Blog :

Messaging Apps

Messaging Apps

When was the last time you asked someone out on a date, face-to-face? This may sound a bit prehistoric. Doesn’t it? That’s because the simple act of social interaction has been redefined by digital interaction. Mobile messaging apps have revolutionized the way people communicate.

Over 2.6 billion people have at least one mobile messaging app installed on their smartphone device. Today’s global market seems to be defined by a small handful of messaging apps. Each app offers the ability to capture a moment in ways the other cannot. The increased competition for content exposure has forced some mobile apps to implement similar features.

Recently, Instagram integrated a story feature to their app similar to Snapchat. Instagram has a much larger following than the “exclusive” Snapchat. If this new “clone” attempt by Instagram discovers a footing in the market, it shows that market disruption is more useful when one company duplicates the strengths of another and turns them into weakness.

Because of their demonstrated income streams, mobile messaging has changed the way businesses advertise. With these apps, companies are less dependent upon selling their product. Through mobile messaging apps, businesses can establish a presence and create a greater brand awareness.

Profits are often affected by who (or what) controls the information funnel. Corporate giants, such as CNN and ESPN will be distributing original content directly through Snapchat’s new feature.

They’re aggregating people’s attention and linking it to other forms of commerce,” Mitch Lasky told the New York Times. He’s a Snapchat board member and a partner at the venture-capital firm Benchmark.

Mobile messaging apps have changed the way we communicate. They are captivating, exclusive, and unique. They have changed how we share ideas and re-shaped the market, all in the palm of your hand.

Advertising and the Olympic Games

Advertising and the Olympic Games

The 2016 Olympic Games are upon us. This year, Rio de Janeiro plays host to the world’s finest athletes. They have converged upon Brazil to discover who is the best-of-the-best. While this venue remains the largest stage for national pride, corporations have established a long history using these games to highlight their dominance in the advertising marketplace.

The history of these games date back as far as 776 BC, but the first modern Olympics were held in 1896 AD, appropriately in Athens, Greece. There, we saw the Olympic Games generating revenue through advertising for the first time.

Traditionally, the rules surrounding the relationship between athletes and advertisers were quite tight. During the Rio Olympic Games, the International Olympic Committee (IOC) has provided more breathing room for advertisers. As a result of the negative feedback from athletes, regarding the advertising restrictions during the 2012 London Olympic Games, the IOC revised the restrictions contained in IOC Rule 40 of the Olympic Charter.

According to Rule 40, “except as permitted by the IOC Executive Board, no competitor, coach, trainer, or official who participates in the Olympic Games may allow his person, name, picture, or sports performances to be used for advertising purposes during the Olympic Games”. The rule was established to prevent over-commercialization, protect official Olympic sponsors, and focus on the athletes performances, not ads. Under Rule 40, only official sponsors had complete ownership of advertising during the Games. In addition, athletes were banned from tweeting or publicly mentioning their unofficial sponsors.

The Rule 40 revision still bars athletes from posting about their sponsors but allows unofficial sponsors to feature their sponsored athletes in ad campaigns during the Games. However, the ads cannot mention Olympic terminology. These terms include Olympics, Rio, summer, medal, victory, gold/silver/bronze, and performance.

Yet to qualify for these changes, U.S. athletes and unofficial sponsors had to submit waivers to the United States Olympic Committee by January 2016. In addition, the ads must have been in-market by March 27, 2016; for unofficial sponsors, this can be a problem. In order to stay relevant to the Games, those campaigns had to start in March and keep circulating until August. That can get extremely costly for brands, especially for small businesses.

Big corporations, like McDonald’s, Samsung, and Visa are all Rio official sponsors. These official sponsorships can cost as much as $200 million. This limited list of big brand sponsorships hold contracts with a select, few Olympians. The restrictions imposed by Rule 40 may do damage to the lesser-known athletes who don’t have as much recognition as other competitors.

During the Olympics, athletes tend to be at their earnings peak. Without being able to fully leverage their Olympian status, athletes cannot financially capitalize upon their global publicity. The Rule 40 change has allowed athletes and sponsors to think creatively on how to market themselves in ways that comply with the restrictions.

Under Armour, an unofficial sponsor, sponsors 250 Olympic athletes. The brand created a widely circulated ad with Michael Phelps that has been airing throughout the Olympics. The ad revolves around Phelps swimming to a song with the lyrics “the last goodbye”. The ad alludes to Phelps last Olympics while promoting the Under Armour brand. With Phelps’ Olympic prominence, it doesn’t matter that the ad is not an Olympic sponsored ad. The ad exudes Olympic undertones.

