tag:econsultancy.com,2008:/topics/social Latest Social content from Econsultancy 2017-02-22T14:06:00+00:00 tag:econsultancy.com,2008:BlogPost/68826 2017-02-22T14:06:00+00:00 2017-02-22T14:06:00+00:00 Three things to appreciate about Discover LA’s latest video campaign Nikki Gilliland <p>It’s an interesting approach, and one that I think works quite well. Here are a few reasons why.</p> <h3>Movie inspiration</h3> <p>There are a lot of movies about cities, but there aren’t many that celebrate a location quite like La La Land. Unsurprisingly, Discover LA has jumped on the bandwagon, taking inspiration from the movie and mimicking its celebration of the city’s sweeping skyline.</p> <p>The first video from the campaign, ‘Magic’, is so far the most reminiscent of La La Land. It features a dance troupe performing against the backdrop of a twinkling, dusky Downtown skyline, complete with a view from Griffith Observatory.</p> <p><iframe src="https://www.youtube.com/embed/7kRl2IWg9qY?wmode=transparent" width="854" height="480"></iframe></p> <p>Arguably then, the best thing about Discover LA’s campaign is its timing – cleverly coinciding with the film’s release and subsequent 14 Oscar nominations. </p> <p>However, whether you’ve seen the movie or not, the campaign’s cinematic (and rose-tinted) view of LA is bound to leave you feeling a little captivated – or nonplussed at your own less-than-glamorous surroundings at the very least. I particularly like the fact that the videos feature no talking or background narration. </p> <p>In contrast to a previous tourism campaign from Visit California, which featured a host of people humble-bragging about their laid-back lifestyle, the videos are far more enjoyable to watch.</p> <p><iframe src="https://www.youtube.com/embed/Iey7_N_mEx4?wmode=transparent" width="854" height="480"></iframe></p> <h3>Based on consumer opinion</h3> <p>Discover LA has traditionally used the real-life experiences of local residents to inform its marketing campaigns, incorporating insight about what makes life in Los Angeles so special.</p> <p>This latest campaign is no different, however this time it uses the opinions of people from elsewhere. The brand reportedly undertook in-depth focus groups in nine key global markets, including the UK, in order to find out why travellers are drawn to the city. From this, it discovered that most people cited the feeling or the lifestyle of LA as the most intriguing part. </p> <p>This is another reason why the campaign feels so refreshing. Instead of promoting the city in a stereotypically ‘Hollywood’ fashion – or the ‘millennials want experiences’ angle - it focuses on the overarching (and sometimes unexplainable) atmosphere.</p> <p>In turn, it recognises that the city is a genuine travel destination for Brits based on a wide range of reasons – not just its recent movie incarnation. </p> <p><iframe src="https://www.youtube.com/embed/Dh2pHJVIeAo?wmode=transparent" width="854" height="480"></iframe></p> <h3>Social media integration</h3> <p>Lastly, Discover LA’s use of social is particularly impressive – specifically how its uses Instagram to provide extra value for users.</p> <p>By choosing to post its ‘Discover LA’ videos directly within Instagram, it manages to ensure greater reach.</p> <p>Meanwhile, not only are the posts beautiful to look at, but the brand often includes detailed descriptions too. This helps to counteract the feeling that the campaign (and Instagram as a channel) is more shallow than informative – one which merely emphasises what’s on the surface.</p> <p><img src="https://assets.econsultancy.com/images/0008/4051/Discover_LA_Insta.JPG" alt="" width="780" height="497"></p> <p>By including content in this context, Discover LA manages to strike a good balance, both informing the user as well as visually capturing their attention. </p> <p><em><strong>Related reading:</strong></em></p> <ul> <li><em><a href="https://econsultancy.com/blog/67952-five-tourism-websites-guaranteed-to-give-you-wanderlust/" target="_blank">Five tourism websites guaranteed to give you wanderlust</a></em></li> <li><em><a href="https://econsultancy.com/blog/67996-what-travel-tourism-marketers-can-learn-from-discover-la/" target="_blank">What travel &amp; tourism marketers can learn from Discover LA</a></em></li> <li><em><a href="https://econsultancy.com/blog/68604-why-ugc-is-the-future-of-social-media-in-travel-and-tourism-marketing/" target="_blank">Why UGC is the future of social media in travel and tourism marketing</a></em></li> </ul> tag:econsultancy.com,2008:BlogPost/68830 2017-02-22T12:30:00+00:00 2017-02-22T12:30:00+00:00 Will Snapchat suffer from WhatsApp’s new ‘Status’ feature? Nikki Gilliland <p>It’s just announced the introduction of disappearing photos and videos into its messaging app, WhatsApp. Which, yes, is a feature that is pretty much identical to Snapchat Stories.