Thursday, October 09, 2008

Google Chrome--a Strategic Platform or just another Browser?

Google's new Chrome Browser came out a few weeks ago to quite a bit of attention. It's big news 1) because it's from Google and 2) it brings back memories of the "browser wars", and seems like it could potentially signal the next big battleground in the intense rivalry between Google and Microsoft.

I've downloaded Chrome and played with it a bit, but this isn't intended to be a technical review of Chrome's merits. It seems reasonably snappy, and has Google's typical minimalist design philosophy, including a single box for multiple functions (search, address bar, etc.). Your personal preferences will decide whether you like that or not. It has some nice features such as tabbed browsing, which theoretically should prevent one bad browser window from crashing all open browser windows--much like when Windows became multi-threaded. Nice stuff, but doesn't really fundamentally change the browser game. But technically it's still a beta anyway (of course just about everything is with Google), and it will evolve over time--so it's not really time to judge it from a technical perspective anyway.

What I want to do is to examine Chrome as a strategic move by Google with respect to the software and online worlds--what does it really mean, where will it take the market, and what are its chances for success?

Let's take a look at some of the potential ways that Chrome could affect the marketplace:

A Better Browser
Of course, PR propaganda always will say that this is the "real" reason for bringing out a new product such as this. When I was at HP we used to call this "making a contribution to the market". Google in particular often gets sanctimonious about this type of thing, with all their "do no evil" and saving the world stuff. Does the world really need another, better browser? Not sure. Firefox and Safari, to name two, are already probably technically superior to IE, and while they've made some inroads in the marketplace, they still trail Microsoft by a wide margin. But history tells us that competition is a good thing, and a step forward on major platform like a browser can certainly be thought of as a gateway to allow software innovation to develop faster. Having a company like Google enter the fray should increase rate of innovation that's possible in the online market.

An Application Development Platform
This is the position that many pundits suspect may be the major impact of Google's move. In their introduction, Google talked quite a bit about "remaking" the browser for Web 3.0, if you will. And a fresh approach does make sense, given that Internet Explorer was conceived long before serious online applications were envisioned for the Web. With SaaS and Web 2-3-4.0 currently all the rage, having a browser platform designed from the bottom up to accommodate online software applications should be a good thing. If it's all it's cracked up to be, this could conceivably be a game-changer and a real threat to Microsoft. The key here is how much of the talk about re-architecting the Browser is real, and how much is hype. This will become more apparent over time as Chrome is further developed, and application developers take a look to see if there truly are features they can take advantage of to build better online apps for users.

An Additional Way To Track User Behavior
This is one of the more cynical viewpoints as to the major motivation behind Google's introduction of Chrome. The thinking is that this is one more insidious move by Google to "big brother" your online activity. It's no secret that Google uses web activity data they collect by various means (such as Google Analytics) to fine-tune their advertising business. Certainly owning browser could be seen as the "holy grail" towards creating a complete characterization of online activity. What else might they use this data for, in addition to fine tuning their advertising platform? That's the question and concern.

A Way To Drive More Search Traffic And Adwords Revenue
Along the same lines as the bullet point directly above, owning the browser could be seen as the ultimate in terms of driving web traffic toward Google's Adwords online advertising. The first thing you see upon downloading Chrome is the opportunity to switch to Google as your default search engine. How much will they do in this regard, either subtly or in a straightforward manner? As stated above, at a minimum, it gives them the opportunity to make Google the default search engine, which is critical to their base business. Only time will tell how much of a factor this is in Google's Chrome strategy.


A "Real" Competitor Aimed At Microsoft IE To Make Them Defend Their Turf
Of all the bullet points I'm raising, this is the one I'm most sure of. Google and Microsoft are locked in one of those classic death matches for online software supremacy, and don't miss an opportunity to tweak their arch-rival and make them sweat a bit. Going back to the application development argument above, there is a feeling that Chrome could serve as the basis for a suite of online Google apps to threaten obsolescence for Microsoft's desktop software business. I don't doubt that Google may try to do this. But even if from a technical and marketing perspective Chrome is only a modest success, it almost certainly will get Microsoft's attention and cause them to expend resources and management attention on browser technology, to an extent they may not have preferred.


SUMMARY
Chrome is intriguing, but it's too early to tell for sure what the major reason is for this Google initiative. They may not even know for sure themselves at this point. But the product, and more importantly the move itself, will likely make Microsoft react. The ensuing competition should be all good for the user and developer communities, as long as it doesn't take us toward another tiresome and market-paralyzing "platform API" war. I'll be following the future development of Chrome closely to see where it takes us--how about you?

Phil Morettini
PJM Consulting
http://www.pjmconsult.com/

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Tuesday, February 12, 2008

Which Online Advertising Platforms Should You Include in Your Marketing Mix?

I often write about online marketing, as many of my regular readers know. A frequent topic of mine is Pay-Per-Click (PPC) advertising, also known as Cost-Per-Click (CPC). Occasionally, people will refer to this marketing vehicle as Search Engine Advertising. What you're hearing this called more and more is "Google Adwords".

