1. Leader
The Changing Landscape of Online Advertising

2. Marketplace
Trend Iindicator: June 2001
UK: Online Advertising Shows Enormous Growth
Trends: Banner Tracking
Prognosis: More For Your Money

3. DoubleClick NewsDesk
New UK Websites
UK News
DoubleClick to buy Message Media
Double Click buys Sabela Technology Assets

4. Online Marketing Know-How
E-marketing: First Steps Towards a Code of Honour

5. Smaltalk
EMS Brings Colour to SMS
Surfing During Work Time is Addictive




President DoubleClick
Global Media

The Changing Landscape of
Online Advertising

Welcome to the launch issue of DoubleClick's new monthly newsletter. The timing is no coincidence. The face of marketing has changed fundamentally with the growth of the Internet - and most dramatically in the last 6 months. This change has brought with it an exciting shift in the balance of power in favor of senior executives in the traditional marketing organizations. Their broad visions as well as their diverse service and product needs lay a new set of demands and opportunities at the doorstep of companies in the online arena. And incidentally, those traditional marketers are well grounded in the core principles of making marketing work.

Whilst our initial expectations as an industry were built around the role of the Internet as an advertising medium, today we must recognize the unique opportunities that it brings to bear as a diverse and robust suite of broad-based marketing tools.

There is no stronger indication for the long term prospect of the online medium, than the increasing guardianship afforded it today by experienced "traditional" marketers.

Overshadowed in the early days by those "bright young things" (with more money and control over advertising budgets than their marketing experience ever justified), online clients today are more sophisticated than ever, more broad-based in their objectives, more senior in their capacities - and more demanding.

There is no stronger indication for the long term prospect of the online medium, than the increasing guardianship afforded it today by experienced "traditional" marketers.
Overshadowed in the early days by those "bright young things" (with more money and control over advertising budgets than their marketing experience ever justified), online clients today are more sophisticated than ever, more broad-based in their objectives, more senior in their capacities - and more demanding. Their needs from online go well beyond simply advertising on the web; rather, they have expectations for marketing tools that will deliver results across the range of their business objectives. Tools - like email, promotions, remarketing systems, and customer relationship management - are the essential bundling ingredients that companies like DoubleClick can provide to support the needs of our marketing customers.

Traditional marketers are already playing heavily in the online space but, importantly, their intention is for even greater escalation in this channel, both in terms of how much they spend and what they do. They will spend greater shares of their media budgets and more of their overall marketing budgets online. They will seek advanced online tools for managing customer acquisition and retention, trade marketing, promotions and discounting, loyalty programs and research, customer service and focus groups. The tools facilitated via the Internet will permeate every facet of the marketing mix and change forever what we know and how we do things today.

In short, the marketing fraternity is ready and poised to unlock the broader applications of the web as a marketing tool. To serve their needs, we need as an industry to start speaking their language more fluently and effectively. We must speak "marketing solutions" and not "ad sales". We must own accountability for a more "fact-based" approach to our medium, both in terms of pre-sales media planning and post-sales campaign performance.

On March 26th 2000, the New York Times reported, "The biggest marketers in the world, like Coca Cola, General Motors and Proctor & Gamble say they are finding ever more ways to use the internet to sell their products. The problem for web sites like Yahoo and hundreds of others, is that little of the marketers' money involves advertising on web sites." What a wake-up call for many in our industry! However, I also believe it is just the beginning of prime time for those that recognize and leverage the broad applications of the Internet to help make marketing work better.

Gone are the days of viewing the Internet as simply a content or advertising vehicle. This far undervalues the role it has to play - and underserves the needs of our marketing clients. Today companies like DoubleClick have a wide range of capabilities already in place to service the needs of marketers. From Ad Effectiveness Research tools, to Remarketing Systems and Email Solutions - these tools and services go well beyond simple "ad sales" and provide relevant and effective integrated marketing solutions for marketers.

These solutions will guide marketers in their quest for branding and response effects,
for leveraging effective creative solutions, for succeeding in their targeting and reach objectives, for building customer relationships, engendering loyalty and ultimately, for realizing an effective and successful return on their marketing investments.

We at DoubleClick remain committed to investing resources in ongoing efforts to build and develop our industry. We welcome the opportunity to teach, learn and share experiences with publishers, marketers, advertisers and agencies around the world to help make marketing work better. In that spirit we launch this newsletter.

We welcome your thoughts and contributions.
Please share them with us and other readers
of this newsletter. Reach us via email at newsletter@doubleclicknews.com

I hope you enjoy this newsletter.

