We’ve grown RMM from a five person shop in 2005 to a national company with fifty-seven employees in six states. I thought it would be valuable to share some of the keys that have propelled our growth over this time.

We’re big believers in process definition & continuous improvement. We’ve gone through almost everything we do as a company and have defined the process to ensure that we offer consistently high levels of customer service, including minimizing “dropped balls”. By clearly defining our procedures, everyone involved knows exactly what to expect from each other & we find that we can offer consistent excellence in running campaigns for customers. Defining procedures also helps us identify inefficiencies and continuously make changes to ensure maximum effectiveness. This has become critical as we run hundreds of client campaigns per month, and our growth is a testament to our teams’ ability to deliver excellence consistently.

Another key component of our process definition is employing the KISS principle.  I don’t mean dressing up like Gene Simmon’s band, but the adage “Keep It Simple, Stupid”. Online advertising involves lots of complexity; each of our display campaigns has over twenty steps from initiation to fulfillment across six different teams. There is a significant amount of work that goes into defining & refining procedures, but the bulk of the work really comes from keeping it simple: defining the mechanisms to simply handle the majority of cases, while allowing the flexibility or having exceptions for the edge cases. The hard work is to simplify a complex process.

We love automation. We use it not for the purpose of abstracting human contact & intelligence, but for mechanizing rote or routine tasks so our talented team members can focus their efforts on what they do best! We have found that investing in automation results in happier team members who are more productive and can offer more creative, “solution-oriented” responses to our advertising clients.

I’d love to hear more thoughts & ideas on how others are finding results by focusing on improving operations.

According to Nielsen’s Broadcast Season Universe Estimates, the number of television households in the US has grown from 111.4 million in 2007 to an estimated of $114.9 million by the end of 2010. The fact is that more people watching television than ever before.

Of course the growth of online video views has been explosive. According to July data from comScore, 178 million U.S. Internet users viewed online video content during the month and averaged 14.7 hours per viewer.

Content is still king when it comes to this convergence. The biggest difference is that much of what is being viewed is user generated content. YouTube has millions of channels, some with high production quality and with very low production quality. The millions of views generated by low budget content may surprise some. The one channel that comes to mind is Fred (aka Fred Figglehorn). This kid has been on YouTube for years. He gets millions of views for every video that he puts out and monetizes these views through the YouTube partnership program. I believe he’s now making a movie for Nickelodeon. We have already seen TV show start to increase distribution of content through sites like Hulu. You will start to a significant increase in web based user generated content being formatted and produced for TV.  Fred’s TV movie and shows TV shows like Web soup are just the beginning.

From a business perspective it just makes sense. If your self produced show/videos generate million of views online while drawing a certain demographic, then the TV folks already have an audience.

One of the advantages that web video has over TV is all of the real time metrics/interaction that can be tracked with advertisements.  There are several companies that are developing the same type of tracking capabilities for TV.

I’ m writing this blog entry while looking at my 32inch Apple monitor. I still prefer my 42 inch plasma for TV.  The biggest part of this E-volution will be when I’m writing my blog entry on the same screen that I watch the NFL.  In other words when TV/web surfers start using the same monitor for both that will be the biggest difference.

If you have any doubts about this convergence just think back the 1990′s. Remember dial up? Remember trying to watch a video using dial up? The very fastest modem at that time was 56kb. You often would have to wait at 20 to 30 minutes for a video to download. Things have changed at a rapid pace and unless of course the Mayan Calendar is correct, I have no doubt this convergence will happen in a big way.

So, your co-worker coaxes you to watch the trailer for Twilight when you came in for work this morning and it convinced you to be Team Edward all the way. Well, you’ll probably see the preview again in the theater a couple of times and wonder all along why you weren’t Team Jacob in the first place?  Regardless, you’ve seen the trailer twice as many times as you would’ve seen it ten years ago and you’ve invited all your friends to the midnight showing – now that’s how advertising works!

It’s almost impossible to go about your day online and not see an advertisement for an upcoming feature film.  The ad may be a banner across your e-mail server, or a pop up ad on your favorite news page.  It may even be free ticket dancing across your screen or a contest that entices you to check out the trailer.  What ever it is – online advertising for movies has become more and more aggressive since the first preview showed up on our laptops.