HAS GOOGLE ADWORDS "BECOME" ONLINE ADVERTISING?

Of course, its kind of like asking for a "Coke" when you want a soft drink, or "Scotch Tape" when you are seeking sticky-backed tape. It's the age old story of a brand DEFINING the category itself, and usually happens when a product becomes dominant in a market segment.

The conventional wisdom these days is that Google has basically won the Online Search Engine-based advertising wars, so don't even bother with any of the other advertising platforms out there. This topic is the very reason for Microsoft's recent offer to buy Yahoo for a gazillion dollars; they are motivated to do this because Google is so far ahead that they don't appear able to catch up on their own. This raises the issue of two also-rans in a market, combining to take on the market leader--which usually ends in disaster--but we'll leave that for another discussion…

Back to the main question, should you focus your online advertising energy and budget strictly on Google Adwords, or broaden your campaign to other platforms? I have an opinion, of course, and I'd like to illustrate that opinion with my own pragmatic advertising experience, as well as some more theoretical marketing theory which has served me well across a variety of markets. Let's start with the theory, using an experience from my past to illustrate my viewpoint.

MARKET NICHES: HIT'EM WHERE THEY AIN'T

As markets develop, conventional wisdom usually instructs you to "get on the bandwagon" of the market leader, and don't waste your time "where the action isn't". Back in the 90s when I was running a systems & network management software business, Novell Netware had the overwhelming share of the Network Operating Systems business--roughly a 70% share. As a result, most of the companies in our general space focused on making their add-on products compatible with the Novell platform. They ignored two other competitors: Microsoft LAN Manager and Banyan VINES. There were almost no add-on systems management products available for these two platforms. We ported our applications to these two platforms, with excellent payback. Not only were we able to make easy sales to the customers of these two NOS vendors due to lack of competition, these secondary platform vendors supported our efforts to a much greater degree than Novell, where we were one of many. In addition, it turned out that while Banyan (and too a lesser extent LAN Manager) had much higher market shares in the coveted Fortune 1000 market than they did the market as a whole. Many large companies also had mixed networks containing two or more of these NOS platforms--we had a major strategic advantage in these large accounts, due to our cross platform support. The first lesson here is that sometimes it really pays to segment a market a bit differently. In some cases, in segments important to you, the market leader isn't nearly as dominant as overall market share data would lead you to believe. The second take-away is that smaller market segments are often DRAMATICALLY less competitive, allowing you to efficiently grow revenue without huge marketing outlays to "get above the noise".

MY OWN EXPERIENCE WITH THE MAJOR ONLINE ADVERTISING PLATFORMS

I run PPC advertising campaigns for several of my clients. Let me make something clear right away--there is no comparison between these three advertising platforms. Google Adwords is the clear winner, hands down. It's not close. Adwords is both by far the most robust and easiest to use, which is quite a statement. Adwords is a great piece of software, which Google is constantly evolving and improving. You can do almost everything you want and there is excellent online help if you do have a question. If you ever really do need a live person, help is available, even if you are spending a modest amount on advertising with Google. It is a pleasure to work in Adwords. Plus the fact is that by far the most volume of searches is available on this platform.

Yahoo Search Marketing (formerly Overture) comes in second place. This is the original search advertising platform. It's not nearly as robust as Adwords, but the recent major upgrade at least brought the software into the modern ages--it was pretty stagnant for a very long time, allowing Google to surge into a commanding lead. The basics are covered, and it's pretty intuitive--although if you are used to working in Adwords, the subtle differences can drive you a bit crazy. And there are a few things that are simple to do online in Adwords, that you have to call and request over the phone to make happen in Yahoo's platform--but at least they are very nice about it.

And then there is Microsoft AdCenter. What can I say about Microsoft; it is the typically excruciating experience dealing with them. They dominate most markets they are in, and have that arrogant way of dealing with you that only a monopolist has. When you have 90% of the OS or word processing market, you can get away with lousy support, vendor-centric policies and non-intuitive software. But they are a distant third in this market, and they aren't gaining on anyone. So these weaknesses stick out like a sore thumb. This is the newest platform. The software isn't all that hard to use, but in Microsoft fashion they have created some of their own conventions in opposition to market terminology, and the application doesn't always behave in a way you would expect. Add in the unbelievable support mentality, not to mention the fact that they are a distant 3rd in traffic, and you realize why they are last among the major platforms. As an example of their attitude, when I decided to look at Microsoft's offering, I wanted to import my Adwords campaigns into Adcenter to save a BUNCH of time, which the Help function stated that I could do. Makes a lot of sense for a new user, right? Well, I couldn't figure out how to do it in the software, so I called Adcenter support to ask how. I was told that I needed to be spending at least $11,000/month to have access to that feature! There's a classic catch 20--not allowed to import all your campaigns into a platform (which will enable you to spend money in that platform), until you're spending over $100,000/year. Brilliant market penetration strategy! Whoever is making decisions at Microsoft has no idea how to compete--which I guess isn't surprising for a monopolist. No wonder they are trying to buy Yahoo….

