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Mobile Recall: Targeting Smartphone Users Part 2

0 comments on this article Posted by sanjoseadmin in SJG Blog on May 15th, 2012 , tagged with , , , , , , , , , , , , , , , , , , , , , .

This article is Part 2 of an article posted on the SJG blog on 5/1/12. Mobile Recall: Targeting Smartphone Users.

 In this corner, standing at 32 gigabytes, dressed in green, we have the Android.

And in this corner, weighing in at 140 grams, with 64 gigabytes, he’s already gotten a bite taken out of him, we have the Apple.

The constant battle between Apple users and Android users has more at stake than the simple keeping up with the Jones’ style bragging rights; they are also fighting to be the biggest market share.

Recently, we posted a blog about digital media ad recall. As promised, we distributed an interoffice questionnaire to see what demographics have the highest advertisement recall, what devices they are using, and what types of digital advertisements people are remembering.

The Results

Apple is winning the consumer battle. iPhone users are consumers that advertisers want to target. Compared to Android and Blackberry users, Apple users have the highest digital advertisement recall—they also dominate the population. Half of those surveyed use an iPhone, 40% use Androids and 10% use Blackberrys. Therefore, not only do iPhone users have the highest ad recall, iPhones are the most used smartphones.

Remember back when iPhones were simply iPods? Playing music (and perhaps some games) were the original functions. Even with all the added features (apps, email and phone capabilities), people still utilize their iPhones and smartphones for music and games. According to the survey results, 75% of those who listened to music apps on their mobile could recall advertisements, and 63% could recall advertisements on their gaming apps. Moving from the general population into the bilingual acculturated Hispanic population, recall increases. Eighty percent of Hispanics surveyed said they recalled advertisements on their music and game applications.

With applications, the question, “to pay or download the ‘lite’ version,” always arises. The proverb, “why buy the cow when you can get the milk for free” fits the mobile app predicament. All but one surveyed stated they prefer free/“lite” apps as opposed to purchasing an app: an important trend. People are on their phones multiple times a day, everyday. Therefore, each time they open one of their free/“lite” apps, they are introducing themselves to advertisements.

“The results of this internal survey suggest that distracting consumers during engaging activities will increase ad recall, especially with the multicultural market,” said George L. San Jose, President and Chief Operating Officer of The San Jose Group.

What does this mean for Advertisers?

People are distracted from traditional ads. While people used to take notice to the world around them, today they seem concerned with looking at one thing: their cell phone screen. Marketers must follow the consumer from the physical world into the digital one. Advertising on mobile apps has a high success rate (especially on music and game apps). When aiming for the Hispanic market, entertainment apps are the place to go.

Currently, Apple users are the top smartphone users and correspondingly have the most recall, but they are still “duking it out” with Android. Stay tuned for a future blog on the Apple/Android debate.

                                                              


SJG Wins Big!!!

2 comments on this article Posted by sanjoseadmin in SJG Blog on May 8th, 2012 , tagged with , , , , , , , , , , , , , , , , , , , .

It has been said that imitation is the best form of praise; that may be true in a number of industries, but not for marketers. Only the most creative, strategic and innovative work receives praise – often in the form of an award win. With that said, we are thrilled to share news of our award-winning work, 2012 has indeed been a great year thus far for The San Jose Group!

Thanks to the incredible contributions our creative and public relations teams have made, both groups have been recognized by some of the industry’s most prestigious awards. SJG’s advertising team received awards for creativity, earning a Silver Telly Award for its American Family Insurance’s “Driveway Dreamer” campaign and a Bronze Telly Award and Hermes Creative Gold Award for HCCA’s campaign, “Cambia tu Mundo”: “Upside Down” (Spanish version).

SJ Public Relations also stocked up on wins, earning two awards from the Publicity Club of Chicago, an organization that honors achievements in public relations and communications across the Midwest. The team earned a Golden Trumpet Award for its National Minority Awareness Day campaign and a Silver Trumpet Award for the 2012 Rose Parade campaign, on behalf of our client, Gift of Hope Organ & Tissue Network, an organ & tissue procurement organization that serves Illinois and NW Indiana. Additionally, a Hermes Creative Platinum Award was also won.

