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Vanessa’s Variety for the Week of December 5th, 2008

Posted on December 5, 2008 by Vanessa

If you are reading this then you made it through Black Friday and Cyber Monday… Congratulations!

  • MySpace users may want to know what Michael Wolff, a friend of the author of the new Rupert Murdoch biography, is saying about them.  Michael was interviewed by BusinessWeek’s Jon Fine and in an effort to make his point about the value of MySpace he stated, “I think it is--if you’re on MySpace now, you’re a [expletive] cretin. And you’re not only a [expletive] cretin, but you’re poor. Nobody who has beyond an 8th grade level of education is on MySpace. It is for backwards people.”  To get a more complete understanding of Wolff's opinion here is the full article.
  • WebGuild posted a presentation by French consulting firm FaberNovel.  The presentation outlines Google's strategies from a high level perspective.  WebGuild realizes that the presentation has inaccuracies, but it’s interesting nonetheless.


  • You know how some phones can recognize the song you are playing and make it available for download even if you don’t know the artist, title etc.  Amazon is experimenting with a similar function called “Amazon Remembers” and is rolling out the experimental tool with their new iPhone application.  According to the article, “The tool lets users take a photograph of any product they see in the real world. The photos are then uploaded to Amazon and turned over to the far-flung freelance workers in Amazon’s Mechanical Turk program, who will try to match them with products for sale on Amazon.com. The results will not be instantaneous (between 5 minutes and 24 hours, the company says), but the idea is to entice consumers to buy products from Amazon instead of its offline rivals."
  • The Silicon Alley Insider posted a study by TubeMogul which shows that website visitors that view video don’t pay attention for long.
  • Motrin may want to poll consumers before putting an ad on Twitter ever again.  They recently turned off a large consumer audience with this ad.  Moms were the obvious target audience, but it backfired.  Statements like, “Wearing your baby seems to be in fashion," and “it totally makes me look like an official mom” caused blogging moms to complain to Twitter about the ad.  A surprised Motrin promptly took the ad down.  In Michael Leis blog he evaluates the strategy behind the ad and areas where Motrin can improve.  Leis makes a key point when he says, “Motrin’s messaging came at a time when many people were reconciling the real pain of the financial realities of this holiday season.”

 

 

Vanessa’s Variety for the Week of June 27th, 2008

Posted on June 27, 2008 by Vanessa

I’m back!  Thanks Ryan so much for keeping our readers updated in the world of eCommerce, and reminding me and everyone else that I lost the Lakers bet.  I hope you all missed me as much as I missed you.

Let’s talk some eCommerce (said in the voice of Joel McHale from the Soup on E!): 

  • J.C. Penney is blaming their ad agency for an ad that surfaced on YouTube featuring the sellers logo and slogan. The problem is that the ad called “Speed Dressing” promotes teen sex.  The retailer is still investigating the issue. Pennies may have a better chance of combating this problem in the future if the powers that be take a lesson from this week’s Whiteboard Friday on SEOmoz.  In this episode Will Critchlow demonstrates how those in powerful positions can manage their brand reputations on the down low. 
  • Yesterday we talked a little bit about the DSW suit against Zappos.com.  Apparently the tactic is catching on as Hearts on Fire sues Blue Nile for a similar issue.  Seriously marketers, is this what we are resorting to for linkbait?  If we don’t nip this trend now people will start referring to us as ambulance chasing attorneys! 
  • What is your MySpace or Facebook “FriendRank”?  Companies like SocialMedia Networks and 33Across are revamping advertising via social networks.  In the words of the founder of SocialMedia Networks “We're trying to make ads suck less in social networks”. 
  • Want to save 90% on Microsoft Office 2007?  Well, a religious goods internet retailer in Korea has come up with the Microsoft Church Package and according to the ad it is a 90% savings. 
  • Does it make anyone else sad that the human population seems to love seeing the mighty fall?  Well it brings me down, but I guess I am in the minority since blogs are already discussing the demise of companies like Apple and Google. 
  • In case you aren’t getting your fix of eCommerce and Entrepreneurship here, I thought I would share the Entrepreneur blogs that have been chosen as the 15 worth reading.  Plus we wanted to give kudos to our friends over at Get Elastic for making the list.

