Friday, March 30, 2012

The effect of Digital Media Convergence on Advertising


The Effect of Digital Media Convergence on Advertising

By Nicholas Allen 420 193 54 

Digital media convergence has led the many changes in the advertising industry. The ability of consumer to obtain multiple services on one device or in one place has led to businesses reconsidering the ways in which they reach their target audience (Jenkins 2006). In the changing world of media, audiences can be specifically targeted which makes marketing more efficient and effective.

Digital Convergence is the merging of multiple media forms, industries, cultures and practices (Jenkins 2006). Convergence is all around us, with mobile phones that have photo capabilities, as well as TV on the internet and tablets that have books and magazines on them (Dwyer 2010). Traditional advertising has had to adapt, as mass media isn't as effective as it once was and more engaging advertising is needed (Sheehan 2009). Whilst in the past advertising used a mass media approach in the hope of reaching a target market, convergence allows a targeted approach to access key markets whose response can be measured and refined.


An old McDonalds TV ad: This shows traditional Mass Marketing

Types of Convergence 

In Dwyer's, book Media Convergence (2010) he argues that digital media convergence is occurring on many different levels including technological, cultural, industrial and social.

Technological Convergence is the coming together of originally separate technologies onto one platform. For example the Apple iPhone features a camera, a personal organiser, internet browser, social media access, email access, GPS, music player and many other features . Its applications have further expanded its uses. This is one example of how devices have converged onto one central device that does (almost) everything (Jenkins 2006).


iPhone 3 advertisements showing the different features of the iPhone.

Cultural Convergence is the assimilation of once distinctive cultures into one (Dwyer 2010). With the introduction of the internet, information and culture are more easily spread around the world. Social media has also meant that new forms of social interactions are taking place. This means that the lines between different cultures can be blurred as the becomes more global.

Industrial convergence has occurred where businesses and organisations branch out and perform a number activities. Media companies are now involved with producing, distributing and combining multiple media products. For example, Yahoo7 offers information on TV shows, TV on demand, a TV guide, news and gossip from around the world, recipes and forums along with the other features of Yahoo (mail, finance, weather etc).

 The header of the Yahoo7 TV page: showing the industrial convergence that has occurred.

Social Convergence is the changing ways in which people communicate with each other and the social changes that come with this. Facebook, Twitter, Linkedin, Instagram, Lockerz and blogs are popular forms of social places on the internet. These social websites allow advertises to better target their audiences as they provide information on what their users like and want to buy.

The Challenges Convergence has on advertising 

 

Digital Media Convergence presents both opportunities and threats to advertisers. The fact that online media is cheaper and more accessible now has complicated but also given an opportunity to advertising agencies (Grainge, 2011).  On one hand convergence has decreased the effectiveness of mass marketing media such as TV or newspaper ads because people are watching/viewing the content in their own time on the internet. On the other hand convergence has placed more emphasis on one-to-one engagements and given advertisers the tools to do this (Sheehan 2009). The time spent by consumers online is ever increasing and this presents challenges in reaching the consumer to advertising companies.

Mass marketing campaigns are no longer the most effective forms of marketing. In the past, television was the biggest form of advertising along with radio and newspapers. Now, there has been an increased use in 'pull technology' such as TIVO and web-based programs, which makes it possible to avoid commercials aired on the traditional broadcast channels (Sheehan 2009). Big events such as the Superbowl, American Idol and Masterchef finales have drawn big numbers of audiences and advertising in these time slots is expensive.

TIVO has allowed commercial to be skipped.
(www.tivo.com)
This is one problem faced by advertises but the use of ads on websites and before videos has enabled advertise's to still be able to market to consumers. A benefit of this is that the ads can be more targeted to the specific user.

With an increase in knowledge, consumers have become less brand loyal and more nomadic with their time. In modern society, consumers rely on the messages of friends and family when making choices about products to purchase (Sheehan 2009). 