“It is always a great honor to be recognized for the work we do on behalf of our clients; we’ve been awarded with amazing success this quarter and are looking forward to continued success for the rest of the year, ” said George L. San Jose, founder and chief creative officer of The San Jose Group.

Check out our award-winning videos and let us know what you think!


Social Media Explodes Across Latin America

0 comments on this article Posted by sanjoseadmin in SJG Blog on May 4th, 2012 , tagged with , , , , , , , , , , , , .

Remember the social media explosion of Facebook and Twitter here in the United States back in early 2009? When Facebook was growing at a rate of 600,000 users per day1 and Tweets were being tweeted at a rate of 100 million per quarter?2  It is happening again, but this time in Latin America (LatAm). Just last year alone the growth of social media usage in LatAm was staggering.

In comScore, Inc.’s, an Internet marketing research company, October 2011 study of social media activity around the world, the results found that Latin American countries surpassed the top 10 global markets when ranked by average social networking hours per visitor. Out of the 10 countries on the list, half of them were countries from LatAm3 making Facebook the top social media platform. A major contributing factor is in 2011, Latin America’s online population grew faster than any other global region. A 16% increase that totaled 129.3 million visitors. Eight out of 10 Latin Americans that access the Internet in LatAm use social media. The only region in the world that currently surpasses those numbers is the United States.

In 2011, the Latin American countries that were most engaged with social media were Argentina, which averaged 10.7 hours per visitor in December 2011, followed by Chile with 9.5 hours, Peru with 8.7 hours, Colombia with 7.6 hours and Mexico with 7.1 hours.3

The four most popular social media platforms in the region are Facebook dominating in first place, Windows Live Profile in second, Orkut in third, whose audience comes mostly from Brazil, and finally Twitter. Despite placing 4th place, like Facebook, Twitter has grown significantly with an impressive 60% increase in users last year, reaching 27 million visitors.

There are many reasons for the quick growth. The most important reason is with the growing economy in Latin America, the governments of many countries are investing millions in expanding high-speed internet access, thus being able to provide quality internet service to a greater number of people at a competitive price, like never before. A perfect example of this is Columbia, which is investing over 3 billion dollars to develop and promote internet use nationwide.4 Another interesting fact is that on average, Latin Americans tend to have twice the number of friends and family than the average American, which contributes to the acceleration of the adoption rate.5

“The future of social media is looking brighter than ever. The rate at which Facebook and Twitter are growing in Latin America is tremendous news for businesses here in the U.S.” said George L. San Jose, President and Chief Operating Officer of The San Jose Group.

This is just the beginning and great news for digital marketers and businesses because this tremendous growth of online engagement and social media now opens up a surplus of new business and communication opportunities. Because of the quickly growing economy, Latin America is becoming an even more valuable target to digital marketers. Online users are now more easily accessible than ever before. Though this begs the question, even though there are millions of new people to reach through social media, should every company be involved with this strategy? Is social media the right strategy for every business? No, it is not, but for those who can truly benefit from this method of reach, it’s all uphill from here on out. It is clear that social media isn’t a passing fad, this impressive growth that is happening throughout Latin America is impossible to ignore and proves that social media is just getting started and here to stay.

Sources:
1. Facebook: http://www.guardian.co.uk/technology/blog/2008/dec/19/facebook-growth
2 Twitter: Online blog - http://abrition.com/2012/03/22/now-twitter-has-massive-growth-after-6-years/
3. comScore, Inc: 2012 Latin America Digital Future in Focus: http://www.comscore.com/Press_Events/Press_Releases/2012/3/Social_Networking_Eclipses
_Portals_as_the_Most_Engaging_Web_Activity_in_Latin_America
4. Colombiaemb: http://colombiaemb.org/docs/Colombia%20in%20Focus/4-21-11%20Colombia%20in%20Focus%20ICT.pdf
5. Consilium: http://consiliumglobalbusinessadvisors.com/2012/04/latin_america_social_media/
 

Mobile Recall: Targeting Smartphone Users Part 1

2 comments on this article Posted by sanjoseadmin in SJG Blog on May 1st, 2012 , tagged with , , , , , , , , , , , , , , .

