Wednesday, December 10, 2008

Gasta News: The Power of Search Networks

What the Search Engines Have Found Out About All of Us
Gasta.com European Search Network
Google has released its map of the national brain and appetites for 2008, and it turns out that many, many people across America have been asking the Internet “what is love?” and “how to kiss.”

And to tighten the focus, Google has also provided a list of search queries made by people sitting at computers in New York City.

It turns out that New Yorkers are looking for something a bit different. On a list of the 10 subjects that posted the greatest increases this year, the country as a whole was looking for Fox News and information about David Cook, the “American Idol” champion.

Neither made the New York list. Then again, the national list did not have 2 of the city’s top 10: Walter Gropius, the founder of the Bauhaus architecture school, and the Large Hadron Collider, a 17-mile circular underground tunnel in Switzerland that was built to smash protons into each other at the speed of light.

No doubt someone out in cyberspace can explain the surge of interest this year in Gropius, who has been dead since 1969 and has only one structure of any note in the city, the former Pan Am building.

The collider is easier to understand. There were worries that the crash of protons would instantly create a black hole, but in good news that was widely overlooked at the time, no hole appeared — or is it disappeared? — on Sept. 10, the day the machine was turned on. Search-engine interest in the collider promptly dropped off, as people pointed their anxieties and inquiries toward “Wall Street.” (The collider is currently on the fritz, as is Wall Street.)

On the surface, these kinds of lists are supposed to reveal what Google calls the zeitgeist of 2008, though it’s not much of a surprise that people were interested in Sarah Palin and Barack Obama. But they also provide hints of the level of personal details that people are now turning over to search engines and related businesses without much awareness.

The lists, said Lt. Col. Greg Conti, a professor of computer science at West Point, “are just major tsunami-type activities, big waves in the online searches.”

Professor Conti, the author of “Googling Security: How Much Does Google Know About You?” (Addison-Wesley, 2008), contends that Google’s internal tools make it possible to develop detailed pictures of individual interests, not just of masses of teenagers looking for the very latest about Miley Cyrus.

“A complete picture of us as individuals and as companies emerges — political leanings, medical conditions, business acquisitions signaled by job searches,” he said. “It would be very scary if we could play back every search we made. Those can be tied back very precisely to an individual. You can go all the way from individual molecules of water up to the tsunami.”

INFORMATION on the Web looks free, but it is actually swapped for little bits of data that are useful to businesses. Google records Internet protocol addresses that are generated by each computer, cookies permitted by the users, the kind of browser being used, and the operating system of the computer, said Heather Spain, a spokeswoman for Google.

After nine months, Ms. Spain said, Google “anonymises” the data it has collected.

“At that point we permanently delete the last two digits from both the I.P. address and parts of the cookie numbers,” she said. “This breaks the link between the search query and the computer it was entered from. It’s similar to the way in which credit card companies replace digits with hash marks on receipts to improve their customers’ security.”

Professor Conti said that few people have the slightest idea how much of a trail they leave across the Internet. “People tend to think they’re only leaving footprints on sites that they trust,” he said, but many Web sites contain invisible code, like Google Analytics, that can track users over swaths of the Web.

The lists of popular searches, Ms. Spain said, are the products of inquiries by millions of people and do not threaten anyone’s privacy. The tools Google provides to the public for analyzing searches generally make it possible to look at the inquiries made in a particular state, not by individual cities.

For now, surrendering personal information is the cost for asking questions and getting answers quickly. All of the privacy measures are cumbersome.

“I speak about this at hacker conferences,” Professor Conti said, “and if they say something’s hard to use, believe me, it’s hard. There’s really no solution now — except abstinence. And if you choose not to use online tools, you’re not a member of the 21st century.”
By JIM DWYER

Gasta News: Search Engines still pull in investors (Kosmix)

Kosmix Adds A Big $20 Million Round; Time Warner Leads; Ed Zander Joins
By Tameka Kee - Mon 08 Dec 2008 08:41 PM PST

Search technology company Kosmix has picked up a big $20 million in a fourth round of funding led by Time Warner Investments. Existing backers Accel Partners, Lightspeed Venture Partners and DAG Ventures also participated in the round, and interestingly, former Motorola CEO Ed Zander joining as a private investor. Mountain View, CA-based Kosmix has raised $55 million in funding since its launch in 2006 as a health-centric vertical search firm, and it has since branched out into other areas like travel. It plans to use the funds to help build out its network.
Kosmix’s search tech pulls in various kinds of content, including standard text results from engines like Google, articles and forum posts, images, video and podcasts, and aggregates it in one spot for the user. Of course, it incorporates ads within the results, but also runs its own sites, health portal RightHealth and MeeHive, a personal news aggregator. (Previous offshoots RightTravel and RightAutos have been absorbed back under the main Kosmix.com URL).
And the VCs have no major worries about the broader environment: Kosmix’s business model “should continue to generate strong revenue growth” despite the economy, according to Rachel Lam, SVP and group managing director of Time Warner (NYSE: TWX) Investments. “[It] could be an important strategic partner to many divisions of Time Warner.”

