Direct Line Blog

Scholastic turns to data, loyalty in renewed push for book clubs

Rose Gordon September 03, 2010

While many in the publishing world have been slow to embrace the digital evolution (save for a few e-readers), Scholastic is looking to take its decidedly old-fashioned - but popular - book clubs and bring them into a new era. The publisher turned to focus study groups to gather data directly from its customers, teachers and the K-12 education system, to begin a new $9 million campaign for its Scholastic Book Club that delivers new books to classrooms around the country, according to a report in The New York Times.

As part of the effort, Scholastic will broad its e-commerce portal, in effect since 2000, beef up its loyalty points programs and add specific tab for new teachers to its Facebook page. From the Times:

This school year, however, the bookseller is taking a new approach to getting its books into classrooms. For the first time, it plans to reach teachers using a combination of social networking, expanded e-commerce and new back-to-school promotions, in addition to the standard paper catalogs.

The reasons for the new effort include trying to find better ways to reach a rapidly moving population of teachers. Each year, many start their careers, move to new schools or leave the profession.

 

Eataly, NY

Kevin McKeefery September 02, 2010

A new Italian supermarket, Eataly, opened in New York's Flatiron District this week. It's a short walk from DMNews' office so I took a stroll down at lunch today. I found out immediately upon walking in that the hype surrounding the opening was justified - the place was impressive. Large and packed to gills with cafes, restaurant and wine stations as well as aisles and refrigerator cases full of well-laid out groceries. Everything was fresh and everyone was happy to be there.

The store resides in a well-established building in a busy intersection across the street from the Flatiron building, and the transformation from toy building to upscale marketplace was a necessary update that will behoove not just the building and store owners, but mostly the passers-by who peruse its aisles and leave with a better sense of what the store offers and why the area so immediately and wholeheartedly embraced what will soon become a landmark.

On my way back from the 20-minute excursion - my first in a while - it struck me that we're working hard at DMNews to make our redesign has the same impact on our community that Eataly had on its community. October 1 is fast approaching and we can't wait to see what the industry will have to say about our new look after a few trips through our redesigned magazine.

 

In tough economy, e-commerce stands strong

Ryan Chatelain September 01, 2010

There have been an awful lot of disheartening media reports in recent weeks about the slow recovery of the U.S. economy. But e-commerce has provided a consistent ray of hope.

One example: While general retail experienced 1% year-over-year growth in the second quarter, e-commerce increased 10%, according to MasterCard Advisors' SpendingPulse report.

A consumer-shopping-habits survey by e-commerce company ChannelAdvisor, released August 31, seems to underscore the health of the e-commerce industry.

Among the results:

  • 58% of consumers surveyed said they plan to purchase their gifts online this year, beating brick-and-mortar stores by nearly 20%
  • 41% said their shopping habits were unaffected by the state of the economy
  • When ChannelAdvisor asked consumers how much they spend online per month, those selecting "more than $76" (the highest option) increased by 27 percent over 2009.
 

Facebook social shopping page targets college students

Frank Washkuch August 31, 2010

As Facebook becomes more of an e-commerce destination, the social network is revisiting its bread and butter with a college-focused online shopping service.

Facebook launched its official “universities” page August 30, offering consumers deals on school supplies, clothing and other accessories. Retailers Eddie Bauer, Newegg.com and Utrecht Art partnered with the social networking site at the page's launch.

Consumers now have multiple options for buying products through Facebook. Multichannel retailers such as Avon, Gaiam, 1-800-Flowers and Brooks Brothers were among the brands to improve or introduce their Facebook shopping presences this spring.

Sears Holdings Co., meanwhile, launched a Facebook e-commerce application for its Sears and Kmart retail brands targeting incoming college freshmen.

 

Google puts real-time search on display

Rose Gordon August 30, 2010

If you missed it last week, Google revealed a new permanent home for its real-time search results at www.google.com/realtime. Here you'll find the latest news stories, blogs and social comments (mostly tweets) for whatever topic you search for. Google first added real-time search for social media last year.

I tried searching for "HP" today and found mostly Twitter results but the page offered a nice timeline as well that allowed me to see the collective mentions of the company since the beginning of 2010; there was a telltale spike in mentions around early August when the software company's CEO resigned. A search for "BP" shows minimum results until you hit April 2010. You can also set up Google Alerts for specific real-time searches and search by locality.

Most large organizations already deploy sophisticated analytic tools either in-house or through their search, marketing or PR firm to track brand mentions. Social media listening tools began jumping onto the scene as Twitter heated up as well over the last two years. However, the new Google real-time search can offer a marketer a quick snapshot of what's happening with their brand, as well as a way to track spikes in customer feedback (complaints). PC World's Tony Bradley is one such fan. From a column he wrote August 27:

Companies can use information gleaned from Google Realtime to "read the minds" of consumers. Conducting searches related to current or planned products or services can help identify what customers want and what concerns they might have.

