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Today: one percent of CPG commerce happens online

2018: CPG ecommerce will hit five, possibly 10 percent

It's a dramatic shift marketers should be focused on, especially if you work in the digital CPG marketing arena. According to the Grocery Manufacturers Association (GMA) in a collaborative report published late last year, the next three years will bring a huge change in the way consumers purchase packaged goods.

Today, online CPG commerce accounts for about one percent of all CPG commerce. By 2018, that number will be five percent. Shortly thereafter, we could see CPG e-commerce account for 10 percent of all CPG sales. It will actually be higher in certain categories, hitting over 30 percent in some product verticals. The big question is: what will you do about it? It's easy to assume that this shift may not affect you if you are not a CPG marketer. However, every facet of the industry will feel the impact of this revolution. You can either ignore it, ride the wave of change, or do the smart thing -- capitalize on it by preparing today.

Patrick Cartmel, SVP of client serves at HookLogic speaks to iMedia at the 2015 Clorox iConnect conference about this 1-5-10 CPG commerce shift and advice for those who want to be in the best position by 2018.

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Article written by media production manager David Zaleski and video edited by associate media producer Brian Waters.

"Close Up Of A Man Shopping Online Using Laptop With Credit Card" image via Shutterstock.

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In addition to coffee, Starbucks has managed to brew up a strong social media strategy. With one of the highest number of Twitter followers in the QSR industry, Starbucks content was retweeted 49 times more and favorited 61 times more than the sector average in November 2014. With replies comprising 99 percent of their tweets, Starbucks clearly understands the important of extending conversations beyond their cafes.

Starbucks uses Twitter primarily for customer service. Of its 6,368 tweets in November, only 34 were proactive. However, within those proactive tweets, the company found a winning recipe for aligning social strategy with business objectives. Social marketers can learn a lot from how Starbucks used Twitter Cards to target a specific audience and increase downloads of their popular mobile app.

Disparity in paid tweet engagement

We analyzed the 34 proactive Starbucks tweets from November and found that 15 were promoted (paid). There are multiple ways to promote content on Twitter, primarily through Twitter ads. One such way is with Twitter Cards -- an additional piece of real estate that allows marketers to showcase rich photos, videos, copy, clickable calls-to-action, and the like. Of the 15 promoted tweets, eight used Twitter Cards. It's interesting to note that these tweets have not been their most engaging content.

Of the eight Twitter Cards, a couple received high engagement, while others underperformed. We took a look at each of these cards to understand why one was favorited more than 16,000 times, while another received only 167 favorites -- nearly 100 times less.

Interestingly, we found that Starbucks published five of these eight cards on November 6, possibly in conjunction with an offline campaign. Of these five tweets, three promoted their Starbucks rewards offer, and two promoted their Starbucks app in the App Store, which had released an update three days prior. Starbucks published all five tweets within a 30 minute window, so the audience the tweets reached should have been about the same. Why then did the two posts for their app get 10 times more favorites than their reward program tweets?

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Let me pose a question to the marketers in the room.

Suppose you could find a way to make people believe that your company was doing good in the world. And suppose you knew, unequivocally and undeniably, that that belief -- in and of itself -- would increase your brand's perception, distinguish you from your competitors, and produce very tangible and measurable press and media exposure. Not for a month, or a quarter, but for more than a year. And possibly longer -- much longer, in fact.

The question I want to pose is this: Why on earth wouldn't you do it?

Trying to answer that question is what has propelled major brands to join with me and my company Not Impossible to back projects that have helped individuals around the world. We call it social innovation.

And those companies have found out a very simple and very earth-shattering fact: That this concept, the concept of building marketing around campaigns to help individuals -- start by helping one person, wind up helping many -- has begun to revolutionize the very way they perceive their communication with their customers and the public at large.

Daniel was a boy in Sudan whose arms had been blown off in the war, when a bomb landed very close to where he was standing. With Intel's help, we brought 3-D printers to Sudan and made new arms for Daniel, and -- as we all looked on with tears in our eyes -- he fed himself for the first time since the bombing. We left the printers behind, taught the locals to run them, and by doing so, started the world's first hospital-based 3-D printed prosthetics lab.

