Why Brands Are Flocking to TikTok

Why Brands Are Flocking to TikTok

Social media

Brands used to creating awareness via social networks like Instagram and Facebook now have a new option to consider: TikTok, which is owned by Beijing-based ByteDance. Read on to learn more about a platform that is gaining currency through a blueprint involving music, quirk, and innovation.

What Is TikTok?

A free video-sharing social networking app that launched in the international market in 2017, TikTok was once predominantly dedicated to lip-synching. But now the platform, which features short looping videos of three to 60 seconds, and music and lip-sync videos of three to 15 seconds, has evolved into a short-form video content hub. And it’s becoming something of a powerhouse: in 2019, TikTok was declared the seventh most downloaded mobile app of the decade spanning the years 2010 to 2019.

Mobile-first 18- to 34-year-olds are the dominant market for TikTok, and one need only take a look at user numbers to recognize the platform’s significance—even beyond that primary market. According to Search Engine Journal, the app boasts more than 1.5 billion users. Adweek reports that “[i]n the U.S., Messenger was the top app of 2019 by downloads . . . followed by TikTok and Instagram.” Those users are engaged, too: on average, they spend 52 minutes per day on TikTok.

Brands Getting in on the Action

Brands, particularly those catering to younger consumers, are taking an interest in TikTok. The platform is an ideal place to engage audiences and demonstrate a lighter side through funny videos or challenges. Examples of the wildly diverse brands who have already invested in a TikTok presence include:

  • Guess: the clothing brand and retailer worked with TikTok to promote its Fall ’18 Denim Fit Collection during the back-to-school shopping season. The #InMyDenim Hashtag Challenge on TikTok, which invited users to show their fashion style in Guess denim with an overlay of Bebe Rexha’s “I’m a Mess,” exhorted consumers to “Transform your outfit from a mess to best-dressed! All you need is denim!” The six-day campaign was the first branded challenge on TikTok to go viral.
  • NBA: the NBA uses TikTok to show off a lighter side, posting videos of players working out to music, for example, or the adventures of team mascots. The app’s musical features help the organization lighten up its branding—and make the athletes seem more relatable. The videos still promote basketball, even as they fit in well with other quirky or musical posts on TikTok.
  • The Washington Post: the newspaper was one of the earliest brands to adopt TikTok, and uses its account to post comedic behind-the-scenes videos and newsroom skits. Serious in other arenas, on TikTok The Washington Post demonstrates its quirky side, taking advantage of TikTok’s weirdest special effects to create funny, musical videos. The cheeky installments, meant to entertain TikTok’s young viewers, present The Washington Post’s journalists as real—and trustworthy.
  • San Diego Zoo: capitalizing on the fact that many people love cute animals, the San Diego Zoo’s TikTok account posts videos of adorable animals with fun music. It’s a simple strategy that has earned the account more than 50,000 fans. And the zoo has “dueted” with other animal-friendly accounts, like the Monterey Aquarium, to cross-promote using TikTok features, thus introducing zoo followers to the aquarium, and vice versa.

There’s still an opportunity to get in on the ground floor with TikTok: as noted in the 2019 Sprout Social Index, 89 percent of marketers are adding Facebook to their social media marketing plans for 2020, while only four percent are adding TikTok. But those numbers are likely to change. As Search Engine Journal opines, “Getting your brand or business on TikTok does not have to be difficult. But at some point, it is going to become a must.”

Advertising Options on TikTok

So how does one become part of the TikTok revolution? The platform offers a variety of advertising options, but in terms of a quick overview, note that:

  • Costs start at an average of $10 per CPM, and can go up to $300,000 total budget for larger campaigns.
  • TikTok campaigns require a minimum investment of $500.
  • TikTok ads are still in beta so you must fill out a form to set up an account.
  • The platform offers video creation tools.
  • A couple different ad formats/types, audience targeting tools, and placements and optimization objectives/goals are available.

In addition, this article from Social Media Examiner contains more insight on getting set up.

TikTok and Influencer/Brand Collaborations

As for what’s next, look for TikTok to increasingly help brands find influencers to work with. In the TikTok Creator Marketplace, brands can already search through the app’s top creators, a list of more than 1,000 TikTok stars including Zach King and CJ OperAmericano. The marketplace, launched last year and still in beta testing mode, allows interested brands to search using filters like topic, the number of followers a creator has, and location by state.