It is becoming impossible to escape digital advertisements these days as smartphones and tablets continue to become more advanced. In the past few years, mobile devices with internet connectivity have transitioned from luxury to necessity: Lost? Just use the GPS that comes with your phone; Hungry? Here is a list of restaurants within a five mile radius.  It is as if access to 3G or Wi-Fi networks has become a basic physiological need, fitting into Maslow’s Hierarchy of Needs bottom tier along with air, food, and water.

Because people are so dependent on their smartphones and digital media devices, they are inevitability exposed to a wide range of online advertisements. But, what types of advertisements are people actually remembering?

For instance, when I download a free app on my iPhone, I know that I’m giving a way for advertisers to target me; however, I’m not too concerned because I’d rather save the $2.07 (the average cost of an app according to 148apps.biz). After I make a move on Words-With-Friends or in between every five or so songs on Pandora, I’m hit with an advertisement. What may alarm advertisers is I don’t tend to remember any of them, begging the question: exactly how effective are the ads in the first place?

What type of internet ads are the most successful (as measured by sales/brand recall) such as: Are people more likely to respond to personalized ads like those found on Google and Facebook? Or are people more likely to notice and remember pop-up or banner ads found on any webpage?

Although this blog is proposing more questions than it is answering, one thing is clear: we take online advertisements with us everywhere we go.

According to George L. San Jose, President and Chief Operating Officer of The San Jose Group, “Advertising must connect emotionally with the audience it is targeting for the best chance of engagement and recall. Mobile is no different. Most companies buy ad placement, forgetting about the emotional connection.”

Despite my own lapse in taking real notice to online ads, according to a 2011 Compete, a Kantar Media company, Smartphone Intelligence survey, a majority of smartphone users do recall ads. The results show that 52 percent of smartphone users recall ads from their mobile apps—iPhone users specifically recall 65 percent of ads on their mobile apps. However, recall significantly drops when the smartphone users leave the mobile apps and are targeted via web browser, video ads or text message ads.

Stay tuned for our future blog to learn the results of a survey on this topic.


Mobile Devices Evolution and Impact on Our Lifestyles

6 comments on this article Posted by sanjoseadmin in SJG Blog on April 24th, 2012 , tagged with , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , .

This article is Part 2 of an article posted on the SJG blog on 3/13/12.
Mobile Devices—Our Lifestyle Connections

Mark-Paul Gosselaar appears on Late Night with Jimmy Fallon in 2009 as Zack Morris from NBC’s 1980’s sitcom, Saved by the Bell

What came first, the earbuds or the iPhone? Perhaps future generations will ponder this question when all other music mediums from records to compact discs, from 8-tracks to audio cassettes and from Walkmans to Discmans are long forgotten and the earbud headphones and iPods are as inseparable as the chicken and the egg.   - Cassandra Bremer, Junior Executive, The San Jose Group

Fact: more people go to bed and wake up with their smartphones than they do with other people. Okay well, honestly, I cannot declare that a fact, but I would be willing to believe it. Recently, my night time novels spend more time collecting dust than being read while my iPhone’s crossword, Words-With-Friends, and Draw Something apps have become a part of my bed time routine. When I wake up in the morning, next to my alarm clock, my phone is the first item I reach for to check the weather and play music.

At this point, if somebody asked me, “why do you have a cell phone?” I might look at them and respond, “why do you wear shoes? Because you need them.”

We do know smartphones have impacted our lifestyles, but not to what extent. For instance, are we as a culture, more likely to use smartphones to communicate via email, text, or phone conversation? To get some answers, we distributed a short inter office survey around The San Jose Group.

The Results

I’m willing to bet Zack Morris (Mark-Paul Gosselaar) used the cell phone in the meme (above) solely for communication purposes—it was not capable of performing other tasks. Our survey results, on the other hand, show a shift has occurred in function and usage. Communication utilities, specifically texting, emailing, and calling, just holds the majority (55%) as the most used functions; the remaining 45% falls under entertainment. In other words, almost half of the time we use our phones, we are using them for entertainment (music, games, etc.). Even more alarming, no one claimed making phone calls was his/her phone’s number one use. Instead, people stated emailing, texting, browsing, or gaming as their most used phone function.