We launched Project Daniel about a year and a half ago. Within 14 weeks, we had 420 million earned media impressions with coverage spanning nearly every continent. Within 40 weeks we had more than 1 billion earned media impressions. We won nearly every media-marketing-advertising award under the sun. And recently, nearly 15 months after launching the campaign, both USA Today and Fox News ran full print and broadcast coverage on the story.

Those facts and stats are not designed to beat our chest. They are posed to prompt the question again: Would you rather create a campaign that had a typical shelf life of a month or two or a campaign that had the potential to work without being hinged on paid media, was still giving your company positive press and confirmed earned media impressions more than a year later, and was genuinely doing good things in the world? Which would you choose?

To me, this goes back to the Buckminster Fuller concept: "You never change things by fighting the existing reality," Fuller said. "To change something, build a new model that makes the existing model obsolete."

This new model of marketing, to me, is rapidly making the old model obsolete. Companies have, forever, tried to improve their image in the community by giving to social causes. "Buy my soda, shampoo, shoes," they'll say, "and we'll give 10 percent to the (fill in the blank)."

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It's been said that in a traditional ad agency, "the A Team pitches, and the B Team plays the game." This model may work for some firms, but it can really gum up the works for clients who prefer to know exactly who they are working with and who they can go to when they have questions, concerns, and creative input. This is especially true for social media firms.

The new agency model that works

In a client-centric model, it may help to think of it in terms of a ring around each client, with an entire team supporting each one. All members are trained in copy, graphics, and metrics, so when an issue arises -- an image needs replacing, new content discussed, a post edited -- anyone can handle making the necessary changes. When clients discover an entire team at their beck and call, it's more value added, especially when it means increased responsiveness, creativity, and brainpower.

Every client, whether they are small business owners in a rural town or executives of a national brand, wants to feel like they are the center of attention. In many ways running a social media campaign for a company is a lot like running your actual social media agency --  it's successful when it's engaging, resourceful, timely, and genuine.

It's worth breaking down a little further. Let's get started.

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In an always connected world, the window of opportunity to engage with a consumer is precious and fleeting. People have shorter attention spans these days, and according to the latest research by National Center for Biotechnology Information, the average attention span of a person (eight seconds) is shorter than that of a goldfish (nine seconds). To help marketers make a powerful impact in a short amount of time, consider the following seven tips which incorporate programmatic and dynamic creative optimization technologies and best practices to better target and engage with a viewer.

Creative sizes
Ensure you have multiple ad sizes and placements to maximize efficiencies -- this will ensure your ad is served to your target at the precise moment the opportunity arises.

Deliver a simple message and a strong call to action
If you include every detail about your offering, it could be overwhelming and not grab the prospect's attention. State your point and grab the viewer's attention with an intriguing call-to-action.

Avoid ad fatigue and overexposure
The use of the same standard creative can result in ad fatigue, drops in click-through rates (CTRs) and eventually drops in click per actions (CPAs). Furthermore, with retargeting campaigns, it's key to avoid serving ads to already-converted customers. Consider excluding recent converters from that ad, but instead upsell, cross-sell, or offer referral discounts.

Target recent visitors right away
Visitors to your website have a limited attention span in terms of their interest in a specific product. For instance, compared to earlier visitors, those who have visited your website during the last 48 hours are more likely to convert due to their high interest. Try to bid higher and retarget audiences based on how recently they visit.

Use campaign performance reports and insights to your advantage
It is important to ensure the campaign you're running is being properly tracked and analyzed along the way so you can better optimize and ultimately gain the results you want. Investing in marketer's solutions that give simplified yet intelligent reporting in order to leverage the insights for better return is a must!

Marketers need to invest in marketing solutions that give them such simplified, intelligent reporting so that they can leverage the insights to get better returns for their spend.

Inventory quality transparency
Ask for inventory quality reports to keep a close eye on where your ads have been served. Fraud is rampant in this ecosystem, and being smart and aware of the problems is key. Work with trusted vendors who buy inventory from quality supply sources and with those who screen their ad material for suspicious activity.

