We’ve Got Updates – Right Here!

Some updates on previous posts:

giftboxesAre eReaders going to be the “got-to-have-it” gadget for holiday gifting this year? Barnes & Noble has launched its own dedicated eReader, the Nook.  They already offer an electronic book platform that can be used on PCs, iPods and other devices.   The wars are escalating as Amazon has just introduced a free application designed to enable Kindle owners to read electronic books on their PCs.  While Forrester Research reports that most bibiophiles are still looking for significant price drops (below $99) before they are willing to invest in an eReader device, will the increased number of electronic book platforms across existing and dedicated devices make the printed blockbuster a thing of the past?

lv2The Virtual Goods market is skyrocketing. US sales of virtual goods have doubled in just a single year and are expected to exceed $1 billion in 2009. And many consumers are indulging their recession- thwarted desire for luxury goods by spoiling their online alter-egos. Sales of fashion and accessories in the virtual universe Second Life account for 40% its the marketplace, as players outfit their avatars with the latest Gucci, Prada and Jimmy Choo gear that they are no longer able to afford in the real world.

And lastly, guess who’s joining the parade to Pop-up Stores? While it was played for laughs in the hit comedy “The 40-Year Old Virgin”, online auction leader eBay is planning to use temporary mobile locations to generate awareness and to familiarize shoppers with their web functionality. You saw it first… in the movies!

Battle of the eReaders

robots2Just last month, Barnes & Noble announced their new eBooks platform, explicitly seeking to take their share of the eReader market currently dominated by Amazon.com’s Kindle.

David Pogue, The New York Times’ Personal Technology writer offers a good side-by-side comparison of the two platforms in this video.  Key differences:

  • The Kindle is priced at $299 for a basic model; the eBooks platform is free to download
  • Kindle’s exclusive reader software can also be used on iPhones and iPod Touch, while B&N’s eBooks can be downloaded to any PC, Mac, iPod, Blackberry, iPhone
  • Amazon’s library covers over 345,000 titles; Barnes & Noble offers 700,000

So, who are you betting on in the battle of the eReaders?  Will electronic books replace printed editions and maybe stem the decline in reading for pleasure?

Hot off the presses - another player enters the fray: Sony just announced the launch of their own electronic reader, timed for the holiday gift season. Sony’s touchscreen-enabled reader, dubbed the Daily Edition, will retail for $399; a partnership with the New York Public Library will allow 21 day access to over 29,000 titles.

The games are on!

In the Innovation Zone

Now that summer is in full force throughout much of the country, in addition to the usual irritants – sunburn and houseguests who overstay their welcome - here come the mosquitoes!

And along with the pesky insects comes the advertising for the repellents – all types of sprays, oils and candles that are purported to keep the little buzzers away.  One unique solution appears to be the new Off! Clip-On clipOnThe product has a small, battery-powered fan that disperses the repellent to create a “personal zone of protection.”  The product must be connecting with consumers; AdAge reports sales have exceeded projections by 400%, and many retailers are experiencing out of stocks. 

What I find compelling about this product is how the manufacturer, SC Johnson has effectively leveraged technology drawn from their other brands.  SC Johnson is also the maker of Glade, with a plethora of products designed to keep your house smelling fresh (or at least not stinky!).  Note that the technology behind the Plugins Scented Oil Fan is very similar to that used on the new Off! Clip On.  What an excellent example of  amortizing the costs and benefits of innovation across two disparate product categories.

When Good Tweets Go Wrong

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Is Twitter killing the summer blockbuster?  Well, some potential blockbusters, perhaps. After opening at #1 on Friday, July 10, ”Bruno”, the follow-up to the 2006 hit “Borat” saw second night box office decline by 39%.  And that decline is being attributed by some to negative Tweet reactions by opening-night moviegoers.  As of July 26, domestic box office for “Bruno” stands at $56.6million; for comparason, at the same point of release “Borat” had earned $90.8million and was showing a positive trend.

“Bruno” is not the only summer flick that may have been done in by less than positive social media responses.  “Land of the Lost” and “Year One” are also alleged to be victims of fast-moving poor word-of-mouth driven by Twitter and other social media.

