Anheuser Busch - goes where no brand has gone before...

The liquor category is all about entertainment for sure, but the fact that Anheuser Busch has taken matters into their own hands is startling. Take this as a true indication that one of the most powerful brands in the category feels that the marketing industry at large is falling way behind when it comes to innovation in both creative and media. We are clearly not moving fast enough for them. If we were, why would a client decide to venture out and start an entire entertainment division? More than a mere in-house promotional arm, Bud.TV seeks to establish itself as a true entertainment property in the voice of the brand. This is also very different from online video efforts recently delivered to us by P&G's 'Men with Cramps', Georgia Pacific's 'Brawny Academy', Mar's 'Snicker's-Instand Def' or Office Max's 'Elf Yourself' and here's why...

The network will operate 'outside' of normal marketing channels and reporting structures. This may be their strategic underpinning especially in the world of the unregulated internet. Unlike other promotional sites with video, this is a true channel that will deliver 24-hours of internet-based TV. A web-based network of seven or eight channels, the network will be boosted by relationships with major Hollywood figures including Kevin Spacey, Vince Vaughn, Matt Damon and Ben Affleck. Its budget is set to match those boldfaced names.

Bud.TV will be the largest piece of an online budget that will amass 10% of A-B's entire $607 million annual media spend. The bulk of that spending will come at the expense of prime-time and late-night TV which is BIG news, and is just the start of a major change in the way we think about media in general. Remember that this is not as much a shift towards new media as it is about convergence and the fact that old media will change dramatically.

Obvious marketing and content crossover for Bud.TV may include a sports channel linked to the brewer's sponsorships of auto racing, football and baseball, among other sports.

After the sports channel, the rest of the Bud.TV lineup includes the following channels:

TV Shows: Featuring short, sitcom-style shows. One concept in development, dubbed "Replaced by a Chimp," features chimps replacing human workers. Viewers can vote as to whether the simians did the job better at the close of the episode.

Bud Tube: A concept developed by Goodby, Silverstein & Partners, San Francisco, this channel will feature A-B commercials shot by consumers.

Happy Hour: Developed by DDB, Chicago, and scripted in part by former "Saturday Night Live" writer Matt Piedmont, this station's content will be updated at 4:55 p.m. daily, and feature satirical newscasts, standup routines and "punking,".

Reality: Concepts in development for this station include makeover and dating-themed programs.

Comedy: This station is expected to include footage from actor Vince Vaughn's recent A-B-sponsored comedy tour, as well as jokes from consumers that involve A-B brands.

Hollywood: This station will leverage partnerships with Messrs. Damon and Affleck's "Project Greenlight," billed as the world's largest online filmmaking contest, and Mr. Spacey's TriggerStreet.com, which supports aspiring filmmakers. It will also hype upcoming movies featuring A-B product placements.

There will also be a fashion channel, and the possibility of a talk-show channel featuring sportscaster Joe Buck.

And our own, newly launched, online sports-casting show, SportsBabes would be a perfect fit...would it not?

Prior to launching BuddTV, A-B launched a micro site on YouTube dubbed CrownTown. The site has grown into YouTube's No. 44 most-watched channel this month, with three videos approaching 1 million views. This is BIG BANG for very little buck when compared to traditional channels of thought. Crowntown's characters are the five dotted spikes on Budweiser Select's now-familiar crown logo, and each has been endowed with an urban-hipster persona. Each short pits the characters in amusing and occasionally R-rated social situations. The adventures are framed by a guitar-riff soundtrack courtesy of the Flaming Lips.

The good news for us as marketers is that the agencies are playing an important role in the programming at Bud.TV. The sad news is that this was not agency initiated and the jury is still out on who may be better positioned to deliver on this type of content...incumbent agencies, or Hollywood itself.

Mike Ovitz may not have been so crazy after all...

My dog ate the news...

...and why we care much more about local than big media's excuse for news.

Viewer-ship of the evening news along with the 'readership' of the daily newspaper are in steep decline.

The upcoming generation catches most of their news online via the major news organizations, Google or better yet - via Rss feed delivery. The immediacy of digital media and our migration away from linear TV, forcing us to 'catch' the evening news at 6 p.m. are just the start. Even the BBC is now being pushed to digital delivery for a fee as the very government that supports it contemplates an end to the funding.

...and local is where it's at. Lets face it, if it were not for a war we continue to fight in Iraq, or some disparate disaster, most of America would most likely not be interested in much else that happens 'overseas'. This is a big country and there is more than enough happening here to keep our attention, or distract us from the cold story-telling of the world’s bigger problems. Sad, but true. Our so-called daily, international, evening news is proof of our lack of our worldly interest; with very little of the focus resembling anything international at all...will someone let me know when the weather comes on?