</p> <p>So, what will this mean for users of both? And what about brands? Here’s a bit more on the story.</p> <h3>What is the ‘Status’ feature?</h3> <p>WhatsApp has always provided users with the option of having a ‘status’. It’s the little phrase beside a person’s name that says ‘at work’, ‘busy’ or ‘at the gym’.</p> <p>In fact, the app was originally built around this very idea, i.e. that you could let your friends or family know what you were currently up to. As the app evolved, it became one of the most under-used and forgotten about elements.</p> <p>Now, ‘status’ is being reintroduced in a big way.</p> <p>The all-new feature will let users share photos, GIFs or videos overlaid with drawings, emojis or captions. This content will be end-to-end encrypted, meaning that no outside party will be able to view it, and it will last for 24 hours before disappearing entirely.</p> <p><img src="https://assets.econsultancy.com/images/0008/4096/whatsapp.JPG" alt="" width="250" height="493"></p> <h3>Will it change user behaviour?</h3> <p>While Instagram also introduced this feature last year, Instagram Stories did not necessarily make much of a difference or impact when it comes to how users behave on the platform.</p> <p>Instagram can largely be a passive user experience – you can simply use it to view other people’s content if you wish. On the other hand, WhatsApp has always been inherently active. To use it, you have to be engaged in chat, or else there’s not much point. With Status, WhatsApp users will now be able to do both.</p> <h3>Will brands get involved?</h3> <p>While some brands have already been using <a href="https://econsultancy.com/blog/68695-how-brands-are-using-whatsapp-for-marketing/" target="_blank">WhatsApp for marketing purposes</a> - mainly to enable faster and more direct customer service - the new feature could open up a whole new realm of advertising opportunities.</p> <p>Despite WhatsApp being against blatant brand advertising in the past, the opportunity to monetise could prove irresistible. There have been suggestions that it could start to insert full-screen ads in-between Statuses, following the example of both Snapchat and Instagram.</p> <p>Similarly, brands could also make use of custom-made filters or emojis, using this to create a less obtrusive presence <a href="https://econsultancy.com/blog/67529-the-rise-of-dark-social-everything-you-need-to-know/">within dark social</a>.</p> <p><img src="https://assets.econsultancy.com/images/0008/4097/Whatsapp_2.JPG" alt="" width="250" height="492"></p> <h3>Will Snapchat suffer?</h3> <p>There’s no guarantee that the Status feature will even take off for WhatsApp, but with 1.2bn monthly users and 60bn messages being sent each day, I doubt it’s all that worried. After all, WhatsApp will not fundamentally change - it will retain its core messaging feature - but it will simultaneously be able to take (or attempt to take) a slice of Snapchat's pie.</p> <p>Snapchat, on the other hand, might be a little concerned. Especially considering that stats from its latest <a href="https://techcrunch.com/2017/02/02/slowchat/" target="_blank">IPO filing</a> showed that the platform’s growth slowed 82% after Instagram Stories launched. If a similar thing happens on the back of Status, it could further hinder the platform’s global growth and revenue opportunities.</p> tag:econsultancy.com,2008:BlogPost/68815 2017-02-20T10:52:00+00:00 2017-02-20T10:52:00+00:00 Becoming an influencer: Notes from a fledgling travel blogger Nikki Gilliland <p>I recently caught up with Marion (while she was on a jealousy-inducing trip to Guatemala) to find out how she has generated such a large following, how she works with brands, and her thoughts on travel influencers in general.</p> <p><img src="https://assets.econsultancy.com/images/0008/3939/Marion_Payet.JPG" alt="" width="720" height="534"></p> <p>Here’s what she said.</p> <h4> <em>Econsultancy:</em> Could you start by explaining a bit about your blog and how you got into the industry?