The Power of Influence

WoM Key to B2B Decision Making

The “Tech Decision Maker” study found that decision makers consider their personal experience (58%) first when short-listing tech vendors, followed by word-of-mouth and industry analyst reports, tied at 51%.

A nearly equal number of respondents cited user-generated media (28%) and traditional media (27%) as most influential in purchasing decisions. Advertising (17%) and direct marketing (21%) were listed as the least important information sources when short-listing vendors.

"Because some of the percentages are so close together, it's hard to categorically say that one channel is more important than other,” said Joshua Reynolds, global technology practice director for Hill & Knowlton.

When asked what information sources have the most impact on the "perception or image of the product or service or company," 69% said trade magazines, 68% business publications, and 67% said industry analyst reports.

The study, now in its fourth year, sampled around 400 C-suite executives and IT managers who influence purchasing decisions in the US, UK, and Canada.

Monty Python finds Free Clips Boost DVD Sales

For years, industry observers have wondered both how YouTube will make money and how it will stem complaints about piracy. With its newly expanded click-to-buy program, the site seems poised to kill two birds with one stone. 

In a blog post, YouTube touts the program by highlighting an increase in sales of Monty Python DVDs after the group made dozens of clips available for free at a dedicated Monty Python channel.

When Monty Python launched their channel in November, not only did their YouTube videos shoot to the top of the most viewed lists, but their DVDs also quickly climbed to No. 2 on Amazon's Movies & TV bestsellers list, with increased sales of 23,000 percent," YouTube boasted.

While the Monty Python channel itself is official, and obviously doesn't infringe on the entertainers' copyright, the conclusion would apply equally to pirated content: Making entertainment available for free increases demand, which ultimately results in sales.

Groups like Radiohead and Nine Inch Nails already proved that people will pay for music that's available for free. People obviously pay for DVDs of TV shows like "Seinfeld," that are still available on the air for free.

Yet, big media companies nonetheless insist on sending takedown notice after takedown notice to YouTube (and other video-sharing sites), in attempts to control how their content is distributed. And Viacom is still pursuing a copyright infringement lawsuit against YouTube for hosting clips from shows like "South Park."

The marked increase in sales of Monty Python should make these companies reconsider whether they wouldn't be better served by partnering with YouTube instead of continually fighting the site and the users who post clips.

Singapore advertisers to look online as budgets tighten: survey

A study conducted by Frost & Sullivan in Singapore has revealed that a growing number of large brand advertisers are embracing online advertising in the face of shrinking marketing budgets.

The research claims that online advertising’s ability to achieve precise targeting and measurable ROI over traditional advertising are primary reasons why advertisers are showing preference for it.

Separately, the study has also found that Singapore's online ad revenues are expected to reach US$413 million in 2013. This market was worth $142.1 million in 2007 and reached $190 million in 2008, representing a year-on-year growth of 33.7 per cent.

Paid search advertising, by far the largest online advertising segment, accounted for 44 per cent ($62.5 million) of Singapore’s online advertising revenues in 2007. This segment is expected to continue growing at a compound annual growth rate of 22.1 per cent between 2008 and 2013.

According to this research, the internet has become a mainstream source for the supply and search of ‘infotainment’ content, primarily for the youth segment.

“Singapore’s youth are hooked on the internet. They form the largest chunk of active internet users and have been one of the primary drivers of online advertising in recent years,” says Frost & Sullivan industry analyst Kamlesh Kalwar.