Feedback: Asian Net Marketing - Not. [ commenst welcome for or not for

[David Farber <farber () central cis upenn edu>]

Date: Sun, 21 Aug 1994 11:16:01 +0800 (HKT)
From: Ad Marshall <saits () hk net>
To: INET-MARKETING List <inet-marketing () einet net>


{Please excuse the odd character lost in the upload.}


The "newspapers" have got some bad rep on this list and this may extend
to trade rags as well - misquotations, misrepresentations, whatever. Here
is one opportunity to get it right - or righter, at least - in the press.


I asked the editor of Asian Advertising and Marketing, Hong Kong, if I
could do a little flaming baiting and post the following article, "Asian
Marketing's 'Net Presence' - Not", to the lists where some of the eQuotes
for the article came from. The aim is to seek *authoritative* critiques.
She said it would be OK for this article and she has someone looking into
the copyright issues.


For now, it is all COPYRIGHT (c) 1994 BY ASIAN ADVERTISING AND MARKETING,
HONG KONG AND CANNOT BE PUBLISHED ANYWHERE ELSE BEFORE 23 SEPTEMBER 1994.
Whatever copyrights not included therein are mine.


As well, any
*not* at A&M. Most at A&M are not even sure about what I am doing here.


The article was submitted 17 August, but it will not be published until
23 September 1994. You have it now. BUT, it can take changes until
Tuesday noon, Hong Kong time or about midnight Monday in the US. (Hong
Kong and Asia are always about a half-day ahead of the US. Welcome to
tommorrow.)


I'm hoping this process can lead to something symbiotic rather than
parasitic: your comments for my material; your PR for my rent; hopefully,
your influence, on the in-Formation of the press re NetCulture and
NetMarketing, for my in-Formation.


Please remember there is always a word limit, in this case "1000" (which
means 1300). Chances are that the following will be chopped down already.
Still, there are times when 1000 words can be stretched to 2000, *IFF*
the 2K words are deemed *great* by A&M's editor. In this case, *great*
means an article that a marginally NetCurious Asian adman would sell his
mother to read.


All comments are welcomed - whether about the content, the process or the
presentation. Expertise on the copyright issues is notably also welcome.
Please remember, if you don't want it quoted, say so. If you do wanted it
quoted, attach your *real* name and title. (Hmmmm..... There's a question
there. But nuf said.)


ZZZZZZZZZZZZzzzzzzzzzzziiiiiiiiP!! Just got this asbestos suit from
Shanghai - Japanese zipper, of course. Please do me before it does.


AD Marshall
Hong Kong


---------- Forwarded message ----------
Date: Thu, 18 Aug 1994 11:30:31 +0800 (HKT)
> From: Ad Marshall <saits () hk net>
Subject: A&M - E-Advert Submission


*************************************************************************
Asian Marketing's "Net Presence" - Not.
By AD Marshall <saits () hk net>
{Editing comments in curly brack's}


  Flaming debates over Internet advertising and the Internet's impending
commercialization have just begun, in the international press. On the
still-US-dominated Internet, the debate, and mythology surrounding it,
have been on-going since 1983 when the Internet sprang from the loins of
the US Defence Department's ARPANET, the first national data network.


  But in Asia? Just call an Asian ad agency and ask about Internet
marketing. You are more likely to hear, "What?", than any informed
opinion.


  Two of the exceptions: Wick Smith of J Walter Thompson's "hi-tech
specialist agency", Enterprise Group, and Bill Merrick, Deputy MD at Euro
RSCG Ball (Hong Kong). Both said little is happening from Asia using
either email or the Internet for marketing. Both felt slower Asian
penetration of personal computers, data communications and on-line
services largely explained the US-Asian differences.


  Yet at least one of the ad majors' clients is not waiting for their
agencies to develop cyber savoir faire. Coca-Cola (Japan) recently
provided Japanese Net-ready consumers with a free e-mail service to the
Internet - just follow the dancing Classic Coke bottles when you sign on.
(See A&M, July 1, 1994).


  Coke found, however, that Japanese telephone-line congestion and the
graphics limitations involved left their "experiment" somewhat lacking.
At 17 August, Rebecca Jackson of Coke's Hong Kong External Affairs said
the experiment was to end with August. But, she added, they found the
experiment exciting and they hoped to try it again once the graphics
situation improved.


  Internet communications remain largely text-based. Though high-resolution
graphics are available on the Net they are bulkier and take longer to
transmit. As one netizen put it: "A thousand words is only 6500 bytes, but
one good picture is at least 100,000 bytes." - Raymond Lowe, provider of
"Doing Business in Hong Kong - A Trade Contact Service", available via
SuperNet, Hong Kong.


