Hyperlocal services surface to address growing need and market opportunity

An interesting trend seems to be taking root that provides a growing opportunity for aspiring tech entrepreneurs to tap. According to a March 2009 PhoCusWright report titled, "Hyperlocal Content Services," this trend relates to local content proliferating as new tech advances enable improved search, aggregation and distribution.  The concept of hyperlocal is introducing a new model in which content based on proximity, presence and context is delivered to users. Today MySpace announced a deal with CitySearch where the social network site will introduce MySpace Local, which is essential a social directory for local businesses and venues powered by CitySearch.  The power of the new offering will allow MySpace users to peruse local businesses and venues and see their friends' reviews.  Additionally, it will provide MySpace with a bonanza of new ad inventory where it can run geotargeted advertising.  It's no wonder that this deal was a wise one for MySpace to strike given that the local internet-advertising market has accounted for some of the fastest growth in Internet advertising in recent years, as small businesses take their marketing online.  Another new example of a hyperlocal website that today also unveiled a beta version of its service is from client, A Day's Outing, an online search tool for discovering short-distance day trips and weekend outings.  A Day's Outing takes the proximity of where someone is starting from to deliver a comprehensive list of outings and events personalized around their preferences.  It currently focuses on the Mid-Atlantic region and will continue to expand regionally. A Day's Outing represents a growing number of tech high tech startups popping up to introduce new services that deliver highly relevant, personalized, local information to users when they seek it.

Hyperlocal websites as well as smartphones are increasingly helping users access geolocation-based content such as information, advertising, events, and entertainment centered on a user's locaton and time.  While local information is abundantly available, getting it quickly and easily still leaves a lot to be desired and users seeking a better way.  Expect to see more innovative partnerships such as the MySpace/CitySearch deal as well as many other innovative companies such as A Day's Outing move to better address users' need for getting the right information when they want it.

PR tip: how to maintain your Company's goodwill

Yesterday's some of the social media biggest barometers were off the charts. Why? Facebook essentially chose to pull the rug out from under its users with a highly questionable Terms of Service (TOS) change. Almost 6,000 people have dugg Facebook's move on Digg and on Twitter yesterday both TOS and Facebook were top 5 trend topics all day and into the night. This move could have been handled differently to maintain PR goodwill. Was there only one option for Facebook to make here? I understand, as I think all users of social networks and other social media sites, that increasingly the web is opening up so sites can share data more easily with each other. When a user chooses to share their data publicly, it no longer distinctly belongs to them. However, the mistake that Facebook made was that they originally told their users that they were free to delete their account and with that account deletion, their data went with them. Then without any warning or grace period, Facebook pulls an about face (pun intended) and reneges on its own TOS with users, basically telling all 100+ million of them, guess what? We changed our mind and your data, it isn't yours any longer, it's ours and we can do whatever we want with it, whenever we want. Period. Instead of following their lawyers' advice, perhaps Facebook ought to have followed their PR team’s advice and taken a different approach. Clearly, we’re unsure how things really unfolded, but too often companies follow the legal advice (i.e.: ‘just say no comment’) instead of taking control of a developing crisis and having less fallout. Right now, Facebook has created a tremendous amount of bad will and that is unfortunate. It is a hard lesson that others may want to remember and avoid.

PR tip: how to avoid a Twitter meltdown

By now many have heard about Christian Bale and his very unprofessional melt down captured and shared among millions on YouTube, which spread like wildfire into a top 5 topic on Twitter. The following Twitter meltdown unfolded today. Thankfully, the exchange was not at all as brutal as Christian Bale's outburst but, nevertheless this could have been avoided. To set the stage, the Twitter melt down involves a male and female, one a reporter and the other a Marketing/PR representative.

The following exchange captures the f-bombs and tweets going back and forth between the two parties. April, the PR rep, wasn't naming the reporter directly when she posted a tweet, venting her frustration, just as many of us do on Twitter (yours truly included). The reporter clearly had a bad day, noticed the PR rep’s tweet and followed up in a highly abusive way with her. After the Twitter throw-down, it seemed like the reporter wanted to forget about the whole exchange and consequently tried to erase his tweets. Unfortunately, the public journo/PR fight got retweeted and suddenly it was all over. Lesson to be learned here. Before you go dropping any F-bombs via a tweet, digg post, IM, blog comment, facebook post, etc., do remember you can't erase what is out there on the ether. A public record exists and there is no turning back.   