Zack’s classic Motorola DynaTAC appeared in several episodes of Saved by the Bell, but clearly, since Zack used payphones and land lines in the show as well, he did not always carry his phone. In the twenty-first century, we carry our cells everywhere. One person surveyed said he carried his phone with him “most of the time,” the rest said they had their phones with them all of the time. Sorry Zack, we don’t blame you for not wanting to lug around that box phone, but not carrying your cell is a social taboo—why waste time sitting idly with your thoughts when you could be sharing them via text, email or Facebook? Even more confusing for Zack, some of us rely on our cell phones because we cancelled our land line services (at least that is the case for 22% of the survey group).

Today, cell phones have added convenient features and applications, simplifying our everyday lives. For instance, Zack could only use his phone to figure out the time when someone on the other extension was relaying it, while 70% of the survey group most often checks their phones and computers for the time. Additionally, cameras in Zack’s day still required film. A camera phone, to Zack, might sound like some high tech spy device; however today, the camera phone is the most popular photography mean as 70% of those surveyed claimed they use their camera phones more than their digital cameras.

“Engaging and reaching the Hispanic consumer, through mobile phones, has high impact on sales potentials for brands. Statistics prove it is a great way to drive engagement and increase brand market share,” said George L. San Jose, President and Chief Operating Officer of The San Jose Group.

What does this mean for advertisers?

People are on their cell phones for a variety of different reasons multiple times a day. During much of that time, they are browsing the internet: ninety percent of those surveyed claim to browse the internet multiple times a day; the number jumped to 100% within the Hispanic population. Browsing ranked even higher than texting as the top use of the cell phone. Because consumers, particularly Hispanic consumers, are so tuned in to their phones, cell phones are one of the best places to reach them. While Zack might have remembered your billboard back in the 1980s, perhaps today he would better remember your banner on his browser or mobile app.


A Brand is a Knot into which Relationships are Tied

3 comments on this article Posted by sanjoseadmin in SJG Blog on April 17th, 2012 , tagged with , , , , , , , , , , , , , , .

Ozzie Guillen and the Miami Marlins are in quite a predicament. Because of Guillen’s recent controversial remarks about a certain Cuban dictator, the baseball team who is all ready struggling to fill the seats in their new stadium just offended their target audience. Their target happens to be among the largest MLB fan population in the United Statesand also one of the most brand loyal populations: Cuban/Latin Americans. Guillen’s lapse in thinking before speaking may cause the Marlins to lose money and their fan base.

The Marlins had not even earned their target over, let alone built loyalty when Time Magazine released the article in which Guillen claimed to “love” and “respect” Fidel Castro. Having just begun the season with a new stadium, new management and new expectations, the Marlins were hoping to increase their fan base by gaining a following among the Latin population in Miami, particularly those residing in the neighborhoods surrounding the stadium. Now, just seven games into the season, they have obviously not earned any loyalty and are conversely facing possible boycotts until Guillen resigns or his contract is terminated.

Brand loyalty, in theory, is a two way street. I invest in your products, and you continue to provide me with top of the line goods and services with guaranteed satisfaction. In that sense, brand loyalty is about building and maintaining a relationship. As with any relationship, purchasing decisions are eased into, they do not happen instantly. Like a first date, I’ll try the brand out. It’s going okay, so I’ll take it to the next level: tell my friends about it. After a while, the brand becomes a part of my life/ identity (I don’t even consider looking at any other brands).

Much is the same when the brand relationship comes to a negative end; the fall outs are hard. If a brand offends me, they can do nothing to get me back. I might have a moment of weakness and return to the brand—give them the chance regain my trust—but most likely I’ll be calling myself an idiot when the brand lets me down again because, this time, I should have known better.

If a business takes its target for granted, then the loyalty will surly disappear (if you are not loyal to me, then why should I be loyal to you?) Right now, the Marlins are going to have to face their consumer base. Possibly Guillen’s five game suspension will be a first step towards rebuilding a relationship with the Latino fan base. Most likely this issue will not go calmly into the night, but will instead remain a shadow hanging over the organization’s head until the Marlins prove to the population in Miami that building a relationship with them is worth it.

