Friday, 16 May 2008

Tequila does some interesting work for Cartier

One of the great benefits of this trip has been to be able to learn through first hand experience. Whilst we can all now access pretty much whatever we want through the net nothing beats face to face engagement and meeting people who are at the forefront of driving interesting work. One example of this was the meeting we had with the team at Tequila Japan . Whilst giving us our first overview and introduction to the state of the mobile market here in Japan they also detailed some interesting work they had done for luxury brand Cartier. Not familiar with mobile as a marketing channel Tequila proposed a campaign that put mobile at its core, reaching out to a younger audience with a view to raising awareness and establishing a long term commercial relationship as well as building brand loyalty with an audience who until then, had not even considered them. Running from May 2007 - March 2008, their approach focused on a phased launch of two websites for the mobile user based on two main events: LOVE DAY in June and Christmas in December. Content was tailored around these two themes. For example for LOVE DAY users were able to view branded content via video streaming, view products in an online gallery, find out about their nearest boutique store, or download branded wallpapers. For the second website which was centred on the theme of Christmas, the site evolved to incorporate flash downloads, wallpapers, mobile greetings as well as an introduction movie. And the results? A campaign that opened the eyes of Cartier to the benefits of using mobile to target a younger audience, so much so that they are now onto their third campaign that places mobile at the centre of its activity to drive traffic instore as well as to an updated bespoke site. User registrations for regular updates continues to grow and the number of users accessing the second site has passed the half a million mark. For the user, Cartier have developed content that their target audience not just wants but is accessing and downloading on a regular basis.

Crazy dining

We had a funny dining experience last night. Taking a suggestion from the hotel we found ourselves at a place called Robataya which from the outside looked fairly innocuous. When we entered however we were greeted by a chorus of "Hai! Hai! Hai! Sumimasen!" from roughly 6 burly looking guys dressed in kimonos and wearing narrow headbands that looked like they had escaped from the seventies. A small room, the food was laid out in front of us and then cooked on a grill by two of the kimono dressed henchmen, food being passed to customers on a long paddle. There was even a fish tank in the centre, and yes, if you wanted, you could choose your live fish which would be swiftly yanked out, gutted, chopped and grilled faster than Gordon Ramsay could say kitchen nightmare. Needless to say the food was excellent, and the chorus continued all night. Every time a customer walked in or left, there would be a friendly volley of greetings, drowning out any immediate conversation. At one point the chefs changed and this was accompanied by a clapping fest that would rival anything out of a German beer hall. Great atmosphere and highly recommended although perhaps not a place for a delicate meeting.

The tentacles of search are everywhere

Whilst we are all aware of the role of search in a digital environment, the impact of consumer’s clicks is making itself felt in traditional advertising channels. Yesterday at a meeting with Google Japan we heard of a new trend amongst advertisers of pushing search terms across all forms of advertising. For instance, TV ads are now being developed that feature keywords (as well as actual visuals of a search box) that users should enter when they search, driving them straight to the campaign site or landing page, rather than feature the URL. There are several learnings here for advertisers. By featuring a keyword that is close to the consumer’s intent it makes it easier to remember, rather than a long www address. Advertisers also know that there is a correlation between people watching TV and using their mobile at home, rather than using their PC. So, if an ad runs and the user notices the search term or call to action, they are more than likely to enter it on the spot via their mobile, driving them to the targeted site. Finally, it means that advertisers can track the performance of the TV ad far more effectively rather than relying on viewing figures.

This technique is also being used on outdoor advertising we've seen on the metro - an actual search box with the suggested keywords and an arrow with the text "Click" next to it. Again, tracking effectiveness and performance of the spot is vastly improved. The one downside to this would be a potential increase in bidding activity on the keywords, thus a higher search spend with a potentially decreasing ROI, but worthy of further investigation.

Wednesday, 14 May 2008

The Client Blogs :o)

Well, I couldnt leave it all to the agency could I?

Its been a fantastic trip, and we still have one more day to go. We have met so many people who have been incredibly passionate about mobile, and when you see how its used here you can see why. Its such a part of life here that it seems the whole city would crumble without mobile RFID, GPS and Flashlight.

Its amazing to think of all the things we could do back home if we just had the infrastructure. Why the big operators dont sit down in a room and agree some basics together is a mystery. Then we could all get a Coke Zero from a vending machine without needing cash, could swipe in for our flight to Edinburgh, pre-select our song list at the local Karaoke bar, and be followed by as GPS tracker should we end up falling asleep on the Circle Line. But, until the big 4 agree some standards, this is all Minority Report stuff for us in the backward west.

