internet and this trend is expected to grow by 33 percent over the next 5 years totaling 20.9 million Hispanics users by 2010.



This is great news for marketers because now they know that this particular demographic is online but a whole new set of challenges arises. The dichotomy that is the Hispanic culture innately brings about the discussion of how to assimilate this group into American culture and tastes while keeping the Hispanic culture alive as well. Ultimately, it will be marketers that are required to achieve this balancing act in order to be successful with this strongly emerging interactive demographic.


Sources: eMarketer.com, iMedia Connections.com

Adults Are Finding Value in Email Marketing

Happy New Year, Analytics blog readers!

New in interactive news: the results of a recent study by Acxiom Digital and Harris Interactive have found that three in four online adults believe that emails recieved from companies they frequent are "valuable" or "very valuable." The survey found that 30% of online adults have purchased a particular good or service after receiving such emails, and of these, 85% have done so within the past year!

According to Acxiom Digital President Kevin Johnson "Savvy consumers have come to rely on email marketing communications as a resource to help them get the best deals possible. Likewise, retailers have established email maketing as an efficient and productive way yto build and retain a loyal customer base and increase revenue by communicating with consumers in a meaningful way."

Cheers to a great 2007 in interactive marketing!

More New Online Buyers + Spending More = Holiday Spending Increase

According to a comScore Networks report on consumer online (retail) spending, online sales are up 25 percent versus year ago. The lift is attributed to: 17 percent increase in the number of online buyers and a 7 percent increase in the average $$ spent per online retail consumer.

comScore Networks' Chairman Gian Fulgoni was quoted as saying, "... comScore's data are confirming that... more consumers are becoming comfortable buying online. But, an accentuating factor is that online spending per buyer is also increasing - as a result of more buying transactions and an increase in higher-ticket purchases."

For the 2006 Holiday season to-date, computer hardware category has the highest average order value at $292, followed by consumer electronics, video game consoles & accessories, jewelry & watches, and event tickets.

Top Online Product Categories by Average Order Value (Nov. 1 - Dec. 3, 2006 vs. 2005)

Computer Hardware: $292

Consumer Electronics: $153

Video Game Consoles & Accessories: $141

Jewelry & Watches: $128

Event Tickets: $123

That most of the higher-ticket categories also appeared on the list of fastest growing retail categories confirms that they are significant growth drivers for this year's holiday season.

Fastest Growing Online Product Categories, by Dollar Growth (Nov. 1 - Dec. 3, 2006 vs. 2005)

85%: Video Games

69%: Jewelry & Watches

66%: Event Tickets

51%: Video Game Consoles & Accessories

37%: Consumer Electronics

According to Mr. Fulgoni, "As broadband connectivity in the home continues to rise, we're seeing some online spending shift from work computers to home computers. Nonetheless, online buying at work still accounts for as many e-commerce dollars as buying from home. This could... (reflect) consumers' valuing of the workplace as the location where they're able to confidentially buy gifts online for immediate family members."



Source: comScore Networks
Source: Center for Media Research

DVR Penetration to Eclipse 30% of Homes by 2009

Since televison began, viewers have found ways to avoid ads. As viewers got more creative (leave the room), advertisers did too (make the commercials louder...to which viewers responded by making the Mute button on their remotes their new best friend). It is a vicious cycle, especially considering the public's passion for tuning into SuperBowl Sunday...not just for the game itself, but to see the ads!

Yet, the fact remains, viewers like to avoid ads when watching television. But digital video recorders (DVRs) are particularly disruptive because of the ease with which they allow users to skip to ads. eMarketer reports that before the turn of this decade, DVRs will penetrate 30% of all US households –a special statistic because it means the technology moves beyond the "early adopter" stage. This isn't all bad news for advertisers. Reports and forecasting also show that DVRs and video-on-demand (VOD) will actually end up creating more opportunities for advertisers because they "inevitably result in an increase in TV viewing", per eMarketer's report US DVR and VOD Usage: Ad Skippers and Time Shifters.



Bottom line reports eMarketer: "TV distribution and access are changing and those willing to adapt to the new breed of TV viewer will reap the rewards. By letting go of how, when and where content is accessed, content providers can reach a greater audience that is able to consume more of its content."

One must always take door in the old adage: one door closes and another door opens.

Web 2.0 Simplified

Lately, it seems all we hear about is this new “Web 2.0,” but a poll conducted by Zoomerang shows that almost 80% of marketers weren’t familiar with the term at all. Web 2.0 is short for second-generation web sites, sites that users contribute their own content to add value to the site as a whole. Myspace.com, YouTube.com and Facebook.com are all examples of Web 2.0. In fact, blogging, podcasting and social networking are also considered part of Web 2.0.

"Web 2.0 is in the initial phase of adoption and implementation by marketers," said Dana Meade of Zoomerang. "However, given the success reported by vanguard users, we expect to see a sharp increase in the use of second-generation Web tools and techniques by marketers across a wide array of industries."

Over 70% of marketers using Web 2.0 resources believe they’re successful. Not a bad metric for us fickle marketing types!