Category: General Content

AT&T Plans Personalized Dynamic Ads For DirecTV Now

Posted on by Lab Team

What Happened
On Monday afternoon, AT&T announced the official launch date and pricing for its over-the-top live TV service. DirecTV Now is set to launch on November 30th and offers three different plans that range from $35 per month to $70. It will carry live programming from most major U.S. TV networks except for those owned by CBS and Showtime. By all accounts, the competitive price and rather comprehensive content offering should make it a strong contender in the growing OTT streaming market and challenge the pay-TV providers.

At launch, the same ads on networks’ normal live feeds will also appear on DirecTV Now, and AT&T will start selling VOD ad inventory for 64 channels. Down the line, however, AT&T has bigger ambitions. DirecTV Now plans to introduce data-driven personalized ads by mid-2017, which will be dynamically inserted into live programming for the two minutes of commercial time per hour that AT&T can sell. The commercials that networks sell nationally will mostly remain the same.

What Brands Should Do
According to data from the U.S. Commerce Department, the percentage of U.S. households that have cut the cord on both TV and wired broadband in favor of wireless Internet access has doubled from 10% in 2013 to 20% in 2015. With viewers increasingly choosing on-demand viewing over linear TV, brands wishing to reach consumers at scale should start exploring the advertising opportunities on the ad-supported streaming services preemptively. In that regard, DirecTV Now’s ambition in adding personalized dynamic ads to live programming coupled with AT&T’s massive consumer data should prove to be valuable for brand advertisers.

To read more on how brands can deal with TV’s shift toward streaming platforms, please check out the Appified TV section in our Outlook 2016.

 

Source: Ad Age

Header image courtesy of DirecTV Now

Siri Gains First Official Movie Tie-In, Sets Precedent For Paid Answers

Posted on by Lab Team

What Happened
Apple sets a precedent for sponsored Siri answers today as Siri gains its first official movie tie-in with answers for the Universal Pictures-produced The Secret Life of Pets. To promote the iTunes store release of the movie, Apple collaborated with Universal Pictures to added 15 programmed responses to Siri for the question, “What do my Pets do when I’m not at home?” According to Apple, this move marks the first time “Apple has collaborated on a home entertainment title and the first time Siri has been programmed to interact with an iTunes movie title.”

What Brands Should Do
As voice-activated personal assistant services like Amazon’s Alexa and Google Assistant continue to gain momentum and infiltrate consumer’s daily lives, it is laying the groundwork for an emerging media channel that allows brands to talk to consumers directly, creating a new paradigm for human-computer interaction thanks to its efficiency and convenience. With consumers increasingly familiar with this type of interface, it is only natural that brand advertisers should follow suit. And Apple’s move to open up Siri for movie tie-ins seems to indicate more brand opportunities to come on iOS.

For more information on how brands can take advantage of the rise of conversational interfaces, please check out the Conversational Interfaces section in our Outlook 2016.

 

Source: 9to5Mac

Facebook Adds HTML5-Based Instant Games To Messenger And News Feed

Posted on by Lab Team

What Happened
Facebook has added a new feature to its platform to spice up its content offering. Starting today, users can enjoy fast-loading gaming experiences that Facebook dubbed “Instant Games” right in Facebook Messenger and their News Feeds. Instant Games are HTML5-based and thus work on both mobile and the web without installing additional apps. The first patch of Instant Games comes with 17 titles that include household names such as Pac-Man. Pepsi is among the first brands to take advantage of this new feature to launch a branded game on Messenger to connect with mobile consumers.

What Brands Should Do
As mobile gaming continues to absorb consumer attention, a number of brands have experimented with branded games in recent years to connect with mobile consumers. Last month, Chipotle created a branded memory matching game to reward players with free food, and Michael Kors launched a series of casino-themed mini-games on WeChat for its Singles’ Day event. Just yesterday, Pepsi launched a chatbot-powered branded game on Messenger to connect with mobile consumers.

Given Facebook’s brand-friendly track record, it seems safe to assume that more brands will soon be able to leverage Instant Games to create branded gaming experiences to engage with consumers on Facebook.

 

Source: Engadget

By The Numbers: Mobile Commerce Made Up 1/3 Of Black Friday Online Sales

Posted on by Lab Team

What Happened
Mobile shopping continues to rise in prominence as reports on this year’s Black Friday sales start to roll in. According to a report from Adobe, this past Black Friday set a new record in online sales with $3.34 billion, a 21.6% growth year-over-year. Mobile shopping accounted for $1.2 billion, about one third of the total online volume, a 33% y-o-y increase. Major retailers such as Amazon, Walmart, and Target reported that mobile traffic and sales were on the rise, with Target saying that 60% of its Thanksgiving sales were done on mobile devices.