For decades, the power of the networks have also very much been grounded in their local network affiliates. With some rare exceptions, the affiliates always seem like...well...affiliates that will maybe, someday, grow up to be cowboys.

So, if we do not have much interest in the international big picture & the local affiliates aren't quite doing it...what is?

There is a groundswell of local news productions completely unrelated to any major media organization. These new players, largely unknown to the masses yet, have started to accrue large online viewer-ship in their local markets. This is not your father's news. It's a bit of international mixed with very compelling, unique, local stories. Add to that a dash of SNL irreverence, and an "I don't really need to answer to anyone so I'm just going to say anything I damn well please..."Howard Stern-type of arrogance without fear of consequence.

Sound like fun? Well, it is, and a hell of a lot more fun than the network anchors sequestered behind their desks in their suits and ties, all formal-like, while all they really talk about are kittens up trees.

So, is the next wave really all about local news? And if it is, who better to bring it to us than the locals.

'Tune in' to the likes of the rising stars of these local news broadcasts. Commercial-free and full of passion. News has never been so entertaining, heartfelt, and relevant to us.

Two terrific but very different examples of this are:
Rocketboom: www.rocketboom.com
The Young Turks: www.theyoungturks.com

Then there is also the International Broadcast Corp., the first online international television news network: http://www.ibctoday.com/News/Home.aspx

The more interesting news from the major media are actually on iTunes in the form either video or audio pod-casts. Download or stream a diverse range of news starting with ABC World News Video, The BBC World News, The Economist, NPR with Tom Ashbrook, Meet the press, Common Sense with Dan Carlin, or Senator Barack Obama's weekly podcast.

There's sure to be more of these local news talents emerging, and funnily enough, they've never cared, or made me care more about international.

Goodbye lonelygirl15....say hello to Esmee Denters & Lisa Nova!

I'm assuming most of you know of the online phenomenon of lonelygirl15, of her success and inevitable demise. Lonelygirl15 was a professionally created video blog, following the hopes, dreams and daily meanderings of the irreverent, pretty, teenage, vulnerable Bree, delivered to us right from her bedroom using no more than a web-cam. Or so we thought. Featured on YouTube, her audience took her for real, but after finding out that she was really the creation of talent backed by CAA, her numbers started to drop. 'She' averaged between 300,000 - 600,000 viewings per episode at the shows height. The shows numbers still remain fairly high (100,000 viewings per episode) considering the fact that everyone now knows the truth behind this professionally produced show.

Enter Esmee Denters & Lisa Nova...

Esmee Denters, a pretty, talented, vulnerable, teenage girl from the Netherlands auditions as a singer in front of the world...and the world likes her very much indeed! Who needs American Idol? Esmee has already been featured on local radio, dutch television, and has been written about on YouTube's own blog. Check out her videos on her YouTube Channel along with her profile on MySpace.

Lisa Nova is, well, an anomaly. Lisa Nova is a self taught comedian who got her big break on YouTube with what is best described as her own, pretty raw, variety show. With over 6 million viewings, people clearly love her. Lisa writes and directs all of her own content. Lisa recently sold her show to the Daily Reel, an independent, online channel.

Considering Time Magazine chose 'You' as in 'all of us' as the man of the year, this is significant. The emergence of Esmee Denters & Lisa Nova is an evolution in a trend along with lonelygirl15, and the creation of the character Bree. An evolution of the power of the medium, and of anyone's ability to publish. This is not a trend people. It continues to re-iterate that the power is in the story, the talent, the every-man - and to hell with production values (for now at least). Rest assured more surprises are on the way in '07, and more stardom for Esmee Denters beyond Bree's wildest dreams.

Stay tuned.

Proctor and Gamble's Men with Cramps!

P&G breaks new ground. For those of you that missed the article in the New York Times yesterday...go and read it and take a look at their Men With Cramps site (www.menwithcramps.com) before reading the rest of this.

The good news is that this is a really big deal for all of us in the advertising industry. Why?The fact that P&G, a fairly conservative company, would even elect to put something online as irreverent as this, and for something that is as close to a drug as P&G gets, this is great news. Georgia Pacific did something similar with the Brawny Academy for Brawny towels and have enjoyed millions of viewings at no media cost to them as a result. The same also goes for Snickers and its InstantDef site along with a few others. But this, people, is P&G!