 

 

Zappos.com Reminds Me They Sell Shoes, Just When I Hate Shoes

Posted on June 26, 2008 by Tim

Zappos.com has been all over the blogging world lately, mostly due to DSW's lawsuit.  Considering a lot of people in the eCommerce community are speculating that this is a linkbait ploy on DSW's part, Zappos may be benefiting from the links as well.  Zappos.com is also trying some traditional marketing campaigns that may surprise you.

A few weeks ago I had the "pleasure" of passing through security at Ontario International Airport. On this trip, I took a drastic tack from my classic approach. I packed light. Really light.  I'm talking one bag that satisfies as a carry on for a trip almost a week long. Although this is old school to many, this is a monumental feat for me. In the past, my philosophy was to toss it all in, and be quite certain I packed any options I'd want, than to spend any time at all figuring out what I actually needed. However, now that getting in and out of an airport, plowing through TSA security, and flying in general, has become the second most inefficient process on earth (second only to the continental plates shifting to create new land masses) I've had to evolve.

Quest Through Security

So I checked in, showed ID, showed luggage, got our boarding passes, showed ID again, and headed to the Field-O-Metal-Detectors.

The family goes through the metal detectors first, without any hiccups, then I send the stuff through the machines for them to retrieve on the other side.  Now, it's my turn.

I take my laptop out of it's bag and stick it in the bucket.  I empty my pockets.  Out goes the iPhone, the keys, the wallet, all into the bucket.  Let's see if I can make it through the metal detector...

Beeeeep.  Nope.

The TSA lady points at my face, but she's really trying to point behind me.  "Go back through the metal detector!", she admonishes.

While trying to figure out what I should ditch next, she yells, "Take off your belt!"  Belt ditched; in the bucket.  Back through the metal detector...

Beeeeep.  Nope.

"Back through!", she scolds.

"Take off your watch!"  Watch ditched; in the bucket.  Back through...

Beeeeep.  Nope.

The line behind me is gaining in length, and losing in patience.

"What else do you have?", she chides.  "Nothing", I retort, while slapping my pockets.

No ones happy.  Not me, her, the crowd behind me.  Actually, everyone's getting frustrated.

She has an epiphany and looks down.  I follow her eyes.  Crap, my sandals are still on.  I'm not sure why I didn't ditch them yet.  Maybe I forgot.  Maybe I thought since they were small, light, and open toe, they wouldn't matter.

"TAKE OFF YOUR SHOES!!!!", she cries.  Like I'm an idiot.  Like I want to go through the freakin' metal detector four freaking times.  Like I want my family to have to wait for me with all our stuff on the other side.  Like I want the whole damn airport hung up.

Frustratingly, very frustratingly, shoes ditched; in the bucket.  Right now, I pretty much hate the airport, hate TSA, hate metal detectors, and hate, well, shoes...

But, this time, before I go back through, I notice a familiar face in the bottom of the bucket.  It's Zappos.com.  Here is what I saw.

Zappos.com Advertisement


The Zappos X-Ray Bucket Advertisement

The ad says...

IT'S MAGIC!
KIND OF LIKE THE X-RAY MACHINE.
Zappos.com
POWERED by SERVICE
PUT A LITTLE ZAPPOS IN YOUR DAY
MILLIONS OF SHOES, CLOTHES and BAGS.

How ironic.  Zappos.com reminds me they sell shoes, just when I hate shoes. (As an aside, they also reminded me of those advertisements on grocery store carts in that section of the cart where a baby rides.  Those ads always have pictures of people that look really shady.)

What is Zappos trying to do?

Recently, Zappos dumped their free overnight shipping and their 110% Price Match Guarantee.  Since then, I've noticed a decent amount of Zappos marketing directed at branding and other marketing campaigns that has difficult to measure ROI, such as these x-ray buckets. So with this campaign, is there more than meets the eye?  Are they trying to do more than create brand awareness?

Maybe Zappos is hoping that I'll be thinking about Shoes and Zappos simultaneously so that the next time I think about shoes, I'll think of Zappos?  Now, that would be great, as long as I also don't think about how absolutely freaking ticked I was and attribute that attitude to Zappos.