Creativity and programmatic are not mutually exclusive: Focus on DCO
Every ad should be dynamic and leverage all the audience and other signals used in programmatic media buying to make the creative relevant. This can be done by infusing first or third-party data on demographics, location, and previous website behavior to alter the headline call-to-action, image, or assets of the ad unit to ensure that the message resonates with the user. Doing this can double yield on interaction rates.

Given the Internet of Things (IoT) world we live in, with new technologies emerging all the time, the competition for a consumer's attention will become fierce. As the eight-second window of opportunity starts to shrink, marketers will increasingly rely on smarter tools and techniques to maximize their opportunities to connect with an individual. These tips will help guide marketers in the right direction as the ad world continues to better understand and embrace programmatic and dynamic creative technologies.

Kiran Gopinath is the founder and CEO at Adadyn.

On Twitter? Follow iMedia at @iMediaTweet.

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Measuring audiences: gaining insights that ensure audiences are accurately targeted

Clearly, programmatic has a long way to go before it becomes as mainstream as mobile and desktop advertising. Many marketers are afraid to let go of their manual processes and have doubts about the quality of programmatic inventory. They also fear the future of their jobs. It's up to good communicators to explain away these myths and misconceptions.

For the analytics team actually delivering impressions there is a very large challenge in programmatic execution: measuring online audiences across channels and learning more about them. The ways advertisers have traditionally gained insight into online consumers are becoming less reliable, mostly thanks to the fragmentation of devices and channels. Consumers are on the go and leave fewer reliable breadcrumbs for marketers to follow. Luckily, this challenge is being addressed every day and accurate processes for learning consumer patterns are solidifying. From location tracking to registration data, marketers are finding stronger ways to identify audiences. As devices, channels, and platforms continue to multiply, identifying consumers for programmatic delivery continues to be the biggest ongoing battle.

Few know more about programmatic audience delivery than Lauren Moores, VP of analytics at Dstillery. She speaks with iMedia at the 2015 Clorox iConnect conference about why identifying audiences to gain true insight is a big industry issue, and how marketers are addressing it.

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Article written by media production manager David Zaleski and video edited by associate media producer Brian Waters.

"Back view of a young man with head phones watching a big TV panel" image via Shutterstock.

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With Super Bowl Sunday falling the first weekend in February, it should come as no surprise that seven of the 10 brands on February's iMedia Brands in Video chart were big game advertisers.

Budweiser's adorable "Lost Dog" racked up enough viewership after the game -- 35.7 million views to be exact -- to keep it at No. 2 on the chart, dropping one spot from January. Bud Light, McDonald's, and Microsoft also maintained a place on the chart from January to February with their big game campaigns. Mazda, Nissan, and T-Mobile were three more Super Bowl brands to join the chart in February.

The Super Bowl will be the biggest advertising event of 2015. Already it has generated more than 467 million views. And because the ads are such an integral part of the Super Bowl experience, the buzz that brands can leverage around the game is unequaled even during bigger events, such as the World Cup.

But if there's one thing that online video has taught us, it's that a brand doesn't need the Super Bowl to create big viewership. All it needs is compelling creative. In February, three brands made the chart without spending $4.5 million on a Super Bowl spot.

The top brand in February, Adidas garnered a True Reach viewership of 75.5 million views, nearly 40 million views more than Budweiser. Nearly 50 million of those views came from its "Take Today" campaign, a one-minute anthem spot featuring soccer, volleyball, basketball, and football players preparing for and excelling in their sports. An inspirational voiceover plays over the video and ends with the narrator saying, "No one owns today. Take it."

The video was accompanied by 15-second clips of 16 athletes -- from rock climbers to runners -- sharing their personal stories of "taking today."

Google was the second brand on the chart not to participate in the Super Bowl. It took the No. 4 spot with 32.6 million views. Nearly 44 percent of its viewership in February came from "Friends Furever" campaign, which generated 14.2 million views.