“It’s no argument that Ozzie Guillen made a cultural mistake in his comment about Fidel Castro, as many of us have in saying things that were either offensive or taken in that manner,” said George L. San Jose, president and chief operating officer of The San Jose Group. “Ozzie has since apologized publicly for his mishap; I hope that he has learned a valuable lesson – one in which he will be forgiven so he can move forward.”


Hispanic Grocery Retailer: Bodega vs. Big-Box Store

0 comments on this article Posted by sanjoseadmin in SJG Blog on April 10th, 2012 , tagged with , , , , , , , , , , , , , .

Big-box chains have been expanding their ethnic offerings to better serve general and multicultural consumers. Supermarkets and superstores have been increasing aisle areas for ethnic products, adding signage and bilingual staff, and even revamping entire stores in areas densely populated by Hispanics.

As big (general market) businesses advance into established ethnic neighborhoods, is there room for traditional bodega-style grocery stores to survive in this context?

According to a study sponsored by the Food Marketing Institute, over half of all U.S. Hispanics shop at ethnic grocery shops (bodegas, carnicerias and panaderias) – that’s more than 25 million consumers. Only 12% of U.S. Hispanics declare bodegas as their primary store. Another key finding suggests that a third of all Hispanics’ grocery dollars are being spent in ethnic stores and smaller, local-level grocery stores. This pattern is clearer among foreign-born Hispanics as well as in heavily Hispanic areas. Their shopping behavior and frequency create a complex picture that defies simple, linear explanations.

For example, take shopping frequency among Latinos. Latinos go shopping more than three times the general market consumer average by making numerous small, fill-in trips. That’s more than three times the general market. Forty percent of these trips are to bodegas, other traditional Hispanic stores and smaller grocers. In terms of cultural drivers, Latinos tend to see shopping as a social occasion rather than a mandatory chore. They often shop in the company of their families, and take their time to select products based on quality, price and promotions. Contrary to popular belief, low-income, Spanish-dominant Hispanics are more brand loyal than their higher income U.S.-born Latino counterparts.

While Hispanics overindex at Wal-Mart and Target, the big-box advance into ethnic merchandising does not herald the end of the bodega segment, but rather a complementary relationship. Despite Spanish signage, competitive prices and bicultural staff put in place by big retail nowadays, the bodega still provides a unique shopping experience, one that is specially valued by foreign-born Latinos as well as third-generation Latinos going through nostalgic retro-acculturation. The bodega emulates market cultures and sociabilities of their native homeland. It is a place where Latinos complement their new lifestyle with an enjoyable shopping tradition.

CPG brands can only benefit from including a more nuanced approach to the bodega segment as part of their distribution and retail strategies in the Hispanic market. The bodega segment provides an additional way to increase sales and brand loyalty among a large segment of the 51 million Latinos now residing in the U.S. However, multicultural marketing expertise is necessary for successfully navigating the Hispanic consumer markets, or else marketers may miss great business opportunities.


Painful Advertising Mistakes – #2

0 comments on this article Posted by sanjoseadmin in SJG Blog on April 3rd, 2012 , tagged with , , , , , , , , , , , , , , , .

We continue our blog on Painful Advertising Mistakes when launching a campaign to a multicultural market.

Painful Mistake #2

Rule: Be mindful of Hispanic cultural beliefs.

“Come to the Bank for an ‘Action of Last Resort’”

According to “Top Ten Mistakes Companies Make Marketing to Hispanics,” by The Marketing Edge Consulting Group’s Beth Goldstein, the word “mortgage” carries negative connotations to some Spanish speaking people, for it translates to, “action of last resort.” Additionally, in some Spanish speaking countries, banks are not viewed as a place people trust, and in the United States, some Hispanic immigrants have a phobia of handling financial matters outside of the Spanish language. As a result, many Hispanics are cautious about using banking services in the United Sates. If a bank suggests a Hispanic immigrant take a mortgage out on his/her house, the immigrant might be even more cautious because he/she does not see it as a good thing, but as the last resort.

Moral of the Story: With a culture as large as the Hispanic market, advertisers must gain an understanding of the many facets of the Hispanic culture. Advertisers should educate their target audiences on their products—making sure not to use language that might scare their target market away.

Stay tuned for Painful Mistake #3 in a future blog.


Painful Advertising Mistakes

0 comments on this article Posted by sanjoseadmin in SJG Blog on March 27th, 2012 , tagged with , , , , , , , , , , , , , , .

