A few months ago I was explaining the social media strategy to some very successful sales consultants over lunch. In my passion for the topic I blurted out the phrase “they just don’t get it” in reference to some challenges we were discussing. One of the consultants called me on this statement and asked “How do you know if someone ‘get’s it’? How do you measure the paradigm shift?” I fumbled the answer and offered to send them a copy of Jeff Jarvis’ book “What Would Google Do” to explain it better than I could. But it is a fair question and it deserves a concise, well thought out answer. Now its 3:57 am on December 27th. I should be sleeping but I’m up with the stomach flu, and I definitely should not be thinking about work, but my thoughts on the topic are clear and concise at the moment.
The answer to this question, an the point of this post is this… The new media paradigm manages abundance, where as old media manages scarcity.
Supply and demand dictates that scarcity creates value (ie gold, time, wisdom, etc…). Conversely, abundance deludes value.
Traditional media specialists are tasked with managing a limited number of opportunities to display the message such as minutes of air time, percent of a printed page, or number of billboards. Let’s call this number of opportunities the “available shelf space” because it is easy to visualize. Because of the limited shelf space, media planners were measured on their ability to negotiate a good deal, get the shelf space before someone else does, and prove that the advertisement is actually consuming prime real estate within the valuable shelf space. In old media it was often assumed that better position, or more frequent displays of the message would deliver more results. And emphasis is placed on how nice the message appeared to be. You know how it goes… “Lets get so-and-so’s approval on this before we print this 10,475 times on the back cover of this magazine”.
Conversely, internet technology provides virtually unlimited shelf space. Advertisers can now display thier message for “free” and only pay when it delivers actual results. This situation aligns the interests of advertisers and media and has given birth to the pay per performance industry which fuels Google, Yahoo and Bing. The result is is a new method to measure success that emphasizes mathematical testing over creative brilliance thus creating “disposable ads” that are quickly deployed and tested against a slew of similar ads in a ruthless competition to learn the mind of the market.
Old media asked…
Did my ad show in the right place/time?
What is the cost per opportunities?
What can we do to attract more interest?
New media asks…
How fast can I learn the insights?
What ads converted to revenue and why?
What does the market want?
I’m going to abruptly end this post because I’ve just learned that Mike Moran wrote a whole book on the subject (see http://www.doitwrongquickly.com/). I’ll post more after I finish reading this book.
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