Take the movie Paranormal Activity.  This film was made for a dime in 2007 and sat on the shelves at Paramount for two years.  Needing to close out its fiscal year with a bang,  Paramount dusted off a copy and brought in the ad wizards.  With few dollars for marketing, a specific approach was taken: the movie would NOT carry a wide release unless 1 million votes were received on their official website, trailer included of course. And even though the indie hit was slowly making money already, the online approach to getting this film out and about was simply genius.  Once people heard about the scary flick on sites like Twitter who aggressively helped pushed the outcome by telling folks to “tweet the scream.”  People everywhere logged on to the site, watched the preview and made their choice.  When someone tells me I can’t watch a film – you better believe I will see it. And for online ad companies, this was a unique way to track what sites people were surfing, what advertisements linked them to the film’s website, how many people participated and how financially effective the campaign was. To date, Paranormal Activity has grossed $183 million worldwide so, you tell me.

Wikipedia claims that ten billion online videos including movie trailers are watched annually; while previews at movie theaters trail this number by thousands. Over 15 million people viewed the trailer for Paranormal Activity on YouTube, and that’s how online advertising has proved to be changing the film industry one click at a time.

Don’t be fooled. Yes, the snake oil hucksters that schlep keyword stuffing and link spamming are doomed, but their future was never very bright to begin with. If this is your strategy you’ll get nowhere, and if you’re paying for this then you’re wasting your money. If you’re charging someone for this, shame on you.

The core aspects of SEO, however, are needed more than ever. Google alone averages more than 200 million searches per day. With that much daily traffic, their view of your website matters. Do you really want to completely ignore the potential to earn traffic from them? Or worse, leave it entirely to chance? If you get one ten-thousandth of one percent of that (that’s 0.0001%), 200 people per day will see your site. Do that many people cross your doorstep each day? Does your phone ring that many times each day? Clearly there is an upside to paying attention to Google.

The traffic that your website receives can provide keen insight into what your target market thinks about your company. Whatever the goals of your company, your website can help you get there. Increasing sales, improving customer retention, reaching a new customer base, improving the return that you get on your AdWords spend… these are all achievable. As long as you are measuring your website’s traffic and can recognize trends, you can reach your goals.

Don’t misread the data. Yes search is changing, it has been since it started. It would be a mistake to infer that this makes SEO irrelevant. Quite the contrary, the changes that Google is making strengthen their search results, which gives people greater confidence in the answers they find through Google, which means that more people will be searching.

Optimizing your website for search is more important now than ever. Frankly, it’s irresponsible to think otherwise.

Smartphone mobile marketing. I am pretty surprised at how many my age have a smartphone, considering most are not OTP (off-the-payroll)… Anyways, welcome to my generation. A generation of late 80′s children who have gone from email to AIM to text messaging to video messaging to sending videos and pictures via phone, and managed to become the forerunners of each. We have grown up embracing change in the form of communication. I remember as a kid in elementary school emailing friends in real time. We would sit at our computers and wait for each other’s response.

ME: “Hey wasuppp?”
BFF: “Nothing much u?”

These were emails we sent. If there was no response, we came back later and tried again. It was instant messaging, before instant messaging! The movie Back to the Future was right. Only it predicted advancement in a different field. We have mastered communication.

Back to mobile. Why I chose a smartphone? It is all-in-one. No more carrying around a phone, a GPS device, an mp3/ipod player, a watch, a planner, etc. All is there. In hand, organized, and instantaneous.

For marketers I see the main smart phone mobile marketing problem as one of “personal prowess.” How does the product/service become personal to the consumer, and how do we make sure they experience this relationship? This is THE question.

A 360-degree Campaign
The message needs to be frequent and relative to the target audience. Right? However, I believe that we should go beyond that and involve more channels of communication, as many as we can to ensure a broader reach. A 360-degree campaign. This means carrying your message across all platforms that hit the target audience. Hyper-focusing on one area does not ensure success, in fact it limits the whole campaign. Smartphones are just one part of the bigger media picture, but they have increased ten-fold the opportunities for cross promotional advertising. Interaction is the name of the game. A restaurant billboard that sends a map of its nearest location to your phone, an in-store display that offers discounts to users who text-in, etc.

It’s good to note that going too broad, in regards to channels of communication, could hurt you. Therefore, breadth and depth need to be considered. We involve as many channels as we need to ensure maximum reach potential, but not so many that we are unable to create deep relationships with the consumers. Therefore, a successful 360-degree campaign will further an effective and quality-filled message via the right networks to open two-way communication between the client and target consumer.