A Caveat

There is a dark cloud on TikTok’s horizon, as the platform faces security concerns. Last fall, Senate Minority Leader Chuck Schumer and Senator Tom Cotton asked U.S. intelligence officials to investigate the security risks posed by TikTok. In a letter addressed to acting Director of National Intelligence Joseph Maguire, the senators wrote, “With over 110 million downloads in the U.S. alone, TikTok is a potential counterintelligence threat we cannot ignore.” The concern that the app could be used for intelligence-gathering and foreign influence campaigns by the Chinese Communist Party was also voiced.

To date, however, the negative coverage has not appeared to deter brands.

Contact True Interactive

Want to learn more about what benefits TikTok might bring to your business? We can tell you more about the options and how to get started. Contact us.

Quibi, the Newest Disruptor: Advertiser Q&A

Quibi, the Newest Disruptor: Advertiser Q&A

Advertising Video

Just when you thought you had a handle on content streaming (Netflix: check, Disney+: check), a new player has emerged with the potential to shake things up all over again. Backed by a boatload of cash and the imprimatur of Hollywood royalty like Steven Spielberg, Quibi is poised to carve a unique niche in a crowded field. Read on to learn more.

What Is Quibi?

 

Quibi is a new premium streaming service that imposes a cap on programming time: the name Quibi, in fact, is shorthand for “quick bites” of video. Quibi aims to showcase stories of 10 minutes or less; content is meant to be viewed specifically on one’s mobile phone. The platform, founded by chairman Jeffrey Katzenberg, has installed tech vet Meg Whitman as the CEO, and investors include studios like Walt Disney Co. and WarnerMedia.

What Kind of Content Will Be on Quibi?

Given the unique mobile phone focus, Quibi will be generating all new content. As Whitman tells Marketplace, “We will be the first streaming service that launches without a library.” As Whitman sees it, starting from ground zero means an opportunity to create something truly fresh: “We have . . . invested significantly in content. This is all about finding the great stories, attaching the great actors and actresses to it and getting them excited about doing something entirely new.”

Quibi expects to deliver 175 shows and 8,500 episodes in its first year. The content promises to be a diverse mix, from long-form narratives to reality programming, documentaries, food shows, and daily news programs. Given Quibi’s format, the long-form narratives will be delivered in bite-sized chunks, serial fashion (think Dickens and the serial way he delivered novels like Pickwick Papers). Whitman is quick to stress that short format doesn’t mean inferior quality. “Nothing’s lesser about the movies [we’re developing] other than the chapterized way we deliver them,” Whitman says.

Content can be downloaded, so users won’t need an active Internet connection to view programming. And quality of the viewing experience is a prime mandate. As Whitman told Marketplace, “[P]eople are watching a lot of videos on their mobile phone today, but it’s an uneven experience. Sometimes, if you’re holding the phone in portrait, it’s a little postage-stamp size, then you turn it horizontally, it’s got big black lines. Some content is only available in portrait, some is only available in landscape . . . we have to be able to have seamless portrait-to-landscape rotation with full-screen video.” To that end, the company is employing what Whitman calls “compression technology,” and reportedly working with Google to ensure flawless video streams. Whitman also notes, “[W]e shot, obviously, to the aspect ratio of the phone.”

How Is Quibi Different from YouTube and Other Platforms?

As noted, story lengths on Quibi are capped at 10 minutes. And Quibi content has specifically been created for viewing on a mobile phone.

There is a distinction between what Quibi promises and the content made for mobile phones on free platforms like, say, TikTok. Services like TikTok offer user-generated content. By contrast, filmmakers like Steven Spielberg and Catherine Hardwicke are collaborating with Quibi to create programs designed specifically for viewing via Quibi, sometimes even at certain times: “Spielberg’s After Dark” series will only appear on the service at night, for example. An untitled show devoted to zombies is reportedly being discussed with Guillermo del Toro. User experience will also be informed by how customers hold their phones: changing from vertical to horizon orientation will change what the viewer sees.

Who Is the Target Audience for Quibi?

The target audience is Millennials—ages 18 to 44. The idea is that the platform will especially appeal to consumers on the go: someone waiting in line at the bank, say, or taking a quick bus ride during which 10 minutes of content might be the perfect diversion.

When Does Quibi Launch?

The platform is due to launch in the United States on April 6, 2020, but as Whitman notes, “you don’t have to wait till then to get involved.” On Quibi.com, you can learn about new shows, the technology, and any milestones before launch date. Whitman adds, “We’ll let you know on April 6 when you can download the app from either the Apple App Store or Google Play Store.”