Word-of-mouth has always been an important component in driving audience to the multiplex.  Studios have long relied on those avid film fans who clog the theaters the opening weekend and then talk up the film at the water cooler Monday morning.   Marketing programs have typically been oriented to building a large opening weekend turnout, with the assumption that the studios had until at least Monday until the rest of the potential audience got the film review (positive or negative) from their movie maven friends and co-workers. 

As marketers have tried to harness the power of word-of-mouth, they have embraced a wide variety of social media,app_1_67144926522_6333 including blogs, Facebook, MySpace, etc. with a mix of carefully crafted studio-driven campaigns as well as outreach to influential social media mavens.  How many of you were inundated with friend requests to become a “Watchmen” fan  earlier this spring?

Now, with many avid film goers (and the most likely to be socially connected) ready to offer a “thumbs down”  within minutes of viewing a film, what will happen to the historical opening weekend?  Will the window of opportunity be reduced to the first showing, with the verdict in by 8pm Friday night?

Real Money for Virtual Goods?

virtual-giftsThe current issue of Fast Company highlights one of the fastest growing global industries – virtual goods.  Worldwide sales are projected to nearly double to $1.9billion from $992million in 2008.   As with many things tech, Asia is way ahead of the U.S., with consumers in China, Japan, and South Korea driving sales.

Virtual goods are anything from the flower icons you buy for friends on Facebook or MySpace to branded apparel and accessories to dress your favorite online game character.  Virtual goods are sold in four primary areas: social networks, online dating sites, games, and virtual worlds, reports Brian Balfour of Viximo .  One stat I found intriguing – FooPets members spend an average of $25 per month outfitting and feeding their virtual Fifis and Fidos, about the same amount that pet owners spend on their live animal companions.  

This year’s Virtual Goods Conference is being held in San Jose in September, I wonder if the Marriott expects to be paid with cash or virtual gifts?  So, how many of you have tapped your credit card to purchase a virtual good?  Have you been the recipient of a virtual gift – and what did you think of the giver?

ESPN: Keeping it Fresh after 30 Years

ESPNAs a sports junkie I am a big time fan of ESPN, the worldwide leader in sports.  As tuned in as I am to ESPN (I watch it as much as possible, my days begin with Mike & Mike and end with Sportscenter) I recently noticed a couple of new offerings from the sports leader:  original programming is not limited to ESPN on-air as you can now catch the talented, dry-witted Kenny Mayne on Mayne Street on ESPN online; with the April 2009 launch of Sportscenter Los Angeles, ESPN might well boast that they are the last word on the day in sports; on July 6th 2009  SportsNation - the place for sports fans to express their opinions and interact with ESPN – begins airing.  These are just a few examples of the networks commitment to innovation. When you look at the story of their beginnings, it’s clear that innovation is in ESPN’s dna.

ESPN was the brainchild of Bill Rasmussen, an unemployed sports announcer.  His vision–a 24/7 network dedicated to sports. At a time when there was no CNN or MTV, it’s easy to imagine the criticism he must have encountered. But Rasmussen was not deterred.  On September 7, 1979 ESPN was launched with Sportscenter (a daily sports news television show) which is the flagship program of the network and, 30 years later, the network has expanded into a global force.  ESPN is TV, radio and print; original programming (including sports talk shows, movies, ESPY awards) and investigative reporting; an outlet for every sport under the sun (traditional and Xtreme, local and international) and accessible on every media platform available.

For the sports aficionado or even the casual viewer, with ESPN there’s never a dull moment–from the talent to the programming. They keep it fresh by leading not following, staying true to its vision as the worldwide leader in sports and, most of all, by giving consumers what they want wherever they are.  ESPN’s track record suggests they’ve nailed it!  What can other networks learn from ESPN’s enduring success?

A Hybrid of a Promotion

Gawker Media, publisher of popular sites like Sci Fi favorite io9.com, feminist Jezebel.com and gossip hotspot Gawker.com is running an especially innovative promotion with Toyota’s Prius Hybrid.  Registered commenters (it’s free) can create their own, personalized Hybrid site, combining content from any or all of Gawker Media’s eight websites.  What do you think of this unique way to leverage a brand’s imagery into a media sponsorship?

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