  But unlike Asian agencies, the head offices of the US advertising
majors are not ignoring the Internet's potential. In an email reply,
Marcus P. Zillman of Florida-based Internet Consulting and Training
Services wrote "20 of the top 100 U.S. advertising firms have either a
registered domain [a network address on the Internet] or a net...
Although there are only 20 firms represented, 14 of these firms joined
the Net since January 1994." {See chart below.}


  Zillman was replying to an enquiry about Internet marketing posted to
MARKET-L, a new electronic Internet forum, for marketing. US marketers and
marketing academics have also recently set up INET-MARKET, FREE-MARKET and
com-priv, all e-mail discussion lists devoted to either the study of
marketing and advertising on the Internet or to "just doin' it".


  As of 15 August, subscribers to INET-MARKET alone numbered 965. These
included netizens from companies as far-flung as Pepsico, McDonnell
Douglas, the New York Times, Thompson Publishing Group, Citibank, Sony
Electronics {and WiReD}. Most are still safely "lurking" [watching, not
posting messages], others are quite vocal.


  Yet, despite a consensus, on the marketing email lists, that Net
marketing is a revolutionary force agencies everywhere will soon have to
reckon with, there is also wide agreement, that most marketers haven't a
clue about how to Net market.


  The main problem with Net marketing is the Internet, unlike any
predecessor, is a bi-directional, multi-point-to-multi-point medium -
i.e, each netizen can send text to thousands of other netizens,
simultaneously or singly, publically or privately, if they have time to
do so.


  Further, if one or more netizens receive a posting they find offensive,
all it takes to reply is a poke of the "r" key and they can send whatever
they fancy straight to the perceived offender, all from the safety of
their computer. Such ease of reply and relative anonymity often lead to
"flame wars", wherein users gang up and attack the senders of offensive
messages, such as advertisements. (See A&M, Mmm, dd, yyyy)


  So, how to approach such a vocal, often reactionary audience?  R. Kenneth
Sethney of InterLink Communications replied to a some questions about
Internet marketing posted to MARKET-L:


  On the potential of Net advertising: "For traditional advertising, very
little. For those who are willing to develop new forms of marketing
communications, there is a tremendous potential."


  On why the Net is a useful medium: "The Internet is an excellent
communications medium, but a lousy advertising medium. People on the Net hate
'blatant' advertising, but they cherish access to information and personal
contact with 'experts' on every conceivable subject."


  Sethney kindly added, "The best way to advertise is to create a 'net
presence', with customer service and sales specialists contributing to
discussions on 'mailing lists' and 'news groups', providing expertise
without directly soliciting new business. Their 'signatures' may invite
readers to contact them personally or access online archives maintained
by the 'advertiser'. But advertising per se is not productive."


  In fact, SUN Systems, Digital Equipment Corp. (DEC) and Kodak have all
developed product eForums accessible to any Internet user. All are said
to be quite satisfied with the results and they are exploring new Net
marketing forms.


  A short "conversation" with Don Cox, a Network Engineer on Kodak's
Photo-CD Forum, provides some ideas about how product eForums are used,
as well as a taste of CyberCulture, for the numerous "NetNaive" in Asia's
marketing circles. Virtually unedited:


   ----------------------------------------------------------------------


Date: Mon, 15 Aug 1994 10:08:43 -0400
> From: Don Cox 61919 <dcox () pixel Kodak COM>
Subject: Re: ENQ: Product-sponsored e-mail lists


At 15 Aug 1994 01:36:19 +0800 (HKT), Ad Marshall wrote:>
> In his "Advertising on the Internet FAQ [Frequently Asked Questions],
Version 1.0 - 6 March, 1994", Micheal Strangelove advised companies seeking
to use the Internet for marketing to "CREATE YOUR OWN FORUM". (Context
follows.)  Kodak's PHOTO-CD list seems to fit this prescription to a tee -
though it predates the advice.
> I am to write for Asian Advertising and Marketing, Hong Kong, about e-Ads
and e-Marketing. (Impending deadline, as usual.) I am simply wondering what
views people here have on Kodak's product forums or their effectiveness as
advertising vehicles.
> The context of Micheal Strangelove's advise to potential e-admen:
>   CREATE YOUR OWN FORUM
>
>   It is possible to create a Usenet newsgroup for discussion of your
products (Usenet is received by most Internet users and contains over six
thousand newsgroups). Many companies have already done so, such as ZEOS [a
microcomputer direct-marketing company], which has a newsgroup called
biz.zeos.general.


Don Cox's reply follows:


We considered creating a biz.kodak.xxx newsgroup in conjunction with the
[email] mailing list. It was discovered that, unfortunately, many sites
[networks attached to the Net] do not consider 'biz' [business] a major
newsgroup (such as comp [computer], rec [recreation], sci [science], talk
[miscellaneous chatter], etc) and do not carry it as part of their newsfeeds.


A lengthy discussion was recently held in the rec.photo [recreational
photography email] newsgroup. Although about a half a dozen new rec.photo.xxx
newsgroups were created, none seem to fit photo-cd [needs]. Other problems
with creating a newsgroup are:


1. It takes about 3 months to create... by the time you propose the new
group, discuss what it should cover, and put it up for a vote.
2. Many of the archived files in the photo-cd mailing list are large, and
users would not want them sent to the newsgroup. They would have to obtain
them via ftp [file transfer] or the mailing list anyway.
3. Unfortunately, there are those individuals on the Internet who like to
annoy newsgroups by posting totally unrelated garbage. This becomes a real
annoyance to others reading the newsgroup and causes many to unsubscribe.