Gasta News: Microsoft still soft on Yahoo Deal

Key issues to watch in Microsoft's next bid for Yahoo's search business
Posted:
It's starting to seem inevitable: Microsoft appears poised to make another run at Yahoo's search business. The point was driven home by the selection of Qi Lu as Microsoft's new online chief last week, giving the company a former Yahoo insider to oversee the integration, if it comes to that.

Discussing Lu's hiring during an interview with the Wall Street Journal last week, Microsoft CEO Steve Ballmer all but scheduled the Yahoo negotiations.

"I think a search deal makes great sense for Microsoft, and Yahoo, and I think I've been very open about that," Ballmer told the paper. "That's as true with Qi joining us as it was before Qi joined us. Obviously the logistics of any such integration … can only be simpler by having somebody who will know both sides."

There have been so many twists and turns since Microsoft's original Yahoo acquisition bid that it's impossible to know what will come next. But assuming Microsoft gives a search deal another try, these will be some of the key issues to watch:

PARTNERSHIP OR SEARCH ACQUISITION? Microsoft hasn't been clear on this point. At the company's shareholders meeting last month, Ballmer used the phrase "search collaboration." Some media reports focus on Microsoft acquiring Yahoo's search assets.

Matt Rosoff, an analyst at Kirkland-based Directions on Microsoft, said this morning that the most logical scenario would be a partnership letting Yahoo keep its portal while redirecting search queries to Microsoft's engine and advertising system.

TIMING: The biggest complication here may be Yahoo's ongoing CEO search. Will the Sunnyvale, Calif., company engage in serious talks with Microsoft without a new chief on board? And once the new CEO is in place, how will he or she approach the possibility of a Microsoft deal? In any event, Ballmer made it clear during the WSJ interview that he wants to do something soon.

SEARCH BRAND: On the surface, at least, this seems the easiest issue to resolve. Microsoft is looking for a better search brand, and it appears ready to go off in a new direction with Kumo.com or some other new name. But were the companies to combine search operations, wouldn't the Yahoo search brand be the one to lead the way, based on market position?

PEOPLE AND LOCATIONS: Much of this will depend on the outcome of the "partnership or acquisition" question above. But depending on the agreement the companies reach, it seems reasonable to expect more of Microsoft's search operations to be based in Silicon Valley, building on the existing presence of both companies there.

ANTITRUST: With a combined total of roughly 30 percent of the U.S. search market, a Yahoo-Microsoft search deal wouldn't face nearly the regulatory hurdles that the Google-Yahoo deal did.

But things could get more complicated if the companies bring their Web portals, Web mail or instant-messaging systems into the mix, even tangentially. Particularly on an international level, the market strength of those properties could attract the attention of regulators.

The additional complication is the transition of power in the United States. Depending on how it's structured, a Microsoft-Yahoo search deal could be the first big test of U.S. antitrust policies under Obama and Eric Holder, his nominee for attorney general.

P.S.: Microsoft is holding an internal employee meeting with Lu and Ballmer this afternoon in Redmond. My request to cover it was turned down, but hopefully some details will emerge. Contact me at toddbishop@bizjournals.com.

Tuesday, December 09, 2008

Gasta Marketing News:UK searches for online discount vouchers grows 133%

UK internet searches for discount vouchers have increased by 133% over the past year, according to Hitwise UK.
Visits to voucher websites have also increased by 45% over the same period, and UK internet users searched for over 20,000 variations on the term voucher, during the 12 weeks ending 15 November.
Hitwise said UK consumers are more likely to visit retailers offering discounts and sales in the run up to Christmas.
Marks & Spencer's recent 20% off sale generated one in every 33 UK internet visits to an online retailer and ranked third behind Ebay and Amazon in Hitwise's Shopping and Classifieds category.
The retailer almost doubled its share of visits to the Department Stores category to 15.72% (from 8.32% the previous day).
During November online retailers received 5.47% of their UK internet traffic from social networks, up from 4.3% the previous year, while 3.87% came from online email services, this was lower than the previous year when 4.9% of online retailers traffic came from Email Services.
Robin Goad, director of research for Hitwise, said, "Fashion is currently the fastest growing retail sector online, and it now accounts for over 10% of all UK ecommerce traffic. One of the key factors in this success has been the way that online fashion retailers have built user communities on social networks."

