Tag Archives: Business and Economy

Put It Away!

It’s Foodie Friday and today’s topic is an article I came across about something a restaurant chain is doing that I think is a fantastic idea. I’ll admit that I’m an old-school kind of a guy. When I go out to eat with family, friends, or business associates, I like to interact with them. You know: eye contact, conversation, a few laughs, that sort of thing.

That was the norm until about a dozen years ago when suddenly, everyone got smartphones. All of a sudden the table looked like the reading room at a library. Not a lot of talk and everyone with their heads down reading their phones. I hate it, especially since I generally keep my phone off the table and in a pocket when I’m drinking or dining with others. I figure if it’s an emergency, someone will call me. Responding to an email can wait a few minutes while I finish my meal and my conversation. And trust me – the intense argument on Facebook isn’t worth your time or attention.

What this restaurant chain is doing is simple and smart:

The lack of communication among its diners has prompted British restaurant chain Frankie & Benny’s to offer free meals for kids if families give up their phones when they enter the restaurant. The Italian-American restaurant…came up with the idea after examining the results of a survey it conducted about the way adults use their smartphones. After questioning 1,500 parents and children, the results revealed that around 10 percent of kids had at some point hidden their mom or dad’s handset in a bid to get their full attention. More than 70 percent of the children surveyed said they wished their parents would spend less time fiddling about on their phone, while about the same figure said it felt as if their parents preferred to be on their phone than with them.

Sad that it’s come to that but I often feel just like one of those kids. There is a broader point to be made as well. Walk into most meetings these days and one or more of the “participants” isn’t really participating because they’re preoccupied with their phone. Frankly, I’m a fan of turning phones to silent during a meeting and keeping them out of sight. If what’s going on in the room isn’t more important than what’s happening on your phone then either the meeting never should have happened or you shouldn’t be there.

I guess I have a love/hate relationship with my smartphone. I love that almost all the world’s information is right there and that I can communicate no matter where I am (I still remember running around NYC trying to find a working pay phone during a business emergency). I hate the fact that we respond like Pavlov’s dog to a beep or a buzz. I despise that we’re far less connected during our interactions even as we have the ability to be constantly connected. I didn’t like the fact that as the host I had to ask all the kids to put their phones away while the family was eating, at least for 10 or 15 minutes. You would have thought I had asked them to eat turnips.

Try putting down the phone in social situations and see if the quality of those situations doesn’t improve. Try it in meetings too. What do you have to lose?

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Filed under Thinking Aloud

More Fake News

It’s holiday time, and holiday time is shopping time. Now if you’re anything like most people, a fair amount of your shopping is done online. Even if you don’t actually buy from an online retailer, you probably do a fair amount of your research using online reviews and they are our topic today.

A marketing solution provider called Uberall released its “Customer Review Report,” which analyzed how consumers evaluate reviews online. They found that consumers think brands should be very active online responding to reviews. In fact, 65% of consumers think brands should respond to every online review every time, whether the review is positive or negative. Other observations from the study were that 18% of consumers believe brands should respond only when the review is negative, while 10% feel they should never respond, and 6% think they should only respond when the review is positive.

How do you feel about it? Personally, I think it’s critical that brands monitor the reviews of their products and not only should they respond but they should also verify. I’ve found that review verification sites such as Fakespot provide a wonderful service. I recognize that some brands actually pay for fake positive reviews in order to mask the crappy stuff they’re selling. That’s short-sighted since the revenues they make will be far offset by the costs of returns, customer service calls and maybe even lawsuits. Running an Amazon URL through Fakespot or ReviewMeta can save you a lot of trouble and also tell you a lot about how well a company curates its reputation.

There was a study a few years back that found that 20% or so of Yelp reviews were fake. You can spend $1 to get one written and you just might end up having to pay up to $40,654 to the FTC for having done so. Online reviews are a great source of, if not THE best, information for consumers and a generally accurate reflection of how your brand is perceived. You should influence that perception through positive interaction and not through creative writing. Most of all, you should respond, especially at this time of year when it’s a crucial sales period for most brands. Are you doing so?

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Filed under digital media, Growing up

Why Does Anyone Buy Digital Ads?

Billions of dollars are spent marketing via programmatic advertising. Many billions more are spent paying for app installs – money that changes hands when an ad convinces a consumer to install an app on their smartphone. Ask yourself this: in what other business do you as a customer have a pretty decent chance of being defrauded? Off the top of my head, I can think of used cars and the investment world as places where customers should tread exceptionally carefully. Each of them has a certain subculture of ripping people off and there is a small percentage of bad actors who cause the bulk of the problems.

Try to wrap your head around these numbers. Somewhere between 3% and 37% of ad impressions were found to be from robots and not actually delivered to human eyes. That doesn’t seem bad until you do the math and see that over $6 Billion is spent on fraudulent ad impressions.

Do I have your attention yet? How about this from eMarketer:

eMarketer estimates that $7.1 billion will be spent on mobile app install ads in 2018, up from $6.5 billion last year…Several companies have conducted research that indicates how expensive install fraud is for marketers. Mobile marketing analytics firm Adjust estimated that between July and September 2018, 13.7% of app installs were rejected as fraudulent. According to Tune, app-install fraud cost marketers nearly $2 billion in 2017. DataVisor stated that for some ad networks, half of their app installs are fraudulent.

Is the industry trying to solve this? Of course it is, but it’s almost a Sisyphean task. One problem is solved and another method to defraud marketers and publishers pops up, and it’s been going on this way for as long as I can remember. Even among the legitimate ad service providers, there is an industry-wide reluctance to share the “black box” of how these systems actually do what they do. Do you think it’s only the little guys? It’s not. Facebook has been sued for overreporting how much time users spent watching videos. The suit says that Facebook knows that the majority of video ads on its platform are viewed for very short periods of time—users scroll right past. They claim that if advertisers were more widely aware of this fact, and in particular, if they knew that their advertisements were among those that were not drawing viewers’ attention, they would be less likely to continue buying video advertising from Facebook.

I tell clients that they need to be extremely careful if they go beyond search engine ads into other forms of programmatic. While I am well aware of how effective digital marketing can be, I constantly wonder if the bad actors are making that effectiveness almost impossible to achieve. I don’t know why anyone would enter the sewer that the digital ad world has become, at least not without full protective gear. Am I being too critical here?

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Filed under Consulting, digital media, Huh?