What Advertising Opportunities Exist on Quibi?

There will indeed be opportunities for advertisers, as users will be invited to choose between Quibi with or without ads. The service will launch, for viewers in the United States, at $4.99 a month with ads, $7.99 a month without. Whitman shares with Marketplace, “We think that most [consumers] will pick the ad-supported version because it’s a very light ad load. It’s only 2.5 minutes per hour of watching, which is much less than prime time TV, which is 17.5 minutes of advertising for every hour that you watch.” Ads will appear before a Quibi show begins and last six, 10, or 15 seconds. They will be unskippable. Advertisers already onboard include Discover, General Mills, Taco Bell, Walmart, and PepsiCo.

Quibi programming will also come with ratings to help advertisers determine whether a show is geared to mature audiences. At the WSJ Tech Live conference in October 2019, Whitman said, “[Marketers] can feel safe that their brand shows up next to content that they’re OK with.”

And because Quibi programming is structured around serialized chapters, the platform is looking into an alternative where advertisers could serialize their ads, too.

What Kind of Reception Has Quibi Received?

It’s a mixed one. Naysayers insist the endeavor is a gamble, and that the subscription fee will discourage consumers used to video content that can be viewed for free on platforms like YouTube. Katzenberg, however, is confident. “I think we are doing something that is now such a well established consumer habit,” he told NewsDio. “There are 2.5 billion people walking with these televisions in their pocket. They are already watching a billion hours of content every day. I just know that it will work.”

Quibi has tried to get out in front of its critics by building visibility through some (presumably expensive) ads during the 2020 Super Bowls and Oscars.

Not all watchers have been impressed, as this Verge article discusses.

There’s no denying Quibi has attracted some heavyweights to create content. Will consumers be willing to pay for that content? Only time will tell.

Contact True Interactive

Curious about Quibi and the opportunities this new platform affords? Contact us.

How Video Ad Standards on Google Chrome Are Changing in 2020

How Video Ad Standards on Google Chrome Are Changing in 2020

Google

Get ready for a world with fewer intrusive video ads.

On February 5, Google announced that video ads deemed to be intrusive will stop appearing on Chrome beginning August 2020. Chrome will stop showing all ads on sites in any country that repeatedly show the following kinds of video ads:

  • Long, non-skippable pre-roll ads or groups of ads longer than 31 seconds that appear before a video and that cannot be skipped within the first 5 seconds.
  • Mid-roll ads of any duration that appear in the middle of a video, interrupting the user’s experience.
  • Image or text ads that appear on top of a playing video and are in the middle 1/3 of the video player window or cover more than 20 percent of the video content.

These restrictions apply to short-form video content defined as eight minutes or less in length.

Why Google Announced a Change

You might be wondering why Google identified those specific ad formats. Google is following recommendations from the Coalition for Better Ads, the organization responsible for the Better Ads Standards that inform companies such as Google on user feedback about ads that work and ads that do not. On February 5, the Coalition for Better Ads announced the recommended changes to video ad formats based on research from 45,000 consumers globally. According to the Coalition for Better Ads:

The research found strong alignment of consumer preferences across countries and regions for the most- and least-preferred online ad experiences, supporting the adoption of a single Better Ads Standard for these environments globally. The Coalition’s Better Ads Standards identify the ad experiences that fall beneath a threshold of consumer acceptability and are most likely to drive consumers to install ad blockers. More than 100,000 consumers have participated to date in the Coalition’s research to develop its set of Better Ads Standards.

As a result, Google said that starting August 5, 2020, Chrome will stop showing such ads on sites. Google also said that it will review YouTube video content for compliance with the standards. In addition, “Similar to the previous Better Ads Standards, we’ll update our product plans across our ad platforms, including YouTube, as a result of this standard, and leverage the research as a tool to help guide product development in the future.”

Note that the standards for short-form video do not apply to other environments like feeds or over-the-top (OTT).

What You Should Do

Change is coming. It’s time to prepare:

  • Per Google, if you operate a website that shows ads, consider reviewing your site status in the Ad Experience Report. This is a tool that helps publishers understand if Chrome has identified any violating ad experiences on your site.
  • Review your YouTube game plan. YouTube will be affected by the blocking of midroll ads but not the other two types identified above.
  • Ask your ad agency how they will ensure that ads they create are compliant.