Gasta Marketing: Use localised content to build a global audience

Consumers will seek out brand content, but only if it appeals to them on a local and personal level. That's why your content strategy needs to factor in context as well.
Despite the challenging economic times, organizations everywhere are still taking their business global. While there's no question that going global opens doors for many companies, who ever heard of a global consumer? Today's interactive marketing efforts need to be local, personal and focus on everything from consumption patterns to the weather.
Meaningful starts with "me"
Maybe it's because digital content is delivered to me on devices that I consider to be extremely personal: my iPod, my laptop, my smart phone. Unless I think that a marketer is truly speaking to me, the content they offer will not gain access to my wired world.
Montrealers and Parisians both speak French, n'est-ce pas? But as I have witnessed firsthand, while Quebecers "understand" brand communications aimed at their overseas brethren, they don't necessarily respond to them on an emotional level. In digital media, where the goal is to interact with your audience, a marketer needs to speak like a local.
Digital media is local -- and personal
Local terms and language are also key to a successful search strategy. Think about it: The keywords and expressions people type into search engines reflect the natural language of their region or community, not what a bilingual dictionary (or heaven forbid, Babel Fish) suggests. The takeaway? It's probably not a good idea to tap an American writer to adapt content meant for a U.K. audience.
Consider this example: A tourist board that communicates worldwide wanted to create a Spanish-language emarketing campaign. The writers in Madrid came up with teaser copy in letter-perfect Castilian. But during tests, the target consumers -- Mexicans -- said the words for "nightclubber" and "shopping" didn't correspond to local usage. The vocabulary was adjusted so it would resonate with the target audience.
You may have heard that Italians equate translation with treason in a pithy aphorism ("Traduttore, traditore"). When rolling out online marketing campaigns in multiple markets, global brands need to pay attention to the content adaptation -- or else their audiences won't pay attention at all. It's not just the words that require translation; nuances and "flavor" require adjustment as well.
Paco Rabanne just launched 1Million, a new fragrance for men, with a slick online buzz campaign in three countries: France, the U.K. and Spain. The campaign content included scores of tongue-in-cheek buzzwords and allusions to celebrity lifestyles, which demanded painstaking transposition for each local market. A straight translation simply won't do justice for a word-of-mouth campaign.
Content strategy is context strategy
Brand content that speaks to your target like a local is just the first step toward relevance. Working in markets all over the world, we've learned that an effective digital content strategy is a context strategy that factors in not only language and cultural references, but also bandwidth, technology, media consumption patterns and even climate.
Case in point: Recently, tire manufacturer BFGoodrich sought a way to connect its brand with young-adult Canadian males. How does this segment spend time online? Gaming and socializing. Given the audience and the context, it made sense to create an interactive racing game and place the application on Facebook, where players could invite their friends to compete. To make the game feel even more authentic, it was designed to reflect the harsh winter driving conditions that Canadians know so well. Successful content marketing entails approaching consumers in their contexts with content that both satisfies them and engages them with the brand.
Marketers need to meet the challenge of developing digital content for a broadening range of contexts because connected consumers now expect to interact with brands on demand: "on my terms," "in my timeframe," "on my preferred device." Ever-smarter devices and clever, specialized apps further stimulate those rising expectations.
Technology, tastes and regional behaviors also determine a user's context. If you were to map out a mobile content strategy, for example, you wouldn't take the same approach in Tokyo, where it's not uncommon for people to watch sitcoms on their phones; Paris, where passengers in the Métro can talk on their cell phones; or New York City, where people can do neither, but instead download podcasts to while away their commutes.
Once you have a handle on how, when and where your audience chooses to experience digital media, you can start creating content that your customers desire and is in line with what your brand can credibly provide. (Honestly: Do I need Lexus to teach me how to pack a picnic?)
Why serve ads? Serve content
We know from experience that consumers all over the world will welcome -- and seek out -- brand content that is valuable, targeted and offered at the point of need.

In Beijing during the Summer Olympics, wine and style enthusiasts consulted dining and nightlife recommendations offered by Australian winemaker Jacob's Creek. Celebrity bloggers recruited for the occasion wrote reviews of Jacob's Creek partner restaurants, and users were invited to post comments as well. Thousands of visitors took advantage of this useful, entertaining service provided on both web and mobile platforms.

In France, to coincide with the release of the iPhone late last year, L'Oréal Paris debuted a custom iPhone site that makes the brand's expert beauty content -- from skin analysis to product recommendations, from customer support to how-to videos -- available to consumers at their point of need, whether in the store, in a car or in front of their mirror. This is the way forward for brand communications: providing desirable digital content in a personal context, on demand.
In North America, interactive content can be a key differentiator for ecommerce sites. In a move away from a strictly utilitarian approach, successful online merchants are building relationships with online shoppers before, during and after purchase with user-generated online reviews, interactive buyers' guides, auctions, clubs, video demos and project how-to demos. Initially developed to boost SEO rankings, branded content -- particularly the bloggable, shareable kind -- is proving to be a traffic driver as well.
Get creative with content services
Think about it: Doesn't it make sense for marketers to offer consumers content rather than ads? It's a win-win situation. Consumers benefit -- for free -- from the expertise and brand-relevant services that companies can provide around their products. On their side, brands can free up the advertising dollars devoted to hiring models or filming TV spots and devote those funds instead to creating digital content services that consumers actually want and willingly connect with.
The next time you sit down to brainstorm with your interactive agency, focus on coming up with fresh ideas for content services aligned with your brand. The process is just as "creative" as coming up with a catchy tagline, but the result is far more satisfying to your audience.
Sheila Mooney is director of content development at Nurun.