It has been a week of digesting many of the latest papers and data points from IDC, Forrester, and Gartner. Since, I have shared some Forrester and Gartner updates I thought I should post on IDC’s latest figures about Internet advertising revenue which project a doubling from $25.5 billion in 2007 to $51.1 billion in 2012. That will make the internet the #2 advertising medium in five years, growing about eight times as fast as advertising at large. This will make the internet bigger than newspaper, cable TV, broadcast, and second only to direct advertising.

Video advertising will be the principal disruptor of Internet advertising during this time, as its revenue grows sevenfold from $0.5 billion in 2007 to $3.8 billion in 2012 at a compound annual growth rate of 49.4%. Brand advertisers will shift significant amounts of money into video commercials, primarily from broadcast television and to a lesser extent from cable television.

IDC concludes that

• Search ads will remain at the top of the Internet ad hierarchy with revenue at $10.4 billion last year, reaching almost $18 billion in 2012. IDC believes search, now having almost 41 percent of the market share, will have just above 34 percent by 2012.
• Online video ad spending will grow from about $500 million in 2007 to $3.8 billion in 2012 and its Internet advertising share will expand from 2 percent to 7.4 percent.
• Referral and lead-generation services will see the second strongest market share gain, says IDC. Revenue from referral and lead generation services will grow from $2.3 billion in 2007 to $5.9 billion in 2012.
• Mobile advertising will also show robust growth but the segment will still have “just shy” of 1 percent of the overall online ad market by 2012.

Amazing projections, let’s just hope that brands and their agencies are listening to this and paying attention to the consumers that are consuming it.

Blake Cahill

Visible Technologies

Notable analyst’s, Brian Haven and Suresh Vittal, from Forrester Research have just published an outstanding and well-thought out paper about Measuring Engagement. The overall theme of the paper declares that “the metrics marketers use today fail to capture the supercharged social behaviors and intimate relationships people have with brands”. This is very active discussion topic with many of our customers and one of our TruCast platform’s key differentiators - in that enables the measurement of engagement that brands/marketers are having with their customers in the social media space.

Building on the framework that Brian initially developed around the four I’s of engagement: involvement, interaction, intimacy, and influence the authors further detail how to measure engagement and prioritize metrics that are appropriate to customer purchasing processes. Some key highlights/takeaways include:

- Why marketers are failing to take action

- Utilizing an engagement framework for the new social era

- How engagement measurement strategy reinvigorates consumer insight

- Why marketers should prioritize the acquisition of engagement metrics

In sum, a framework and tactical steps are well laid out for marketers in this paper to support why engagement measurement will transform the marketing landscape and require new marketing skills, partners who get it, and convergent marketing technologies.

Well done Brian & Suresh

Blake Cahill

Visible Technologies

A great report was recently published by Brad Bortner from Forrester Research about “How Web 2.0 will Transform Market Research”. Online communities offer marketers - real-time, cheap, and unique insights that traditional qualitative focus groups don’t necessarily provide. We continue to see clients leveraging our software to listen and understand what consumers are saying about there brands. Web 2.0 and social media provide a new laboratory for listen and dissecting consumer opinions. Forrester interviewed 31 leading Fortune 500 firms to compile this new piece of research. I would encourage marketers and market researchers to purchase the report and learn more.

Blake Cahill

Visible Technologies 

Recent example of an emerging social media tug-a-war between Engadget and T-Mobile over the use of the color magenta for mobile products/services. Engadget launched their mobile product as Engadget Mobile (logo magenta) which got the T-Mobile marketing teams fired up see story below.

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Blake Cahill

Visible Technologies

Please join me for an upcoming webcast on May 22 at 10AM PST/1PM EST featuring Peter Kim from Forrester Research and Marty Collins from Microsoft where we will discuss how companies can “Unlock Social Media’s ROI through Monitoring and Participation.” We will address the following:

• The latest industry and vertical trends in brand monitoring and social media participation
• The benefits that can be gained from engaging with online communities and customers directly
• KPI’s (Key Performance Indicators) for measuring success in social media engagement
• How Microsoft’s Windows/Windows Live group is driving results by monitoring, tracking and engaging in social media

Register here to attend

Blake Cahill

Visible Technologies