At True Interactive, we are monitoring this development closely and are well prepared to help our clients thrive in this new environment. We manage video ads all the time and understand how to ensure compliance.

Contact True Interactive

To succeed with online advertising in 2020, contact True Interactive. Read about some of our client work here.

Google to Stop Supporting Third-Party Cookies on Chrome: Advertiser Q&A

Google to Stop Supporting Third-Party Cookies on Chrome: Advertiser Q&A

Google

Recently Google announced that over the next few years, it will stop supporting third-party cookies on Chrome. With Chrome currently accounting for more than half of all installed web browsers, this is big news. It follows actions by Apple and Mozilla to block tracking cookies in Safari and Firefox respectively, too. In light of this news, we’ve answered some questions you may have. A big caveat: this is an evolving story, and one being played out over the next two years. A lot can happen yet. That said, here’s what we know:

What Exactly Is Google Doing to Third-Party Cookies?

Google announced that over the next two years, it will not support third-party cookies on its Chrome browser. Let’s break down what this means:

  • A third-party cookie consists of text stored in a person’s computer that is created by a website with a domain name other than the site a visitor is visiting.
  • Third-party cookies make it possible for an advertiser to track a person’s browsing history and, in theory, serve up more personalized ads that follow a person around the web.
  • Typically web browsers allow third-party cookies.

But over the next few years, Chrome will replace third-party cookies with browser-based tools and techniques aimed at balancing personalization and privacy. So, third-party cookies are going away from Chrome – but that doesn’t mean advertising is. Far from it.

Google said it will replace third-party cookies with a (vaguely defined) browser-based mechanism as part of a new “Privacy Sandbox.”  The Privacy Sandbox is an evolving and (equally vague sounding) “secure environment for personalization that also protects user privacy.” Google describes the Privacy Sandbox an “open source initiative is to make the web more private and secure for users, while also supporting publishers.” In an August 2019 blog post, Google said the Privacy Sandbox would be a place to collaborate on better ways to provide relevant ads while protecting personal privacy:

Some ideas include new approaches to ensure that ads continue to be relevant for users, but user data shared with websites and advertisers would be minimized by anonymously aggregating user information, and keeping much more user information on-device only. Our goal is to create a set of standards that is more consistent with users’ expectations of privacy.

The unplugging of support for third-party cookies looks like a way for Google to get the industry to start playing in its Privacy Sandbox, resulting in a mechanism that will replace the cookie, protecting user privacy while also supporting advertisers. No one knows what that mechanism is going to look like yet.

Why Is Google Going to Stop Supporting Third-Party cookies in Chrome?

Google says it’s trying to balance personalization and privacy. Google’s stated objective is to create “a secure environment for personalization that also protects user privacy.” In announcing the change, Google said, “Users are demanding greater privacy–including transparency, choice and control over how their data is used — and it’s clear the web ecosystem needs to evolve to meet these increasing demands.” At the same time, Google wants to make it possible for businesses to continue to offer personalized content. Google intends for the still-evolving browser-based mechanism envisioned by Google to do that.

How Will Ads Be Affected?

If you use a Google ad products, you will not be affected. Google will still be able to use data from its own search and other properties to target ads to people. But once Google phases out third-party support, you won’t be able to use third-party cookies to follow users around on Chrome and retarget with an ad them after they’ve visited your website.

How Has the Industry Reacted?

The move has received a mixed response.

Some critics point out that phasing out third-party cookies on Chrome is a cynical play to strengthen Google’s ad business because Google’s ability to use data from its own search and other properties to target ads to people remains unaffected.

Others have speculated that the change will make obsolete many tools that advertiser have been relying on. As Adweek noted,

Marketers wary of the industry’s reliance on Google will have to figure out how they can adapt their first-party data strategy as some of the de rigueur marketing tools of recent years are rendered redundant in most internet browsers. These include third-party data and data management platforms, and multitouch attribution providers, all of whose days would appear to be numbered (at least in their current guise), as third-party data has been a critically important part of how marketers shape their communications strategies with consumers for close to 25 years. For instance, Procter & Gamble, one of the industry’s largest-spending advertisers, this week effused over its frequency capping efforts at the National Retail Federation’s annual conference.

The Association of National Advertisers and American Association of Advertising Agencies issued a joint statement that said, “We are deeply disappointed that Google would unilaterally declare such a major change without prior careful consultation across the digital and advertising industries. In the interim, we strongly urge Google to publicly and quickly commit to not imposing this moratorium on third-party cookies until effective and meaningful alternatives are available.”

