Drive, Google says, as it pushes automobiles via online video, mobile, YouTube, etc.

excerpt from “Google’s View of autos for 2008.” imediaconnection. 2/21/08. An interview with Bonita Stewart, Google’s director of “automotive vertical.”
“…dealers have the opportunity to geographically target their products and services, and mobile technology offers the ability to connect with a dealer during the shopping process…Right now we are particularly keen on the benefits of online video. It’s the new portable TV and offers the sight, sound and motion automotive marketers crave to differentiate their product and to evoke consumer emotion. In November 2007, U.S. consumers viewed more than 225 million auto/vehicle videos on YouTube…Google’s resources and expertise make YouTube’s search experience the best it can possibly be…We will continue to make search and discovery of videos a priority in 2008…Don’t build it and wait for consumers to come to your site. Venture out, find them and communicate with them online through gadgets that provide dealer locators, photo/video galleries, build and price features directly to the consumers in a microsite format…don’t ignore the data. Today it’s more compelling than ever to follow the consumer and lead from behind. Consumer engagement is increasing and driving their behavior as witnessed by the growth in social networking, video, mobile and search. On the horizon I see integrated marketing moving to integrated accountability and ROI. Marketers will develop more cause and effect levers.”

Microsoft’s quest for Yahoo!—Follow (Your!) Data…or Hi, Ho, Hi, Ho, it’s off to harvest your data we go

We will be covering the proposed takeover, from both the online advertising business and privacy side. Here’s a revealing tidbit from BusinessWeek on what Microsoft hopes to achieve from a deal: “What’s more, the company is hoping to bring together Yahoo’s research and development staff, who’ve done innovative work in online advertising auction theory and data-mining, with its own online lab.”

Yes, a key to analyzing this deal–if it happens–is what are the consequences when Microsoft’s adCenter merges with Yahoo!’s Panama and other data mining assets. That’s why it’s important to keep a spotlight on what Google and Microsoft, among others, plan to do. Here’s an example of where we are headed, courtesy of Microsoft’s adLab demonstration this week [via Clickz]: “Online advertising has been centered around keywords for too long,” said Tarek Najm, an engineer for Microsoft’s advertising and business intelligence systems, adding the “next wave of advertising is going to use new algorithms and technologies” that display ads based on consumer intent.”

Microsoft’s Digital Ad Goal: Anticipate…Consumer Behavior Faster than the Speed of Thought

Both Google and Microsoft are in a race to push the boundaries of digital advertising so they can better serve brands and marketers. Microsoft is now again in the spotlight because of its attempt to acquire Yahoo! In November 2006, my group CDD and the USPIRG filed a complaint at the FTC focused on threats to privacy and consumer welfare from digital advertising. We had a special focus on Microsoft and its adCenter work, and have kept an eye on the company every since (along with our watch on Google). Today, Microsoft’s adCenter Lab issued a press release summarizing some of its latest work to expand the capabilities of interactive advertising. Here is an excerpt to ponder:

“We believe the technical advances and intelligence we are creating at adCenter Labs can change the game of online advertising,” said Tarek Najm, technical fellow at Microsoft. “Solutions to today’s challenges must be capable of handling and understanding the complexity of vast amounts of data. To address that challenge, we are developing advertising algorithms that can anticipate and understand consumer behavior faster than the speed of thought, so that we can help advertisers create more efficient and relevant user experiences.”


	

Ad Age on some of the methods used with online advertising (inc. for Google & Microsoft)

from Abbey Klaassen’s 2.4.08 article on Microsoft’s proposed Yahoo! takeover, entitled “They’ll still be Chasing Google.” [excerpt]: “The merger could also provide advertisers with a broader suite of online ad offerings and allow them to better integrate their search ads with display, video and even in-game units. In theory, at least, the combination of those formats allows marketers to influence consumers’ opinions about a product or brand, create demand for that brand and fulfill or track that demand through a transaction such as a search. It also allows them to measure and attribute the value of the different types of ads consumers encounter on the path to a purchase — for example whether John Doe has seen a display ad, and is then prompted to search for the product advertised.”

The Microsoft/Yahoo! Threats to Privacy Issues Exemplied by Ad Industry Reaction to Deal

Once again, we thank the ad industry for writing our blog (and regulatory!) copy: “”I think what we lose in being able to negotiate with both of them we’ll gain with new opportunities. The biggest opportunity would be to leverage Yahoo’s behavioral targeting across Microsoft’s relationships with Facebook, XBox and Massive, which has the ability to dynamically insert ads in console games.”–Andrea Kerr Redniss, SVP, Optimedia US.”

from: Madison Avenue: We Love MSFT-YHOO. Silicon Valley Insider. Feb. 1, 2008.