The solution to these challenges come in the form of online videos and social media, which have gradually grown in popularity and expanded possibilities for advertisers

Online Videos 


Video websites such as YouTube and Vimeo provide a relatively inexpensive way for businesses and organisations to advertise. Online videos have been used by advertisers since the early 2000s. The Hire a series by BMW was released in 2001. "Terry Tate - Office Linebacker" became a viral video in 2002 after it originally aired as a Superbowl commercial and more recently commercials such as The Old Spice, Evian and Dairy Milk ads have had viral success. Viral ads are much more beneficial for an organization as they are more cost effective. Businesses can also advertise around their videos or before videos on YouTube which broadens the possibilities for them.

Kony2012
The Kony 2012 movement (Sanchez-Barbosa)
Kony 2012 is a great example of how an organisation used a video to advertise for themselves on YouTube and Vimeo. Invisible Children inc released the documentary on the 5th March 2012 it spread virally around the world.
As of the 29th March the film had over 86 million views on YouTube and 16.6 million views on Vimeo. Kony 2012 showed the power social media and email. The Invisible Children website crashed after the release of the video due to the large number of people visiting it.





Social Media

 

Facebook and Twitter (www.facebook.com,
www.twitter.com)
.
The ever growing popularity of social media websites has also been very beneficial for businesses looking to advertise. Facebook, gives advertisers the ability to target consumers. Users of Facebook provide the site with information on their likes, dislikes, interests, sports and many other valuable bits of information. This information can then be used by marketers to directly target the consumer with ads on their particular interests. Within Facebook companies can also create pages for customers to like. This gives them the ability to advertise directly to the consumer and a greater likelihood of spreading viral videos and pictures as such. According to YouTube (2012), over 500 years of YouTube clips are shared on Facebook and 700 hours of YouTube clips are shared every minute on Twitter. Also 100 million people share, like or comment on YouTube clips each week. These statistics suggest that there is enormous potential in social media and online websites. Companies like Skittles have been very effective at generating a fan base. Skittles has over 21 million likes at the moment.

Mac Miller @ Irving Plaza 9/22/11
Mac Miller (MatthewMiggz)
Bands and music artists have demonstrated how valuable a marketing tool social media can be. Hip Hop artists and groups such as Mac Miller, Wiz Khalifa and Odd Future have generated worldwide cult followings from their social media pages. Mac Miller, who boasts over 2 million twitter followers and 2 million Facebook fans is an independent artist from Pittsburgh who became well known because of interaction with fans.
Using Facebook, Twitter, YouTube and UStream he marketed himself, so that he was seen as a down to earth rapper. Since then he has released a number 1 album and continues to grow his fan base. Wiz Khalifa and Odd future followed similar partterns. Tyler the Creator, of Odd future released a music video for his song Yonkers which gained his group international stardom and a recording contract.

Conclusion

Advertisers have adapted their strategies to take into account digital media convergence and use this as an effective strategy. Online videos and social networks are two examples of effective mediums for advertisers to use. Media convergence, is the coming together of traditionally separate media.

References

Dwyer, T. (2010). Media Convergence. Mcgraw Hill, Berkshire. p.p. 1-23.

Grainge, P. (2011). A Song and Dance: Branded Entertainment and Mobile Promotion. International Journal of Cultural Studies. 15 (165).

Jenkins, H. (2006). Convergence Culture: Where old and new media collide. NY University Press. 

Miggz, M. (2010). Mac Miller @ Irving Plaza 22/9/10. viewed 29th March 2012. Available: <http://www.flickr.com/photos/matthewmiggz/6176024016/>. Attribution License. 

Sheehan, K. and Morrison, D. (2009) Beyond convergence: Confluence culture and the role of the advertising agency in a changing world.  First Monday [Online], 14 (3): viewed 29th March 2012 <http://firstmonday.org/htbin/cgiwrap/bin/ojs/index.php/fm/article/view/2239/2121>

Sanchez-Barbosa,  J. (2008). Kony2012. viewed 29th March 2012. Available: <http://www.flickr.com/photos/mechiroja/6819743466/>

YouTube (2012), Statistics [online]. Available at:< http://www.youtube.com/t/press_statistics> [Accessed on the 29th March 2012]






No comments:

Post a Comment