I recently read that the White House has chosen an Open Source CMS (Content Management System) to develop their government Web site. This announcement caught my attention for several reasons--not only are many agencies moving their clients to open source and praising it's virtues, I also started using Drupal this past year and found it remarkably fast and easy to setup and maintain my own Web sites with quality results. Despite some criticism of open source over the years--more and more commercial (and government) developers are choosing it.

It's hard to argue against the benefits of free software, especially when results show that the software does what we expect, often exceeds expectations, and provides more opportunities for expansion than many proprietary products. While relative newcomers Drupal and Wordpress lead the pack for CMS offerings, open source mainstays such as Linux and Perl have been around for many years--not only surviving, but thriving over time. In a study by Amit Deshpande and Dirk Riehle of SAP Labs, LLC, Total Growth of Open Source results have shown that "the total amount of source code and the total number of projects double about every 14 months." Open source enables freedom for both users and developers to move & change quickly when needed, as well as providing more flexibility with software decisions such as to upgrade or not to upgrade. It's really no surprise that businesses and individuals are moving to open source at exponential rates.

Of course, Open Source has always been very much associated with Free, although there are other solid reasons to choose it beyond its cost. The pool of development resources is not limited to a specific company or provider, but instead is seemingly unlimited. As a specific open source project becomes popular, more and more developers start contributing, growing and adding to the code. Not only do they enhance the software to make it better for everyone, but they also create markets for their own support services. The better the code is--more people will use it-- and the more support is needed. Large developer communities have evolved around each software project, contributing to its growth, and administering its support. These open source communities are continually coming up with new innovations, powerful add-ons, extensions, and effective tools.

With so many open source choices available, even the ubiquitous LAMP stack (Linux, Apache, MySQL, and Perl) has come to be accepted as generic term for any completely open source application stack--substituting interchangeable parts from other sources that include "PostgreSQL, SQLLite, Apache Derby," as well as "PHP, Python, Ruby, Groovy and JavaScript." Even behemoth Microsoft has entered the game with their own Open Source CMS Platform.

Additionally, interactive ad agencies are able to offer their managed computer services at lower rates when developers take advantage of Open Source technologies. This enables clients to do more within their budgets. Every size company can now take advantage of Website integration, online advertising, and interactive media development due to the emergence of open source and accumulation of knowledge brought to us by the developer community. Businesses across industries are now embracing these technologies, taking advantage of interactive media, and using a more integrated approach to marketing with the vast number of new tools that are now available from these creative, innovative communities of developers.

A client sent me two articles to react to about online advertising.  The title that I chose for this posting states my position:  I'm not sure why people think that advertising alone should support a website.

The first article is from The Economist and is entitled The demise of a popular but unsustainable business model for the Internet now seems inevitable.  This is one of the best articles I've read that explains the reality of Internet business models, whether realistic or not.  Read the entire article at www.economist.com/opinion/displaystory.cfm?story_id=13326158.

Great explanation of the dotcom crash…
Firms sprang up to offer content and services online, in the hope that they would eventually be able to “monetise” the resulting millions of “eyeballs” by selling advertising. Things did not work out that way, though, and the result was the dotcom crash.

…and of the Web 2.0 bubble…
Google’s ability to place small, targeted text advertisements next to Internet-search results, and on other websites, meant that many of the business models thought to have been killed by the dotcom bust now rose from the grave.

….and economical realities.
The idea that you can give things away online, and hope that advertising revenue will somehow materialize later on, undoubtedly appeals to users, who enjoy free services as a result.  Ultimately, though, every business needs revenues—and advertising is not going to provide enough.

The second article is a provocative one entitled Why Advertising Is Failing On The Internet and states that advertising cannot fully support the Internet.  Read it at www.techcrunch.com/2009/03/22/why-advertising-is-failing-on-the-internet/.

Websites need to sell real products, services, information or 'access' to information like TripAdvisor.com.  Or, offer an 'experience' like LinkedIn, Facebook, YouTube, or World of Warcraft.

It's true that most people don't trust ads, online or offline.  They don't 'want' them or 'need' them.  The Internet allows users to get information from a variety of sources and from sources they trust.

But, no company expecting to maintain market share in today's economic environment is going to say "Stop telling potential customers about us." 

Organic search, paid search and display banners can increase awareness and conversions even in today's climate.  Display banner advertising works because it reaches users where they are on the Internet.  You don't advertise just with your name on the building.  You advertise in high traffic areas, too.

How does Definition 6 ensure that online advertising succeeds for our clients?   First, we're big into collaborative strategy.  How can you differentiate yourself?  How can we build synergy with your other initiatives?  Who should you target with banners?  What should the messaging be?

Bottom line:  Appropriate targeting and messaging still works online.  We go beyond traditional banners; we use rich media to make the experience engaging and interactive.

PointRoll hands out nifty little notebooks with the first page filled with Best Practices for Display Banners.  Here's a summary:

1.  Keep the campaign objective and key metrics in mind when designing banners.   Use more than one panel for displaying a lot of info or you want user interaction and engagement.  If direct response is desired, one action-focused panel is most effective.

2.  Banner animation should not be too slow or too fast; the call to action should appear immediately.

3.  Give the user a compelling reason to rollover with a clear, prominent, and relative call to action.

4.  Rollover hot spots should be as large as possible and easy to see.  On most sites, the rollover max spec is 33% of the banner.

5.  All panels should be accessible from any other panel.  Use horizontal hot spots on horizontal ads and vertical hot spots on vertical skyscraper ads.

