June 2009 Newsletter

Feature Story

Business Success in Hard Times

Article by: Andrew Mansinne, DOmedia CEO & Media Aficionado Extraordinaire

The out-of-home and alternative media market has seen strong, steady growth for nearly a decade. Even taking into account the rapid slowdown in U.S. business during the second half of 2008, compound annual growth rates have exceeded 20%. That’s growth that would be the envy of any industry sector. While our segment is certainly not immune to the general economic forces at work, there continues to be reasons for optimism and opportunities for growth in spite of it all.

Andrew Razeghi, a marketing professor at Northwestern University’s Kellogg School of Management, wrote a very compelling article last year, entitled Innovating through Recession. His work, analysis and insights go far beyond mere tactics in hard times. Among Professor Razeghi’s many recommendations are four that I feel are the most actionable for all of us right now.

Bring Relevance to Your Marketplace
There is always room and opportunity for new thinking, new products and new services. Your customers are “hurting” as much as you are, so now is the time for you to bring new, improved or enhanced services or products that will make their businesses more successful and will, in turn, make your offerings more valuable to them.

Know the Difference Between Price and Value
Cutting prices in tough times might seem like the prudent thing to do, especially when clients are demanding “more.” However, what about increasing the value of your service or product to them? Remember that relevance thing we just discussed? How about giving your clients more: extra service, added value to the transaction, process improvements (which saves everyone money), or even “first-to-use” access to new products that might not yet be ready for the broader marketplace? In short, cutting your prices can only lead to even deeper price cuts later on. And those who operate at a loss do not operate for long. 

Invest in Your Customers
It may be an oversimplification, but does it ever hurt to strengthen your relationship with your client base? Investing in the R&D, advertising or client outreach that in turn improves your perceived and real value to your customers creates a win-win situation for you both. Providing products and/or services that ultimately increase your client’s bottom line has the added benefit of increasing yours as well. Plus, your clients will remember who thought of them during these tough times. And good relationships are the gifts that keep on giving, long after recessions are but a distant memory.

Communicate
Again, a simple concept; however, focusing on strong communication channels is regularly overlooked or forgotten. Communication is a two-way street. It involves as much listening as it does speaking.

Communication also implies both an internal as well as an external focus. Employees are a great source of information, ideas and insights. Plus, they’re any company’s greatest resource. Employees can be the generators of new product ideas (know how the Post-it was invented?), process improvements (think: Saturn’s employee-managed assembly line) and even new customer opportunities. The cost to generate revenue from employee-generated ideas is practically negligible.

Customers can be the source of great ideas, too, if we just ask them. By trying to help solve your customer’s thorniest problem, you may just find yourself with a new product line, process improvement or revenue stream . . . and all during a recession.

Thank you for your time. We at DOmedia are interested in your thoughts, suggestions and feedback. We’d also love to hear your ideas on how to succeed in these tough economic times. Shoot us an email at theteam@domedia.com, and let us know what your company is doing to turn a down economy into business success. We’ll include top responses in next month’s newsletter.

Best Regards,

Andy Mansinne

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What's New @ DO

DOmedia Nabs Former Microsoft Exec as Chairman

One of the most promising new media exchanges, DOmedia, recently recruited Jeff Bell..." -Erik Sass, MediaPost

With more than 20 years of experience, Jeff joins us from some of the best-known brands in the industry. His passion for innovation, which has led to many award-winning campaigns in the past, is causing a lot of excitement within the DO family. After all, Jeff will guide the overall strategic direction of the company in his new role setting the stage for our continued success.

DOmedia co-founder and former chairman, Rich Langdale, will continue to play an active role with us through his position with NCT Ventures—our primary investor. In a recent press announcement, Rich said it best, “We are very fortunate to have a seasoned industry veteran like Jeff Bell at the helm of our company. Jeff’s unparalleled experience and knowledge of the industry combined with his passion for innovation will serve DOmedia well as we set out to streamline the way that buyers and sellers of alternative and out-of-home media connect.”

And now for the most exciting part: the impressive experience Jeff brings to the table. In his most recent position, he served as the Corporate Vice President of Global Marketing for the Interactive Entertainment Business (say that one ten times fast) at a little business you may have heard of called Microsoft. During his time with the company, Jeff led Xbox to its first profitable year and managed the marketing team that expanded the Xbox LIVE community from 4 million members to over 15 million!

But the big names don’t stop there. Before joining Microsoft, Jeff helped revitalize the automotive industry by returning Dodge, Jeff, and Chrysler to profitability in one heck of a turnaround from 2000 to 2006. Serving as Corporate Vice President at DaimlerChrysler, he led recognizable campaigns such as Chrysler’s “Inspiration Comes Standard,” Dodge’s “That Thang Gotta Hemi,” and “Jeep Trail-Rated.”