While the total sales number from brick-and-mortar retail still dwarfs that of ecommerce, data from multiple reports suggest that it is in decline. Analytics firm RetailNext says net sales at brick-and-mortar stores fell 5.0% over the Black Friday weekend, while the number of transactions fell 7.9%. According to retail research firm ShopperTrak, physical store visits fell 1% during Thanksgiving and Black Friday when compared with one year ago.

What Brands Should Do
As ecommerce, especially mobile commerce, continues to grow and erode physical retail, brands and retailers can no longer simply rely on traditional distribution and sales channels to effectively reach a migrating consumer base. As the numbers show, retailers and brands operating physical stores will need to learn to properly utilize tools in mobile, email and social promotions to boost sales and update their retail strategies with a mobile-powered, omnichannel approach.

The Lab has extensive experience working with retail and CPG clients to develop and implement digitally-enhanced retail experiences. The recently-opened NYX Cosmetics store at Union Square is a proud showcase of our team’s work in crafting a digitally enhanced, innovative retail experience. If you’d like to learn more about how your brand can develop an omnichannel retail strategy and mobile-driven retail solutions, please contact our Client Services Director Samantha Holland ([email protected]) to schedule a visit to the Lab.

 

Sources: TechCrunch & Reuters

State Farm Teams Up With Postmate To Deliver Free Burritos To NFL Fans

Posted on by Lab Team

What Happened
State Farm has partnered with on-demand courier service Postmates and Chili’s to capitalize on the “housegating” trend among football fans for its latest digital campaign. On Nov. 27, the first 5,000 people ordered a special “Cali BBQ’ritos” from Chili’s on Postmates got the item delivered to their doorsteps for free. The offer was available to residents in nine markets in the South and Southwest regions, including Phoenix, San Diego, Dallas, Houston, Denver, and Los Angeles. To promote this initiative, State Farm rolled out Facebook, Instagram, and Twitter ads on Saturday to target the NFL fans.

What Brands Should Do
This new campaign from State Farm and Chili’s continues an ongoing trend of brands teaming up with on-demand delivery services to reach potential customers with products or branded experiences. Most recently, IKEA partnered with Uber to send free meal-planning kits to lucky customers in NYC as part of its Thanksgiving campaign. As more and more consumers start to actively avoid traditional advertising with the help of ad-blockers and ad-free subscription services, brands need to preemptively branch out and explore non-conventional marketing channels to reach customers.

 

Source: AdWeek

Cheetos Ventures Into Ecommerce With Branded Holiday Gifts

Posted on by Lab Team

What Happened
As part of its fashion-oriented holiday campaign, Cheetos has opened an online store to sell Chester Cheetah-themed holiday gifts, ranging from clothing and perfume to cosmetics and even jewelry. While some of the items in the catalog, such as the jewelry piece, charge premium prices, some on the lower end of the spectrum are already sold out, affirming the popularity of the Pepsi-owned snack brand among consumers.

What Brands Should Do
While admittedly rare, this is not the first time a Pepsi brand has branched out its CPG product category to grab consumer attention with branded products. Last year, the food and beverage giant sold Pepsi-branded smartphones to Chinese consumers as a marketing ploy. This week, Pepsi opened a kola-themed restaurant in New York City to broaden its brand expeirence. Similarly, with the new Cheetos-branded gifts, Pepsi is thinking outside the box and experimenting with a new way to transform their loyal fans into brand advocates, which should inspire brands to think of other ways that brands can permeate consumers’ daily life.

 

Source: Yahoo Finance

Header image courtesy of Cheeto’s YouTube video

Nike’s New Soho Store Showcases The Power Of Experience-Driven Retail

Posted on by Lab Team

What Happened
Nike’s new flagship retail store opened its door in the Soho neighborhood in New York City last week. The Lab team recently paid the store a visit to check out the unique in-store experience that Nike has crafted for this retail location. Below are some pictures that we took to help illustrate the installments that Nike created in this five-story store to draw in shoppers.

On the second floor, there is a treadmill in front of a wall jumbotrons simulating different outdoor runs to test out that pair of running shoes you just picked out.

 

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The third floor features a customization shoe bar where shoppers can personalize a pair of Nike Air Force 1s.

 

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Soccer fans get some love on the fourth floor where there is an enclosed mini soccer field took up a corner.

 

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The top floor features a mini basketball court where Nike is currently inviting basketball fans to test their aims and, occasionally, play against a pro basketball player.

 

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Throughout the store there are large touchscreens embedded on the wall that can help shoppers browse the Nike collections, locate select items in stores, or purchase them online.

 

What Retailers Should Do
By taking an experience-focused approach and constructed dedicated areas for different activities, Nike effectively created a retail destination for sports and fitness fans, encouraging them to to try out their products in an optimized environment or simply to hang out with fellow sports fans and sneakerheads. The addition of touchscreens adds a digital touchpoint to the brick-and-mortar experience, bridging the gap between physical and online retail while doubling as self-serve information stations.