Yesterday we were taken on an innovation tour of Tokyo that was truely incredible. Machines dotted everywhere with readers to tell you what you need to know. It almost comes as a disappointment when you need to use cash for anything here.

On a completely different note, I think we are all still reeling from the vegetable medley in aspic in a sweet condensed milk (as posted by Merran). Who thinks these things up? Did they see us coming? Did they run out of summer berries and think 'just use veg, they wont notice?'. The only thing thats making us reel even more is the story of the Korean delicacy that we were told last night. I cant even begin to describe it.

Lufthansa embraces mobile

We saw an interesting case study today from Cybermedia one of the companies we met as part of our C-Scout Tour, on Lufthansa, who recently set up a mobile website with the aim of engaging a younger audience, raising awareness of the brand amongst this audience and countering a consumer perception that they are too expensive. Theirs is a long term strategy which they are hoping will in time lead to sales and loyalty to the airline.

In developing their mobile site they used all of the usual tools that you would expect in order to reach this audience - games, wallpaper, screen savers, City Guides, downloadable music to name a few. A key to gaining traction was getting the site included on carriers deck's. This requires a specialist to negotiate the tricky path of carrier negotiations however once a site is listed it is very hard for it to be removed. Content is then refreshed regularly. For instance, new games may be introduced every 3 months and the whole site may be refreshed every 6 months based on consumer feedback. Theirs is a long term investment and they have some way to go but its interesting to see how this channel is being utilised for brand activity.

Another interesting case study we saw detailed how the Australian Tourism Board who ran a 3 week test on social network site Mixi that targeted groups who talked about Australia and their desire to travel there. The deal incorporated community management, email and paid for media space that promoted special deals to Australia. And the result? 15-20% of those who registered went on to buy tickets. Again, its curious to see how brands are using these channels to drive awareness and sales. It requires indepth knowledge of the audience and what they will respond to, as well as a willingness by brands to try something different but for those that persevere it seems there are new audiences and sales, to be found.

An educational role to play


The longer we're here the more obvious it seems that these trends will hit Europe and that there are business model triggers to look for such as the flat rate data contract model and preinstalled hard/software on the handsets.
What is also being reinforced from previous thinking is the need to drive people to the mobile from other touchpoints, but with valuable content. Whether that be QR codes, RFID, unique search terms embedded in ads to working with the carriers on search.

However the disconnect between here and Europe is the ease with which the conusmer can embrace the technology. What companies in Europe need to understand is that rather than saying these trends won't appear here is that by leading a trend that is inevitable they can gain that valuable headstart and consumer bond.
How? Simply by educating people in Europe of the benefits of using mobile in a Keitai manner, because both parties will benefit in the long run; the user will get great experiences making daily tasks easier and more fun (see picture of buying a coke with your phone thanks to coke's c-mode) with the company gaining opportunities to make really personal connections that breeds loyalty.

Here the carriers aren't burdened with licensing costs, so they can plough money into making it easy for the public to embrace the technology, in the UK the carriers are burdened with huge licensing costs, so are slower in doing this. This gap instead of being seen as a hinderance by brands should be seen as a positive opportunity to gain a deeper personal relationship with their customers. By embracing both the technology to make a great user experience and also playing a key role for the consumer in educating them about the possibilities of mobile integration brands can create the lasting personal bond they all seek.

Tuesday, 13 May 2008

A useful company to know

Our second day started a lot better than the first, mainly because I'd has some sleep. One of the key meetings today was with a company called Infinita. They work for numerous private and public sector companies, providing insights and market research on the Japanese mobile market as well as acting as intermediaries for both companies wishing to do business in Japan and for those Japanese firms wishing to do business with the west.

In their view, one of the key reasons as to to why the mobile market is as it is stems from the Japanese government who decided that if Japan was to be a world leader in mobile technology, then the operators should not be saddled with the burden of paying off the investment in operating systems. This is in direct opposition to the current set up in the UK, where operators have to recoup their investment by any means possible, often to the detriment of the consumer. Thus in the Japanese model, the consumers are held as core to the ongoing development of the technology and marketing, rather than being held ransom to a mixture of confusing tariffs, and packages, some of which allow access to the internet, others that charge hefty fees for stepping outside of an approved portal, leaving consumers wary and sceptical of the mobile as a useful tool outside of calls and SMS. Here consumers have flat rate packages, which means they can do anything they want for one flat fee each month, ie. emails, mobile internet surfing, gaming, downloading content, etc. But not SMS. Due to the usage of mobile email, SMS is never used.