In fact, it’s possible that backlash will cause Google to reverse its course. A lot can happen in two years.

What Should Advertisers Do?

We reached out to Google to find out what near-term steps businesses need to take. Here’s what Google says:

First, you don’t need to do anything with your Google ad products. Google will be updating the cookies that Google sets and accesses for our advertising products prior to the deadline

Google recommends that you:

  • Confirm with your own engineers that they have conducted testing on your sites to assess impact and are updating any third-party cookies they control. It is important to also check non-ads use cases (e.g., logins, shopping cards).
  • Confirm with your vendors (ads and non-ads) that any cookies they set and access on your sites will be updated.

This is an evolving situation. We recommend keeping a close watch. At True Interactive, we’re following the situation closely and will be ready to help our clients sense and respond.

Contact True Interactive

To succeed with online advertising in 2020, contact True Interactive. Read about some of our client work here.

 

Why Super Bowl 2020 Ads Humanized Voice Assistants

Why Super Bowl 2020 Ads Humanized Voice Assistants

Advertising Amazon Google

Last month on this blog I predicted that in 2020 we’d see companies such as Amazon and Google inject more personality in the way people interact with voice assistants. During the Super Bowl LIV advertising derby, I definitely saw some personality shining through with ads for Amazon’s Alexa and Google’s Google Assistant. As businesses embrace voice-first approaches in their advertising and organic content, they can learn lessons from Amazon and Google. People crave a human touch with voice technology.

Amazon: “Before Alexa” 

Amazon relied on humor to make Alexa seem funnier and cuddlier, a tactic that Amazon has been using in recent Super Bowl ads. During Amazon’s Super Bowl 2020 ad, Ellen DeGeneres asked, ““What do you think people did before Alexa?” which triggered a bunch of vignettes of people throughout history asking other people to answer everyday questions, resulting in hilarious outcomes. We saw the Queen of England demand that a hapless jester named Alexi tell her a joke. A man in Dickinsonian England asked a newsboy named Alex, “What’s today’s news?” to which the kid replied, “Doesn’t matter. It’s all fake.” The ad circled back with Ellen DeGeneres asking Alexa to play her favorite song.

With this ad, Amazon wanted to remind us that talking with a machine is as natural as, well, two washerwomen in Medieval days passing the time. We’re just having a conversation, as natural as can be.

Google: “Loretta”

 

Google won over the internet with a touching ad in which an elderly widower asked Google Assistant to call up photos and memories of his late wife, Loretta. Through the man’s gentle instructions, we learned of his life with Loretta, including the favorite movie they shared (Casablanca) and a memorable trip they took to Alaska. At the end of the ad, the man said, “I’m the luckiest man in the world.”

This ad was emotionally powerful without being sentimental, and it turns out that it was based on the experiences of the grandfather of a Google employee; and the grandfather actually narrated the ad. I don’t know about you, but I think it’s going to be hard to find an ad in 2020 that tops this one for making voice assistants approachable and human. Here, Google Assistant acted as a friendly utility, helping a man remember a loved one.

Voice Assistants Get Personality

As I wrote last month, although voice assistants are growing in popularity, we’re not quite at a place where people are willingly using voice to manage the really important tasks such as making purchases and getting directions to the hospital. We need to trust voice assistants completely in order for voice to make that kind of breakthrough. Journalist Judith Shulevitz wrote in a recent Atlantic article, “Is Alexa Dangerous?”:

Within our lifetimes, these devices will likely become much more adroit conversationalists. By the time they do, they will have fully insinuated themselves into our lives. With their perfect cloud-based memories, they will be omniscient; with their occupation of our most intimate spaces, they’ll be omnipresent. And with their eerie ability to elicit confessions, they could acquire a remarkable power over our emotional lives. What will that be like?

But during Super Bowl LIV, Amazon and Google showed us that we have nothing to fear from voice assistants. They are as natural and human as we are.

The takeaway for businesses: as voice-based advertising and customer experiences take hold, showing personality and humanity in your content (paid and organic) will resonate.

Contact True Interactive

To succeed with online advertising in 2020, contact True Interactive. Read about some of our client work here.

What Comes After the Super Bowl LIV Ads?

What Comes After the Super Bowl LIV Ads?