</h4> <p><em>Marion Payet:</em> I initially started my blog because of an interest in creating something more authentic than I was seeing elsewhere. </p> <p>I recognised that I could offer more than standard recommendations from huge companies like Lonely Planet. I mean, a brand like that might tell me to go to a specific market – but how will I know if it’ll provide me with anything unique or truly interesting? I’m more inclined to trust someone with a personal point of view rather than a book that’s been written for the masses. </p> <p>So, I aimed to build something based on the notion that if you like my lifestyle and the way that I am travelling, then you would like the recommendations I make too.</p> <h4> <em>E: </em>Did you start your blog with any knowledge of influencer marketing? </h4> <p><em>MP: </em>In terms of my own background, I started in the hospitality and travel industry in Florida, then I moved to London where I worked in retail – specifically ecommerce and digital marketing. </p> <p>This is how I knew I could offer something different from other travel websites, because I already knew many tricks of the trade. </p> <p>I had worked with influencers myself through affiliate channels, and had general knowledge of <a href="https://econsultancy.com/reports/seo-best-practice-guide/">SEO</a>, <a href="https://econsultancy.com/reports/paid-search-marketing-ppc-best-practice-guide/">PPC</a>, coding, etc. – so I knew I could use this to my advantage, especially compared to other bloggers I was seeing at the time.</p> <h4> <em>E: </em>What are the main strategies you have used to build your audience?</h4> <p><em>MP:</em> I obviously have the main website, but as I didn’t originally have much money to invest, I knew that in order to drive traffic to it I needed to use another organic channel like social media. </p> <p>So, I started <a href="https://www.instagram.com/hibiscusandnomada/">with Instagram</a>, spending days and days just being really active on it, engaging with the community and making friends with mutual interests. </p> <p>Over time my presence grew. From last June to now I have managed to reach 29,000 followers, and that’s just organically, from being super active and building my own community.</p> <p>Eventually, this audience has also found its way back to my website, so now we’re at about 1,500 visits per month.</p> <p><img src="https://assets.econsultancy.com/images/0008/3941/HN_insta.JPG" alt="" width="650" height="420"></p> <h4> <em>E:</em> At what point did you start getting interest from brands?</h4> <p><em>MP:</em> Quite recently. Before that, it was purely me reaching out to brands through email and social media, saying this is what I do if you are interested. </p> <p>Then, about a month ago, it seemed to flip – I started to get emails every day from brands and websites saying that they had found me. As soon as I reached about 25,000 followers on Instagram, it started to happen, and then I also got quite a bit of press coverage from online and print magazines. Combined, this seemed to really ignite interest.</p> <h4> <em>E:</em> Do you only work with a certain type of brand, and how do you decide who to work with?</h4> <p><em>MP:</em> Absolutely, since the very beginning I’ve made a point of being picky. I’ve seen a lot of other bloggers on Instagram being quite blatant, posting photos of a watch with a mountain in the background.</p> <p>I would never want to get paid to promote a brand that I don’t believe in, so I only work those that I think are a really good fit for me.</p> <p>For example, I am now working with a brand that offers travel insurance, because I have used it myself and I know that my audience will find it useful. If I am holding an expensive watch – why would a backpacker be interested in that? I’m not scared of saying no or explaining that it won’t be a good fit, either.</p> <h4> <em>E:</em> What would you say is the best way for a brand to approach an influencer?</h4> <p><em>MP:</em> A brand can usually get my attention if it is a personalised message, so not just mentioning that they have seen my blog, but pointing out a specific article or photo that they liked. </p> <p>I get countless emails saying that someone wants to work with me, so I really need to feel that there is some kind of personal connection. I can also tell if it is an email they have sent to hundreds of other bloggers – I can read between the lines. </p> <p>Lastly, I have to feel like it’s not just about them, that it’s about both of us, and that all parties will be able benefit from the deal.</p> <h4> <em>E:</em> How do you see influencer marketing evolving? Do you think it will reach saturation point?