Although official sponsorships can use the Olympic ring logo and terminology, if an ad has a prominent Olympian people will think of the Olympics. Now that unofficial sponsors can now run ads with Olympians during the Olympic Games, the value of official sponsors may be devalued. With everyone on a more evenly leveled playing field, each marketing campaign fiercely competes to capture the consumers’ attention.

Social media marketing (SMM)

Social media marketing (SMM)

Business Basics

Every hour of every day, social media allows people to consistently create and share information. This constant interaction has driven companies to fully embrace social media as a vital marketing tool. It aids them in displaying their products; manufacturers connect with their returning and future customers. With over 2.3 billion active social media users, a company’s robust, social media presence will continue to solidify the company’s earnings.

Social media marketing (SMM) allows companies to market their brand on social media sites to increase traffic to their websites and stores. The goal of social media marketing is to raise brand awareness on a platform that the customer uses daily. By displaying ads on a site, home screens, or creating a company page with updates, customers are repeatedly exposed to the company profile and products. If the customer likes what the company has to offer, the customer is likely to share videos, images, ads, and articles about the enterprise. This media span reaches potential clients who have not seen the brand’s web presence. SMM allows companies to increase their brand recognition and draw in, as well as retain, customers.

Shoe manufacturer TOMS saw a huge boost in their brand recognition with their #withoutshoes campaign on Instagram. In 2015, Toms designated one day a year as “One Day Without Shoes Day.” Each year on that designated day, the company asks users to post one barefoot photo on Instagram with the hashtag #withoutshoes. For each post, one pair of shoes is donated by TOMS to a child in need. Not only did the campaign rapidly spread, but TOMS also established itself as a socially conscious driven brand. This type of savvy promotion allows customers to feel that their photo contribution and any purchase of TOMS shoes will add to a larger, positive impact on the company.

As seen in the TOMS campaign, social media marketing can increase web traffic, raise brand awareness, and broaden audience bases. Camera manufacturer GoPro frequently uses their Instagram account to show the quality of their product. GoPro extensively uses user-generated content for its Instagram page. Besides their company photos, GoPro encourages users to send in pictures of their best shots with their GoPros. This type of social media marketing not only promotes their product but helps customers to consistently use their GoPros and send in their photos with hopes of being featured on the account.

The prominence of social media in society has created a strong personalized sense of marketing. The life-blood of social media is built upon allowing people to create and share information with others. By marketing brands through ideas, social media allows people to be exposed to products they may not find elsewhere. This type of industry is not bound by a geographical location nor an allotted time slot; it is readily available. Whether the appeal comes from an ad, company page, or a friend’s referral, social media marketing is essential in staying relevant in peoples’ lives.

MAUs: Monthly Active Users vs Driving Downloads

MAUs: Monthly Active Users vs Driving Downloads

Business Basics

Online businesses need to identify their customer base to understand the relationship between themselves and their clients. How do companies measure success? Why do businesses keep track of their performance? How often should companies even keep track of certain information? These are questions critical to a business’ survival. Key Performance Indicators (KPIs) allow companies to measure almost every facet of their respective businesses interactions. With this data, they can understand their performance relative to the marketplace.

For some companies and mobile apps driving app downloads is the KPI but for those companies that operate solely digitally, a central KPI measurement is the Monthly Active Users (MAU). A standard definition of the MAU is defined as the number of “unique” users over the course of 30 days. This performance indicator is commonly used by social networking sites, digital gaming platforms, e-commerce businesses and mobile apps. MAU measurement allows digital services know who is using their product and how they use that product.

An active user is not just a person that may randomly access a site/service. An active user is determined as an individual who has created an account through email or username to access a site or service.

There are also two types of active users. There are first time users and recurring users:

  • A first time user is a new user who has accessed a site for the first time.
  • A recurring user is a user that frequents the site. It is important to clarify data to this extent when you are trying to track performance.

Ultimately it is up to the site or service to distinguish who they believe is an active user. Traditional social networking services like Facebook and Twitter have both have differing definitions:

  • Facebook defines a Monthly Active User as anyone that is a registered Facebook user, who has accessed the service through the website, messenger app, or mobile app at least one time in the last 30 days.
  • Twitter employs a slightly more complicated approach than its competitor. You must follow a minimum of 30 accounts and be followed by a third of the number of accounts you follow to be considered an active user. To put that in simpler terms, if you are a registered user who follows 30 accounts, with at least ten followers, and uses the site at least one time in 30 days, you are considered an active Twitter user.

It is crucial to measure user activity on digital platforms when examining performance especially with mobile app marketing. Calculating the metrics of Monthly Active User data is a practical industry practice. The proper manipulation of this data will help companies find the information they need to succeed.

If you need help tracking your audience’s habits, contact Colure.