It does not take a sociologist to realize that social norms, interests, humor, fashion and social codes such as language vary from culture to culture. Therefore, when launching a campaign to a multicultural market, advertisers and marketers alike have to avoid a few faux pas that could cost their company time, money and reputation.

According to a recent study commissioned by the Association of Hispanic Advertising Agencies (AHAA), companies who spend significant campaign funds directing advertisements toward the Hispanic market are growing more rapidly than those who do not properly budget or dismiss the Hispanic market altogether. Targeting the Hispanic market is a must-as consumers, they are too large of a segment to ignore. However, marketers must avoid mistakes and make sure they are picking up on cultural nuances.

Painful Mistake #1

Rule: Don’t just translate; transculturate.

“Are You Lactating?”

For instance, in 2006, the California Milk Processor Board (CMPB) launched their popular “Got Milk?” campaign in Spanish: “¿Tienes Leche?” However, the campaign did not reach the Hispanic market as intended when “Got Milk?” literally translated into, “Are You Lactating?”

After the CMPB caught on that their ad was lost in translation and was being misinterpreted, they switched “¿Tienes Leche?” with “¿Toma Leche?” (or “Drink Milk?”). Some still argue that “Got Milk” really does not translate to Spanish.

Moral of the Story: Instead of throwing money at an ad that probably will not be very successful if it’s just translated, educate current employees on the Spanish language and the Hispanic culture. Additionally, research the campaign’s message to make sure it will be relevant and resonate with the Hispanic audience.

In all, research should obviously be a huge part of any marketing campaign; without it, companies are wasting their time and money. Companies cannot afford to ignore the Hispanic market any longer because the Hispanic population has massive spending power: an estimated $1.3 trillion by 2013.  Just remember, spending the extra money on advertising to the Hispanic market will pay off in the end as long as advertisers pick up on their cultural nuances.

Stay tuned for Painful Mistake #2 in a future blog.

 


Trust is important, trust me.

0 comments on this article Posted by sanjoseadmin in SJG Blog on March 20th, 2012 , tagged with , , , , , , , , , , , .

 There’s a saying in small Midwest towns; “What is a jerk’s favorite thing to say?–It’s just business.” Many people tend to be more profane with this phrase, but the main point is ideas like this are formed through people’s negative perception of business transactions where profitability is top priority. Characteristics like trust and loyalty seem to take a back seat to the all mighty dollar, although these attributes are far from unimportant.

The importance of trust is clear when it comes to client relations. All organizations are leery entering into business with firms they do not trust.  Even the most charismatic salesman will not sell his product if he cannot develop meaningful relationships.

In actuality, businesses with the best reputation are not always used.  This may be because such businesses have few long-term client relationships.  In the long-standing relationships the businesses do possess, agency capabilities may not match up with the immediate needs of the client.

To put it allegorically: would you trust an electrician that you’ve known for a decade to fix your plumbing? What if your electrician told you he could fix your plumbing at a lower cost, would you let him?

Businesses that work closely with clients need to strive to be more like the metaphorical electrician. They must display a range of skills beyond normal expectations. This will not only yield a stronger relationship between firm and client, but will also leave room for profitability.

After some research it seems clear on what needs to be done on the business side to earn a higher degree of trust between clients and businesses. Here are a few qualities for which clients should look and businesses may adopt. 

1. Humility, Humor, Heart and Honesty- Overconfidence is a sign of insecurity. Too much seriousness can leave adverse impressions. Lack of compassion can lead to poor work performance. Deception can cost any company a fortune.

2. Demonstrate Trust- This is fairly easy to do. Make sure the client is kept up to date on everything the team is doing. Only use essentials when working on a project and show that profitability comes second to loyalty.

3. Be Spontaneous- Though it seems odd that a business would randomly send a care package to a client, such a gesture goes a long way—especially if it appeals to the organization’s culture.  A business should go out of its way to express the importance of the client relationship.

The goals of establishing trust and building a long-term relationship with a client go hand-in-hand.  A trustful client will stay with the company and may award projects that are outside the business’ historical capabilities.  Envision a future with the client and make trust a top priority—the profits will follow.


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