6.  Ideally, the entire panel should be clickable, and also use a well-defined click button.

7.  Include a "loading" message that appears as the video streams in.  Users with slower connections will know the video is coming.

8.  Use video player controls for optimum usability - pause, play, and volume.

9.  Video should auto play upon user rollover.  Requiring users to "click to play" reduces video plays.

10. After video completes, include compelling, relevant call to action.

More Best Practices for display banner ads are listed at http://www.pointroll.com/best-practices.aspx.

Definition 6 can help you craft your online advertising strategy, whether it is banner ads, organic or paid search, or email marketing.  We negotiate with vendors to maximize your media spend when developing Media Plans that meet your objectives.  We design and build ads and deploy them, working with partners, such as, the search engines and PointRoll.  We do it all!

According to the Mobile Marketing Association, 89% of companies use text and multimedia messaging to reach their audiences.  Nearly one third of those companies plan to spend more than 10% percent of their marketing budgets on advertising in the text SMS marketing medium.

Short Message Service (SMS) is a low cost way to reach a large number of your customers through a device that they are sure to always have with them.  You can reach your customers during those key times when they are out holiday shopping to promote special deals and offers – or you can insert coupon codes directly into your message so that your customers can redeem them in-store.

So how does Definition 6 help customers implement SMS as a low-cost solution to direct marketing?  We offer 1-way and 2-way SMS text message campaigns, leveraging your existing web applications using SMS as a front-end.  In just a brief 2-3 week engagement, we can deliver a landing page with an opt-in and sign up form, an interface to be used to send out SMS messages to registered users and all the necessary underlying infrastructure and services as part of a SaaS model.  For more information and to talk to someone on our Business Development team for pricing, please visit the Definition 6 Contact Us page.

Jeremy Bromwell, a Definition 6 Account Coordinator, reported on a Forrester research article...

Because many interactive marketing programs are fueled by measureable results, interactive marketing will survive and even thrive during a recession.

Jeremy covered a few points that have held extremely relevant:

1. Many interactive marketing formats target the decision to buy, rather than just boosting awareness. When people are worried about spending, increasing engagement is more likely to generate sales than shouting about a brand.
2. Predictions are that online display ads won't be hit too hard, money will flow towards search engine optimization solutions and email marketing will increase and social applications will strive in the soft economy.
3. Make sure results-based interactive gets its share of the mix. Your CEO is warning your VP of advertising to prepare to cut spending. You should be whispering in his/her other ear with stats about how your targeted email marketing, search engine optimization marketing, or online advertising programs are paying off. If the dollars get cut, this will keep interactive in the mix or even increase your share of the remaining marketing dollars.

Jeremy's final thought to the group was that interactive marketing initiaves should be top-of-mind during a recession as their measurable results can be used as leverage to hold on to or even expand interactive marketing programs. The ability to tie ROI and ROAS to an interactive campaign is one of the many advantages of the channel.  Also, time to market and refinement cycles are much quicker with interactive and the cost is often lower too!  The full article can be viewed at: http://www.forrester.com/Research/Document/0,7211,45128,00.html 

Simple E-Mail Segmentation

Jeremy Bromwell and Cecilia Barella, Definition 6 Account Coordinators, recently spoke on articles they read on ClickZ...

List segmentation is often perceived as difficult or expensive; however, if you are not currently segmenting your list there are some very simple tactics you can use to better target content and improve performance of your direct email marketing efforts.

Jeremy and Cecilia explained segmenting your list based on metrics and developing 5 groups:

There are different strategies and tactics utilized to tailor your messaging for each of the above groups.  Our email marketing services can not only help you segment you subscriber list, but also develop comprehensive strategies ranging from trigger-based transactional emails, quarterly schedules, to templates that view and convert well across multiple platforms and browsers.

The full article can be viewed at: http://www.clickz.com/showPage.html?page=3629708

At Definition 6, I get this questions quite a bit, as an Interactive Advertising Agency we are often on the front lines of business managers arsenal of what to do during troubling times.  Most organizations have a flight or fight response to troubled times and we help both type of customer's needs with our core services.  I wanted to just provide two examples of why I feel the Interactive Ad Agency is a critical strategic asset for marketers today.

If you are one who is looking to "run from trouble", and I mean this to say you are thinking; "The economy is in trouble and I need to pull in the reins on spending and cut costs".  I would suggest you talk to your agency about search engine optimization solutions and move away from paid search as your only expenditure. This will allow you to earn traffic instead of pay for traffic. The effort might take a few months to begin seeing results, but the cost savings over a 6 month period will be dramatic.

If you are inclined to believe that in hard times it is time to pump up the effort. We would recommend that you look closely at leveraging your in-house email lists and focus on email marketing. By simple taking some of your existing offers from your direct mail budget and rapidly moving them to online email marketing you should be able to impact sales within 3-4 weeks and reduce costs per sale by 1/3 to 50% just by channel shifting your efforts to online.

These are certainly simple examples, but I wanted to just wanted to start a thread about what to do in uncertain times. For additional points of view on this topic check out http://www.beyondmadisonavenue.com/2008/10/invest-in-online-advertising-now/ by Brian Yalung.

More to come soon.

An article found on wwww.technologymarketing.com mentions a heightened interest in consumers viewing television programs online.  As this number grows, more and more brands are becoming content producers.  Check out the full article at: http://www.technologymarketing.com/bw/news/tech/article_display.jsp?vnu_content_id=1003808057