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Flip.com's user selected ad model shows that ceding control to users can build better relationships with consumers

What is the most valuable relationship a brand can have with a user?

The answer, as CondeNast knows, is one that is initiated and publicized by the user.  That's why they're allowing users of their new social network, Flip.com, to choose the advertising that will appear on their profile pages.

The concept of "sell side advertising", or "brands on demand" has been talked about for a while, but not yet implemented at any kind of scale.  While there are certainly issues that need to be worked out, here are five good reasons to put ad selection in the hands of profile owners.

  1. Users know themselves and their audience best.  No matter what kind of technology goes into behavioral or contextual targeting, user opt-in is a powerful signal of relevance--one that carries well to their circle of friends who most likely share interests and are in similar demographics.  They are likely to select not only a brand they have affinity for, but one appropriate for and relevant to their group of friends. 
  2. When other users know that the ads they are seeing have been approved by a friend, that represents a social "seal of approval" or a kind of signaling as to the value of a brand.
  3. When a user chooses what goes on their page, because they put it there, they're more likely to reference the brand in a positive way through the rest of their content.
  4. The branding will likely be cohesive with the rest of the page, reinforcing the overall lifestyle the user is portraying.  Jocks will not only choose Gatorade skins, but also display lots of sports pictures on their page.  So, as users work towards expressing themselves, they help the brand build image as well.
  5. When advertising is integrated into the building of a profile, it becomes more than just a banner slapped on a page.  Selection of an advertiser on behalf of the user can open up a true relationship between the brand and the user—an opt-in live connection.  When I choose Sprite, not only should I get on-site messaging related to special offers, but I should also be able to get offers that directly improve my site experience…like special widgets.  This way, the more you embrace the consumer, the more you bring them into your fold as well.
   

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