Maybe they are targeting the customer that is thinking about how they wish they would have worn an easier pair of shoes to slip on and off?  In the moment people might think like that, but in the morning, on the way to the airport, do people decide what shoes they'll wear and take with them on a trip, based on which pair will be most easily removed at security?

Maybe Zappos is thinking that people are getting to the airport earlier and earlier due to airport security, delays, etc., and that they can influence them to pass the time doing some online shopping?  I spent all my time going back and forth through the metal detector so that didn't work for me.
Maybe the idea is to get people to start thinking about shopping at online stores even when they aren’t online.  This is especially important since shoes are traditionally something that people like to try on before they buy.  Hence, Zappos' absent restock fee and free returns shipping.

Good Idea?

So is it a good idea for Zappos.com to remind me that they sell shoes, just when I hate shoes.  Good question.  I don't know the answer.  I know they convinced me to write a blog post about them.  AHA!  THAT'S IT!  It's a viral marketing campaign secretly targeting eCommerce bloggers who Zappos knows will question the value of their campaign.  Genius.  Just Genius.

By the way, once I ditched the shoes, it was smooth sailing through the metal detector.  Dang steel toe sandals... 

 

Vanessa’s Variety for the Week of May 2nd, 2008

Posted on May 2, 2008 by Vanessa

These come out on Friday’s so I’d like wish everyone a happy Cinco de Mayo now, while we take a look at my favorite highlights in the exciting world of eCommerce.

  • The “R” word is being used more and more frequently as of late, but not all industries are feeling the hurt of higher gas prices and harder economic times. 
  • Think that an online retailer that claims they have a 20.9% conversion rate is bogus?  Marketing Pilgrim explains what they are doing to experience this kind of success. 
  • The New York tax law was the buzz of the industry last week, but online retailers are fighting back with lawsuits. 
  • There is so much to think about and research when thinking about expanding abroad.  This blog put some valuable articles in one post. 
  • Kindle is finally ready to ship!

Letter from Amazon founder expressing that Kindle is ready to ship

 

That's Freaking Spam-tastic: PizzaHut.com Requires Customers to Opt-In to Advertising When Ordering Online

Posted on March 6, 2008 by Tim

At the end of my senior year of high school I was awarded "Scholar Athlete", which came with a certificate published on an ink jet printer and something like $500 bucks.  Now, even though this was pre-steroid scandal, the award is pretty deceiving.  I'm way more scholar than I am athlete.  All the real jocks were, how do I put this lightly, academically challenged.  I think the athletics department just picked the student with the highest GPA, as long as he or she played any sport.  I played on the golf and tennis teams.  Well, actually, I "used" the golf team.  If you joined the golf team, you got to play at all the great local courses, for free, as often as you liked and use the driving range, for free, until they shut off the lights.  I didn't care as much about our team, which wasn't that great anyway, as I did about free golf.

Hang with me, eCommerce-ville just ahead.

The scholar athlete award is so deceiving that heading to college, I couldn't have cared less about sports.  However, once I stepped foot on USC's campus and started mainlining the Koolaid, my metamorphosis into a college football feen went full throttle.  Long story short, now I'm a massive USC football fan.  This addiction has led me to become a huge college football fan.  Being a college football fan means I hang out with people who like pro football; which means I end up watching the Super Bowl.  Inevitably, I annually find myself inhaling a carb-infused feast known as pizza.  It's a natural downward spiral.

Hooray, entering eCommerce-ville!  Population: Many hungry sports fans.