Marshall further quotes Strangelove>   This [eForum or or email list] is a
form of passive Internet-facilitated marketing. Passive advertising allows a
business to create a forum on the Internet and invite the rest of the
Internet to join in. By creating your own forum, moderating the submissions
(filtering out irrelevant postings), and providing high quality
information...


Cox> We felt that moderation would tend to dampen "constructive criticism".
If someone has a legitimate complaint, responsible people need to know about
it and take proper action.


Strangelove continued>   ... not only about your products but about your
particular commercial sector, you will establish a growing readership in much
the same way that newsstand magazines function.


Cox> Hopefully we have achieved this with the mailing list. Thank you very
much for your suggestion, and we will continue to research alternate ways to
propagate this information.


 Don Cox   dcox () pixel kodak com   <><
"Please take a number ... you are number 11392."
"Now serving Number 58 ..."
My opinions only... Kodak had nothing to do with it!
 ---------------------------------------------------------------------------
The last bit is Cox's email "signature". He added later, "Now serving Number
57."


****************************************************************************


My signature reflects my
other key interest - via
Hong Kong (for now).


-------------------------
     - AD Marshall -
-------------------------
 *SaitS*VietNam-HongKong
 GPO Box 11564, HongKong
-------------------------
Tel/TAD/Fax: 852 984-8007
eMail:       saits () hk net
-------------------------
 Assisting *Appropriate*
 Development in Viet Nam
-------------------------
*****************************************************************************
{Due to the word-limit of the Hard Copy, the following may not even be
considered, for A&M}


Side Bar for "Asian Marketing's "Net Presence" - Not."
By AD Marshall <saits () hk net>


Top 100 US Advertising Agencies, by 1993 billings, with Internet Domains or
Nets.


Rank    Firm                        City            Domain      Billings
1       Leo Burnett                 Chicago         leoburnett.com  2106
3       Grey Advertising            New York        grey.com        1885
6       BBDO                        New York        bbdo.com        1813
7       Saatchi & Saatchi           New York        saatchiny.com   1818
10      Young & Rubicam             New York        yrnet.net       1764
12      Ogilvy & Mather             New York        om.com          1620
14      Backer Spielvogel Bates     New York        backer.net       975
16      Chiat/Day                   Venice, CA      chiat.com        788
21      Gage Marketing              Minneapolis     gage.com         525
22      Ketchum                     Pittsburgh      ketchum.com      629
26      Earle Palmer Brown          Bethesda        epb.com          409
34      Temerlin McClain            Irving, TX      temmc.com        440
39      W.B. Doner & Co             Baltimore       wbdonner.com     316
51      William Douglas McAdams     New York        wdm.com          210
54      Bernard Hodes               New York        hodes.com        195
60      Goodby, Berlin & SilversteinSan Francisco   gbs.com          216
67      Griffin Bacal               New York        gbinc.com        205
71      Warwick Baker & Fiore       New York        warwick.com      164
80      Chapman Direct              New York        chapdirect.com   154
93      Fallon McElligott           Minneapolis     fallon.com       154


Source: Marcus P. Zillman, M.S., A.M.H.A., Internet Consulting and Training
Services, Florida
Billings represent U.S. billings in millions of dollars.


  Zillman, who is author of "HealthLink (ISSN:1077-6036) Global Internet
Resources and Databases" and other books on the Internet, including "LawLink"
and "BusinessLink", emailed his table with a few comments attached:


  Most appear to be using the Net for their own email functions. There are a
  couple of exceptions. ... Ketchum, a Pittsburg firm, has most of their
  offices in the major cities on the Net. And one firm, Fallon McElligott,
  appears to be registering domains on behalf of their clients (a novel
  idea).  Although there are only 20 firms represented, 14 of these firms
  joined the Net since January 1994. I wouldn't be surprised to see the
  number double by Dec 1994.


  An Internet "domain" is part of a the Internet's standard identification
system, the Domain Name System (DNS). For example, "Jake" at Ogilvey and
Mather (O&M) might have a e-mail address which uniquely identifies him to all
Internet computers as "jake () om com", where "om.com" is O&M's creative shot at
domain naming. (What do yogis say? Om...)
  On 3 August, Martin Nisenholtz of the advertising firm Ogilvy & Mather
released O&M's six guidelines for tasteful advertising on the Internet: 1)
Don't send intrusive messages. 2) Don't sell consumer data without the
express permission of the user. 3) Advertising should appear only in
designated newsgroups and list servers. 4) Conduct promotions and direct
selling only under full disclosure. 5) Conduct research only with the
consumer's informed consent. 6) Never use Internet communications software to
conceal functions.