Month: March 2011

Word of mouth is an incredibly valuable tool for any company, whether they are just starting up, launching a new product, or simply trying to increase sales. But really how valuable is it? Would you as a company be willing to accept a simple tweet in return for your product?

“Pay with a tweet”, the worlds’ first social payment system, is doing just that. Just like the video explains, all it takes is a tweet for a consumer to receive the product or service being offered. While on the surface this seems like a simple concept, the impact is enormous. Every time someone pays with a tweet, they are in fact telling all of their social network about the product. Multiply that effect by the hundreds of people tweeting around the world, and the buzz has the potential to be incredible!

While revenue is obviously of great value to a company, the value of promotion and word of mouth through social media is certainly important as well. “Pay with a tweet” seems as if it would be most beneficial for more unknown products, brands, or services as many of them are initially looking to spread the word; however, this concept can be used by anyone from DJ’s and music artists, to authors, or even for business professionals and entertainment companies. Whether you’re willing to sell your new single, your latest commercial, or a preview of your new book, the possibilities are endless really.

Although relatively new, this social payment system has already had great success (more than 400,000 have paid for something with a tweet) and seems like an ingenious way to gain momentum for many different types of marketing campaigns. Could this be the future of online payment? If so, I’m definitely not complaining!

Fun Fact: If nobody ever posted another video on youtube you would need about 1,700 years to watch everything currently on the site!

It’s mind boggling to think that YouTube.com was only founded in 2005 as it is now so incredibly popular that watching a video on youtube has become just about as common as checking your email. Originally started to share videos that were too big to send via email, this website now enables millions of people to upload videos and share them with the world.

After reading Beverly Cheng’s blog post titled “Viral Videos” I was baffled when I considered the power of youtube and the ability of videos to go viral within hours.  I completely agree with her comment about the risks of using these types of social media, however, I also think that the benefits certainly outweigh the potential problems. While for Rebecca Black’s “Friday” music video, she was getting attention for all the wrong reasons, there are also cases where talent has been discovered (massive success story: Justin Bieber) and brands are being promoted positively. In my opinion, youtube is a key channel for marketers to consider when developing their promotional strategies as it is free and has the potential to reach consumers all over the world.

So what is it that makes a video go viral? That is the key question that marketers must answer, however, unfortunately there is no exact formula. Videos that have had record-breaking views such as the “Charlie bit my finger” video are often quite odd, cute, or plain hilarious and make people want to share them with their friends and social networks. If marketers can successfully tap into the minds of their consumers to figure out what motivates them to watch and share a video and/or what makes them laugh, then they are well on their way to creating the next big youtube sensation!

Photo from: http://www.sync-blog.com/sync/2010/03/youtube-24-hours-of-video-uploaded-every-minute.html

If you’re the type of person who likes to search for a deal then I’m sure you’ve heard of Groupon, but for those who are still out of the loop, here’s how it works.

What started off as a simple enough concept has turned into a mega-successful phenomenon that has got everyone hooked on deals. According to the New York Times, “in just over two years, Groupon has accumulated 60 million subscribers, more than $1 billion in venture capital and $760 million in annual revenue to become the fastest-growing Web company ever.” What’s even more shocking is that last December, Groupon declined a 6 billion dollar offer from Google.

Groupon caters to many different types of consumers due to their wide variety of daily coupons; however, they are also strategic in that they are able to personalize deals for individuals based on specific geographic and demographic variables. In addition, by integrating with various social media platforms such as Facebook, Groupon allows you to share deals with friends and also gives you incentives to refer friends by offering you Groupon Bucks as a reward.

By offering such massive discounts (most over 50% off) you’d think that companies would lose money by offering coupons, however, the brand and company awareness that Groupon indirectly provides businesses is undeniable and the resulting buzz created from consumers is invaluable. Offering such amazing deals also increases that business’ sales exponentially and once a customer is satisfied with one experience at that company they may become loyal customers who purchase products on a regular basis.

I know that I have been enticed to buy some of Groupon’s featured deals of the day such as a coupon for bungee jumping in Whistler, and if you have yet to jump on this bandwagon I strongly suggest you do before the best deals are gone!

Photo from: Best Android Apps Review

Article from: The New York Times

Rrrroll up the rim to win! This has become quite the catch phrase on campus recently as sleep-deprived students all over UBC flock to the nearest Tim Hortons for their daily dose of caffeine. After weeks of stressful midterms, projects, and presentations it is safe to say that there has been an increase in demand for coffee on campus these days. Tim Hortons’ annual Roll up the Rim contest is back once gain and the never-ending lines of students hoping for a chance to win a brand new car or even just a free coffee is astonishing.

As one of the students waiting in this line myself, I finally took the time to contemplate the strategy behind this promotion and was blown away by how simple yet effective it really is. For the most part, university students are strapped for cash, so in terms of price point, Tim Hortons is certainly a more attractive option; however, the customized coffee and prestige of Starbucks often proves more valuable to students. This is where the Roll up the Rim contest comes in as an added incentive that students like myself just cannot pass up. Not only is rolling up the rim in itself pretty amusing, but as an added bonus you may just end up winning a brand new car, TV, bike, or barbecue! Although we all know the chances are slim, I’ve personally already won 2 free coffees so I can definitely not complain.

Although this promotion is short-term in nature it certainly helps Tim Hortons attract new customers as well as develop customer loyalty. It keeps consumers coming back for more to increase their chances to win and also creates a fun experience for both first time and long time customers alike. It’s a contest that ingeniously markets itself through word of mouth and that’s got everyone excited to rrrroll up the rim to (hopefully) win!