 


top of page


 

2. Marketplace

 
Trend Indicator: June 2001

• Brave new online world: By the year 2005, a total of one billion people are expected to surf the net world-wide. This is the result of a US study by IDC. The volume of e-commerce will grow to $5 trillion ($354 billion in 2000) world-wide. And Europe is going to overtake the US with regard to Internet usage.

• Content is king - if the quality is right. US market researchers at Information Resource found out, however, that customers of consumer goods often do not think that this is the case. According to the researchers, customers would prefer fewer online features like chats, games or lifestyle elements and would rather have more simple Web offers with product information and, above all, with feedback features.


top of page

UK: Online Advertising Shows Enormous Growth

 

The year 2000 was a very successful one for British online advertisers. A huge growth rate of 200 percent gives every reason to be enthusiastic. Revenue generated by Banner & Co totalled about $215.2 million (£154.7 million). The corresponding figure for 1999 had been only $70.9 million (£51 million). These figures were recently published by the Internet Advertising Bureau (IAB). http://www.iab.net

For the first time, online advertising was even able to outpace advertising in cinemas. According to the IAB, revenue in that sector was $178.1 million (£128 million). "Clearly Internet advertising continued to race ahead,'' Danny Meadows-Klue, chairman of IAB UK, said. "These growth rates are unparalleled in traditional media.''

Analysts at the IAB are currently the only ones to focus exclusively on the UK online advertising market. "In spite of a difficult year for the advertising sector as a whole, UK Internet advertising has continued to grow steadily,'' said Paul Pilkington, senior manager at PriceWaterhouseCoopers, which carried out the survey along with the IAB.

For more information go to:
http://www.emarketer.com/estatnews/enews/reuters/04_11_2001.rwntz-story-bcnetbritainadvertisingdc.html


top of page

 

Trends: Banner Tracking

 

Who showed what on what site? "Banner tracking" makes the search for a particular banner or campaign easy. French provider NetCrawling offers a service called LemonAD that carries out daily searches on more than 2,500 European Web sites for new online advertising campaigns. For the UK alone, the service observes 374 Web sites from national and international companies. The data is collected in the LemonAD database and then analysed statistically.

In April, the following picture could be drawn for the UK:
Online advertising market
There were a total of 5,310 campaigns from 2,482 advertisers with 14,557 ads. These figures mean that on average there were 2.1 campaigns per advertiser and 2.7 banners per campaign.

Industries
73% of the advertisers are spread across ten industries. Most of the customers are related to editorial Websites, e-commerce and finance. One out of four ad customers put his banner on an editorial Websites.

For more information go to:
http://www.lemonad.com/Public/Uk/barometre.asp
 


top of page

 

Prognosis: More For Your Money

 

Prices for interactive advertising will continue to fall during the next six months according to a recent prognosis by research company Jupiter MMXI. This development is due to a surplus of advertising space on many Web sites.

During the last year, prices for online advertising have fallen by a considerable 30 percent. In June 2000, advertisers had to pay $25.5 (€30) for 1,000 page impressions; the current corresponding price is only $17 (€20). Market researchers at Jupiter MMXI say that European marketers in some cases have only filled 40% of their advertising space. Advertisers have a dominant position in the market and thus influence price dynamics. This means that they increasingly expect prices to be negotiated on the basis of actual results. In other words, advertisers no longer want to pay for actual results, such as the number of achieved clicks, registrations or transactions.

Jupiter MMXI estimates the surplus of unsold advertising slots on the Internet to represent a value of between $51 million and $59 million (€60 million and €70 million) each month.
These numbers put buyers of media space in an ever stronger position during negotiations.
The study also shows that 25% of traditional advertisers think that the online medium is still too expensive, despite falling prices. However, market researchers also emphasise the fact that lower prices do not necessarily mean lower advertising expenditures.

For more information go to:
http://jupitermmxi.com/press/releases/20010523.jsp


top of page


 

3. DoubleClick NewsDesk

 

 

New Sites That Have Joined the UK Network

Goto UK (www.goto.co.uk)

GoTo was set up in 1997 to create a new type of search experience that was simple, fast and relevant . Goto.co.uk is the Internet's leading Pay-For-Performance search engine. It has also established search partnerships with some of the UK's leading ISPs and Portals including Freeserve, LibertySurf, Freeola and Ask Jeeves, through which it provides web search results to millions of unique users.