The P&G site goes a step farther creatively even if it does gratuitously jump on the current Borat craze with its main character. What is so successful about it is that it seeks to entertain and have fun with the subject matter more than it does to try to sell. It brings value first, and hence builds better relationships as a result, something SmashTube has been preaching about for some time.

Basically, P&G tries to draw attention to the problem of monthly female cramps and thus their product ThermaCare. A touchy subject for sure, and a fantastic effort at consumer value via irreverent entertainment. Now that P&G is on board, hopefully other brands will step up and take some 'risks' rather than continuing to bore their consumers to death.

The only criticism I have is that it is almost too good and may ultimately not get the final brand message across. After speaking to a couple of dozen people about the site I was amazed at how many men and women missed the point and thought that this was actually for a real male syndrome that may resemble monthly female cramps. Make no mistake, this is for a female issue and it tries to draw attention to it by making a comparison and creating empathy via a fictitious male syndrome. Clear now?

If that is the case, creativity may have overshadowed the product itself and it's a fine balance. But overall, a valiant effort by a big player that most creative folk shied away from working with in the old agency days.

Connecting through vulnerability...

...and why a 2 way dialogue is important for a relationship...and other interpersonal Brand Advice.

Brands are just now recognizing the fact that their consumers have a bigger voice than they do. One product miss-step or bad customer experience can turn into a PR nightmare, as consumers fight back via blogs or online video posts that often get more attention than the brands themselves. The ubiquitous two way dialogue.

But this can be turned around. The sooner brands start talking with us rather than at us, the better off they will be. No one likes being preached to by a friend. What we do connect to are those friends that open up to us, those that are vulnerable, that tell us their secrets, good and bad. Yes, bad. We do not appreciate perfection, we don't trust it.

Online video is the perfect forum for this. CNBC did a fabulous job with one of their producers taking a camera around introducing the audience of CNBC.com to the production staff. The basic idea showed how even big companies are staffed by individuals that work hard just like us and have to pay for their sons and daughter's college educations or daughter's pony. It was real, and connected way beyond what any traditional station identification could have done.

So why don't other do the same? Imagine if:
• Journalists admit to their mistakes rather than have us wait for the network cover up.
• Weathermen admitting to the fact that what they are doing is predictive, and that it would be impossible to always be right.
• Ford and GM admit their designs suck and realize they can no longer win the low price, 0%APR wars.

Now, this does not have to all be grounded in humor, I am just trying to make a point. If Brands want to have relationships with us, especially in todays ubiquitous two way dialogue, they need to connect as an individual does because it is now all about individual connections. One to one, doesn't just refer to the technology employed. It is more than delivering the right product to the right consumer, but in the right voice too.

The Brand can still go out with their Big Brand campaign. It's sort of like us going out for the evening in our best tux, but we still need to get real.

The death of the networks...and what is a channel anyway?

To start off, the evolution of the internet & television convergence is happening even faster than I, or most of us in the industry ever imagined. Combine the ability for anyone to be able to publish & broadcast via the internet, with the power of traditional television and anyone can now start a channel. But what is that?

The answer lies within the history (or lack thereof) of the internet itself. (If you are not interested in this, skip the next two paragraphs!) The internet experience for most of us is not that old. Maybe 10-15 years at best. Even if you go back to it's invention as a network of computers in the late 60's. The first node went live at UCLA on October 29, 1969 on what would be called the ARPANET, one of the "eve" networks of today's Internet. Following on from this, the British Post Office, Western Union International and Tymnet collaborated to create the first international packet switched network, referred to as the International Packet Switched Service (IPSS), in 1978. This network grew from Europe and the US to cover Canada, Hong Kong and Australia by 1981. The network gained a public face in the 1990s. On August 6th, 1991 CERN, which straddles the border between France and Switzerland publicized the new World Wide Web project, two years after Tim Berners-Lee had begun creating HTML, HTTP and the first few Web pages at CERN.

Contrary to some common usage, the Internet and the World Wide Web are not synonymous: the Internet is a collection of interconnected computer networks, linked by copper wires, fiber-optic cables, wireless connections, etc.; the Web is a collection of interconnected documents and other resources, linked by hyperlinks and URLs. The World Wide Web is accessible via the Internet, as are many other services including e-mail, file sharing, and access to countless amounts of data & services that are now common to us all.

So it all started as a way to get at information. From an evolutionary standpoint things are still young here. Web 2.0 is just now being mined and the benefits both financial & information-ally are allowing us to leave the crash of 1.0 behind us. 3.0 is already being discussed as a piece of Artificial Intelligence which may allow the connectivity of all of this connected information via the internet to be able to make decisions for us, prompted or not. Yes, your TV will know what it is you want to watch even before you do - and it will never be wrong - we are creatures of habit. Scary or not, it will happen.