It’s a Two-Way Street
EMarketer points out in its latest report Mobile Users and Usage: It’s Personal that,

“As mobile subscribers and the devices they use grow in sophistication, mobile will develop into a ubiquitous platform for messaging, social networking, entertainment and Web access. In turn, growing sophistication in users, devices and usage patterns will mean increased opportunities for marketers to connect with consumers, particularly among the growing population of smartphone users.

Yet marketers must take seriously the highly personal relationship users have with their mobile devices, and respect the need for a value exchange. Expecting something for nothing is not an option.”

I love that line, “…expecting something for nothing is not an option.” This is no longer a push-it-in-your-face-and-hope-you-buy-it world. Smart phones mandated a new law; Listen and respond, or be talked about. Not an easy feat.

Can we talk about this for a minute?
With all of that said, I believe that the innate and initial appeal of a product or service, in regards to the smart phone user, is the brand’s personality and openness to communication. It puts the product or service on the radar of these consumers. Without this elusive foundation, the potential dialogue could be lost. (This cannot be measured by metrics and is one of the great psychological and mysterious parts of advertising that I love.)

So, at the heart of the smart phone is; conversation. The smart phone mobile consumer is the communication forerunner. The phone they carry is ultimately their main line of contact and an extension of themselves, and they want a reason to keep a personal vested interest in your brand.

Tap into this notion and the world of smart phone users is your digital oyster. “It’s a small world after all…”

Before discussing the differences it is important to understand the terms, so here are a few definitions.

DART is DoubleClick’s campaign administration tool and is one of the industry standard tools available today. Red McCombs Media uses DART for Advertisers to count the number of clicks a banner receives.

The term analytics refers to any web analytics package. Google Analytics is probably the most widely known, but the same information applies if you’re using Clicky, Omniture, WebTrends, Mint or any other.

A cookie is a small piece of text stored on a user’s computer by the browser, and may contain user preferences, referral information, or other data used by websites. Most web analytics packages, including Google Analytics, require the use of a cookie.

A publisher site is the site on which a banner or advertisement appears.

A landing page is the target webpage for a campaign.

A click is counted by DART when a person clicks on a banner or advertisement on a publisher’s site and is redirected to a landing page to find out more information about the promotion. This is in accordance with IAB click measurement guidelines. A click is not counted when a user interacts with the banner content in some way (expanding to find out more, retracting or closing an auto expandable, adjust volume levels, play a game within the banner, etc). And, a click is not counted when it is automated via a script or web crawler.  The only way a click is counted is if a person’s web browser exits the publisher’s site.

A visit is counted by analytics when a person interacts with a landing page through a web browser, and ends when the browser is closed or shut down. This term is interchangeable with the term session. A script or web crawler would not be counted as a visit, because they are not operating within a browser.

Because clicks and visits are two different metrics being measured by two different services across two different websites, it should come as no surprise that discrepancies exist between them. Regardless of the campaign it is unlikely that there will be a one-to-one correlation between clicks and visits, and in most cases the number of clicks will be greater than the number of visits.

There are a number of reasons for discrepancies between these two metrics. According to Google Analytics Help there are four explanations for a discrepancy between clicks reported by AdWords and visits recorded by analytics. Three of these four factors also apply to banner advertisements:

• A visitor may click on your ad multiple times. If a person clicks on your ad more than once during the same session, each click will be counted but Analytics recognizes each pageview as one visit. This is a common behavior for anyone that is comparison shopping. Multiple clicks equals one visit.
• A user may click on an ad, then later, during a different session, return directly to the site through a bookmark. In this case the referral information would be retained so one click would result in multiple visits. One click equals multiple visits.
• A visitor may click on an advertisement then click back, stop or close the browser before the page fully loads. In this case the click would be counted but Analytics would not record the visit. One click equals zero visits.

The issue of correlating clicks and visits becomes more complicated when searching within analytics.  It can be challenging to identify which visits are from a specific banner campaign. The easiest way to identify the campaign traffic is through referring sites. This is how most clients identify their campaign traffic. Yet, according to documentation within DART for Publishers (login required) this is an unreliable measurement. Because there are a number of ways for an ad to be implemented on a publisher’s website, analytics could report this traffic as being referred by the page where the ad is displayed or DoubleClick.com.

We at Red McCombs Media have even seen instances where the referral information is not passed at all. This can happen when a campaign banner is served by two or more ad servers, and the cookie is either corrupted or stripped. This is an artifact of the way that the banner for a campaign is distributed to publishers. In this case the click would be counted by DART and the visit would be counted by analytics, but it would not be attributed to a referring site at all.