Infinita also gave us some interesting insights into the world of doing business in Japan. "Consensus, thoroughness and face", three keywords in their view to be aware of in doing business here. Additonally, one of our party remarked that whilst many people describe the Japanese as not being direct, the opposite is true. They are direct as anyone from the West, the nuances are simply overlooked as we do not know what to look for. Their business relationships are also usually grounded in years, if not centuries of historical relations. Networking is not a casual affair, introductions have to come from formal referees, and simply picking up the phone and calling strangers out fo the blue is unheard of. Glad things have changed and mobile has appeared as the new kid on the block otherwise this might have been a very different trip!

Jellied vegetables lose their right to vote...


Picking up on Gareth's comment about the food, I think I'll explain this one. Having been awake for approx. 32 hours straight, we had dinner at the hotel which was a traditional Japanese meal, fantastic sushi complete with the all the ceremony and swagger that would put the Queens guards to shame. There was one dish however that seemed to stump all of us. I consider myself fairly open to trying new things and so we did, raw "fireflys" which turned out to be baby raw squid, rare nude clams, complete with eyeballs, fresh tuna with an extremely fine layer of fat - all of its was tried without a thought. When it came to dessert however, the appeareance of a transparent jelly filled with crunchy vegetables (such as turnips and sweet corn), swimming in a sea of condensed milk and garnished with a peeled sweet tomato, completely threw me. Take a look at the attached pic and decide for yourself.

Our first day however was an eyeopener. A taxi that went straight from the airport into the heart of Tokyo without stopping (approx. 45 minutes), metro's that are spotless, people that are endlessly polite, a city without the manic restless energy of say New York, but one I bet that hides a rude fun side. It is indeed the city of Lost in Translation. The sumo wrestling was a curious event, the main thing that stood out for me was the inclusion of non Japanese wrestlers - many more than I would have expected. That and the hard to comprehend truth of a sport that is over in less than 10 seconds. Bring on the manual ad servers, to me that was the main event.

Monday, 12 May 2008

The mobile wallet proves elusive


It's been 32hrs since I've had any sleep and today's been a hectic introduction to Tokyo, especially on the menu front, but that will follow in a later blog post when I've gotten over the trauma!

Todays main takeout is how the Japanese use their phone as an enabling device. Surfing the 'net' is still done in two silos, mobile web and web. It's going to take the i-phone to shake up surfing the real web on a handheld, but the current i-phone hasn't been released here because residents only buy 3G phones, to which the i-phone is playing catch up.

Where the Japanese models are streets ahead is the capacity for billing shopping, and especially acting as a wallet, where you can credit cash to the device and use it to pay for products. Just watching people use their phone as if it were an oyster card for the public train transport system is mindblowing. Mindblowing because it's so simple and obvious! It's proving as elusive as a golden snitch to capture as a still photograph, but it will not elude me all week.

We also took in a Sumo match or two, which was standout for the ultimate in manual serving of banner ads! See the attached photo!

Sunday, 11 May 2008

Plastic fantastic


In Tokyo I have noticed a proliferation of plastic food. Sushi, pizzas, crepes, salad, even glasses of beer are manufactured in extraordinarily lifelike models which are used by restaurants to show their prospective customers, through the use of a type of shop window, what they serve.

It is about accessibility, bringing their menu closer to the customer and on their own terms, you are walking down the street, you don’t need to go inside the restaurant, speak to anyone or even go to the trouble of reading through a menu.

Mobile offers the same benefit, amongst others. It enables customers to interact with you at a time more convenient to them, in a way that suits their schedule.

The second day of the conference looked at the role of mobile in social networking. It has grown to a point that more people now access Japan’s most popular SN site using mobile than using a computer.

This should not be surprising, after all the computer was designed to be functional, for calculation, for business. The mobile in contrast was built as a social tool from the very beginning, social is part of it’s DNA.

And a warning, a key element to be considered for anyone starting a SN is the need to bring something new, MTV suffered a huge loss as a result of creating a ‘me-too’ SN in Japan. They also did not have any expertise in the area and that undermined their credibility and insight. So in essence don’t copy, innovate.

We hope next week to understand what the technical capabilities here are. We know Flash light is available on 95% of handsets in Japan and that enables mobile applications to be built in that software making the most of the experience. However there is still a need to be pragmatic as to the limitations of a mobile handset screen and keyboard and so in Japan mobile sites are much simpler than their web siblings.

Customer retention

SNs can provide a number of benefits to brands, one of which is retention. Gree is used by mobile operator KDDI as a SN of it’s own, it integrated a number of tools within the SN such as the users personal calendar, and contacts. Gree incidentally is named after ‘six degrees of seperation’.