</h4> <p><em>MP:</em> I do think it will reach saturation point. You can tell this, not just from the amount of influencers, but the type and quality of content that they are promoting. You can usually tell that it’s not authentic, that they are staying in a hotel simply because they are being paid to – it doesn’t align with their identity or approach to travel in any way. </p> <p>This weekend I was in the south of Mexico, in a hostel that paid for my entire experience, and while the hostel is definitely a place I would stay at (and promote), my article will also include detailed information about the day-trip I went on and every single activity I did. It’s always better to promote a story rather than just a straightforward recommendation. </p> <p>I think authentic influencer marketing will evolve in this way, telling the story and entire experience of a place rather than just one aspect.</p> <h4> <em>E:</em> Finally, what’s the best place you’ve been or experience you’ve had thanks to your blog?</h4> <p><em>MP:</em> The best feedback I’ve had has been from my Iceland trip - I was there for a whole week over New Year. I didn’t even really plan anything, then I slowly realised that it was winter, there would only be four hours of daylight, we’d be freezing. </p> <p>Who goes to Iceland in winter? But we embraced it and ended up taking the most incredible photos. The feedback was amazing, with people commenting that they now want to visit during the winter time rather than summer, and asking questions about how we got there, how we travelled and so on. </p> <p>People don’t even think to go to a place like Iceland before they see photos and then they get obsessed with it. For us, this is so rewarding – it shows that you can truly inspire.</p> <p><img src="https://assets.econsultancy.com/images/0008/3940/Iceland.JPG" alt="" width="650" height="429"></p> <p><strong><em>For more on this topic, check out the following research from Econsultancy:</em></strong></p> <ul> <li><em><a href="https://econsultancy.com/reports/the-rise-of-influencers/">The Rise of Influencers</a></em></li> <li><em><a href="https://econsultancy.com/reports/the-voice-of-the-influencer/">The Voice of the Influencer</a></em></li> </ul> tag:econsultancy.com,2008:BlogPost/68819 2017-02-17T11:03:14+00:00 2017-02-17T11:03:14+00:00 10 outstanding digital marketing stats from this week Nikki Gilliland <p>On we go...</p> <h3>73% of retailers fear cybercrime will negatively impact them in 2017</h3> <p>According to <a href="https://www.mimecast.com/resources/white-papers/Dates/2017/2/email-security-risk-assessment" target="_blank">new research</a> from Mimecast, retailers are hyper-aware of cyber-crime, with 73% believing that an attack will negatively impact their business in the year ahead.</p> <p>65% also believe a malicious email is the most likely way they’ll be infected by ransomware, making retail the most fearful industry overall.</p> <p>This news comes on the back of Mimecast’s security risk report which – from analysis of 26m emails – found 3.5m pieces of spam and 6,681 dangerous files.</p> <h3>Lingerie more popular than chocolate this Valentine’s Day</h3> <p>Criteo has revealed the most-searched for items this Valentine’s Day. Coming in at number one was ‘earrings’, followed by ‘men’s watches’ and ‘engagement ring’.</p> <p>Interestingly, searches for lingerie increased a massive 366% in the lead up to the day itself, somewhat justifying many online retailer’s <a href="https://econsultancy.com/blog/68767-how-retailers-are-targeting-mobile-shoppers-this-valentine-s-day/" target="_blank">heavy promotion</a> of the category.</p> <p>More traditional items were also in demand, with searches for perfume and diamonds up 141% and 130% respectively.</p> <p><img src="https://assets.econsultancy.com/images/0008/3973/valentines.jpg" alt="" width="650" height="433"></p> <h3>Millennials drive traffic to luxury online retailers</h3> <p>Ahead of London Fashion Week, Hitwise has revealed how a new generation of affluent millennials are increasingly seeking out luxury brands.</p> <p>According to data, 50% of website traffic to Louis Vuitton, Burberry and Gucci is driven by this demographic. Consequently, brands are expected to continue investing in digital efforts to engage with them.</p> <p>Overall, there has been a 45% increase in website traffic to luxury fashion retailers over the past three years.</p> <p><img src="https://assets.econsultancy.com/images/0008/3972/Luxury_Millennials.JPG" alt="" width="690" height="328"></p> <h3>66% of marketers struggle to understand their audience</h3> <p>In the wake of Brexit and the US Presidential election, two-thirds of digital marketers are now questioning whether they truly know their audience.</p> <p>This is according to a new survey from Greenlight, which also found that, as a result, 94% now intend to better understand what their customers are looking for.