The Byline: PR and Marketing Insights from Eiler Communications

The Millennial Generation, aged 18 to 29, is a group that has grown up with technology instilled into their everyday routines. They are Internet junkies, multi-taskers, and demand personalized technology. They want to genuinely connect with others online.

Millennials are significantly different from their parents in the Baby Boomer generation in numerous ways. At cause of these lifestyle and fundamental distinctions, marketers are struggling to accommodate to millennial needs. However, Brand Amplitude, LLC, a market research firm, has launched Millennial Marketing, an online concept that provides a series of tools to understand Millennials and research to explain where the future of marketing lies.

Millennial Marketing pinpoints the generation. They are more diverse than the baby boomer generation and have a variety of needs in technology and communication areas. Due to multitasking, Millennials are consuming more media than ever, and they are more dependent on technology. Ninety three percent of American teens ages 12 to 17 go online; a Pew Research Study found that while using the Internet, 40 percent of US Youth ages 18 to 24 watch TV, 34 percent text, and 29 percent talk on the phone.

More Millennials than baby boomers have enrolled in higher education. Approximately one third of male and 40 percent of female Millennials have had some college education, compared with 25 percent and 23 percent of Baby Boomers, respectively. Yet a college education puts students in debt largely due to student loans.

The average millennial debt is $21,500, and 32 percent of Millennials feel they are “barely making ends meet.” Furthermore, there’s pressure to do well financially, but the recession has made it difficult to so. In fact, the recession has played a role in the millennial spending. Almost half of Millennials say they have changed their shopping habits somewhat, and others are questioning the need for an expensive college education.

It’s pretty clear: Millennials have different values than the Baby Boomers. They have been shaped by the recession and demand a higher degree of engagement pertaining to technology. As a result, marketers need to tailor their marketing campaigns to their different mindsets.

Millennials are price and value conscious, and they hold the products they spend their money on to high standards. They are highly skeptical of advertisements having been exposed to them their entire lives, and they use a discerning eye when it comes to purchases. Doing a quick internet search before making a selection is second nature to Millennials.

Without a doubt, the most significant shaper of the Millennials has been the internet. Something that can be both a blessing and curse for marketers is that the Millennial generation is always connected. Not only do they utilize the internet for product or service information, but as a broad communication platform as well. When a baby boomer has a bad experience with a business, they casually complain about it the next time they see their friends. On the other hand, when a Millennials has a bad experience, they share it with 800 of their closest Facebook friends. So how can brand managers channel insight into Millennial’s different lifestyle and values into a successful marketing campaign?

BrandAmplitude, LLC offers advice on how to connect with Millennials and their unique mindsets. First of all, a brand must be authentic. Millennials see right through false claims. Also, a brand must position itself as a necessity in order to appeal to Millennials. Due to the recession, this generation believes that they are strapped for cash and will be far more likely to purchase things they deem to be valuable necessities.

BrandAmplitude, LLC also recommends using social responsibility to appeal to Millennials. On average, Millennials are more socially conscious than previous generations, and they have been prone to use the presence or absence of corporate social responsibility as a tiebreaker during purchase decisions among similar brands. Millenials care that no animals were harmed in the production of a product or that a percentage of a company’s sales are donated to charity.

A brand that the Millennials can connect with needs to be shareable via social media. Due to the fact that Millennials spend a large portion of time on these sites, a relevant brand to them has what BrandAmplitude, LLC calls ‘Social Currency’. This means that a brand is social media compatible and can be exchanged on platforms such as Facebook, Twitter, and YouTube.

Lastly, BrandAmplitude, LLC recommends portraying a brand as an experience. Millennials are more apt to spend their money on doing interesting things instead of having interesting things. They perceive experiences as a form of personal investment.

Even though the Millennials have strikingly different values and lifestyles than baby boomers, it is not difficult for marketers to reach this target market due to their dependency on technology. Marketers simply have to take the time to understand the Millennials and ensure that they are delivering a message that they will respond to.

Rachel Krasnow & Emily Rozanski

I can’t even remember how many times I have heard that the possibilities are endless with the Internet. In fact, I turn to the Internet for everything- email, news, phone numbers, social media, weather and research. Everything – or almost everything – is on the Internet.

Imagine my surprise when I read on NewYorkTimes.com that there is less than one year until the Internet runs out of addresses. Currently, the Web uses Internet Protocol Version 4, where each address is limited to a 32-bit number and only a maximum of 4 billion unique addresses. All but 6% of available addresses have been allocated and this will run out within the year!