President Obama writes new page on user engagement

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President Obama promises to usher in a new era of openness based around three priorities: communication, transparency and participation.President Obama’s theme of open communication and transparency was carried out through Facebook, SMS and Twitter updates on his campaign trail; YouTube video addresses during his transition to the Whitehouse; and user engagement post-inauguration via the new makeover of the Whitehouse.gov website.By continuing to apply a wide range of social media tools, President Obama is bypassing mainstream media channels and opting instead to reach out directly to his ardent supporters to continue engaging with them.

There’s a big takeaway in all of this for big companies and startups alike looking to build their own communities and leverage social media tools: start incorporating a digital social media strategy to accompany traditional PR efforts. For a great example, take a look at how successful Zappos.com has been with their company-wide embracement and use of Twitter as a new communication channel with their customers.

Twitter, SMS, YouTube, Facebook, blogging, Digg, Delicious, Flickr, etc. are cost-effective communication channels that are quickly becoming mainstream, enabling companies and people to reach out to their constituents and network of friends faster and farther than ever before.Social media initiatives enable companies to quickly communicate with existing customers or prospects, enhances a company’s transparency with customers, and encourages user feedback, ultimately building trust, loyalty, and goodwill. 

The power of word-of-mouth marketing

Building consumer-generated word-of-mouth is a great way for companies to enhance their overall PR efforts.  We recently applauded Amazon for its smart PR move around its push for more crowdsourcing of user-generated product reviews.  Amazon’s efforts paid off; the online retailer reported that the 2008 holiday season was its best ever.  Nielsen Online reports more than 80% of online shoppers read consumer reviews, validating their use as an important research tool for online consumers. Whether researching online as a consumer or business user, positive customer testimonials will go a long way.  Young tech startups that are looking to generate positive conversations around their own product or service need to bear in mind that it’s ultimately determined by the users’ experience.  Get that right and meet the needs of your targeted audience and, then as Amazon is learning, leveraging consumer-generated reviews as part of your online marketing efforts could reap additional viral PR and growth for your product or service.

Tradeshow thermometer check

The future of tech tradeshows is suddenly in the spotlight. Apple announced it was pulling out of Macworld after January’s event, but Apple wasn’t the only one to pull the plug on plans to exhibit: Adobe, Google and Belkin also followed suit. CES, one of the industry’s largest, is experiencing a dip in registered exhibitors as well. The reality is that tech conventions and tradeshows are costly Marketing endeavors. While established companies have more financial resources to afford tech events, tech startups need to be much more judicious with their spending and marketing dollars—particularly during the ongoing economic recession. To weather the economic storm, new Web 2.0 tools and services are serving as an affordable option for tech startups and larger companies; (online video, podcasts, screencasts, blogging, micro-blogging, social networks, etc.) to use for launching new companies and their product/services. One of our clients, for instance, has chosen to cut back on tradeshows and sponsorships, preferring to apply a branded webinar as one ongoing tool to get in front of a more targeted audience. This example lends weight to Robert Scoble’s argument that social media tools are impacting tradeshows.

However, while not an absolute requirement, tech conventions and events can help maximize the marketing and PR efforts behind the launch of a company, new product, service, or a big announcement, because it provides a venue for the company’s spokespeople to meet face-to-face with select reporters, bloggers, and analysts to articulate their story, show off their product or service, and begin building relationships with select opinion leaders. Additionally, tech events provide an opportunity for company executives to meet in-person with prospective customers and investors as well as network with potential partners. For the companies that do decide to invest in exhibiting at one of the bigger shows (i.e.: CES, GSMA, CTIA Wireless, etc.), they also need to plan months in advance and execute flawlessly in order to maximize their ability to rise above the noise. So how should you assess the value in tradeshows? Many of our clients are re-examining the audience fit, attendee interest and ROI. Is the audience qualified and interested in the technologies and solutions being offered?

