Syllabus

Discuss class goals, objectives and expectations. The Syllabus can be found on the eCompanion.

Class Blog

Several of your assignments in this course will require that you post to a class blog. Begin this week by creating a class blog for yourself.

What is the digital revolution?

  • The Digital Revolution is the change from analog/mechanical to digital technology.
  • This transition started around the late 1950s with the proliferation of digital computers, and continues through today.
  • Central to this revolution is the mass production and widespread use of computers, cellular phones, and the Internet.
  • The Digital Revolution also marked the beginning of the Information Age.

Web 1.0 and 2.0

Web 1.0 and Web 2.0 are vague, made-up terms. But for our needs, they serve as a method for marking a huge transition in how users interact with the World Wide Web.

  • Web 1.0: early websites were mostly static, allowing from no to little interaction for users; they were one-way communications much like printed documents
  • Web 2.0: beginning around 2002, web 2.0 started becoming more interactive; this transition was marked by powerful search, more flexible browsers, and web scripting that allowed users to generate content and interact with each other
Web 2.0 websites by type

Web 2.0 websites by type (source: http://bullseyenj.com/need-to-know/glossary/web-2-0)

Discussion and Blog Assignment

What do you think will mark “Web 3.0”?

Video: David Bowie speaks to Jeremy Paxman on BBC Newsnight (1999) [16:06, starting at 5:57]

Noise

Noise obscures marketing messages. It is created by such things as:

  • advertising clutter
  • consumer inattention
  • negative publicity
  • consumer confusion about the marketing message

Noise can be extensive in an online environment. The often continuous dialog between consumer and marketer increases the chances of miscommunication.

Buzz

Buzz is the conversations between consumers about your product, whether they be positive or negative. This also occurs at an accelerated rate in an online environment,

Traditional Communications Model

The traditional communications model is simple and linear. It suffered from some noise.

Message refers to the content of the brand communication. Channel refers to the method of communication (radio, television, billboard, etc.)

traditional communications model - ecommerce marketing

Traditional communications model

Interactive Communications Model

The interactive communications model has even more potential for consumers and companies to misinterpret each other, and for other types of noise.

Its channels include blogs, consumer-generated content, social media, and wikis.

interactive communications model - ecommerce marketing

Interactive communications model

Social Web

The social web is a set of social relations that link people through the World Wide Web.

Social web is a term that also encompasses how websites and software are designed in order to support social interaction.

Video: The Social Media Revolution 2014 [4:24]

Mobile Web

The mobile web refers to access to the world wide web from a handheld mobile device—such as a smartphone or a tablet—connected to a wireless network.

Video: Small Business Mobile Marketing 2014 [3:18]

How has the digital revolution changed media?

Traditional media include channels that have been around a very long time: print advertising, radio, television, billboards, etc.

These channels often have a digital presence or component now. Traditional media has been challenged to reinvent itself. Sometimes what we end up with is a hybrid where digital media and traditional media begin to blend.

Television

Digital video recorders has given viewers the power to watch show whenever they wish, and even to pass over commercials. This ability to essentially ignore to original broadcast date and time is called time shifting.

Advertising revenue has dropped significantly because of this development.

Discussion

What are the possible consequences of TV ad revenue from commercials nosediving?

Online Alternatives

Numerous online alternatives have moved into the video programming space:

  • YouTube
  • Netflix Streaming and Amazon Streaming
  • Hulu
  • Pay-Per-View

In addition, the distinctions between a television set and a computer screen are blurring.

smartHubTV

smartHubTV

Discussion

Where are you getting most of your visual entertainment these days?

How are marketers making the transition from traditional television to its online alternatives?

Radio

Radio remains on the AM and FM waves, but more and more has moved onto digital formats.

Satellite radio has become a standard feature in many new cars.

Radio stations can be heard on mobile and desktop devices via websites and apps, notably one called iHeart Radio that is owned by media megagroup iHeartMedia, formerly known as Clear Channel.

iHeart Radio

iHeart Radio

Print

Traditional newspapers have been hit hardest by digital competitors. News content websites worldwide compete for eyeballs, and most are free to read. Newspaper giants have either closed business or adapted. Many have adapted by providing online version that are monetized by banner ads, or even ceased print production entirely.

Online news sources also often provide complete coverage of entertainment, celebrity gossip, sports, and opinion as well as standard news. This is not especially new, but the ability of readers to comment immediately and carry on conversations from a distance is a big change.

Magazines are also suffering financially, but strong brands such as Vogue maintain a large print readership as well as a significant online presence.

Zinio sales page for National Geographic Interactive

Zinio sales page for National Geographic Interactive

Outdoor

Our urban landscapes have shifted to digital in a big way. Every year, more billboards and other posters are converting to a digital format. A renaissance of creativity has resulted from a format that allows for motion, sound, and emotion.

Media Fragmentation

One of the most significant effects of the digital revolution has been the fragmentation of media. In decades gone by, a marketer had to divide his or her ad spend between a small handful of channels. Now there are hundreds of channels and millions of websites. This has also meant a fragmentation of the target audience. This is coinciding with media convergence.

Today’s digital media landscape is constantly shifting, making it a real challenge for marketers to navigate.

How has the digital revolution affected consumers?

Consumer behavior has similarly been affected by the digital revolution. Consumers are able to adapt to new technology like never before.

The Consumer Adoption Curve

One result of this ability to adapt quickly is called the accelerated adoption curve.

consumer adoption curve - ecommerce marketing

Consumer adoption curve

The consumer adoption curve describes how people approach new products or technologies. It has been an institution in marketing for decades, a constant in a sea of change. Curves for technologies were measured over ten or more years.

But the curve is becoming shorter and flatter for technology. Sometimes, consumers are ready for a product before it even becomes available.

Product Research and Purchases

Consumers research and buy products in a way few imagined 30 years ago. The Web has reshaped the way we buy everything from a house to a tube of toothpaste.

The Empowered Consumer

The balance of power has changed in sales and marketing. Consumers come to the purchasing moment with a lot of control. They are informed in a way never before possible.

Discussion

How has the purchase of a car changed from, say, the 1980s?

Consumer Collaboration

Empowered consumers also want to be involved in the development of future products. Consumers can collaborate with a brand all along the way, from product design to marketing communication. Marketers call this segment of the population prosumers: those who actively influence both production and consumption.

Video: Tony Chapman: The death of traditional advertising and the rise of consumer collaboration [2:31]

Video: Avi Reichental: What’s next in 3D printing (TED) [9:14]

Who embraces the prosumer?

Well, Starbucks for one.

My Starbucks Idea prosumer consumer collaboration

Integrated Marketing Communications (IMC)

IMC presents a holistic view of marketing that does not differentiate between online and offline marketing. but sees them both as equal parts of a complete communications approach.

Video: Prometeus – The Media Revolution [5:15]