The A-Team

[by Sunni] Editor's note: I have just started a new job. Nancy is immersed in full-time employment and working on her PMBA. So there is a minimal amount of time we can devote to blogging. Apparently, however, we have oodles of free time for instant messenging -- and our conversations usually cover advertising industry issues. You know, what we should be blogging about. It could be possible that we lack time management skills. On the other hand, we're refining and enhancing our theories through discussion. So that these brilliantly refined and enhanced theories do not get lost in the vacuum of IM, I'm going to post our latest conversation word-for-word (besides some minor edits to the worst of the typos and off-topic remarks). By all means, join in our discussion...

Sunni says:

are you talking about Second Life in any of your marketing classes? because it is the ONLY thing any marketer is talking about these days: http://secondlife.reuters.com/

nfallen says:

no, we're looking at more high-level business management and strategy stuff right now. But thanks for doing your very important job of keeping me updated. This might be something I could very well use in our gambling project...

nfallen says:

...when we're talking about new delivery systems for worldwide customers, this could be a good match.

Sunni says:

this would have fit with your consumer behavior class -- are you taking any marketing classes right now?

nfallen says:

just the one... and it's not a lecture class, we're just doing this big project.

nfallen says:

BUT, I'm taking the Consumer Behavior teacher's next class in the spring. It's the Marketing Communications Strategy class -- it will DEFINITELY come into play there...

Sunni says:

if he doesn't bring it up, you have to -- it should be a whole class by itself! it's my theory that the only people that use SL are marketers and journalists doing "research" -- there are no where near the number of members that would warrant reuters having its own "news channel" devoted to SL

nfallen says:

What you're saying is that the only people using it are marketers and journalists, but they're so into it that they're creating hype that doesn't actually reflect the number of average joe people using SL?

Sunni says:

in september, there were about 500,000 members of SL. also in september, WoW (online game devoted to the warcraft series) had 7 million members.

Sunni says:

once reuters decided to jump in on SL, membership broke 1 million in mid october. SL has been around since 1999 -- which means that the vast majority of its growth occured in the past 6 months of this year....

Sunni says:

whereas, look at WoW's growth over the past 2.5 years: http://www.mmogchart.com/Chart1.html

Sunni says:

which came first, the chicken or the egg? if the press is encouraging the growth by writing about it before it's newsworthy, is the growth actually valid and newsworthy?

nfallen says:

I was just thinking "chicken or egg"

nfallen says:

how are bloggers (unaffiliated ones -- not working for Reuters and the like) responding to it?

Sunni says:

http://www.adrants.com/2006/10/marketers-will-not-destroy-second-life.php

nfallen says:

Here's what I'm not getting:

nfallen says:

“Marketers can't help but glom onto the next new thing because, well, that's where the people are and advertising, like it or not, follows the people because the people have money. Add to that the decline in effectiveness of "old media" and it's become a land grab for anything that remotely resembles a means by which to reach an audience..."

nfallen says:

"Second Life is this week's poster child for "cool new ad medium" and it's now part of every agency presentation to their clients."

nfallen says:

HOW is it becoming part of EVERY presentation to clients if the numbers aren't actually there??

nfallen says:

Is this just a race to be first, without any regard for whether or not spending the resources makes sense in terms of actual eyeballs?

Sunni says:

YES.

nfallen says:

HOW on EARTH do they actually get clients to agree to that? I know there are people out there who are good salesmen, but you've seen it yourself... the clients are very focused on bottom line.

nfallen says:

Bottom line: how many people are we actually targeting? Is there a better way to spend our money and reach more people?

nfallen says:

I realize I may sound archaic, but I really have a hard time understanding how this works...

nfallen says:

...how clients get roped into putting up the money to finance marketers' fad-experimentation projects with no numbers to back them up.

Sunni says:

there's a certain argument for "early adopters"

nfallen says:

yes, of course. I get that. 

Sunni says:

But some of the marketers that jump into these fads so quickly do so because they lack imagination

Sunni says:

it's easy to say "let's set up a store in SL"!!! because that very closely mirrors real life

nfallen says:

I think the clients are at fault too for not doing due diligence on their end to research this stuff after it is presented to them. 

nfallen says:

NOW we're into consumer behavior: who's to say that just because you buy something in SL means that you'll buy it in real life?

Sunni says:

if they were to look closely at the numbers, the numbers show WoW as being the king -- but it's too "d and d" for marketers

Sunni says:

if they had a little imagination, they could work around it

Sunni says:

instead, they dismiss it

nfallen says:

stupids. From my point of view, it looks like a winner. Just from a numbers perspective.

Sunni says:

the fact that SL does not default to mirroring real life is, again, a fact that marketers choose to overlook because of lack of imagination

Sunni says:

nissan established a dealership in SL which is, SHOCK, doing poorly (as compared to a consumer-created dealership)

Sunni says:

here's a twist: make a dealership with nothing but concept cars that are 10 years away from production

Sunni says:

the choices the consumers make would/could dictate your designs

Sunni says:

and you could create a truly collaborative product that might even sell better

nfallen says:

YEAH. Why would you want to buy the same car in SL that you could have in real life... YOU'RE right -- GREAT way to do consumer research and integrate with product design...

nfallen says:

!

nfallen says:

Duh.

nfallen says:

We are SO the A-Team.

nfallen says:

I've got to go find something to eat.

nfallen says:

Later.