Internet Protocol Version 6 (IPv6) is the latest version and uses 128-bit addresses, supporting a lot more unique addresses. Internet Service Providers, telecoms carriers and large-scale Internet companies each have a responsibility to switch to IPv6. The good news is that Verizon and Comcast have announced trial IPv6 activity while Google has already put the majority of its services onto IPv6 and Facebook is following its lead. However, the complete switch is far from over for most of the Web. But the switch must be made or the Internet will have an expiration date.

Jaclyn Klein

As I am on the go more and use my phone as an internet source, a thought occurs to me. Can I get a virus on my phone? It’s sounds crazy but I can’t help but wonder. I would go crazy if my phone, a life-line of sorts, was to fail on me.

I have learned cell phone viruses do exist, however unlike ones that attack computers, cell phone viruses have trouble replicating and need to be installed by users. This means, multimedia text messages could carry viruses. If it’s not from someone you know and trust, don’t open it! An infected phone with a Bluetooth can also search for Bluetooth phones in the area and send virus code. To prevent this, turn the Bluetooth auto-discovery mode off. And yes, cell phones can become infected by surfing the Internet. However, phones require users to download and install infected files. So don’t download what you don’t know.

Ironically, cybersecurity is becoming such an issue that The University of Maryland University College is launching a cybersecurity degree program starting this fall. The coursework is completely online and 1,000 to 1,200 students are anticipated to be apart of the program this fall. It’s ironic that cybersecurity now includes phones, something I never would have dreamed of as a kid. Where will cybersecurity be needed in the future? I can only imagine.

Jaclyn Klein

With the Re:NEW Michigan survey showing a continued growth in the use of social media for business marketing, speculation around the future of social media marketing is only natural. According to Forrester Research’s most recent Interactive Marketing Forecast, social media marketing will grow at an annual rate of 34%. This is faster than any other online marketing and double the rate of all other online marketing techniques. Can you see your business utilizing social media 34% more? What will social media look like 5, 10 or 15 years from now?

College campuses have always been a breeding ground for innovation. It is unlikely to find a group of people more receptive to change clustered in one area. Facebook, for example, made its debut on college campuses, and now everyone and their uncle (literally!) seems to have their own page. An upcoming trend deserving of closer watch is the use of e-readers in education.

Last fall, Kindle DX, Amazon’s e-reader geared towards e-textbooks, was run through pilot programs at Arizona State, Case Western Reserve, Pace University, Princeton, Reed College, and the University of Virginia’s Darden School of Business. This initiative was undertaken by the institutions in an attempt to eventually defray textbooks costs and reduce the amount of paper used by each student. The Kindle DX was very well received. Students were able to access and transport all their textbooks in one portable 10.3 oz device as opposed to carting a heavy backpack full of high-priced books all over campus.

After discussing the issue with my college students peers, I found them to be extremely interested in the idea of purchasing an e-reader for textbooks as well. With the ever-rising cost of college tuition, adding an extra $700 per semester for textbooks leaves students feeling outraged and open to a technological device that will save them money in the long run. A Kindle DX retails for $489, and e-textbooks average around $50, well under about half the cost of traditional, in-print textbooks.

The issue presents a chicken and egg type paradox, however. Students will not purchase an e-reader until they are ensured that all of their needed textbooks are available in digital format. While at the same time, textbooks companies will not release e-textbooks until students start purchasing e-readers. According to the National Association of College Stores, the textbook industry brings in an average of $6.5 billion dollars annually, and these publishers are not yet ready to relinquish control over how their content is sold and displayed.

For now, the e-textbook industry, with the potential to revolutionize the educational world, is at a standstill. It is up to the publishers to take the next pivotal step because it is doubtful that money-conscious students will do so.

Emily Rozanski

QZone turns profits from people, not ads
Model for social network sites

It’s time for Western internet users to say “ni hao” to the biggest social networking website on the Internet, QZone. (“Hi” or “hello” in Chinese).

If social media want to build revenue models for their businesses, they need look no further than the highly popular 5-year-old Chinese portal, QZone. It generated $1.2 billion revenue in 2009!

QZone is a Chinese social networking site (available only in Chinese) started by China’s largest Internet service portal TenCent just five years ago, in 2005. The website has more than 250 million reported users as of late 2009, according to Reuters. Some of QZone’s features include tools to interact with friends, online games, uploading and sharing photos and music as well as the wildly popular instant messenger QQ. It permits users to write blogs, keep diaries, send photos, and listen to music. most services are not free. A user pays for virtually every service he or she uses.