The adorable campaign features a variety of strange animal pairings -- a cat and a chick, a dog and an orangutan, a sheep and an elephant, a dog and a lion cub -- frolicking as the "Oo De Lally" theme from Disney's "Robin Hood" plays over the footage. The video ends with the tag, "Be together. Not the same." It is a very subtle dig at Apple's closed ecosystem and a promotion of Android's inclusive one.

Samsung was the third non-Super Bowl brand to make the chart in February. It came in at No. 5 with 29.9 million views. While Samsung has advertised during the Super Bowl in the past, the electronics brand opted to leverage another event this year, the Oscars.

Brands pay big money -- not Super Bowl big, but big nonetheless -- to advertise during the Oscars, but there is rarely buzz around Oscar advertisers. (They have to compete with movie stars, after all.) Samsung, however, produced a campaign that capitalized on the theme of the night and drove a fair bit of viewership. More than 56 percent of the brand's viewership came from its awards show campaign, "Movie Magic."

The video features a woman who, after seeing a less than stellar movie, decides to make her own film using Samsung products. The amusing video shows her going all out -- shooting and editing, painting a green screen in her house, buying food for the crew, and persuading her plumber to make a cameo, all in the name of her perfect film.

How have these three brands overshadowed those that paid millions to have airtime during the most-watched television event of the year? Simply put, each developed creative that wasn't just good -- it was creative that tapped in to the emotion of its target audience.

Adidas inspired audiences in the way that only sports can, showing the lengths to which athletes go to play the game and play the game well. Android made viewers let out a collective "awwww" with its cuddly animal BFFs. And Samsung produced a campaign that was humorous but still inspiring in the sense that it shows how technology can help all of us reach for goals that might seem a little out of reach.

Each of these campaigns elicits emotion in its viewers with a message that is universally relatable. Time and time again, we've seen that a universal message and the creation of genuine emotion go farther than any placement during a big game.

Mallory Russell is content editor at Visible Measures.

iMedia's Top 10 Brands in Video chart, powered by Visible Measures, focuses on aggregated brand view counts across related social video ad campaigns. Each brand and campaign is measured on a True Reach basis, which includes viewership of both brand-syndicated and audience-driven video clips. The data are compiled using the patented Visible Measures platform, a constantly growing repository of analytic data on close to 400 million videos tracked across more than 300 online video destinations.

Note: This analysis does not include Visible Measures' paid-placement (e.g., overlays; pre-, mid-, and post-roll) performance data or video views on private sites. This chart does not include movie trailers, video game campaigns, TV show, or media network promotions. View counts are incremental by month.

Learn more here.

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You don't need a lot of content to make a big impact.

Mere hours after Sen. Ted Cruz threw his hat into the ring and announced his candidacy for the highest office in the land, TedCruz.com went live. The site consists of one sober page, white text on a black background:

Unsurprisingly, social media lit up with (deservedly) derisive comments. The same would have been the case 10 years ago. Cruz is hardly the first politician to flop so spectacularly online. I can recall Rudy Giuliani's MySpace profile during his presidential bid -- the page was marked "private" so no one could see the posts.

But that was then. I don't think that today it's going too far to say that a candidate that doesn't have the foresight to secure his own name (not to mention any and all related domains) doesn't deserve my vote. It's bad decision-making. It's bad politics. It's bad content, image, spin, and PR. What would have been a big "oops" 10 or 15 years ago is now indicative of someone who (politics aside) is not making informed decisions.

Because today, digital is too important to ignore. Barack Obama owes his two terms not just to a platform that resonated with the electorate, but with one of the all-time greatest digital CRM campaigns. The White House has a chief digital officer now.

Contrast that with Cruz, who doesn't have a top-level domain in his name.

This choice, or oversight, or whatever you care to call it, speaks volumes about Ted Cruz as a leader. What kind of people has he brought on as campaign advisors if this critical element of his messaging has been completely overlooked? A president is only good as his lieutenants. It's hard to imagine a candidate who can't buy a web domain becoming the most powerful politician in the world and appointing a qualified cabinet.