Advertising Age named Jeff Interactive Marketer of the Year in 2005, Entertainment Marketer of the Year in 2007, and one of the Marketing’s Top 50 in 2008. He earned his bachelor’s degree in history and Spanish from Kenyon College, his master’s degree in international economics from Johns Hopkins University, and his MBA from the University of Pennsylvania.

Because DOmedia is built on passion for innovation, creativity and leadership in the industry, Jeff Bell is a perfect fit within the company that so closely mirrors his own personal attributes. Welcome aboard!

Creative Corner

GoMobile’s Experiential Campaign Launches Miller Chill with a Twist

"Cheers" to GoMobile Advertising for their innovative mobile campaign introducing the Caribbean-inspired new light beer, Miller Chill, to the public. GoMobile Advertising (GMA), a nationally-recognized experiential advertising company, literally puts the pedal to the metal for its campaigns. As a fun alternative to traditional marketing, GMA’s specially designed billboard trucks have been shaking up the industry with their on-the-go messages.

Last summer, GoMobile transformed two of their billboard vehicles into Cuban-style beach lounges, complete with an invigorating fusion of rhythmic Cuban music. With the goal of introducing Miller’s new salt-and-lime infused beverage to the Portland and Seattle markets, the portable nightclubs featuring palm trees, sandy beaches, sun umbrellas, standing bars, thatched roofing, patio lighting and buckets of ice-cold Miller Chill were visible through the vehicles’ transparent walls. To help familiarize onlookers with Miller’s new product, the portable nightclubs also displayed two informational scrolling billboards while models passed out product information and Chill-branded premiums to the over-21 crowd. Working with local media partners, GMA’s inviting campaign on wheels created plenty of sizzle and media coverage, while driving measurable results for the client.

GMA’s innovative creative design and well-orchestrated execution earned the company a host of honors, including both a coveted EX Award (presented by Event Marketer magazine) and a regional Gold ADDY® Award, presented by the American Advertising Federation. This win qualifies GMA for the National ADDY Awards competition where they will compete in what is arguably one of the world’s most discriminating advertising competitions. Winners will be announced as part of the 2009 AAF National Convention next month.

DOmedia congratulates GoMobile Advertising on their success to date and looks forward to their next exciting street-level mobile campaign!

In the DOspotlight

Reactive

In today’s world where commercials and advertisements appear nearly everywhere you look, how can a brand stand out and connect with consumers? The solution is simple: engage your target audience. Reactive, the out-of-home digital signage company, is built entirely on the concept of audience engagement.

Reactive uses motion and interactive technology to turn a regular storefront window into a large-format digital display. These customized displays are not only interactive, but also incorporate photos, audio, and video for the ultimate brand experience. The best part: because they’re digital, content can be changed at the drop of a hat, allowing advertisers to see quickly and easily what is working . . . and what isn’t.

Reactive works off four essential elements: Motion, Touch, Media and Technology. When combined, these four elements provide the foundation for an engaging, informative and flexible campaign, giving clients the biggest bang for their buck. And it’s easy! With just one finger, customers can access information, promotions, search for listings, and learn more about the company behind the promotion. It doesn’t get easier than that.

Using their Consumer Marketing Systems (CMS), Reactive is able to measure campaign performance, providing clients with real-time results. Armed with this valuable data, advertisers can choose to change content or develop new messages on the fly if need be.

As the out-of-home ad space continues to grow and evolve, it is vital for companies to stay on top of changing demands. That’s where Reactive comes in: “Part of our job is to continually search for new, innovative ways you can engage and impress your customers. It’s simple. If you don’t keep up with new media, your market will leave you behind.”

To learn more about Reactive, click here.

Tip of the Month

Here at DOmedia, our goal is to make the process of finding the right out-of-home and alternative media for your needs as simple as possible. One way we’re doing that is by letting you in on a useful tip or trick every month, making your DOmedia experience as beneficial as we can. Have a question you’d like to see answered in the next month’s edition? Email us at theteam@domedia.com or call us at 866.939.3663.

Reach Your Audience Where They Live, Work & Play: Search by Venue

The best part about out-of-home and alternative advertising is its incredible reach potential, able to appear nearly everywhere people spend their daily lives. Through domedia.com, you can find media in the specific places your target market frequents by searching by venue. The venue search option allows you to look for media according to your target market’s lifestyle, making it easier to reach your desired audience!

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Recap of Last Month

What? You Missed the Last Issue?
It’s Okay, Here’s The Recap!

In last month’s newsletter, DOmedia highlighted a recent trend in the advertising world: cause-based marketing. In these tough times, it’s nice to see large corporations lending a helping hand to those who need it most.

What’s new at DO? Well, how much time do you have? Last month, we brought readers up-to-speed on recent changes and improvements here at DOmedia . . . possibly making the better question, “What isn’t new?”

Speaking of new, we highlighted an innovative campaign for Remy Martin that used a unique digital interactive billboard to promote upcoming parties. An equally impressive company featured in the last issue is the in-tunnel advertising firm, Submedia, who brings entertainment to the world’s subway systems.

To read the full May newsletter, click here.