Published Thursday April 14, 2011 in http://www.thewisemarketer.com
An important part of making an advertising campaign successful is being different, and this is something that ad agencies are good at. One growing trend that has caught the attention of those seeking differentiation in the eyes of the consumer is the use of downloadable digital content to build brand loyalty and engagement, according to a report by The First Club.
The company’s own research has shown that digital rewards for the ‘digitized consumer’ are increasing as marketers shift their budgets from traditional advertising and promotions to online, digital, and interactive ‘new media’ channels. Another recent study predicted that digital revenues will grow rapidly, reaching an estimated US$20 billion in 2015. dmason2 This article is copyright 2011 TheWiseMarketer.com).
“It’s easy to see that the digital channel will be a very important one for brands throughout 2011 and beyond. But by implementing a digital rewards programme alongside a digital ad campaign, agencies can create more value for their clients’ customers, and therefore, more value for their clients,” explained Jill Goldworn, co-founder and president for The First Club. “In fact, 48% of consumers spend more with a company whose loyalty programme offers digital content that is relevant to them personally, whether that be downloadable music, movies, books, games, software or other information.”
Digital content can be used to reward loyalty throughout the selling process, right through from supply chain partners to end users, as well as to drive sales promotions and incentive campaigns. Agencies can also collect consumer data for up-selling and cross-selling purposes, and then use that data as an efficient way to track consumer response to each digital campaign.
At the same time, digital rewards offer endless promotional opportunities through both social media and other online distribution channels. And, because the channel is digital, unique up-selling and cross-selling opportunities can be implemented in minutes rather than days or weeks, and the market’s reaction to changes and market trends can also be measured in real time.
The First Club asserts that instant digital content provides brands with a very cost-effective solution to reward their loyal customers. While offering downloadable rewards such as music, games, software, and books, the first club also customizes programmes for both ad agencies and client organisations. These programmes offer controllable message content and instant measurability and CRM functionality.
A white paper detailing the growing trend of digital rewards, entitled ‘Loyalty: Looking Forward: The State of the Loyalty Industry and its Digitized, Instant Future’, has been made available for free download from The First Club’s web site
The co-founder of the international marketing company talks us through his 15 years in the business…
Time spent in licensing industry:
First job in licensing:
Vice president of worldwide sales and marketing, Interplay OEM
What were your responsibilities?
I was in charge of handling the European set up, as well as the day to day running of Interplay Entertainment Corp’s licensing group.
Current job in licensing:
CEO and co-founder of The Licensing Agency (TLA), a unique international marketing company specialised in managing, developing and licensing brands worldwide, as well as leveraging the potential of brands in the promotional market.
What are your responsibilities?
I am overseeing the different activities of our company, which include licensing, digital promotions, brand development, video & TV production and creative digital technologies. I am also supervising our different international subsidiaries located in the UK, the US, France and Germany, as well as our partnerships in China and Japan.
What is your greatest achievement so far?
Having facilitated promotions that increased some of our customers’ sell-in by 45 per cent, and that enabled some others to have a sell-through twice as fast than usual. This is the best reward we can get for our work, giving evidence that our service offering and strategy are extremely effective. We believe there is a direct connection between the success of brands and promotions. Our entire company strategy has been built around this concept. We also have a business model highly different from any other licensing agency, which allows us to develop a strong culture of results for the benefit of both our clients and licence owners.
What is the best licence you have worked on so far in your career?
Star Wars. It was at the time of the launch of Episode 1 and we broke new ground with the ‘brand of all brands’. Working with George Lucas’ team was amazing and educational. We had to push ourselves further than ever before. It made me realise the ‘True Force’ a brand can have and the value it represents.
What licence would you most like to have in your portfolio?
The licences we currently have. We put hard work and passion behind each licence we represent and the real success is when we overachieve on both our clients and the licence owners’ expectations. In ten years’ time, we will look back and be proud of the great job we did to expand these tremendous properties.
If you could choose your dream job in licensing, what would it be and why?
Don’t go further, I have it… We can do things at TLA some people would think are impossible. We can also innovate like nowhere else.
What’s the best thing about working in the licensing business?
