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Analysis for 'Zappos'

  • 4 Items Worth Noting for the Oct 26th Week (Counting online video views, Zappos prank videos, 3DTV, 2010 trends)

    Following are 4 items worth noting from the Oct 26th week:

    1. Online video viewership claims are murky - Props to Jim Louderback, CEO of Revision3, for his opinion piece in AdAge this week, "Where's the Outrage Over Online Video Viewership Claims" in which he cites multiple examples of how content providers' hyperbole and the media's lack of fact-checking/analysis allow all kinds of ridiculous viewership numbers to gain traction as fact. Compounding things is the inconsistent definition of what even constitutes a "view." Jim notes that a fraction-of-a-second play start often can be enough. For advertisers in particular, trying to understand where to place their spending in the emerging online video medium, it is "buyer beware." A great reminder of how immature the online video industry remains.

    2. Zappos's "world's fastest nudist" viral video campaign adds to media's gullibility - The NY Times had a great item this week on Zappos's "world's fastest nudist" campaign, a series of humorous videos on YouTube showing a guy named Donnie streaking around the streets of New York with nothing but a fanny pack on.

    While the videos are clever, the media that picked them up and ran with them as being real are now looking decidedly dim. CNN's Anderson Cooper surely tops the gullibility list, as he and anchor Erica Hill featured one of the videos (showing Donnie buying a taco at a food stand) on AC 360's nightly "The Shot" feature. Cooper blithely passes on that Donnie "holds over 400 nude speed records..." One suspects Walter Cronkite would have dug in and not have been duped by Zappos. However, I'm hardly one to talk, as I was taken in by the "Megawoosh Waterslide Video" this past summer. The old adage "don't believe everything you read" really needs to be updated to "don't believe everything you watch." Meanwhile, Zappos undoubtedly loves all the free publicity.

    3. Enough of HDTV, get ready for 3DTV - Speaking of not believing what you watch, and shifting focus somewhat from online video, I got my first peek at what 3DTV looks like earlier this week. 3D has become a mini-rage recently, with various TV set manufacturers launching 3D-enabled models, looking to drive content creators to jump on the 3D bandwagon. The catch to 3D video is that it's much more expensive to produce because of the need for multiple cameras. That may be OK for movies where the extra cost can be recouped through higher ticket prices, but for regular TV shows it's been a serious obstacle.

    However, the approach used by a small NJ-based company named HDLogix, whose demo I saw, introduces a workaround to this issue. Instead of requiring original production to be shot in 3D, the company runs existing video through its algorithms to dynamically generate 3D effects (I saw segments of the movie "300"). That means no additional production expense is incurred by the content creator. Don't ask me any more about how it works, as the technology is way outside my sweet spot. I will say this, it's pretty cool stuff and I could see 3D adding a lot of new value to online video, especially advertising.

    4. What to look for in 2010 - One last follow-up to the CTAM Summit panel I moderated on Tuesday. My last question to the panelists was to name 1 thing that the 1,500+ cable industry attendees in the audience should be paying most attention to in 2010. These were their answers:

    Paul Bascobert (Chief Marketing Officer, Dow Jones & Company) - e-book readers make huge advances, especially with a new Apple product hitting the market

    Matt Bond (EVP, Content Acquisition, Comcast) - the "customer is king" - stay focused on that

    Andy Heller (Vice Chairman, Turner Broadcasting System, Inc.) - the advent of 4G mobile networks and adoption of the "mobile Internet"

    Jason Kilar (CEO, Hulu) - follow your companies on search.twitter.com to stay in touch with what your customers are saying

    David Preschlack (EVP, Disney and ESPN Networks Affiliate U.S. Sales and Marketing) - the number of access points for content providers will continue to explode

    Peter Stern (EVP & Chief Strategy Officer, Time Warner Cable) - make every interaction with customers an opportunity to build a positive relationship

    Great food for thought.

    Enjoy your weekends!

     
  • Wurl - full banner - 7-25-21
  • 4 News Items Worth Noting from the Week of July 20th

    Following are 4 news items worth noting from the week of July 20th:

    Apple reports blowout iPhone sales in Q2, continuing to drive market - It was another record quarter, as Apple reported selling 5.2 million iPhones, bringing to 21.4 the total sold to date. This despite acknowledging temporary shortages during the quarter. The iPhone continues to revolutionize the mobile market, and from my standpoint is the key catalyst for both recording and consumption of mobile video. This market is poised for significant growth as new smartphones hit the market along with fixed monthly data plans. Apps like MLB.com At Bat 2009, which offers live streams of games, are certain to be hits and emulated widely.

    8 minute video of Amazon's Jeff Bezos discussing lessons learned and Zappos acquisition - You couldn't miss news this week of Amazon acquiring Zappos for around $900M, its largest deal ever. Interestingly, Amazon posted a video on YouTube of Bezos discussing the deal, but not until he walked through several maxims of Amazon's success (obsess over customers, think long term, etc.). The video is extremely informal, with Bezos flipping hand-scrawled notes on an easel and improvising funny anecdotes. It has a slightly random feel (until he gets to the Zappos part, you start to wonder, what's the point of all this?), but I give Amazon and Bezos lots of credit for using video in a totally new way to communicate with stakeholders. I'd love to see more CEOs do the same.

    Is Disney CEO Bob Iger serious about creating a subscription site for its online video? This week at Fortune's Brainstorm conference, Iger floated the idea that Disney will offer movies, TV shows and games for paying subscribers. The timing seems more than coincidental as Comcast gears up for its On Demand Online trial. Is Iger serious about this, or is it a head fake from Disney so it can try to negotiate incremental payments from Comcast and others seeking to distribute Disney content online? It's hard to tell, but I'd be curious to see what Disney has in mind for its possible subscription service. Consumers hate the idea of paying twice for anything (even paying once is not so popular), so if Disney is somehow going to create another window where they charge for access to content that's still on, or was recently on cable, that would be an awkward model.

    "Mad Men" coming to Comcast's On Demand Online trial - Speaking of the Comcast trial, I was thrilled to hear from David Evans, SVP of Broadband at Rainbow Media (owners of AMC, the network behind Mad Men) at yesterday's CTAM Teleseminar that the show will be included in Comcast's trial and presumably in rollout. David is very bullish on online distribution and the larger TV Everywhere concept, though cautioned that there are many rights-related issues still hanging out there. I'm a huge Mad Men fan (whose new season starts on Aug 16th) and the idea that I don't have to worry about recording each episode or managing space on my DVR, and that I can watch remotely when I'm on the road, all underscore TV Everywhere's value.

     
  • Wurl - full banner - 7-25-21
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