For these reasons it is unlikely that the number of referrer visits will match the number of visits generated by a campaign, increasing the discrepancy between clicks and visits. There are, however, steps that can be taken to ensure that analytics counts as many visits as possible.

• Use Google’s URL Builder to tag the campaign. This ensures that all of the visits that are counted will be correctly segmented and labeled, making them easy to find. If you’re using something other than Google Analytics, there should be a similar means of campaign tracking available for that specific tool.
• Ensure that the same Analytics tracking code is installed on every page of the landing website. This ensures that if a visitor navigates to another page of the site it isn’t recorded as a bounce.

Note that even with these measures the number of visits will still not match the number of clicks.

Since any comparison between clicks and visits requires data from DART and analytics, how accurate is the data being reported by these services?

According to DART’s counting methodologies whitepaper (login required), their algorithm takes measures to prevent automated clicks and they are excluded from reports if detected. Over time this strategy has proven effective, very few clicks by real users are discarded, and once a user is identified as fraudulent all subsequent clicks are discarded.

Analytics packages are generally slightly less accurate when reporting the number of visits. As mentioned above, most analytics require the use of a cookie. Users have the option of blocking or deleting cookies and ad servers may also affect cookies. According to Brian Clifton, author of Advanced Web Metrics with Google Analytics and a whitepaper on the accuracy of analytics software, these factors lead to most analytics services (including Google Analytics) slightly under reporting the number of visitors. This would be in addition to the factors suggested by Google, increasing the discrepancy between clicks and visits.

Now that you understand the factors that contribute to a discrepancy, consider its magnitude. Our experience has shown that the size of the discrepancy between clicks and visits is different for each campaign. Because of this, it’s not safe to assume what the discrepancy should be before a campaign begins. Any assumption about what the discrepancy ‘should be’ is arbitrary at best.

Because of the discrepancies between clicks and visits, in our experience, a much more meaningful metric is the landing page conversion rate. This is the rate at which visitors to your landing page convert (complete a purchase, fill out a form, download a file, etc). While it is not possible to predict what the conversion rate will be before a campaign begins, once the data begins to appear there are a number of things that can be done to optimize the campaign to convert as many visitors as possible. By taking steps to optimize the conversion rate, advertisers can maximize the return on their advertising dollar. There are quite a few books available that cover the topic of landing page optimization. If you want to avoid all that reading, Red McCombs Media offers this as a service.

There are simply too many factors that contribute to discrepancies between clicks and visits for them to be considered the same, they are two different things measured by two different tools across two different domains. The supporting articles provided should show that the industry agrees. In short, this is not an actionable metric. Landing page optimization, on the other hand, is an effective means of evaluating the performance of a banner or search campaign. Do you agree or disagree with the conclusions drawn here? Please post questions or comments below.

In the coming weeks this blog will be updated with tips for optimizing the conversion rate of your campaign.

While all of the above are components of new media, perhaps the best way to describe new media marketing is simple. New Media advertising is any traceable, quantifiable form of advertising that offers the opportunity to quickly improve campaign results based upon specific campaign goals.

Internet marketing is the only form of media that has truly embraced this philosophy of transparency. Ask yourself, why do most new media companies offer quick opt outs on contracts and why is it you can open Google account for peanuts in comparison to the cost of some traditional media? The simple answer is trackable performance. What if Google started ad words with a minimum buy of $10,000 with no cancellation and did not offer daily reporting. Where would they be today?

I have heard some traditional media folks argue, “Well, the value is in the views or this is a branding campaign, not direct response so what the point of tracking?” While these statements are true to a certain extent, “performance branding” is a big part of new media. It starts with understanding exactly how many impressions you are getting for your investment. If you are achieving a high enough click through rate or positive post impression activity your ad creative, messaging and placements are having a positive effect on your branding. On the other hand if there is very little interactivity from users then you know you must make adjustments.

The competition for ad dollars among websites is fierce. Many traditional media companies with website inventory have not figured out what new media really is. They continue to sell their website inventory the same way they sell traditional advertising. The fact is that they are competing with new media companies that track, report and optimize their client campaigns. As an advertiser, who would you go with?

New media is about trackable performance. Whether it’s branding, messaging or direct response, the goal is always results. I have heard of many tracking technologies being developed in radio and television to do what we do on the net.

Will this not be a part of New Media?