Tech tradeshows are not dying and should remain on the table for companies to consider as part of their overall Marketing plan. However, just like anything these days, companies have to be highly selective in how they are investing their marketing dollars for every tech tradeshow they are considering exhibiting at or sponsoring. Tradeshow organizers would be wise to consider narrowing the scope of their event in order to attract a more highly targeted audience and appeal to tech companies that must pick and choose carefully for the foreseeable future.

Amazon makes smart PR move with crowdsourcing of holiday product reviews

Amazon issued this press release announcing its new “holiday customer review team.” The idea from Amazon is simple: appoint holiday product reviewers from its very own customers to compile lists of their favorite items in order to help other shoppers pick out that perfect gift.  The team is comprised of Amazon’s top reviewers selected for their expertise and interests based on the number and breadth of products each reviewed.  In addition to reviewing personally-selected items, Amazon’s review team were given early access to test some of the top Black Friday products for free in exchange for their reviews. 

It’s a clever idea overall; crowdsourcing that taps customers to create user-generated content in the form of product reviews to help shoppers decide on their purchases.  Some Web 2.0 startups have done phenomenally well applying this concept, including Yelp, Digg and Wikipedia.  Consumers are increasingly comfortable researching and shopping online and having access to straightforward, unbiased product reviews helps guide their selection process.  It’s also a great PR move by Amazon to recognize their most active customers who post reviews and involve them at a deeper level within their business. Amazon is building and leveraging a grassroots program to effectively connect with and expand its online community. 

Yet Amazon still needs to be mindful that it doesn’t try to sanitize or unduly influence the reviewers for any group of products, brand or manufacturer. Candy-coated reviews won’t work for consumers who have honed their screening capabilities to spot biases or questionable reviews wherever they may be (ie: TripAdvisor). If Amazon can proactively require its reviewers to make any full disclosures this will help keep the quality of these reviews in check.  Kudos to Amazon for its crowdsourcing product reviews initiative. It’s forward-thinking as well as a smart PR move to boot.

Tough times forge new opportunities for media & PR

Today’s economic downturn is affecting not just banking, housing and automotive, but all industries. As businesses adjust to weather this severe economic storm through reduced spending and layoffs, expensive advertising budgets are among the first to get slashed and the media industry is being hit hard.  Print advertising at newspapers was down 16 percent in Q2 and it is steadily contracting.  While more ad dollars are still being spent online versus print, Q3 experienced for the first time a slight decline in online ad spending.  Print media in particular is being impacted; Time Inc. is undergoing significant layoffs across its multiple titles such as People, Fortune, and Sports Illustrated.  Condé Nast was recently forced to let go of staff from its newly launched Portfolio, and Forbes underwent a restructuring to combine its web and print operations. 

Given the climate, print media has had to make tough decisions.  With the bleak outlook, some are testing out new approaches and introducing innovative changes.  The Christian Science Monitor and more recently PC Magazine, the bellwether of tech journalism, announced plans to start publishing in a 100% online-only format.  There is a small silver lining for online ad revenues; the Interactive Advertising Bureau (IAB) in conjunction with PricewaterhouseCoopers recently reported that internet advertising rose slightly in the third quarter, up 2% from the second quarter, an 11% rise from the same period last year.  Yankee Group predicts that the online ad market will reach more than $50 billion by 2011.

Traditional publications are also realizing the benefits of delivering content online to supplement print issues.  The New York Times's Pogue O'Matic and Time's Channel Podcasts are great examples that continue to operate and produce print issues but have started to post supplementary angles to their print stories in their online outlets.  The online sections are giving journalists additional space, where they can write a follow-on piece, include new perspectives, mention other players in the space, incorporate product information, post a video interview, etc.

With more ad dollars moving to the web, news outlets still have to carefully balance the mix of interactive features within their news content so that readers’ overall experience is kept in check.  Incorporating various interactive, multimedia formats and social media tools (podcasts, video chats, streaming video, photo slides) enables media outlets to engage readers and push their content out to a broader audience of readers.  Increasingly, online news sites are catering to a growing number of readers who want to share, vote, comment on or blog about the article; thus new social media buttons increasingly accompany the articles to support readers’ needs. As print publications expand their news coverage online and include new ways of engaging readers, high tech PR agencies will be afforded extended opportunities to collaborate with their clients on how they too need to leverage these expanding channels of communication, information sharing and reader engagement.