As the next-generation Kindle launches today, e-reader rivals like Barnes and Noble and Sony can use Google Realtime to monitor real-world comments and feedback about the device. The information will let them know what the target audience likes about the new Kindle, as well as what customers still feel it's lacking or wish it had--enabling them to apply that information to their next e-reader models and stay a step ahead of consumer demand.

Check out the demo from Google below.

 

Buying into the 'Eat, Pray, Love' hype

Shahnaz Mahmud August 30, 2010

I have to admit, I wasn't running to the nearest theater to see Eat, Pray, Love — especially since I had written a few articles about the film from a marketing perspective. I didn't want to buy into the hype.

In fact, I had gotten turned off to the film. I'd see the movie poster with Julia Roberts — gelato cone in hand — and roll my eyes.  

But, a friend of mine invited me to see it last week. The prospect of seeing it for free made it much more viable.

I chuckled to myself waiting to sit through two hours and 15 minutes — two hours and 20 minutes with credits, as the theater manager pointed out — of Hollywood at its commercial finest.

You know what? I actually liked it. Really liked it — tepid reviews and all.

I laughed. I cried. I loved that James Franco was in it.

I related to it on a few levels, having spent a good deal of time abroad myself.

At times, I am one of those travelers who tries to avoid places over-run with tourists. But, I have to keep reminding myself it's popular for a reason. There's something that draws people to it — much like a Hollywood blockbuster film.

 

Blog about a blog

Kevin McKeefery August 26, 2010

This fall is shaping up to be an exciting one. DMNews announced its redesign, which will launch October 1. We'll have more room for features and analysis, and most importantly (since I manage the section, of course) "The Work" will highlight even more creative campaigns, focusing on the creativity and ideas behind each piece of work.

Speaking of creative, DMNews is managing the Caples Awards for the third consecutive year and the entry period is open. Along with the creative, we have launched the "Direct by design" blog as well, with insight on various creative disciplines from creative professionals around the world. Gary Scheiner, chief creative at Rosetta and chair of judging for Caples, kicks things off with why he enters the Caples Awards each year

 

Groupon thinks big

Ryan Chatelain August 25, 2010

A Gap offer might have crashed Groupon's servers August 19. Just don't expect the deal-of-the-day website to shy away from providing discounts for national chains again.

In the past, Groupon has offered coupons to local businesses. But the company is beginning a shift to selling the occasional national deal as well, according to Reuters.

It's no wonder why.

More than 440,000 Groupon subscribers purchased offers for $50 of Gap merchandise for $25. At one point, the site was selling 534 offers a minute.

When you do the math, the campaign generated $11 million. This for a company that earned $35 million in gross revenue all last year.

They should probably reinvest some of their money in increased server capacity.

 

Twitter makes another revenue-focused move

Frank Washkuch August 24, 2010

The big question about Twitter has always been: “But how will it make any money?”

The popular social networking service has been making moves to that end for months – changing its terms of service to allow ads and launching an e-commerce service, to name a few. This week it hired Adam Bain, formerly the president of News Corp.'s Fox Audience Network, to lead what All Things Digital called the site's “increasingly aggressive advertising revenue efforts” as president of revenue. 

The pressure is on Bain. Less than a month ago, digital agency 360i released a report saying that many advertisers are not taking advantage of the opportunity Twitter gives them to speak directly to consumers. With that in mind, marketers will be looking to the microblogging service to see what customer-interaction advantages it creates.

 

Mobile is the world in your hands

Shahnaz Mahmud August 23, 2010

Last week, while I was having dinner with my sister, she held up her iPhone and said: “It's like having the world in your hands!” She's had it for about a month now, maybe a bit longer, and is still in that “oohhh…ahhhh” phase of enjoying a new toy.

Of course, that toy has proven to be helpful for business and personal uses—checking e-mail, reading the news, accessing accounts.

Mobile devices have become what we “live and die” by.

Hearst Magazines may be taking the same stance.

In September, it will debut The App Lab, which is designed to bring together marketer an agency partners as well as media and technology business practitioners to create content, ad models and platforms that focus on mobile, new applications and related platforms.

It looks like the initial plan is to offer up educational sessions, like previews of emerging mobile content, applications and platforms—such as the iPad—as well as advertiser and agency roundtables on new ad formats and models and consumer insights.

It's all about “mobilocity.”

And rightly so.

Someone recently pointed out to me that there is a Tiffany's application where women can ogle over diamond rings right from their phone. Now, for me personally, I'd still like a trip down Fifth Avenue and into the actual store. But, that application does exist for a reason…my sister has it right.

 
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