So what does this have to do with the networks, the creation of channels and the old boob tube? Lots!

First off, the internet has evolved from a text based medium to one that delivers sound, images and now video. When it comes to watching video, 'TV', like the internet, will no longer be a linear experience. Video sites have taken off because we can now search and watch whatever we want (provided we can find what we want) whenever we want to watch it. From this point forward the concept of there never being anything to watch on TV will disappear. Search will also evolve to be something very different than it is now with new technologies that are able to tag video content automatically by scanning the content for the spoken word along with optical character recognition. Traditional broadcast platforms are scrambling to deliver a larger choice of PPV and VOD products in an attempt to compete or catch up. The bad news is, they never will and the survivors will have to figure this out soon and migrate their platforms over to web based initiatives in order to survive.

So, what is a channel? For this discussion lets define that as a destination with the predominance of video content. Basically any website has the ability to be able to serve video, and thus any web address has the ability to be a channel. I also believe that the phenomenon that started with YouTube and users posting professional, albeit stolen content is the tip of the iceberg and will actually become the norm. That's right, the networks that are trying so hard to stop this flow of stolen content are merely sticking their finger in the hole of the dam. If you take the evolution that I so painfully described above as any indication of what is about to happen, it is also painfully clear that channels or the networks as we know them may in fact disappear. As the web evolves, we will be served content that is relevant to us on channels that are branded by and for us. In other words we will NOT go to ABC to watch Lost, Lost will come to us or our home-page for us to watch. That does not say that Lost will not be branded as being brought to us from ABC as a distribution network or that there will be no commercials...but the rules we are used to will no longer apply.

We are already seeing this, as the networks start to legally license their content out to other destinations like iTunes or MSN for download or streaming. But as I said, this is the tip of the iceberg and the start of something big...the death of the Networks as destinations...as we currently know them...has begun.

For non-believers, a few relevant articles from this weeks news:

Coming Soon via Your TiVo: Internet Video on Television
http://www.nytimes.com/2006/11/14/technology/14tivo.html

With a Dish, Broadband Goes Rural
http://www.nytimes.com/2006/11/14/technology/14satellite.html

MSNBC.com Offers Video Podcasts of News Shows
On Nov. 14, MSNBC.com will begin offering video podcasts of two of NBC's top new shows. The site will begin offering podcasts of both NBC Nightly News along with Meet the Press at podcasts.msnbc.com. Each weekday starting at 10 p.m., Web users can access the full-length version of that day's Nightly News broadcast at podcasts.msnbc.com. In addition, each week's broadcast of Meet the Press will be downloadable starting on Sunday nights at 10 p.m.

ESPN.com Announces Local Podcast Net 
To bring new content to ESPN.com and broaden the audience for local programming that airs on local ESPN radio stations, ESPN Monday announced the launch of a local podcasting network. For the first time, local ESPN radio shows that air on five ESPN owned-and-operated stations in markets such as Pittsburgh and New York will now be available for downloading at the ESPN.com PodCenter and via Apple’s iTunes Music Store.

InStyle.com Unveils Parties Channel 
Time Inc.'s In Style is boosting its celebrity coverage with its launch today of a Parties channel on its Web site, Instyle.com. The channel features daily updates of Hollywood parties and events with photos and video, which will be open to advertising sponsorships. Other features on the channel include photo galleries of partying celebrities, an events calendar, a party scene blog, and party and style news feeds from various sources.

Lycos Cinema Rolls Out Classic Shows 
Web portal Lycos, which is in the midst of an attempted reinvention as an online entertainment hub, has launched a new product that combines streaming video and chat. The new Lycos Cinema allows Web users to gather virtually to watch old TV and movies online and chat in real time using a proprietary technology.

VH1 to Launch Home Purchasing Club on VSPOT 
VH1 has announced plans to launch an original series for its broadband platform VSPOT while at the same time unveiling an initiative to distribute VSPOT content across the Web. On Nov. 27, the cable network's online video hub will begin streaming Home Purchasing Club, a short-form spoof of home shopping TV shows. The new eight-episode weekly series comes from a pair of writers/performers who have worked on several comedic TV series, such as Jimmy Kimmel Live and the Drew Carey Show.

Is YouTube a $1.65 billion flash in the pan?

Dare I say it? A $1.65 billion snafu? Ouch!