Advertising

Are you ready for some Super Bowl ads? At this point, Super Bowl advertising has become something like Black Friday: not a single day of activity like it used to be, but a phenomenon that stretches over a period of days. As of this writing, we’re seeing a number of high-profile brands rely on digital to extend the Super Bowl ad experience days and weeks prior to the big game. For example:

  • Porsche has returned to the Super Bowl ad derby for the first time since 1997 with a spot that introduces its new Taycan electric car. Through a 2-minute+ movie, “The Heist,” Porsche depicts the Taycan in an exciting chase shot in Germany, with Porsches flying through Heidelberg and the Black Forest in scenes worthy of James Bond.

  • Budweiser goes for a purpose-driven approach, with an emotional vignette of Americans performing acts of kindness. The spot, “Typical American,” urges, “America, look beyond the labels. You might be surprised by what you find.” Here we see another brand going for a powerful narrative, but without overtly promoting the product in this case.

  • Little Caesars uses storytelling to show that you can do a direct-response Super Bowl ad. Little Caesars’s First-Ever Super Bowl ad promotes delivery with savings of $5 or more versus the competition. But this being the Super Bowl, Little Caesars goes high profile by featuring actor Rainn Wilson in a spot available now.

 

You can see many more Super Bowl ads exploding across the digital world here.

Now here’s the most important question: what comes next after these brands actually run their Super Bowl ads?

Creative Parity

Super Bowl advertisers face the challenge of achieving creative parity, or ensuring that your branding is consistent across all the touch points where consumers encounter an ad.

As I wrote in a Super Bowl related blog post in 2019, what happens after you buy digital or offline media is just as important as buying that space itself — sometimes more important. A 30-second TV ad for Super Bowl LIV costs $5.6 million. That’s why businesses want to maximize the value of Super Bowl ads by sharing them, often through inventive storytelling, well beyond the big game. So, advertisers complement TV ads with video ads, display/remarketing banners, emails, social media pushes, and paid search support (to name a few).

Creative parity is harder to achieve as a brand distributes creative assets online and offline. But it’s essential to embrace creative parity or else all the hard work you put into a Super Bowl ad will be wasted when your audience sees a confusing and completely different message in the content you share on your website or social media.

Creative parity is also about customizing advertising assets across the entire purchase funnel, from top, to middle, to low. For instance, at the top of the funnel, a brand might launch a high-concept Super Bowl ad that raises awareness for a campaign or new product. At the middle of the funnel, a business may share, via retargeting, shorter bursts of content with clear calls to action in order to encourage consumers to take an action such as clicking on a banner ad. At the bottom of the funnel, promotions and call-to-actions really begin to be applied in earnest. In some cases the banners themselves disappear, as in branded paid search, but we are able to use similar language mixed in with specific promos based on the search term a user enters.

You can read a lot more about creative parity in my post, “Why You Should Strive for Creative Parity with Advertising.”

What’s Next for Super Bowl Advertisers?

So, how will Super Bowl LIV advertisers achieve creative parity? Right now, the Super Bowl derby is at the awareness stage, largely through earned, paid, and social media. (Let’s face it: journalists are always looking for content to discuss leading up to the big game. These ads meet that need nicely.) The notable exceptions are Little Caesars, which is using digital to not only raise awareness but also consideration and purchase as it seeks to take a bite out of pizza delivery sales on a huge day for pizza delivery; and Budweiser, which also banks on awareness pre-game to increase sales of its product as people shop for snacks and beverages to enjoy during the game.

In addition, the consumer packaged goods and alcohol brands generally have the strongest opportunities to lead consumers down the purchase funnel after the game, which is why so many flock to the big game with ads. Beverage SodaStream will debut its first Super Bowl ad under its PepsiCo ownership, also creating a hopeful cause-effect. Meanwhile, Planters faces an unexpected disruption of its own Super Bowl plans. The company unveiled a wildly popular “Death of Mr. Peanut” ad days ago, a humorous depiction of the iconic mascot sacrificing his life to save the lives of actors Wesley Snipes and Matt Walsh. Planters had choreographed a narrative about Mr. Peanut that would include a funeral held during the big game itself. But the tragic death of basketball legend Kobe Bryant, his daughter, and seven others in a January 26 helicopter crash compelled Planters to put the ad on pause. Whether Planters decides to re-instate the campaign remains to be seen.

I’ll be watching the days and weeks following Super Bowl LIV to see how well some of these notable brands achieve creative parity.