SUMMARY AND RECOMMENDATIONS

Adwords is clearly the best platform, so why bother with the other two? Remember the discussion about niche markets above. Although Adwords is by far the best, as a result, it's also the most fiercely competitive of the three--meaning costs are high and margins are sometimes lower. It really varies by market segment, but in some segments, Yahoo Search Marketing and Microsoft Adcenter are neglected, leaving excellent bargains on important keywords. I am currently running a campaign on Adcenter for a client in a very niche, technical market, which isn't supposed to be well suited for MSN search traffic. This campaign is doing VERY well. So the moral of this story is don't pick one--use all three, as long as you're making money on each of them. This is the beauty of PPC marketing, after all. It is quite easy to test to see if it will work for you, and objectively track your results.

That's my take on the three major search marketing platforms--I'd love to hear yours. Post a comment so everyone can benefit from your own experience.

Phil Morettini
PJM Consulting
http://www.pjmconsult.com/

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Thursday, February 01, 2007

Search Engine Optimization (SEO) Through Online Bookmarking

I've spent a fair amount of time talking about Search Engine Optimization in the past. The reason is that in the new century, this is as fundamental to marketing success as print advertising in the last fifty years, and maybe billboard advertising in the fifty years previous to the last fifty. The details and tactics of marketing change, but goals don't really--getting your products and business in front of prospective customers. It would be really hard to find a business of any size these days that doesn't have a website. If they don't, they are probably on the same path as the carriage builders of the early 1900's--becoming extinct.

That's why I spend so much time exploring SEO: it is nearly universally critical to the market presence of every company, especially high tech and software companies. So here is one more new technique that you can use to build your company's Internet presence, including the always present goal of improving your ranking in Search Engine Results for the keywords important to your business.

ONLINE SOCIAL BOOKMARKING

Online bookmarking, also known as "tagging" is a way of making available to others online, your recommendations on interesting content to visit on the Internet. Think of it as making your browser "bookmarks" or "Favorites" available publicly. In fact, most social bookmarking services allow you to upload your bookmarks/favorites into their system to streamline the process. You often have the choice of making your bookmarks available to just people you are acquainted with, or broadly to the public.

While this is a neat thing to do for a consumer from a Web 2.0 perspective, this activity also can have application to online marketers, if used correctly. You simply bookmark or tag the articles that you've written and posted online, press releases, news stories, etc.--any important and interesting content related to your company. In doing this, you get the opportunity to include your name, company name and a link to your company's website in the tag detail. This will create some organic traffic to your site, but will also be of assistance in improving the SEO rankings of your site.

Some people consider this to be spamming, but it really isn't. You are simply tagging interesting things for people in your industry to find easily. I recommend that you also include your other interesting bookmarks along with your company-specific content, to minimize any concerns.

Now this is a bit of work, even for one social networking service. For maximum effect, you want to cover as many social networking services as possible.

I've come across another great, free website that's assists you in doing just that, greatly limiting the labor involved. It's called ONLYWIRE. You can use this site to place a tag across multiple social bookmark sites(currently 16 different sites). Using OnlyWire you only have to place the tag once, instead of 16 different times if you tried to do this manually. It requires you to visit the 16 sites and open an account first (which you'd have to do anyway), which is a bit of work--but OnlyWire then increases your productivity tremendously from there on. I've been using it for a couple of months and found it to work great. Give it a shot and let me know what you think!

Phil Morettini
PJM Consulting
www.pjmconsult.com

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Friday, December 29, 2006

Publishing White Papers on the Web

Let's talk about another great way of promoting your High Tech product or business on the Internet. One of the best ways to bring QUALIFIED prospects to your site is by publishing whitepapers.

In a previous column, I wrote about WhitePaperSource.com. This is still a great place to start if you are thinking about writing a new White Paper, or even starting a long term white paper campaign. I consider it the authoritative source of information on white papers as a form of promotion. There are forums there where experts reside to answer whatever questions that you may have about this important form of promotion.

The reason that white papers are so important, relative to other forms of promotion, is because they are credible. In fact, if you write a truly great white paper it won't be viewed by the reader as a form of promotion at all--but as a key information source in the search they are on to solve a particular business problem. So don't waste your time writing a thinly veiled product advertisement. Write a really useful white paper that will build your company or product's image as a leader in your business category--and one whose products and services should be checked out FIRST.

I wanted to provide you with some great additional online resources for your white paper campaigns:

PLACES TO LIST YOUR WHITE PAPERS

IT AND TECHNOLOGY TOPICS

http://www.keyitsolutions.com/

http://www.itpapers.com/

http://www.tecwhitepapers.com/

SOFTWARE

http://www.softwareceo.com/white_papers.php

NETWORK SECURITY

http://www.securitydocs.com/

GENERAL BUSINESS AND VERTICAL MARKETS

http://www.bnet.com/whitepapers.html'

So there you go, some additional resources for you Technology and Software white paper campaigns. Check them out and let me know what you think. Since this is my last column of 2006--Happy New Year--let's have a chat in 2007!

Phil Morettini
PJM Consulting
www.pjmconsult.com

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