Promo - December 2007 - (Page 10)

The Players Pepsi is among the brands picking up on consumer interest in receiving free downloads in connection with a loyalty program. DIGITAL DIRECTIVE Music downloads catching on as incentive, Promo poll shows/Larry Jaffee Larry Consumers love to get free music downloads. to actually get the piece of content to consumers.” Starbucks, on Nov. 7, wrapped a monthlong promotion that Lauren Berkowitz, senior vice president of digital for EMI gave away more than 50 million iTunes songs. Through Music North America, believes that her company’s move last December, Wendy’s will offer up to 100 million Rhapsody month to provide online music digital management rights-free tracks with combo meals. will be boon for brands sitting on the fence. Promo magazine, partnering with digital media licenBy removing the device interoperability issue, EMI will sor Hip Digital, recently set out to find out to what extent enable consumers to more freely take advantage of marketer marketers are serious about making downloads part of offers for free downloads. Unencumbered files can play on their arsenal. iPods as well as other MP3 devices. According to the survey, better than a third of brand and Chris Gannett, senior director of strategic marketing and agency executives say their companies now offer customers business development for Sony BMG Music Entertainment’s free digital downloads as a promotional incentive. commercial music group, says he’s seen an increasing level of Half of the respondents said they were unsure how music or interest in downloads from brands in the past six months. ringtones could help promote their products. And 57.5% said “Everyone is hungry for new ideas,” says Gannett. they felt they were not leveraging digital media effectively in Marketers are “recognizing the power of music in establishing their current brand programs. an emotional connection with consumers.” Metrics appear to be one barrier: 46.8% said they’re look“We’ve been doing a lot of deals in 2007 involving downing for alternative measures to track loyalty and incentive loads as part of a broader program,” says Gannett, citing program success. Hershey’s and Starwood Hotels and Resorts. Among incentive/loyalty programs that they’re considering, mobile campaigns (SMS, DOWNLOADS CATCHING ON store front, text to win) came out ahead with What types of loyalty and promotion campaigns do you oﬀer your customers? 60.9%, compared with 53.2% willing to try online pincode redemption for downloads. Music downloads 43.9% A little more than a third said they don’t Company service (similar services, more services, 39.6% have the budget for implementing downloads. cross services, etc.) “What respondents to a survey like this Products 58.5% are saying is that marketers today find themCoupons 48.2% selves with option paralysis,” comments Jim Cannella, vice president of entertainment Travel incentives 23.2% development for Impact Mobile, Inc. The Other 20.7% company provides mobile marketing applications to carriers, global agencies and brands. 0% 10 20 30 40 50 60 “There’s a very large swath of brands out there who are closely following the digital content revolution,” adds Cannella. “They’re trying to keep Hershey’s this past summer added a download giveaway up to speed with the technological developments, they’re wrinkle to its sponsorship of the summer concert tour of singwatching from the sidelines as the major players dip their er Brad Paisley. Tracks were offered on chocolate bar packages. toes in the water; but they’re confused by, and therefore Sony BMG created a microsite offering Paisley songs. scared of, the content rights holders. Once past the rights, Berkowitz notes digital downloads are becoming an importhere are all these new distribution methods available today tant revenue stream for EMI artists, as well as the company itself, to make up for CD sales shortfalls. While the downloads are given free to consumers, brands pay the labels, she adds. For more articles on entertainment W marketing, go to http://promomagazine.com Cooperating partners in the poll, which received 230 respondents, included AWE, a global entertainment marketing Newsletter RSS Blog agency and division of Omnicom, and The Orchard, a global Web Webinar Podcast P digital distributor and marketer of independent music. l 10 December 2007 / WWW.PROMOMAGAZINE.COM / Promo http://promomagazine.com http://www.promomagazine.com

Table of Contents Feed for the Digital Edition of Promo - December 2007

Promo - December 2007 Contents Editor's Note Urban Refuge Digital Directive Soft Soap Voice Lessons Jordan's Monster Deal College Bowl Sprawl Good Deeds Commentary Blue Christmas Q&A: Clutter Cutter Widgets? They're Easy The Agency Center Resource Center Secret Weapon Index of Advertisers

Promo - December 2007

For optimal viewing of this digital publication, please enable JavaScript and then refresh the page. If you would like to try to load the digital publication without using Flash Player detection, please click here.