It gives the opportunity to work with amazing and passionate people. It is also a real pleasure to work in the entertainment industry. Time goes by and every day is different with new and exciting challenges to be raised.
The Licensing Agency and Macrovision’s Trymedia Games Offer Consumer Choice on Computer Hardware Bundled Game Disks
SAN FRANCISCO — The Trymedia(R) Games division of Macrovision(R) Corporation (Nasdaq:MVSN) together with The Licensing Agency (TLA) today officially launched the Gold Disk Promotion service for games. The program, created by TLA, uses Macrovision’s technology to offer hardware and software manufacturers and product goods companies a selection of PC software that can be used as a premium. The consumer can try out each game and instantly select titles they want to own as their free premium. Sapphire Technology is the first to take advantage of the service.
“Games are a popular and fun premium item, but it’s tough for vendors to pick just one game that will appeal to customers across the board,” said Fred Amoroso, Macrovision’s CEO. “Now OEMs can give consumers a wide choice to select a game that suits their individual preferences.”
The premium bundle options offered are presented to the consumer on a CD, DVD, or as an on-line promotion filled with a selection of full version game trials. Macrovision’s technology allows full version game trials to be instantly unlocked with an activation code. TLA, as Trymedia’s exclusive OEM representation agency, is licensing all content, as well as developing and creating the marketing programs on behalf of the OEM and product goods companies. Manufacturers can allow the other content on the disk to be purchased instantly at a discounted price using Trymedia’s technology, offering even more value to the end user.
“It’s a competitive marketplace,” remarked Kurt Erikson, Senior Marketing Director and Marcom Director, Sapphire Technology. “The Gold Disk Promotion is a simple way for Sapphire to differentiate our product from other graphic card vendors and help us make the sale.”
Sapphire has already joined The Gold Disk Promotion service and begun shipping bundled game disk premiums with 500,000 units of graphics cards and accessories being distributed worldwide. OEMs can find more information at www.golddiskpromotion.com.
About The Licensing Agency (TLA)
Founded in 2002 by Jill Goldworn and Denis Hure, The Licensing Agency, creators of The Gold Disk Promotion, represents publishers in the videogame, music and film industries, distributing their products to the OEM and Premium markets. TLA offers a wide selection of digital content (CD-ROMs, DVDs, Audio CDs, PDA, mobile phone products) that can be customized to meet a variety of promotional needs. TLA, with offices in Europe, America and Asia is able to provide titles for markets on a worldwide basis. More comprehensive information on TLA and its products is available through it worldwide website at www.thelicensingagency.com.
Macrovision develops and markets content and software value management solutions for the video, music, games and software industries. Macrovision’s technologies are embedded in over 9 billion DVD, VHS and CD units representing over $130 billion of protected entertainment content. In the software market, Macrovision licenses software developers the FLEXnet(TM) universal licensing platform and the InstallShield(R) suite of software installation, repackaging and update solutions, which are deployed on more than 500 million desktops worldwide. Over 50,000 software publishers and virtually all of the Fortune 1000 companies use Macrovision’s technologies to maximize the value of their software. Macrovision is headquartered in Santa Clara, California and has offices worldwide. More information about Macrovision can be found at www.macrovision.com.
About Macrovision’s Games Division
Macrovision recently acquired Trymedia Systems in order to offer a robust solution for the secure distribution of PC games across the physical and digital worlds. This acquisition provided the foundation for the newly formed game division within Macrovision. Macrovision’s games division is a leading provider of secure digital distribution services and operates the world’s largest distribution network for downloadable games. Macrovision’s technology solutions provide game publishers, portals and retailers with content protection, eCommerce and distribution services to maximize their PC game sales. The company’s game distribution network connects hundreds of publishers and Internet sites with millions of consumers worldwide, offering games to legitimately download, purchase, subscribe to and share. Macrovision’s games division is headquartered in San Francisco. Please visit www.macrovision.com/games to learn more about Macrovision’s game technology and services.
(C) Macrovision 2005. Macrovision, FLEXnet, InstallShield and Trymedia are registered trademarks or trademarks of Macrovision Corporation. All other brands and product names and trademarks are the registered property of their respective companies.