Sunday 13 February 2011

Looking at the influence of interactivity in our digital world and the importance of communicating with consumers whilst recognising implications

Digital advertising is now a mainstream activity where the online advertising industry is “now the fastest growing advertising medium” (Mcstay, 2010 p. 18). Web 2.0 allows a much higher level of person interactivity than traditional media. According to Sheizof Rafaeli, everyone is familiar with social interaction and therefore interactivity; which is seen as a two-way influence (Pavlik, 1999). This highlights how popular the internet has become for companies to advertise on. However many advertisers find it difficult in understanding how to best reach these digital audiences. There is no guideline how to best utilise digital communications for advertising which is reasonable as Andrew Mcstay describes Web 2.0 as a moving target (as are the audiences). It has become a huge challenge to constantly keep up with changes in consumers’ needs and wants as we always want more and expect more! Which hasn’t changed from the day we were born really...


Deighton (2007) states that interactive marketing has five paradigms which involved the responses consumers have in the new and interactive marketing environment.
1.       Thought tracing - is where people, like you, search the web for information and (more likely) entertainment. Here firms gather information on how you act online and provide relevant advertising.

2.       Ubiquitous connectivity- quite longwinded but is a term used to describe people who integrate computing into everyday life. Here, firms exploit information and intrude on your online browsing. For example; how Facebook targets advertising to users such as basing the advertisement on what film you have just watched online. An example is shown below:


Do you think this is effective? Or intrusive?

      In some cases advertisements target completely the wrong people in terms of their demographics. An example is shown below where a man is clearly married yet advertisements for single women and dating have popped up alongside his screen.



Have there been any times this has happened to you? If so were the advertisements relevant to you?

3.       Property exchanges – This is where people exchange goods or services for example eBay or Amazon books. Firms compete with these exchanges to work towards their marketing goals.

4.       Social exchanges – Where people build identities within virtual worlds and firms sponsor them. A good example here is HabboHotel which can be accessed by this link: www.habbo.co.uk . I used to play this online the whole time a few years back as it was very interactive and amusing. A report from Brand Republic (2007) online outlined that Habbo is sponsored by the NSPCC who used this online social network to target the teen market.


      Interactive ways of promotions included posting virtual billboards in communities for the Childline. This is also known as in-game advertising, another topic covered in my lecture. Celebrity ambassadors also visit the hotel for virtual “meet and greet” events which makes the whole experience more exciting and welcoming. See also the BBC website


     

5.       Cultural exchanges – is where people participate in cultural exchanges. Here firms can offer cultural products or sponsor such activities. An example of this can be found at www.caribeworld.org which is a website designed for cultural diversity and mutual understanding between the Caribbean and the rest of the world.

An interesting Video I found on interactivity with digital media and consumer demographics
Question- are people who they say they are online?
Ted talks introduced me to a very interesting talk from Johanna Blakely. She talks about research found on consumer demographics and how they affect media and entertainment, especially social media.
Demographics is a particular sector of the population for example; the demographic trend is towards an older population. (Oxford Dictionary Online)
It is assumed that all people who participate in such networks exist in the same categories. Today people want to find out and be a part of their friends lifestyles; creating online groups on facebook or other social networking sites such as Second Life. Here users have a chance to be whoever they choose to be without having to give out correct information. Johanna says that it is “much easier for us to escape from some of our demographic boxes”. I remember once when I was going out with a boyfriend and he knew what type of guy I liked so he created a profile on Bebo (yes a long time ago...). He created this virtual person pretending to be someone else to see if I would talk to him! Crazy. This just shows how easy it is to be fooled with false information online which could cause huge implications if you’re not careful such as on dating sites or giving away any personal information about yourself where a stranger could track you. A fatal example of this is where a guy, Alan Johnson posed as someone else on Facebook and murdered a 17-year old girl. (February 2011)
Advertising rates are still made on consumer demographics yet advertisers find it difficult to understand variables such as your age or income. On the other hand, they can keep track of what interests you as you click away online. Johanna further adds that “shared interests and values are far more useful than demographics”. I agree with this as advertisers are now finding ways to create closer relationships with consumers and trying to avoid bombarding them with irrelevant advertising.
As mentioned before about advertisements on Facebook, Johanna adds that media companies believe you are predictable in certain likes and ways in which you behave and therefore assumptions are based on your demographics. Interactivty is on the increase in online communications. With people searching for information or entertainment online, around 40% of them have a purchase motive in the hope for finding online bargains. This draws much attention to marketers and advertisers to promote their products and services online.


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