</p> <p>37% plan to target subsets of their audience to ensure their brand is tapping into the conversations that suit their business. Typically, 57% rely on customer surveys and 59% use online forms to collect insight.</p> <h3>18-24 year olds dominate Snapchat usage</h3> <p>Data from Verto has revealed that, despite 18-24 year olds accounting for just 35% of Snapchat's UK users, they account for 70% of the overall time spent on the platform.</p> <p>In contrast, while 40% of Snapchat's audience is aged over 35, this age group accounts for just 5% of usage time.</p> <p>Other data shows that the average user spends 4hrs 22mins on Snapchat a month - a figure down from 5hrs 30mins just six months ago. </p> <p>However, this is still much lower than Facebook, which has an average user time of 12hrs 43mins per month.</p> <p><img src="https://assets.econsultancy.com/images/0008/3971/Verto.JPG" alt="" width="690" height="420"></p> <h3>Proflowers.com leads in Valentine’s Day paid search ad spend</h3> <p>Adgooroo has revealed that ahead of the holiday, Proflowers.com generated a 7.3% share of total clicks on Valentine’s Day-related keywords.</p> <p>This means the site beat out the likes of Hallmark, whose e-card website Hallmarkecards.com generated a 7.1% click share.</p> <p>There was heavy competition in the greetings cards category, too, with Tinyprints.com generating a 3.4% click share, edging out American Greetings and Blue Mountain, which both saw a share of 2.5%.</p> <h3>26% of marketers feel unprepared for GDPR</h3> <p>New research from the <a href="https://dma.org.uk/article/the-gdpr-and-you-chapter-two" target="_blank">DMA</a> suggests that one in four businesses are still unprepared for the EU General Data Protection Regulation (GDPR), with just over half reporting that they feel prepared, and 5% believing it’s not their responsibility to do anything about it.</p> <p>It’s not all bad news, however, as awareness of the GDPR <em>has</em> risen from 53% to 66% since June, while marketers’ personal feelings of readiness increased from 49% to 71%. </p> <p>Despite this, there is still a clear need for urgency, with many marketers not believing their businesses will be compliant before the new rules come into place.</p> <p><img src="https://assets.econsultancy.com/images/0008/3969/DMA.JPG" alt="" width="500" height="295"></p> <h3>Almost 6m UK households have no savings </h3> <p>A five-year study from Experian has found that people in their 20s and 30s are far less well off than the previous generation, with nearly 1m households having received a loan or financial gift from other family members. </p> <p>Experian found that almost 6m households in Britain have no savings, with 423,000 Britons relying on unauthorised overdrafts or payday loans to make ends meet.</p> <p>Lastly, the report also highlights how over 35m people in Britain may be paying more than they should for inappropriate financial products and utility plans, with most <a href="https://econsultancy.com/blog/68789-how-smart-switching-energy-apps-are-tapping-into-customer-need/" target="_blank">failing to switch</a> to a better deal.</p> <h3>66% of marketers no longer use mobile apps in campaigns</h3> <p>The State of Digital Commerce report by Episerver has revealed that two-thirds of marketing professionals are no longer using mobile apps in their marketing campaigns, choosing a responsive mobile presence instead.</p> <p>The report also states that 32% of top retailers do not provide a mobile application across either iPhone or Android devices, and eight out of 10 top UK retailers have adopted a responsive ecommerce site.</p> <p>The shift is said to be due to the surge in mobile search as well as the introduction of <a href="https://econsultancy.com/blog/68490-google-s-accelerated-mobile-pages-12-pros-and-cons/">Google’s Accelerated Mobile Pages</a>.</p> <p><img src="https://assets.econsultancy.com/images/0008/3970/Episerver.JPG" alt="" width="482" height="206"></p> <h3>Changing attitudes to brand loyalty</h3> <p>The new Accenture Strategy report has highlighted how consumers’ allegiances towards brands are frequently changing. </p> <p>In a survey of the attitudes of 25,426 consumers, Accenture found that 54% of US consumers have switched a provider in the past year, while 18% report that their own expectations about brand loyalty have changed.</p> <p>Alongside personalisation, greater loyalty could be driven by an experiential approach – with 44% saying they are loyal to a brand that encourages the design or co-creation of products or services.