Increasingly, we are seeing brick-and-mortar retailers prioritizing this kind of experience-driven approach in designing their retail stores. For example, Bandier, an upscale activewear boutique, left some space in its flagship store for hosting yoga classes and other events for its customers to attend, turning its store into a destination for like-minded fitness lovers. For retailers, these examples of experiential retail should serve as inspirations to figure out how to craft an engaging in-store experience that attracts shoppers.

How We Can Help
The Lab has extensive experience working with retail, beauty, and CPG clients to create and implement digitally-enhanced experiences for their stores. The recently-opened NYX Cosmetics store at Union Square is a proud showcase of our team’s work in crafting a digitally enhanced, innovative retail experience. If you’d like to learn more about how your brand can develop an updated retail strategy and implement digital-driven retail solutions to transform your in-store experience, please contact our Client Services Director Samantha Holland ([email protected]) to schedule a visit to the Lab.

 

Amazon Launches eSports Tournament For Casual Mobile Gaming

Posted on by Lab Team

What Happened
Amazon Appstore launching a new eSports tournament named Champions of Fire International for casual mobile gamers, as the ecommerce giant aims to bring eSports into mainstream consumer consciousness. The one-day tournament is scheduled for December 2 in Las and will feature sixteen gaming celebrities to battle over five popular casual mobile games such as Disney Crossy Road, Pac-Man 256, and Fruit Ninja. The event will be streamed live via Twitch, a popular eSports streaming site Amazon acquired in 2015. In addition, a two-hour special of the tournament will be broadcast nationwide by the CBS Sports Network on December 12.

What Brands Should Do
By extending eSports from desktop PC games to casual mobile games, Amazon is introducing the the world of competitive gaming to a wider audience, which should help Amazon drive more viewers to Twitch. The eSports industry has enjoyed rapid growth in the past few years, transforming from a nerdy niche into a legitimate new media segment that commands millions of eyeballs and drawing considerable attention from media companies and marketers.

Previously, Turner Media added eSports programming to primetime on TBS in an attempt to broaden its reach. Some early-adopting brands, such as Coca-Cola and Geico, have sponsored eSports events to reach its young, male-skewing audience. As media companies race to capture the vast eSports audience, brands, especially those seeking global recognition, should consider leveraging the massive reach of eSports events via sponsorships and ads.

 

Source: VentureBeat

Facebook Starts Testing Real-Time Ads For Live Videos

Posted on by Lab Team

What Happened
After introducing a way for users to schedule a live video last month, Facebook has now reportedly started testing a real-time ad product for Facebook Live videos, allowing publishers and brands to advertise their live session to attract viewers as it happens. Facebook declined to share which advertisers and publishers are testing this feature or when this new ad product will roll out. For now, broadcasters can promote their Facebook LIve event via sponsored posts prior to the broadcast or drive viewers to the archived video once the livestream has ended.

What Brands Should Do
This potential ad product should be helpful for brands using Facebook Live to reach a wider audience with their live content. As Facebook continues its efforts to build out its Live video product, early-adopting brands such as Birchbox and Popeyes have been hosting live events on Facebook to engage with fans. As livestreaming continues to take off, brands should consider sponsorships or hosting their own events to reach a live audience.

 

Source: Digiday

Amazon To Lure Holiday Shoppers With Alexa-Exclusive Deals

Posted on by Lab Team

What Happened
Amazon is set to lure more holiday shoppers to try out its Alexa-enabled Echo devices with exclusive deals. Starting with the upcoming Black Friday and Cyber Monday, and lasting until the rest of the year, Amazon will be offering customers special deals available only through its digital assistant service. In addition, Amazon is also offering customers who purchase an Alexa-exclusive deal between now and Cyber Monday a bonus $5 Amazon gift card. Earlier this year, the ecommerce giant offered similar Alexa-exclusive deals during its Prime Day sales event, which proved quite popular with Alexa users.

What Brands Should Do
As Amazon continues to integrate shopping capabilities into Alexa and incentivizing more shoppers to try it out, it is familiarizing millions of its customers with voice-based conversational commerce as well as locking in their customer loyalty. With Alexa-enabled devices gaining traction with mainstream consumers, voice ordering is something that retail and CPG brands need to look out for.

For other brands, the popularization of voice-based digital assistant devices like Echo or Google Home also opens up a new channel for brands to reach customers in their living rooms. For instance, Amazon recently created an audio game for Alexa to promote its upcoming original auto show The Grand Tour, showing the potential for companies to connect with customers through similar conversational branded content.

The Lab has extensive experience with building Alexa skills and helping brands navigate the new realities that conversational interfaces are set to bring. If you’re interested in learning more about our take on this topic, please reach out and schedule a visit to the Lab.

 

Source: AdWeek