Integrating Offline Advertising with Search Engine Marketing

Following the Super Bowl earlier this month, there's been some interesting chit chat in the blogoshphere discussing how well companies integrated their Super Bowl television commercials with their online presence.  With cost estimates for 30 second spots swirling up to $3 million, it seems critical for advertisers to take full advantage of their commercial exposure by intimately assimilating their online arenas.  After the game, Reprise Media published their 4th annual Search Marketing Scorecard (SMS) which ranks companies who buy Super Bowl commercials by their ability to integrate those commercials with their online presence in order to metric how prepared each company is to capitalize on online interest.  A healthy portion of the conversation has been centered around how the Super Bowl advertisers fared from a website visibility perspective.  More specifically, this conversation has analyzed URL visibility in the commercials, mentioning the URL, displaying or calling out the URL prominently, showing website screenshots and the advertiser's ability to drive traffic to their website.  Another notable portion of the conversation has centered around a Search Engine Optimization (SEO) perspective.  The SEO conversation has analyzed whether advertiser's sites appear in search engine results for branded and non branded phrases associated with the campaign.  For anyone that did not catch the Super Bowl advertisements, Fox created a MySpace page housing all of the advertisements.  Although Fox and MySpace are siblings, both parented by News Corp., the general consensus seems to be that a more strategic SEO move would have been for Fox to host the commercial content on their own domain.  MySpace seems to be doing just fine on the traffic front.

Wait, isn't this post supposed to be about Pizza Hut and email advertising?  Why are we still talking about the Super Bowl?  Hold your horses!  eCommerce-ville has needs.  You can't just rush in.  Where's the foreplay?

Order Online: A Call to Action

All this "Which Super Bowl advertisers ruled and which ones sucked?" conversation reminded me why I'm glad that I'm a college football fan.  Not only do I think college football is superior (trigger flood of hate mail), but, in general, many of the sponsors' advertising campaigns are better as well.  Case in point: Papa John's.  Papa John's sponsored the Bowl Championship Series (BCS) game between the Cincinnati Bearcats and the Southern Miss Golden Eagles, aptly titled the 2007 PapaJohns.com Bowl.  Not only did Papa John's plaster their URL (not just their name) on just about every single piece of marketing that made reference to the game, from the BCS' website to the banner across the televised broadcast, but plenty of the marketing included the call-to-action "Order Online" underneath the Bowl's title.  Even the giant Papa John's logos all over the field were stamped with the instruction to "Order Online".

Now, it doesn't take a marketing research guru to figure out that Papa John's may have had a spike in sales during the Papa John's Bowl due to their sponsorship.  However, the higher level long term branding initiatives are a much more interesting discussion.  It's well known that using a strong call-to-action in Search Engine Marketing (SEM) campaigns is an optimization strategy that, in general, improves the quality and performance of advertising campaigns, without raising costs.  Not only is Papa John's use of a call-to-action capitalizing on this strategy, their implementation in an offline channel generates online traffic while lowering overhead conversion costs.  The costs associated with executing an online transaction are likely markedly less than transactions performed over the phone.  Moreover, every order placed online provides an opportunity for Papa John's to build their email marketing list, up sell and cross sell in an automated fashion, and generate increased loyalty with those who have a positive customer experience.  As such, the "Order Online" mantra may be less about customer acquisition and more about customer retention and market share growth.

Their SEO efforts seem to be in tune as well.  For the searches order pizza online and pizza order online, Papa John's ranks first.  Along with the bowl game sponsorship,  Papa John's created an entire site, papajohnsbowl.com, dedicated to the game and chock full of content.

Eureka!  Our destination!  A conversation about Pizza Hut!  The title of this post does apply!!!

No Opt-In, No Pizza For You

Don't you hate it when you're creating an account on a website so that you can place an order and right before you check "I Agree" to the Terms of Use, you have to UNCHECK, "I Agree" for you to send me a bunch of crap.  Well, Pizza Hut took that annoyance to a whole new level.

The week before the super bowl, my wife mentioned that we had a couple unused Pizza Hut gift cards that had been magneted to our refrigerator for over a year.  She was under the impression that the card's value begins to depreciate one year after purchase (If true, don't even get me started on this issue!).  Perfect!  We had a super bowl party to attend, so we decided to donate to the cause.  Since Super Bowl Sunday is like the biggest pizza ordering day, I dropped the gift cards off at my friends house the night before the game so we could get our order in before the frenzy.  We grab the mac book, find the codes on the gift cards, and head to pizzahut.com.  After spending time starring at the coupons, figuring out the promotions, figuring out how many bodies we need to feed and filling up our shopping cart, we end up at that account creation page.  After filling out a bunch of data, we get to the bottom of the form and see this:

 

PizzHut.com customer sign up page

 

WHAT?!?!  Are you serious?  Really Pizza Hut?  Really?  You can't be.  This can't be right.  I really can't buy your product online unless I agree to receive your junk mail?  There's no check to opt-in, LET ALONE AN UNCHECK TO OPT-OUT?

