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August 7, 2003 CONTENTS >Guest Column: High-Speed Marketing is Changing Advertising Has someone forwarded this newsletter to you? Sign up for your own free subscription at our web site, http://www.technologymarketing.com. GUEST COLUMN
Broadband subscriptions have doubled to 39 million households this year. This represents one-third of all home Internet connections. As broadband grows, consumers are spending less time with traditional media and more time online. In fact, the average home-user now spends more than 17 hours online per month. Audience/user crossover is no longer a part of mass media programming; rather, it is becoming the heart of media planning,brand strategy and creative execution. In 2002, BMW launched BMWfilms.com. John Woo ("Mission Impossible II"), Tony Scott ("Top Gun") and other directors created a series of short films featuring the BMW Z4 Roadster. The downloadable films range from six to nine minutes, and the 007-inspired storylines have been very popular with BMW's target demographic. In fact, more than 10 million films have been downloaded and have drawn international industry recognition winning the Cyber Lion award at the International Advertising Festival in Cannes and two Grand Clio awards. Today, brand marketing is constrained by increasing media costs, market fragmentation and a deluge of programming. Still, the industry clings to the 30-second spot as the foundation for most of its messaging. This is changing. Broadband is rapidly becoming a premier channel for delivering captivating targeted advertising and extending the brand's relationship with its core consumers. Broadband delivery, known as "opt-in," addresses many of the fundamental complications associated with traditional media: time and space limitations, impressions tracking, response rates, demographic make-up, metric data, cost/benefit, and ROI. For example, Reebok's "Terry Tate?Office Linebacker" was a favorite Super Bowl ad among the 12-34-year-old demographic, and was TiVo's most replayed moment of the game. It gained more momentum online, and Reebok's Web site received 1.2 million visits by the week's end. In fact, most visitors downloaded and watched two additional three-minute versions of the commercial. This translated into an estimated 100,000 hours of "opt-in" advertising in one week. After their Super Bowl ads ran, Cadillac's Web site also received a 1,096 percent traffic increase from the week earlier, while downloads of "The Matrix Reloaded" movie trailer surged 466 percent and "The Hulk" Web site saw a 1,963 percent increase in visits following the big game. Honda recently completed "Cog," a clever two-minute spot that was only distributed in Europe. The ad aired just a few times on British television before it drew a larger international audience online. It has received praise, aroused suspicion, and stirred up controversy?including a possible lawsuit and parody. All of this generated news coverage encouraging even more people to download the ad. It's time for advertisers to rethink their branding strategies. Online media is not held to the conventions of traditional media. The 30-second spot can now become the 3-minute segment, while relying heavily on traditional media to drive viewer traffic. The audience becomes more than just the circulation or share. It's now the guest list. The ad is the invitation, and the Web site is the event. The advent of broadband does not mark the end of traditional media; rather, it is a harbinger of opportunity. But it may be the end of the couch potato. Vincent Thome is the interactive developer for ad agency McKee Wallwork Henderson, based in Albuquerque, NM. He can be reached at via e-mail at vthome@mac.com. Edited by Scott Van Camp. For advertising information, contact Jacki Leigh.
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