What makes QZone unique to other social networking sites, like the U.S. based Facebook and MySpace, is how QZone generates revenue. In 2008, QZone and TenCent was over $1 billion and only 13 percent came from advertising. The rest of QZone revenue come from virtual purchases.

Virtual profits are made up of any type of service or online goods for which users pay real money. This can range from subscription fees to buying virtual clothes for avatars and codes or boosts for games. As silly as it may seem to some to pay for accessories for a two-dimensional character or to cheat in a game, this technique has made online companies in Asia wealthy.

Whether Facebook and MySpace can employ the same technique with equal success is still to be determined, but for now QZone stands as the best revenue-generation business model for social networking.

Larry Eiler & Alyssa Eckles

Planning for and managing crises are valued components of public relations especially during economic downturns. The reputation and well being of all businesses, non-profits, schools and governments are at risk when there is no plan for action when the wolf is at the door.

“We just do not have a ready handle on how to handle the new situations we are encountering because of new situations due to the economy,” said the CEO of one large organization of businesses.

His plight is common. Bankruptcies threaten financial institutions in each of our 50 states. Governmental units, fire and police services and educational systems are under fire for redundancies in services or for financial mismanagement. Restaurants, banks, and other businesses routinely are hit by burglars. These are all crises. They involve doing business in ways that differ from normal times.

Here are seven steps that any organization can take to manage a crisis.

Candor
Publicly identify and acknowledge the problem. Frankness and honesty are always the best policy.
Say what you will be doing, when, and provide updates as you will acquire new information.

Explanation
Identify situations as you are able. Explain them clearly.

Declaration
Specify the steps that you will be or are taking to resolve the issue. Explain your role as spokesperson and provide 24/7 contact information.

Contrition
Accept responsibility.
Do not place blame.
Offer apologies, regrets, sympathy or whatever is appropriate to the situation.

Consultation
Ask for help from relevant parties.
Seek engagement from those most directly affected.
Use collective ideas to plan how further situations will be prevented or communicated.

Commitment
Promise to take actions to eliminate potential further situations.
State what will be done in assessing and evaluating solutions.

Restoration
Explain how you will remediate the problem.
Emphasize management’s focus on prevention.

Larry Eiler

“I’m working on a dream

Though sometimes it feels so far away

I’m working on a dream

And I know it will be mine someday”


- Bruce Springsteen

If Bruce Springsteen can get his dream, why can’t you? According to the National Federation of Independent Business’ (NFIB) Optimism Index, small business’ hopefulness is out. In a time of economic hardship, companies are becoming increasingly pessimistic about their future. But why give up on your dream altogether? No one said being successful would be easy.

There are many ways for businesses to fight through the economic recession, mainly by cutting costs. First, save money on advertising. Joining social media sites such as Facebook and Twitter allows your company to promote itself for free. That’s right, I said free! By completing a simple sign in page, your company can create a profile that informs followers of important business or industry news. Additionally, join LinkedIn. By joining this site, your company has the potential to meet prospective clients and employees. Once again, membership is free and partnering with new clients can lead to a number of new opportunities.

By implementing these small changes, you can improve your company’s standing in today’s economy. Look at the glass half full and stay motivated. Follow in Bruce Springsteen’s footsteps and work on your dream to further the chance of making it a reality.

- Sami Kraslow

Free television shows you can watch on your computer? It sounds too good to be true? That’s what Hulu, the online video player, is beginning to think as well.

Hulu.com showcases the latest episodes of shows from major cable channels for free. It’s simple to work: just find the series you want to watch and click on an episode. There are commercials and Hulu will remove television shows after a short period of time, but overall it’s a great concept.

Despite its popularity and general success, Hulu is considering a huge change. The video player has announced it would like to start charging viewers in 2010, turning the “free-for-all” website into a subscription service.

If Hulu starts charging its viewers for content, it will lose quite a few significant audience groups. People who just want to catch up on a series won’t continue with Hulu, and neither will those who use it as a surrogate television. Most major television channels will offer the three most recent episodes of a show for free, if you don’t mind their finicky media players. Many users will be hard-pressed to find something positive about a media player which charges it viewers for something they had been getting for free.