Let me get this right.  In order to order pizza online from pizzahut.com I MUST "agree to receive information about Pizza Hut®/WingStreet® coupons, promotions, announcements, events and specials".  Are you freaking kidding me?  Refresh!  This must be a mistake.  No, even better, they must have been hacked by a competitor.  Dominoes... you sneaky, sneaky, guys (KIDDING, no calls from lawyers).  I was absolutely floored.  Now, I have no idea how easy it is to opt-out of the "information", once the "coupons, promotions, announcements, events and specials" start flooding in since my buddy refused to create an account.  I'm imagining the subject of an email right now: "WingStreet Wings: So Damn Good, You'll Never Unsubscribe, So Why Give You the Option?".

In scanning the policies, I couldn't quite figure out how they were going to advertise to me.  Is it email, snail mail, text, pizza delivery boy stopping by, blimp, tattoo?  Also, I don't know why there is a "Pizza Hut Terms of Use and Privacy Policy" and a "WingStreet® Terms of Use and Privacy Policy".  Both of the Terms of Use links land on the same page (http://www.pizzahut.com/TermsOfUse.aspx) and both of the Privacy Policy links land on the same page (http://www.pizzahut.com/PrivacyPolicy.aspx).  Neither of the documents make it clear whether they are the "Pizza Hut" docs or the "WingStreet" docs.  The account creation form requires several pieces of information, including: email address, street address and phone number.  Other types of information are optional, like a cell phone number.  While I was wondering what channels and mediums this "information" would come via, I came across some great content in the Privacy Policy.  My favorite part of the policy is reproduced below:

 

PizzaHut.com Policies

Hilarious!  I love it.  They say "For those who initially opted-in to receive future offers or promotional materials or to allow the sharing of Personal Information with third parties may subsequently opt-out as follows".  Ummm, by "For those who" do you mean "everyone who bought online" since it's impossible to not "initially" opt-in?  Underneath that, the policy provides instructions on how to opt-out of email and text message communications, which implies they advertise via both of these mediums assuming you cough up your cell phone number.  I'm guessing they advertise to the street address as well.  For perspective, it looks like Papa John's let's you opt-out of both email advertising (by unchecking) and text message advertising (by not checking).

Since we thought this was a terrible policy, didn't want to end up on their advertising lists, didn't want to have to figure out opting out later and didn't want to deal with a bunch of junk mail until we could get off their lists, we closed our browser and called our order in over the phone.  We would have gone to a competitor if we didn't already have the gift cards.


This experience raises at least two serious concerns.  First, it completely eliminated all of the value mentioned above that could have been created by an online order.  Since we called in, conversion costs increased, Pizza Hut will never have the opportunity to add our email address to their marketing lists (via a check or a non-uncheck), they will never have the chance to up sell or cross sell to us in an automated fashion, they have completely obliterated any loyalty we had and they provided an utterly terrible customer experience.  Moreover, their customer retention and market share numbers just dwindled by a body count of two (my friend and I).  Second, the strategy that Pizza Hut is utilizing makes me wonder if most users don't notice what they're getting themselves into and if this is what Pizza Hut is shooting for.  Well known practice in eCommerce is to force a customer to agree to a sites general terms of use in order to transact on that site.  Sometimes, at the same time a user is agreeing to the Terms of Use, a second, optional, opportunity is provided that allows the the customer to opt-in to advertising.  If only one option is given, it is by and large a Terms of Use agreement.  Therefore, if a customer only sees one option, and doesn't read the details, they assume that they are agreeing to a sites Terms of Use, and that no option to opt-in to advertising exists, let alone that they are opting in if they agree to the Terms of Use.

By the way, in the past, I've been a big fan of Pizza Hut's crust.  This time, we went for the Pizza Mia's.  I have to say, I was definitely disappointed.  Icing on the cake...

Well, so long for today eCommerce-ville.  The sun is setting on you once again.  It's been a good visit.  A long one, but a good one.  Next fall during football season (college or pro) when I order pizza online, it's Papa John's all the way.