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The Net’s “Long-Tail”–a Leash Controlled by Two Giants & FTC Bungles Merger Review

Just a few added thoughts on the proposed Microsoft-Yahoo! deal. We think there needs to be real soul-searching by Congress and the FTC on how it addressed the Google/DoubleClick deal and the related spate of new media mergers in 2007. We told both Hill leaders and the FTC that they needed to explore the larger dimensions of this deal–including its impact on the diversity of online publishing (that’s because whomever controls the “monetization” engine of the online ad biz becomes the critical controller). When Microsoft, Yahoo!, Time Warner and the others went on a post GoogleClick shopping spree, we said the FTC should reject these mergers until they had examined the entire online ad market. But the commission failed to do so, in our opinion.

So now as a proposed Yahoo! takeover by Microsoft is considered, one serious concern is that a merger brings with it newly acquired assets that further add to concerns over consolidation and data privacy. The FTC approved without safeguards the $6 billion takeover of aQuantive by Microsoft. The FTC approved without safeguards the takeover by Yahoo! of behavioral targeting ad network Blue Lithium. The FTC approved without safeguards Yahoo!s acquisition of online ad exchange (and data collection system) known as Right Media. There have been other purchases as well by the two companies.

Congress will need to investigate the implications to both competition and consumer privacy: neither the FTC nor DoJ can be trusted to address these concerns. There are also human right issues, given Microsoft’s own work in China. We will be following this deal closely, including examining the implications of a Yahoo!-Microsoft digital combine.

Google’s mobile vision–Promoting location-based fast food marketing

excerpt: “The idea of location-based advertising, in which advertisers use the location of mobile phone user to send targeted advertising, also won support from Google chairman Eric Schmidt.

He used the example of how an advertiser of fast-food could target a user with advertising when he or she was near a restaurant.”

from: China’s mobile network: a big brother surveillance tool? AFP. January 27, 2008

Behavioral Advertising: Targeting “Users Further Down the Purchasing Funnel”

When you can get the online ad industry to write your copy, it makes the work at the FTC and the European Commission so much easier! Here’s an excerpt from a revealing imediaconnection article entitled “Targeting Tips for a Converged Media World.” [Jan. 30, 2008]
In days past, audience segmentation was based solely on demographic and contextual targeting information, which allowed advertisers to promote their products or services to a group of potential consumers based on their gender, age and other fairly unsophisticated, generic characteristics. In the online world, consumers now essentially determine their own segmentation based on individualized habits, determined through behavioral targeting…. Behavioral targeting…is also an additional way for marketers to target users further down the purchasing funnel and helps marketers better predict how users will act… Marketers will be able to track individuals or user clusters across their favorite TV shows, travel habits through their car’s GPS or obtain their video game proficiency through in-game advertising… As users age and change their personal preferences, behavioral targeting can change with users’ habits and compensate accordingly…With marketers able to include interactive components into traditional media outlets while infusing behavioral knowledge and targeting, advertisers must create messages that can be delivered across all platforms. For example, we could see mobile ads that use interactive elements if marketers know the behavioral cluster exhibits a preference for interactive media.”

Google’s Privacy PR: Here’s What They Sent to Reporters. But real safeguards are required, especially in the GoogleClick era

Yesterday a reporter sent me the following email sent from the Google PR shop. Instead of calling for responsible policy safeguards to protect consumers, Google is distributing booklets, videos and other self-help materials (in other words, let the user beware). It’s not surprising that Google is on a PR effort to quell the growing calls for real privacy protection. But they are not living up to their own ideals if they fail to really be more candid about the conflicts they have with a business model entirely based on data collection and targeted marketing.

Here’s the email:

“From: “Adam Kovacevich”
To: undisclosed-recipients:;
Sent: Monday, January 28, 2008 12:23:11 PM (GMT-0500) Auto-Detected
Subject: Happy Data Privacy Day

Okay, okay, so you can be forgiven if you didn’t realize today was Data Privacy Day here in dear old North America. At Google we’ve been doing a lot lately to educate our users about our privacy policies (particularly the launch of our Google Privacy YouTube channel ), but we figured today was a good day to unleash a few more education efforts. To wit:

• A brand spankin’ new video on the YouTube channel explaining how cookies work: http://youtube.com/user/googleprivacy
• A new booklet ( http://64.233.179.110/blog_resources/google_privacy_booklet.pdf ) that gives our users an in-depth look at our privacy practices and approach. This should be a particular good resource for you journos too.
• We’ve co-sponsored the creation of educational materials ( https://www.privacyassociation.org/images/stories/pdfs/DPD08_TeenPrivacyOnline_slides.pdf ) on teen online privacy for parents and educators.
• Our senior privacy counsel Jane Horvath is today joining legal scholars, privacy professionals, and government officials from Europe and the U.S. at an international data privacy conference being held at Duke University in Durham, North Carolina.