</p> <p>Lastly, 42% of US respondents are also loyal to brands that their family and friends do business with, while 37% are loyal to brands that actively support shared causes, such as charities or public campaigns.</p> tag:econsultancy.com,2008:BlogPost/68793 2017-02-14T15:00:00+00:00 2017-02-14T15:00:00+00:00 Is the VR craze mostly hype? Patricio Robles <p>While there are many plausible arguments <a href="https://econsultancy.com/blog/67375-five-reasons-vr-skeptics-are-missing-the-point/">that support the belief VR will have a bright future</a>, there's also growing evidence that VR's inevitable success isn't so inevitable.</p> <p>The most recent evidence: Facebook, which purchased VR headset maker Oculus for $2bn, is shuttering nearly half of its 500 Oculus pop-ups in Best Buy stores around the US. The apparent reason? Lackluster demand.</p> <p>While an Oculus spokesperson said the closures are due to "seasonal changes" and that the company is "prioritizing demos at hundreds of Best Buy locations in larger markets," multiple sources who worked as "Oculus Ambassadors" <a href="http://www.businessinsider.com/facebook-closing-200-oculus-best-buy-pop-ups-poor-store-performance-2017-2?op=1">told Business Insider</a> that demand all but dried up following the holidays.</p> <p>According to Business Insider, sources stated "at most, they would sell a few Oculus headsets per week during the holiday season, and that foot traffic to their pop-ups decreased drastically after Christmas."</p> <p>One source stated, "There’d be some days where I wouldn’t give a demo at all because people didn’t want to."</p> <p><img src="https://assets.econsultancy.com/images/0008/3891/Oculus_Rift.png" alt="" width="800" height="420"></p> <p>It's understandable that sales of the Oculus Rift VR headset would be tepid – it is, after all, a $600 piece of equipment. But the reported lack of interest in free demos suggests that VR's mainstream appeal is nowhere near what one might assume it to be given the amount of attention lavished on VR by companies like Facebook, as well as the tech press.</p> <p><a href="http://fortune.com/2016/12/27/virtual-reality-vr-marketing-imax/">According to</a> SuperData Research, sales of Oculus Rift and HTC Vive headsets in 2016 numbered in the hundreds of thousands, far less than the millions some predicted. There are probably a number of reasons for this, including the high cost of headsets, a lack of compelling content, and "virtual reality sickness," which often mimics the symptoms of motion sickness.</p> <p>Even many VR proponents acknowledge that the technology has a way to go before it will be in a position to deliver on its supposed mainstream potential.</p> <h3>Too much, too fast?</h3> <p>Facebook CEO Mark Zuckerberg is one of VR's biggest believers, and plans to put his money where his mouth is by investing billions more in VR in the coming years. He <a href="http://www.roadtovr.com/facebook-mark-zuckerberg-10-year-vr-trajectory-oculus-earnings-call/">recently called</a> VR a "10-year thing" and stated that there was probably no ability to accelerate the technology and its adoption so that it becomes, say, a five-year thing.</p> <p>"It’s important to also recognize that this will grow slowly, like computers and mobile phones when they first arrived. So we’re committed to Oculus and virtual reality for the long term," he stated.</p> <p>Of course, it's worth considering that expectations for computers and mobile phones were initially quite low. In 1943, Thomas Watson, the president of IBM, stated, "I think there is a world market for maybe five computers." In 1977, Ken Olsen, the founder of DEC, stated, "There is no reason anyone would want a computer in their home."</p> <p>Expectations for VR, on the other hand, are exceedingly high despite the fact that even its staunchest promoters admit that the technology is nowhere near where they think it needs to be to penetrate the mainstream the way computers and mobile phones have.</p> <p>The risk: the promoters are wrong, and even if and when the technology is supposedly <em>good enough</em>, it won't find the consumer acceptance they thought it would.</p> <p>With that in mind, it's not so extreme to argue that, at least for the time being, the VR craze is indeed mostly hype. That the expectations are too far ahead of the reality.</p> <p>And that even if VR eventually lives up to those expectations a decade or more from now, most companies have little reason to prioritize their experiments and investments in VR given the abundance of opportunities that are far more accessible and likely to bear fruit in the near term.