[Week6] FREE

This is something I've actually been thinking about for a while but I never knew there were actual business models made on it. Earlier in this semester, I posted something about Old Spice and how their amazing efforts and new advertising campaign that everyone has raved about still falls short of free promotion. Consumers, given the choice to have something for free or pay, will always choose free. Nobody wants to willingly spend his or her dollars. That’s just common sense. But I do like the spin on Anderson presents, especially in the digital age.

People love websites where everything is free. I know many peoples’ biggest fair would be a Facebook they would have to pay for. I’ve heard that many would practically abandon it if they had to pay. But how then do sites make money? This is also what I’ve been thinking about. Traditional Internet advertising is probably not the most efficient these days. Amongst all the clutter, it’s hard to get impressions and viewership. This is what advertising guru’s need to focus their efforts on.

My thing with Anderson is there are holes in his free concept. He seems to not back it fully as the book was ONCE free and is no longer. Isn’t that the basis for his argument…make something like a book free and offset costs by other means? My other thing is although it is ideal for one, getting people to be interested in your product, and two, pleasing consumers; it cannot be applied to everything. Web giants like Facebook and YouTube are still struggling to figure out how to increase their bottom line to favorable outcomes. It’s tough. So although I fully agree with the freemium concept, I would say use it sparingly. No matter what, when starting a business, there will always be costs to deal with. Nothing in life is free.

[Week5] The Web is [NOT] Dead

When I think about the Web, my focus is more on e-commerce and usability rather than the open vs. closed debate. The Web is in a very interesting place currently. There is a lot of research, thinking and creativity being invested in it. There is also a lot of doubt and uncertainty. This is NOT at all a bad thing. This is great...we are on the verge of greatness. This coupled with the economic downfall will create a better, more tech savvy and YOUNGER advertising industry.

When current ad majors graduate, our main thing to tackle once we get into the industry is to create a marriage of advertising and the Internet that is beneficial to both sides. This phenomenon is already happening. I side with Tim O'Reilly and his argument. Creating content that is demanded, whatever it may be today drives the Web. It is on advertisers to create content that people want to see. This isn't traditional advertising where you can get by by just creating AN ad--you need to create a creative and efficient ad that people will SEEK out. I think the part of advertising that is lagging is media planning. There needs to be some sort of push towards treating Web advertising as the NEW traditional media. Yes, its still hard and there is a lot to figure out but it's there. People view ads online more and more as they view more of what they want more and more online. Traditional 15 second and 30 spots are begging to be on the Internet. There are plenty avenues to get them there, as they have been up already. I think this can easily be treated as how TV spots are sold in the traditional market. There are dollars to be made; it’s just a matter of figuring it all out. I believe one day it will be and I hope to be at the forefront. Long live the Web!!

[Week3] The AdSense revenue share

This article is extremely intriguing to me. As an Advertising major, understanding every facet of the industry is becoming increasingly important, especially anything that involves Google or emerging advertising media. The transparency exemplified here by Google is interesting. They always seem to be this overarching entity of the Web that no one can get to or into. This is pertinent information for advertisers and Web domain owners alike as both would need to know what they are getting out of teaming with AdSense. The numbers expressed (68% for AdSense for content, and 51% for AdSense for search) are fair in my eyes. This is still a way of advertising that is still in its emergence phases as I'm sure Google has engineers in its offices working daily to create a better product. As the market leader for Advertising online, I would say that the market share that they are giving is worth it compared to its competitors, as was expressed.

I think Advertising is in a tough spot right now. There is a lot of uncertainty about the true future of the industry. With many new WAYS to advertise such as Google products and now Apple with iAd, I feel as though the industry is being taken away from traditional forms. It's tough to call it right now but with the continued increase on consumer use of the Web and the continued decrease of traditional advertising usage (Tivo on TV commercials, less print subscriptions, etc.), the industry has no choice but to turn to these new avenues. I know I won't be naive and stay out of the loop. I foresee many changes to come to the industry within the coming years, following these trends. By the time my graduating class becomes leaders in the the ad world, what we are learning now will be rendered virtually useless. The best thing for us to do is simply follow as much as we can and invest our knowledge in the Web. That's the best advice I can give anyone. That is where ALL new jobs will stem from.