Autobytel (www.autobytel.co.uk)

Autobytel (www.autobytel.co.uk) has appointed DoubleClick to develop strategic digital marketing opportunities for the brand. Since its launch in April 1999, autobytel.co.uk has attracted over 6 million unique users, over 110 million page impressions and over 55,000 car purchase requests. The Autobytel brand has achieved 23% UK awareness and was named by Campaign as the 19th most recognised e-commerce brand in the UK. Darren Payne, Managing Director, Autobytel.co.uk also said, "We chose DoubleClick because we felt that they are strategically best placed to help us to look at innovative advertising opportunities to optimise our revenue. DoubleClick's maturity and experience in the market will make us more accessible to new advertisers." DoubleClick will provide a team of network sales specialists to sell across the site. They will also look at developing partnership relationships, sponsorship opportunities and rich media creatives.


MyMoneyAdviser (www.mymoneyadviser.com)

MyMoneyAdviser is a business service provider that provides online capabilities to the UK's Independent Financial Advisers. MyMoneyAdviser will launch 10,500 free websites for IFA's and by linking the sites to a publicly promoted consumer-facing portal, make IFA's more accessible to consumers. The high quality, professionally designed websites provided by MyMoneyAdviser, will be enabled with e-commerce capability and client servicing functions. From May 2001, clients of affiliated IFA's will use the websites to compare a spectrum of financial products, including mortgages, ISA's, pensions etc.

Youreable.com (www.yourable.com)

Youreable - winner of the Channel 4 eMillionaire show is set to become the place on the Internet that the disabled community, carers and healthcare professionals turn to for information products and services. Youreable is supported by numerous blue-chip businesses , charities and disability publications. Pre launch the site is a massive resource of over 1 , 000 pages of essential content for the disabled community. There is no offline equivalent of Youreable.com which aggregates all disability information; products and services in one place. Disabled people have an annual purchasing power of £50 billion a year in the UK alone. Youreable is the only place online where the disabled community, their families and carers can meet in the UK.


top of page

UK News

 

London to Brighton Bike Ride

17th June- DoubleClick sponsored a team in the London to Brighton Bike Ride for the British Heart Foundation on the 17th June. A team of 23 cyclists representing a cross secion of our advertiser and agency partners geared up in lime green outfits and departed from Clapham Common at 8h30 last Sunday for a 58 mile cycle to the waterfront of Brighton. DoubleClick is proud to announce that all participants completed the race at a somewhat leisurely pace, of course stopping for snacks along the way. At the finishing line there was a BBQ treat on the beach prepared by Mick the cook and then transportation was provided back to London. Be sure to join us next year for our 2002 bike ride!! Adrian Baker commented "Good fun, sore bottom, lots of sponsorship money...and it didn't rain!" Good job to Vicky Gray at Universal McCann for raising the most charity money!

What's Clicking Seminar on Branding Online

70 guests recently joined DoubleClick's for the latest in our series of What's Clicking Breakfast Seminars this time the title of the seminar was "Branding Online: Leveraging Ad Formats to Maximize Marketing Effectiveness". Held at Home House on 13th June, we had two guest speakers. Finaly, Mr. Lars Bergkvist, Managing Director of CQ Marketing Research and Founder of the BrandQ Campaign Effectiveness Studies who spoke of Measuring the Brand Effects of Internet Advertising Our second speaker was James Booth, Managing Director and Founder of Tangozebra who discussed the topic of Building on the Banner- New Strategies for Online Sales and Marketing. " Stay tuned for the next What's Clicking in September!


top of page

DoubleClick to buy Message Media inc.

DoubleClick and MessageMedia inc., the e-mail marketing company, have reached an agreement on the purchase of MessageMedia. DoubleClick presented a $41 million take-over offer to the shareholders of MessageMedia. With this purchase, DoubleClick has further improved its position as the world-wide market leader in e-mail marketing.

MessageMedia's e-mail marketing system is based on a variety of e-mail marketing solutions and services, including the M³Platform, a full-service solution in ASP mode, which in its software versions has already won awards. M³Platform operates in a way similar to that of DARTmail or FloNetwork. In the short-term future, DoubleClick plans to keep the M³Platform; only gradually will they combine the platform with the DARTmail and FloNetwork technologies.

MessageMedia currently has more than 310 customers and sends more than 100 million
e-mails per month. Among their customers are companies such as Cisco, Columbia House, Fleet Boston Financial and Starwood Hotels. After the take-over, DoubleClick will send more than 700 million e-mails per month. According to reports, one of DoubleClick's main objectives is to leverage both the structures and the experience MessageMedia has in Europe.

Within only six months, DoubleClick has made the leap to the top of e-mail marketing providers by incorporating the recently bought FloNetwork. The success story is based on DARTmail, the e-mail technology, and FloNetwork's infrastructure.