</p> tag:econsultancy.com,2008:BlogPost/68799 2017-02-10T14:11:00+00:00 2017-02-10T14:11:00+00:00 10 epic digital marketing stats from this week Nikki Gilliland <p>Now, let’s get straight to it.</p> <h3>Technology is holding back half of UK retailers</h3> <p>Retailers are still struggling to harness the power of new technology, according to the latest research from eCommera and Coleman Parkes.</p> <p>In a study of 200 UK retailers with revenue of over £100m, 46% of respondents said their tech stack is inhibiting growth. Consequently, 64% plan to increase investment in 2017.</p> <p>When it comes down to the reasons why, retailers cited website stability, customer experience and analytics as the three areas that require greater focus. This proves that - while retailers might have invested in the latest tech – many are unable to implement it correctly.</p> <h3>Pepsi Super Bowl ad generates most media conversation</h3> <p>4C has revealed the Super Bowl moments that ignited social media, with both Lady Gaga and Pepsi overshadowing the game itself.</p> <p>There were over 37m engagements around the event in total, including conversation about teams, players, and performers.</p> <p>Tom Brady earned 2.5m engagements, while Lady Gaga gained 5.5m engagements for her impressive performance. Meanwhile, Pepsi was the most talked about brand ad, garnering 708,089 engagements.</p> <p><img src="https://assets.econsultancy.com/images/0008/3826/Pepsi.JPG" alt="" width="780" height="234"></p> <h3>UK searches for mini-breaks up a fifth year on year</h3> <p>The Spring Travel Insights report from Bing Ads has revealed the travel destinations Brits are currently searching for.</p> <p>With a spike driven by Valentine’s Day and the approaching spring bank holiday, searches for mini or short breaks are up nearly a fifth year on year. Spa breaks are similarly popular, making up 23% of searches.</p> <p>Mobile is also a key driver, with 31% of mini-break search volume coming from a smartphone or tablet.</p> <h3>More consumers search eBay for iPads than roses for Valentine’s Day</h3> <p>In more Valentine’s Day news, eBay has revealed that Valentine’s gifts are increasingly moving from the practical to the experiential, as shoppers search for more unusual and imaginative gift ideas.</p> <p>This time last year, searches in eBay’s Travel &amp; Holidays category surged by 55%, while interest in its Art category rose by 60%. Further to this, interest in event tickets and books rose by 57% and 39% respectively.</p> <p>Even traditional gifts like roses have been eclipsed by practical items like the iPad, which saw a 31% spike in search interest.</p> <p><img src="https://assets.econsultancy.com/images/0008/3830/ebay.jpg" alt="" width="600" height="479"></p> <h3>One in ten marketers admit their emails are irrelevant</h3> <p>New <a href="https://dma.org.uk/article/marketer-email-tracker-2017-launch" target="_blank">research from the DMA</a> highlights how vital emails are to marketing strategies, with 95% of marketers agreeing that they are ‘important’ or ‘very important’.</p> <p>Despite this, only 9% say that all their emails are relevant to customers, and 38% say that ‘some’ are relevant at best.</p> <p>For marketers, ‘lack of strategy’ remains the biggest concern, followed by ‘lack of data’ and ‘data silos’. It’s not all bad news, however, as last year’s biggest concern of ‘limited internal resources’ has dropped out of the top three.</p> <p>With over half of consumers having considered deleting their email account, it is up to marketers to strive to provide greater relevance and value.</p> <p><img src="https://assets.econsultancy.com/images/0008/3827/DMA.JPG" alt="" width="711" height="342"></p> <h3>AI marketing spend predicted to hit $2bn by 2020</h3> <p>A new report from Qubit and IDC predicts that marketing spend on artificial intelligence technology will grow by 54% from $360m in 2016 to $2bn by 2020.</p> <p>A large factor in this prediction is the belief that traditional tools like A/B testing and predictive analytics are flat lining. Similarly, the suggestion that marketers are struggling with the sheer volume and variety of consumer data, leading to inaccuracies and errors.</p> <p>Consequently, while marketers are still failing to grasp AI effectively, marketing spend looks set to boom.</p> <h3>Quality more important than price for grocery shoppers</h3> <p>New research from Shoppercentric has highlighted the changing expectations of grocery shoppers, as high quality produce overtakes competitive pricing in terms of importance.</p> <p>Now, 54% of consumers say quality produce is the most critical factor, while 49% cite price.