From David James in BRW Magazine 3-9 September 2009

Managers rely heavily on advertising to make sales – but what if advertising fails to keep up with audiences.

A research note written in July by Matthew Robson, 15, for the investment bank Morgan Stanley in London has caused a stir among fund managers trying to assess the future of the media.

The note, described by the back as “one of the clearest and most thought-provoking insights we have seen”, alluded to a deep problem in the media business that has yet to be solved.

Advertising, the main revenue source of most forms of commercial media, is losing its credibility and means of access.

Robson opined that even in an online environment, teenagers find advertising “extremely annoying and pointless”.

Viewed as a product, advertising has demonstrated almost no innovation for decades. An advertisement in a newspaper or on television is little different to an ad of 50 years ago and online equivalents are mainly old-media techniques migrated into the digital environment. Ads on websites, for example, are typically electronic versions of those of either print of television. The technology may be more sophisticated but the basic structure and tactics have altered little.

The one exception is the introduction of am online search capability, probably the only seminal change since the Second World War. This favours new media and has changed the economics of advertising.

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(file under shameless self-promotion)

NLYZR: How effective is your website?

The whole team here at Sticky are very excited to announce the launch of NLYZR.com, a breakthrough website for businesses looking for an affordable way to improve their website search engine optimisation.

The Internet is now the most consumed media in Australia according to the 2009 Nielsen Annual Internet and Technology Report.

Furthermore, consumers between 15 years and 54 years account for the vast bulk of online sales, and a large proportion of those aged 18-54 spend five days a week in front of a computer.

Therefore it’s crucial that organisations have an effective web presence. NLYZR asks the question: How effective is your website?

NLYZR combines industry leading SEO software with the Inbound Marketing expertise and strategic insight of Sticky Digital.

The NLYZR website combines a mix of free and paid reports and detailed recommendations. Any business that follows the process and recommendations is assured of success.

Our Free Web NLYZR report is positioned to become the standard measure of website effectiveness in Australia. Already we have used it to assess over 600 Australian websites.

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Did you realise that the Internet is now the most consumed media in Australia?

According to the 2009 Nielsen Annual Internet and Technology Report the average Australian spends 16.1 hours per week online. This is compared to TV at 12.0 hours per week, Radio at 8.8 hours, Video at 5.4 hours, Online radio at 4.6 hours, PC video at 4.6 hours, mobile at 3.7 hours, newspaper at 2.8 hours and magazines at 2 hours.

Hold on….Australians spend more time online than consuming TV & Newspaper combined? More time online than Radio, Newspaper and Magazines combined?

So the big question for business is: are your marketing resources being allocated to the right media?

Why does the average business automatically resort to TV / Radio/ Press when devising a marketing campaign?

Of course there are issues of target markets, cost-effectiveness and clutter with all media decisions, but I am alarmed by the number of businesses still marketing like it was 1999.

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From Adnews magazine 31 July 2009

Nearly 80% of surveyed young Australian mums-to-be use the internet to research a purchase, according to a study conducted by Kidspot.

The online research surveyed 2982 Australian woman who were either mothers or or pregnant in March 2009.

In other findings from the survey, 65% of respondents have re-considered grocery brands purchased since becoming a mum.

The largest brand transience was in laundry soap and spot removers, with 55% either changing brands or intending to do so in this category after becoming pregnant of having children.

Informing 89% of young mothers’ purchase decision, word-of-mouth is the most dominant influence, with online second at 53% way ahead of TV (34%) and magazines (29%).

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Over at GetSticky I have just posted Advertisers now in charge. It discusses how the changing media landscape and the rise of Inbound Marketing now allows advertisers to become cost-effective marketers and be less reliant on the traditional media to generate audiences for them to reach. Inbound marketing is a serious paradigm shift for business owners and marketers who can now attract relevant, motivated consumers to them when they are ready to purchase.

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I’ve been reading Neil Shoebridge in BRW for  years and admire the fact that he always tells it like it is. In the current issue of BRW he is doing just that. His piece, “Advertising shift permanent” will be bad news for traditional media owners who think that things will bounce back post-recession.

Shoebridge notes that executives in FTA television and newspaper, who have suffered most from the advertising downturn,  believe that the good times will return soon and that the worst is over.

But speaking to marketers and media agency executives, Shoebridge reveals that the drop in ad spending is part of a much greater shift, rather than the economic cycle.

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Rupert Murdoch, chairman of News Corporation recently declared “the days of free news online to be over.”

Printing press originally uploaded by Travel Aficionadoonline to be over."

NEWSFLASH for Mr Murdoch: the news press no longer control their destiny. The audience is now in charge.

There’s been a lot of talk lately about newspaper publishers investigating new business models. Most of the talk has been the result of declining revenue for news press as classified advertising has migrated online.

Contrary to popular blogger opinion, newspapers aren’t dying because people don’t read newspapers anymore, or because we all get our news from the Internet. While there has been a small decline in subscriptions and sales of the printed newspaper, this isn’t the killer. Its the evaporation of the “rivers of gold” that classifieds represented which has hit the industry hardest.

Subsequently, declining revenues have resulted in cost-cutting that is now affecting quality journalism. And that’s a major concern.

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Over at GetSticky we have been exploring Bing, the new search engine from Microsoft and conducting search engine optimisation, SEO, tests on it.

Check out our first thoughts on Bing and see how our sites have performed with SEO thus far. Its certainly different to Google and could trip a few web developer up.

By the way: did you know that BING stands for But Its Not Google?

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Over at GetSticky I have just posted 5 more internet marketing tips. These specifically address the question: What do you really want from your website?

If you like the post please Digg it for us.

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Here’s an example a consumer brand utilising some creative thinking and alternative marketing  to reach their younger target demographic.

In 2007 V Energy drink launched V Raw as a way to bring V’s brand personality as a creative inspiration to life and  allow young Australians to engage, create  and participate with the brand. The core concept was to create a dream job program focused on industries notoriously hard to break into – music, fashion and design.

Since launch, V Energy Drink has placed over 80 young Australians in their dream jobs through the V Raw program, helping them find ‘where they fit’ in creative industries.

However the current economic climate is making it harder for young creatives to get their dream job. Rather than step back, V Energy drink has increased their investment on the program, adding new features to inspire and motivate consumers to follow their dream.

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