My friend Vin Crosbie has pointed out that ICANN's Uniform Domain-Name Dispute-Resolution Policy (UDRP) could, in fact, return TedCruz.com to Ted Cruz, because the current owner is using it in bad faith. To do so, Cruz would have to file a complaint.
 
"I could get it for him by the end of the week," an SEO and reputation management expert commented on my Facebook page. "But he isn't going to ask."

It's going to be an interesting election season. Simply from a digital marketing perspective, I don't think the first candidate in the ring is going to be able to go the distance.

Rebecca Lieb is an analyst, digital advertising/media, for Altimeter Group.

On Twitter? Follow iMedia Connection at @iMediaTweet.

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6D Global Technologies, Inc. announced that Tandy Harris has been appointed vice president, global human resources.

Adadyn, a global advertising technology company formerly known as Ozone Media, announced its rebrand to better reflect the launch of its new technology platform.

Bitly introduced Deep Links, its new functionality that empowers marketers to drive mobile app installs and re-engagement.

Enso has appointed Shelley Ong as brand impact lead, a newly created position.

Garfield Group released a new eBook titled "Day One Branding" which discusses how and why early stage companies face the challenge to create a powerful brand.

The Guardian unveiled project Pangaea, a global digital advertising alliance with fellow founding partners CNN International, the FT and Thomson Reuters, with the Economist.

Havas Worldwide announced the addition of Coral Garvey as head of art for the New York office.

Hired.com announced that Tyler Willis has been selected as its new chief marketing officer.

Inneractive announced new hires Welby Chen as vice president and general manager of North America based in New York and Avichai Belitsky as vice president and managing director of international based in Tel Aviv.

Mindshare North America announced the appointment of Rolf Olsen as chief data officer.

Mintz + Hoke promoted Michael Perry to the position of digital technical lead.

Leadspace has just announced a partnership with Madison Logic Data.

Maxifier announced the newest director of their sales team, Kim Cheever.

Rakuten Marketing announced the acquisition of Deep Forest Media, a programmatic mobile marketing company and demand-side platform.

Siegel+Gale launched a video series called "Simplifiers," which aims to shed light on the emerging trend of simplification.

Signal announced that Patrick Venetucci will join the company as global chief operating officer (COO).

Simulmedia announced that J. Peter Ban has been promoted to chief operating officer, Adam T. Quinn has been promoted to director, advertising sales, and the company hired Lori O'Connor as general manager, entertainment, a newly created position.

Wizeline announced the public availability of a new offering designed for enterprise customers.

Editor's note: We list the companies and people alphabetically. Our bimonthly column is always looking for announcements, so please email them to agata@imediaconnection.com.

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Force-fed advertiser integration into influencer content

Here's the temptation: you connect with an influencer or an online celebrity who attracts a huge portion of your target audience, and so you begin to craft calculated content that allows your brand to shine. Sounds simple, right? After all, as the advertiser you're the one paying. Why shouldn't you be able to dictate how the content is drafted?

This is a mistake on many levels and is easily the best way to botch a partnership in this arena. First off, the audience that an online influencer attracts has no initial interest in your brand. Second, audiences are not dumb and can smell inauthenticity a mile away. Lastly, influencers are trusted people. If an audience senses they are "selling out" the influencer could lose fans and impact. All around, it's a bad idea.

The solution to this problem is equally as simple: instead of force feeding audiences custom content, allow your partner to do their job naturally. From there, give the influencer a choice of the brands that they want to work with for legitimate reasons. These reasons could range from "I love this product," to "I support their stance on social issues." It really doesn't matter as long as it's authentic. Lastly, let the influencer communicate in a transparent way why they support certain brands to their audience. Allow the brand to slip seamlessly into content where it is relevant and appropriate. If the audience knows about the partnership and believes the reason that it exists is authentic, they will not be offended when they see it. Above all, audiences don't like to be tricked.

Jordan Hoffner, CEO of Federated Media speaks with iMedia about his company and the ideal process for working with online influencers, celebrities, and content creators.

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Article written by media production manager David Zaleski and video edited by associate media producer Brian Waters.

"Photographers are taking a picture of a film star" image via Shutterstock.

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