For more on all of this, check out our blog post:

http://googleblog.blogspot.com/2008/01/celebrating-data-privacy.html

or background from the Search Engine Land blog:

http://searchengineland.com/080128-095148.php

Adam


Adam Kovacevich | Sr. Manager, Global Communications and Public Affairs | Google
1101 New York Ave NW | Second Floor | Washington, DC 20005 “

As a brief companion piece to Ken Auletta’s article on Google in the current issue of The New Yorker magazine (The Search Party), this may be of interest. Google’s goal is ultimately to be of service to advertisers and marketers; that’s how it makes 99% of its revenue. There’s a disturbing lack of candor from Google about the conflicts they have. One the one hand, they are (getting PR for) promoting responsible practices such as energy sustainability. But on the other hand, they are using all the company’s incredible resources to push the interactive marketing and selling envelope, including the sales of automobiles. Here’s excerpts from Google advertising sales job openings related to the car and truck industry:

1. The role: Industry Head, Automotive – London

As a Google Automotive Industry Head, you’ll be working with those who produce, market or sell products or services related to cars, trucks, boats or other transportation vehicles. This includes original equipment manufactures, third-party websites, dealers and after-market parts and accessories companies. This is a highly consultative position that reports directly to the Automotive Industry Leader. You’ll be responsible for presenting the team’s strategy and managing a team of experts to increase sales on a national level. Focusing on building strong relationships at the highest possible level, your goal is to help your automotive clients get as many of their marketable assets online in an affordable and measurable way. You’ll combine exceptional Automotive knowledge, deep industry and marketing agency relationships, compelling communication/presentation skills and inspired prospecting/analytical abilities to develop and close new business as well as grow existing business.

Responsibilities:

  • Develop the vision and manage the sales/account strategies that will fully unlock the potential in the Automotive sector.
  • Build and maintain relationships with senior-level clients, industry-specific direct advertisers and relevant agency contacts.
  • Educate the Automotive industry and evangelise Google, particularly at targeted events, conferences and media opportunities.
  • Understand the roles of and manage a team consisting of Industry Managers, Account Managers, Account Strategists and Sales Planners – providing team development, guidance, feedback and motivation.
  • Develop a deep understanding of the business needs of Automotive advertisers and insights into consumer behaviour.

Requirements:

  • High-calibre BA/BSc degree (MBA preferred).
  • Proven record of strategic development of major Automotive manufacturers.
  • Substantial experience in advertising sales/marketing and sales management.
  • Established relationships and presence within the Automotive industry.
  • Broad knowledge of sales and management, and proven team management experience.
  • Ability to influence product development through interaction with relevant colleagues, peers and direct reports.
  • A deep understanding of the industry’s issues, a vision for its growth, and a commitment to advance Google’s forward-looking strategies within the marketplace..
  • 2. The role: Account Strategist, Automotive Vertical (Detroit)

    As a Google Automotive Account Strategist, you’ll work primarily with large automotive clients and agencies. Most of these companies operate multiple sales channels, work with several manufacturing partners and always look to increase sales volume and efficiency. This is a creative position that calls for a strong affinity for the craft of language and a fondness for consulting closely with the auto clients. You’ll distill the essence of our clients’ products and services into targeted keyword lists and text advertisements that connect our advertisers with customers. You will also collaborate with our Sales and Operations team to work closely with clients to maximize the performance of these highly targeted ads.

    3. [based in Santa Monica, CA]  The role: Account Strategist, Automotive Vertical.   As a Google Automotive Account Strategist, you’ll work primarily with large automotive clients and agencies. Most of these companies operate multiple sales channels, work with several manufacturing partners and always look to increase sales volume and efficiency. This is a creative position that calls for a strong affinity for the craft of language and a fondness for consulting closely with the auto clients. You’ll distill the essence of our clients’ products and services into targeted keyword lists and text advertisements that connect our advertisers with customers. You will also collaborate with our Sales and Operations team to work closely with clients to maximize the performance of these highly targeted ads…

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