Contact True Interactive

To achieve creative parity with your online advertising, contact True Interactive. We’re an independent agency that optimizes branded interactions to drive traffic and increase sales.

 

 

Why the Popularity of Amazon Alexa at CES 2020 Matters to Advertisers

Why the Popularity of Amazon Alexa at CES 2020 Matters to Advertisers

Amazon

The Amazon Alexa voice assistant cast a big shadow over CES 2020, the premier annual event for showcasing new consumer technology. Amazon demonstrated a number of product integrations with Alexa. They matter because they point to a possible way that Amazon could lead online advertising.

The Battle for a Voice-First Future

Amazon is fighting a fierce battle with Apple and Google to lead the uptake of voice-based products among consumers and businesses (with Microsoft and Samsung also stepping up their own efforts). More than one quarter of Americans own voice-activated smart speakers, according to Voicebot.ai and Voicify. Amazon’s Echo leads the pack, but Google is catching up, as reported in The Motley Fool.

To win the war for voice, Amazon, Apple, and Google need to collaborate with product manufacturers to incorporate their voice assistants into product design (or through aftermarket upgrades).  And CES is where those integrations are demonstrated. For example, Bosch, the maker of smart home appliances such as dishwashers, announced an integration with the Apple Siri voice assistant. And a number of manufacturers ranging from Belk to GE announced integrations with Google Assistant, Google’s voice assistant.

But Amazon outflanked everyone. A wide variety of manufacturers ranging from bed maker Dux to helmet maker Jarvis demonstrated how they’re relying on Alexa to make it possible to use their products with our voices.  But it wasn’t just the sheer number of integrations with manufacturers that mattered – what really caught my eye was how Amazon is making it easier for people to actually purchase things.

Making Purchases Is the Holy Grail of Voice

As I wrote in a recent blog post, people still use voice to do more mundane tasks such as checking the weather. Making purchases, though, is the Holy Grail of voice. Voice commerce is a far more complicated undertaking. And at CES 2020, Amazon showed that it is up for the challenge. Amazon announced that in 2020, automobile drivers will be able to use Alexa to purchase gasoline. As Amazon said, “Later this year, customers will be able to say, “Alexa, pay for gas” to easily purchase fuel at all 11,500 Exxon and Mobil stations. The transactions for this new Alexa feature are made through Amazon Pay and powered by Fiserv, a global financial services technology provider.

The ability to pull off voice-activated purchases requires Amazon to work closely with ExxonMobil – an example of the collaboration required to make voice a reality. If Amazon and ExxonMobil can make the purchase of gasoline as easy as making a voice command, then manufacturers and retailers will be encouraged to adopt voice for purchases, too. (Think of appliance makers turning the Amazon Dash device for order replenishment into a consistently reliable voice-first experience.)

Why CES 2020 Matters to Advertisers

Why do these announcements matter to businesses that advertise online? Well, here is a telling statistic: even though Amazon leads voice, Google pretty much owns online advertising. Google commands 37 percent of digital ad spend. The next largest competitor, Facebook, has 22 percent of the market. Amazon lags behind with 8.8 percent. But – Amazon is still very new to online advertising. It did not start dipping its toes into online advertising until 2008. Within 10 years, Amazon had become one of the big three of online advertising.

Amazon is rapidly threatening Google’s and Facebook’s leadership by offering new tools that help businesses advertise on Amazon – and off Amazon. We’ve written about some of those tools, such as my colleague Samantha Coconato’s posts on Amazon Video Ads, Amazon Display Ads, and Amazon Sponsored Ads. Those ad services capitalize on the reality that Amazon has become an increasingly popular way for people to search for products – even more popular than Google.

But Amazon knows the world is changing from text-based to voice-based search. Voice search is not “taking over.” But voice is becoming more common. Per a Microsoft study in 2019, 72 percent of people surveyed had used voice search the previous month. Amazon is preparing for the time when voice will reach a tipping point, and businesses will have no choice but to employ voice-based advertising and search engine optimization tactics into their game plans.

And that’s why the product integrations matter. By making Alexa the de facto voice assistant in everyday products, Amazon wants people to be more comfortable using their voices to use and buy things. Encouraging the uptake of voice among consumers helps Amazon position itself as the premier advertising partner for businesses.

Whether Amazon succeeds remains to be seen. But as Google and Apple compete with Amazon to integrate voice, it’s clear that advertisers need to be ready to adapt.

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