Don't get me wrong, I am a big fan (I own Google stock!), and have been tracking YouTube since their inception. The funny thing is that they were not the only players back then, but they were the only ones with a singular focus....and so they amassed market share. Now there are many players in the space, all of them focusing on User Generated Content (UGC). I have listed the URL's of the most prominent players at the end of this blog. It's a looooong list.

So what is the draw of User Generated Content in the first place and why did it take off? Like most things there is not one answer, but I narrow it down to this:

1. Sociology: We are social beings, and we want to share. Websites that make that easy, reap the benefits.

2. Democratization: The internet has democratized many things and video is no exception. Now that the general public has easy access to the tools that make creation of video possible, they want to share them.

3. Non-Linear Experience (VOD): Unlike TV, this is a non-linear, on-demand, streaming experience that technology could finally deliver and we were ready for. Now traditional TV is playing catch up, with technology that will enable that same experience. In the near future we will most likely watch very little programming at the scheduled time of 'release'.

3. Short Format: With little time these days, the short, 'snack-like' experience of UGC fills a need. It is in its early stages and will probably breed a whole new art form before all is said and done.

4. No Advertising: Not that this will last long, but entertainment without advertising appeals to us. Perhaps advertisers will get a clue and deliver content of value as a result.

But is all of this enough to keep sites like YouTube & UGC in the public eye? Long term, I don't think it is. Today it is a novelty, because for the first time since the invention of big media, the common man can publish his thoughts and point of view for free - for everyone to see. The power of that is huge, but the fact remains that the content that is most watched, even on sites like YouTube, has to be...well...you know...good...and most if it is not. In fact, most the videos on YouTube that are the most watched, are professionally produced or disguised as such like lonelygirl15 . Now under Google's corporate monicker, YouTube is playing nice and making significant strides to remove content that is not owned by them. Read this article as Viacom trial lawyers ask YouTube to take down copies of the Colbert Report. The irony is that it is no secret that the Colbert Report's ratings grew in popularity because of circulation on YouTube. http://www.pbs.org/mediashift/2006/10/open_letterstephen_colbert_don.html

But the big deal here is that the networks and other professional content producers are catching on. It won't be long before short format programming produced by professionals is able to be streamed and eclipses most UGC. I'm not saying that there are not some very talented filmmakers out there that will not rise to the top, but I am saying that the days where we are willing to wade through crappy video are numbered. Even AOL's has built a professional online video portal to compliment its UGC site: http://video.aol.com/

UGC will also not be able to compete with the amount of media dollars placed behind the promotion of professionally produced content. 1/3 of commercials on TV today are for shows on TV.

So what is a 'YouTube' to do? I don't have an answer, but in order to be able to sell ad space which, we assume they will start doing given the Google relationship and the need to get a return on that $1.65BB, they will need to keep the eyeballs on their site. In order to do that, they will need to make sure the stuff on the site is good, and right now all they are doing is having to remove most of the good stuff.

What will happen here is anyone's guess, but it ain't going to stay like it is!

Take a look at two articles from this week from two of the largest, independent players in media and how they are making big strides into this territory.

Barry Diller & Co.
http://www.nytimes.com/2006/10/31/business/media/31jackson.html

Turner Broadcasting
http://www.hollywoodreporter.com/hr/content_display/news/e3iSvX2Mh9HIlLBrE13tEdDEg%3D%3D
What Comes After YouTube
http://www.businessweek.com/magazine/content/06_44/b4007052.htm

'Short List' of competitive sites to YouTube (UGC)
SelfMadeTV.com
Current TV
The Yahoo! Current Network
AddictingClips
IFILM
FireANT | Not TV
C H A N N E L B L A S T :: the future of internet television
GUBA - Usenet Search - Easy access to Usenet Pictures and Videos
Revver
Google Video
Yahoo! Video - Featured Videos
Channel101 - The Unavoidable Future of Entertainment
Official Google Video Blog
Welcome to Vimeo!
Myspace-Film
Break.com - Funny Pics, Hot Chicks, & Cool Flicks
GoFish - Watch videos, upload your own and share with friends
Metacafe: Funny Movies & Videos
Zango – You’re Good to Go. Unlimited Free Games, Free Videos and Free Downloads.
Veoh - The First Internet Television Peercasting Network
AOL UnCut Video
blip.tv (beta)
ClipShack
Dailymotion - Share Your Videos
Jumpcut [Make Amazing Movies Online]
Ourmedia Homepage | Ourmedia
Streamload - Free Online Storage - Share Videos and Photos - Online MP3 Storage and Access
vSocial - The Video Clip Sharing Community
motionbox
PodShow
Jumpcut [Make Amazing Movies Online]
eyespot
Grouper Video - Watch. Share. Create.