For more information go to:
http://www.doubleclick.net/us/corporate/presskit/press-releases.asp?asp_object_1=&press%5Frelease%5Fid=2522


top of page

 

DoubleClick Buys Sabela Technology Assets

In May this year, DoubleClick announced it's purchase of the intellectual property assets of Sabela Media, Inc. from 24/7 Media, Inc. Sydney-based Sabela had been part of 24/7 Media, a direct competitor on the Australian market , since its acquisition by 24/7 Media in January 2000 for $75 million.
Sabela [Beriro, Jessica] has been a leading player in Australia in ad serving, tracking and analysis , and had more than 150 customers at the time of the purchase . [Beriro, Jessica] Over time, DoubleClick will offer Sabela Media's clients the option of migrating to its DART (Dynamic Advertising Reporting and Targeting) system or its AdServer platform . In the past two months alone , more than 55 of Sabela's customers have already migrated to DoubleClick's systems, including BMC Media, OzEmail and i-level. DoubleClick's DART systems will now generate almost 5 billion impressions per quarter on behalf of these customers.


For more information go to:
http://www.doubleclick.net/us/corporate/presskit/press-releases.asp?asp_object_1=&press%5Frelease%5Fid=2525


top of page


 

4. Online Marketing Know-How

E-marketing Know-How: First Steps Towards a Code of Honour

Credibility is at stake. Millions of e-mails reach customers and Internet users without their consent. As a result, advertisers' credibility is deteriorating and ad mails are considered "spam". So it is time to come up with some guidelines and firm rules about ethical handling of e-mail marketing. Among the driving forces pursuing these goals are the Engineering Task Force (ITEF) and national institutions like the Deutsche Multimedia Verband (DMMV, German Multimedia Association) and their recommendations.

E-mails are only acceptable if the addressee expressly asked for them. Transparency is a
must when handling customer data. Responsible e-mail marketing is based exclusively on processes that include a request and a confirmation, so-called "confirmed opt-ins". At the same time, recipients have to be informed, in advance and in an understandable manner, with regard to the amount of their stored information, its purpose and its further usage.

Commonly accepted practice for e-marketing as follow:

+ E-mails should be sent with a frequency known to the addressee or explicitly
asked for by him

+ E-mails should come from authorised senders (or a related service provider)

+ With each individual delivery, there should be a clear and visible feature to
unsubscribe to the mailing list

+ The addressee has to be provided with an option to unsubscribe immediately
if he wishes to do so

+ Companies should maintain a list of customers who do not want any mails

Each individual company can determine the design of the opt-in process. After the user has registered with an e-mail distribution list, he immediately receives an e-mail confirmation that prompts him to choose one of two options. The first option is to choose to have his name removed from the list immediately (single opt-in). The second option is to confirm his registration by answering the e-mail he just received (double opt-in). This is a safe way, also legally speaking, to prove that a newsletter or other e-mail information was actually requested by a user. Technically speaking, this double opt-in feature does not pose any additional problems. Most of the modern list servers already include the feature. Whenever users register with a mailing list, the process is triggered immediately and automatically.

For more information go to:
http://www.ietf.org/rfc/rfc3098.txt?number=3098
http://www.werbeformen.de/werbeformen/sonder/a.shtml


top of page

 


5. Smaltalk

 

EMS Brings Colour to SMS

EMS brings colour, sound and animation effects to SMS. EMS means Enhanced Messaging Services and is aimed at implementing various new features into the text-based SMS. Cell phone users can now add images, sounds and animation effects to their texts. Alcatel, Ericsson, Motorola and Siemens are co-operating in the further development of the new standard. EMS also means that the new SMS features will work regardless of the manufacturer of a cell phone. The brand of a particular cell phone will not be important any longer. The first cell phones with EMS capabilities will enter the market at the end of June.

For more information go to:
http://www.heise.de/newsticker/result.xhtml?url=/newsticker/data/dz-29.05.01-000/default.shtml&words=Ems

top of page

Surfing During Work Time is Addictive

The work just keeps piling up on the office desks. No wonder! Employees are surfing the Internet again during their work time! Web@Work asked 800 employees in Great Britain, Italy, France and Germany about their private Internet usage during office hours. 90 percent of the people surveyed said that surfing is addictive and 41 percent (!) admitted that they spend about three of their weekly work hours on the Internet for private purposes. The employees use the Web for all kinds of purposes. 52% of the people surveyed book their vacation during work hours, 42% use the Internet to improve their knowledge and education, 28% go shopping in virtual stores. And 27% of the people asked said they follow sports events on the Web.

Source: e-market


top of page


UNSUBSCRIBE?
You are receiving this newsletter because you registered for it.
If you would like to unsubscribe, just go to: http://www.doubleclicknews.com

For inquiries, to DoubleClick or to provide comments to the editors, please send an e-mail to:
editor@doubleclicknews.com