Hulu will need to evolve if it wants to charge viewers and remain the top online-video site after YouTube. The first thing will be to cut all commercials; nobody wants to pay to sit through the same McDonald’s commercial five times in a 20-minute show. Hulu will also need to beef up its content. Currently, it only offers maybe 5-10 current television shows from each main channel and only a few shows from smaller specialized channels like Syfy. More shows from more channels would be a great way for Hulu to keep its audiences.

The biggest thing Hulu will need to do to remain popular with subscription fees is simply to be the best. Whether it’s offering more than 300 television series in their entirety or featuring full-length movies before their release on DVD, Hulu could survive a major change. Without something extraordinary, though, Hulu won’t make it to another season.

Alyssa Eckles

As technology advances, people are increasing their ability and preference to be in a state of constant contact with others. However, when this expansion of communication reaches a point of pervasiveness that interferes and distracts from an individual’s primary tasks the results can be disastrous.

With the growth in cell phone usage, more and more people are prone to utilize their phones while they drive. This is not limited to teenagers or younger adults; people from all ages are increasing the use of their phones and other electronic devices in various capacities while driving. This includes such things as dialing a phone number, checking email on a mobile device, changing the music on a digital music player, and sending text messages.

Driving is primarily a visually dependent activity, thus any action that removes the driver’s eyes from the road is potentially dangerous. Beyond merely seeing the road, driving requires the diver to be mindful and aware of what is going on around them. Texting and similar actions take both the drivers eyes and mind away from the road.
Various studies, both in real and simulated scenarios, have established the hazards of this distracted driving. According to research conducted at the Virginia Tech Transportation Institute, when a car driving at 55 mph texting takes the driver’s concentration off the road for the equivalent of traveling the length of a football field. Furthermore, a study conducted by the Transport Research Laboratory at Wokingham, Berkshire England found that texting while driving is as impairing as drunk driving. Yet, regardless of all the tests all the evidence, even first hand experiences in close crash situations a large number of people continue to text while driving.

The legal regulation of texting and driving is gaining support on multiple levels all across the United States. Nationally, President Obama signed an order that forbade all federal employees from texting while operating a federally owned vehicle. Additionally AAA is lobbying for a bill that would force all states to adopt no texting while driving laws and enact them by 2013. On the smaller scale a little under half of all the states so far have passed laws that outlaw texting while driving.

This is a great step towards reducing the problem, but it is difficult to actually enforce the laws. Simply spotting the behavior, beyond being a poor/distracted driver, is difficult let alone actually proving that whatever the driver was texting. It only takes a couple clicks to erase all text messages on a phone. Theoretically this is can occur in less time then it would take for a police officer to pull a person over and walk from their patrol car to the other vehicle. Thus without subpoenaing cell phone records confirming that the person was indeed texting and driving would be extremely difficult. Even then, a person could delete the text and not send it, thus making the subpoena irrelevant. The punishment for texting while driving varies throughout the states that have banned it, but the standard seems to be a moderate fine, which increases per offense.

Where legal regulation falls short, technology is stepping up to help. Although the advances in technology and increased level of communication lead to the danger these distracting dangers, several steps are being taken to correct the problem. One example of this is the development of Microsoft and Ford’s Sync technology. Sync allows a person to connect their phone wirelessly to the car using Bluetooth technology. When a text is received, Sync provides a number of prewritten responses that can be keyed in and sent using the appropriate number on the dashboard. Sync also includes voice command technology that allows a person to vocally control various calling features of their phone. Specific music artists and tracks can also be vocally selected from a digital music device when one is connected to the vehicle. Although there is currently not adequate technology to allow for talk to text/text to talk interaction reports claim that Ford and Microsoft are currently working on further development. All of these applications allow for a more seamless, less distracting, driving and communicating experience.

Not waiting for legal regulation and technology to take their full affect there are groups attempting to raise awareness about the dangers of texting and driving. Many of these stem from established groups that are aimed at aiding and informing teenagers and their parents. The most shocking effort of the anti-texting and driving movement is a public service announcement made by a British police department, with the intent to be shown to teenagers. The extremely graphic video shows a teenage girl whose texting and driving has devastating results. Click here to view the video: Texting and driving PSA. While the video is indeed disturbing, the intention is to illustrate just how dangerous texting and driving can be.

In the end, the main goal of all of these efforts is to encourage drivers to keep their eyes and minds focused on the road. The law, technology and community groups are all moving forward to eliminate texting and driving, hopeful that society will soon follow suit.

Mike Witkowski