The idea is that customers will not want to leave the network because they will then be unable to access their SN, a little like the inconvenience of moving all your Direct Debits etc if you change bank account.

The weakness in this particular plan of is that any of your friends not on the same mobile network can’t be part of your SN.

Top of the pops
The top SNs in Japan (as defined by socialmedia.jp a site monitoring this area) are made up of quite different approaches.

Mixi, we have already discussed, and has 12 m users. The close relationship between online dating and SNs was underlined by the fact that in Japan the Mixi site, a SN is also Japan’s top dating site.

Mo-ba-ge is the biggest mobile SN with 9m users, mainly youth.

2ch.net is actually a bulletin board, it is popular because it is 100% anonymous and has had 600 million page views since 1999

Nicovideo a site along the lines of You Tube

Zenryaku profile is a very simple profile based service, it appears very basic compared to other services but is still exceedingly popular with 4m active users, showing that despite the availability of various technical features many people prefer ease of use above anything else

Kotonoka is a voting based site, it is clearly very popular in Japan for individuals to be able to ask for advice and give their views since this comes up on a number of occasions. In this case a ‘hot or not’ type site but lots of other options to vote has driver over 10 million individual comments since conception

Hatena Haiku is a mini-blog (twitter style), with the twist that you can draw and share your artwork within the SN for comment.

Anonymous diary is a blog which anyone can add anonymous entries to. In many cases this is an opportunity to ask and give advice without disclosing your identity.

Okwave is a question and answer site. It is very popular for people to seek answers and help others.

Round-up
Some further insight into Japanese trends and behaviour in SN based upon five particular behaviours:

‘Yominige’
Means to ‘read and run away’, many people like to read their friend’s diaries but don’t comment

‘Imepu’
Is to role play through social networking, acting for example as a manga character rather than using your own identity.

‘Mobakano’
To have a relationship only on SN, some choose to have a cyber boy or girlfriend but never choose to meet.

‘Anka’
Based on the world anchor, it relates to the previously mentioned trend for seeking advice from strangers

‘Kiseki’
It is popular, despite the unscientific nature to let websites advise you on who the man (or woman) of your destiny is, using your blood type, star sign etc.
The third screen in 3D
How can you design a SN to make the most of the mobile opportunity?

More recently an approach has been deveoloped that uses simplicity, and a graphical approach to create a 3D world in which you exist, must like Second Life. In it you exist as an Avatar for which you can build a room that your friends can enter to speak to you, brands can do the same.

This approach has been proved to have a significantly lower churn than the traditional 2D SN sites.

The sites also offer more creative advertising opportunities, such as billboards, characters, clothing, music, videos, and entire themed worlds.

This 3D world also creates new opportunities to take SN into virgin territory. A SN in China means you can get married, and divorced on the SN, and have kids.

Good vibrations
When designing a mobile site we should consider the following:
Small screen size of handsets
If you don’t entertain in 1-5 minutes you will fail
Design around the limitations of the keyboard
How can you use the unique features of a mobile, for example the camera. One mobile SN makes yours and your ‘partner’s’ phones vibrate when you kiss

A pan-Asian view of SNs

‘Indifiliation’
What makes SN work, well in Asia one reason was defined as Indifiliation. Whilst today’s youth are encouraged to ‘fit-in’ this conflicts with their desire to be an individual.

SNs help them to juggle these.

The off-deck revolution
The ‘deck’ is what we call the mobile portal. It is assumed that a mobile site needs to be included in the mobile operators portal to be assured of success, but whilst this may have been true in the past people have become comfortable with mobile search and this has driven a shift so that site developers are no longer so reliant on the mobile deck to drive customers to them. QQ, Wap TX, 3g.net.ch are all SNs which have succeeded without help from mobile operators.

UGC
User generated content has thrived and created very involving entertainment on the web and now it is mobile as well. MyNuMo us one such UGC mobile site

Taking this one step further novels have been written and purchased and read all on mobile. Authors have been getting feedback as they write and mobile novels have become surprisingly successful.

Over half of Japan’s works of fiction sold last year were mobile novels, ‘Love Song’ sold 1.3m copies and is being made into a movie.

UGC also extends now to ‘lifecasting; , SK Telecom in Korea facilitate customers shooting, uploading and sharing their videos all without the use of a PC. ComVu picket casting enables you to stream content directly from the mobile camera, and has been used by Asian news services.

Yesterday’s true or false answer is: True
In Japan their interpretation of what is blue and green is different to ours, so the shade of blue that we associate with the sky is categorised as green in Japan, and the opposite for leaves. Therefore our blue sky is green to them and vice versa.

Today the true or false is: In Tokyo you can rent a dog by the hour.