</p> <p>Other changing behaviour includes how often consumers shop, with the ‘little and often’ trend increasing 5% since 2016. Lastly, the rise of mobile continues, with 27% of shoppers using their smartphone to shop in the past month – a rise of 3% from last year. </p> <p><img src="https://assets.econsultancy.com/images/0008/3828/Shoppercentric.JPG" alt="" width="599" height="233"></p> <h3>5.5bn people predicted to be using mobile phones by 2021</h3> <p>According to a new report from Cisco, more people will be using mobile phones in 2021 than bank accounts and landlines.</p> <p>Due to strong growth in mobile users, smartphones and IoT connections - combined with network speed improvements and mobile video consumption - mobile data traffic is predicted to grow sevenfold.</p> <p>Cisco also forecasts that there will be 12bn mobile-connected devices by 2021 – a figure up from 8bn in 2016. Lastly, the total number of smartphones is expected to account for more than half of all devices and connections in the world.</p> <h3>46% of consumers influenced by social video</h3> <p>In a survey over 5,500 consumers, the Science of Social Video has found that people spend an average of six hours a week watching video content on social media networks.</p> <p>67% of respondents said that this figure had increased over the course of the past year, while 60% said that it’s likely to continue to rise.</p> <p>The survey also highlights how social video can impact purchasing decisions, with 46% saying they had made a purchase as a result of watching a branded video on social media, while 32% had considered doing so.</p> <p><img src="https://assets.econsultancy.com/images/0008/3829/Social_minutes.JPG" alt="" width="582" height="332"></p> <p><em>(Minutes of social video consumers watch per day)</em></p> <h3>Omni-channel sales restricted by security concerns</h3> <p>A new survey from Aspect has found that security concerns about social media could be preventing sales.</p> <p>69% of consumers have security concerns over payment or personal details, while 60% have concerns over social media channels being at risk of phishing attempts or fraudulent profiles.</p> <p>While social media channels are still widely used for research purposes, purchases are generally carried out elsewhere, with a majority of consumers being unwilling to pay via communication channels like Facebook, WhatsApp or Instagram.</p> <p>On the other hand, consumers are increasingly confident in paying via mobile applications, with 75% saying they are happy to do so.</p> tag:econsultancy.com,2008:Report/4395 2017-02-06T10:00:00+00:00 2017-02-06T10:00:00+00:00 Healthcare and Pharmaceuticals Internet Statistics Compendium <p>Econsultancy's <strong>Healthcare and Pharmaceuticals Internet Statistics Compendium</strong> is a comprehensive collection of the most recent healthcare and pharma statistics and market data publicly available on online marketing, ecommerce, the internet and related digital media.</p> <p>The report will be <strong>updated twice a year</strong>.</p> <p>Like our main <a title="Internet Statistics Compendium" href="https://econsultancy.com/reports/internet-statistics-compendium">Internet Statistics Compendium</a>, this report has been collated from information available to the public, which we have aggregated together in one place to help you quickly find the healthcare and pharma internet statistics you need.</p> <p>There are all sorts of internet statistics which you can slot into your next presentation, report or client pitch.</p> <p>Areas covered in this report include:</p> <ul> <li>Digital healthcare market trends</li> <li>Consumer internet and mobile usage</li> <li>Digital health investment / funding</li> <li>Digital strategy</li> <li>Internet of Things (IoT) and wearables</li> <li>Online pharmacies</li> </ul> <p><strong>A free sample document is available for download.</strong></p> tag:econsultancy.com,2008:BlogPost/68774 2017-02-03T14:12:04+00:00 2017-02-03T14:12:04+00:00 10 interesting things from Snapchat's IPO filing Patricio Robles <p><a href="https://www.sec.gov/Archives/edgar/data/1564408/000119312517029199/d270216ds1.htm">Snapchat's S-1 filing</a> with the SEC revealed lots of information about the company and its business. Here are 10 of the most interesting titbits.</p> <h3>Snapchat's revenue is pretty big and getting bigger, but its losses are pretty big too</h3> <p>Snapchat is generating just over $400m in revenue annually, up from just under $59m in 2015, but it lost $514m last year, up from nearly $373m in 2015. While such losses are not uncommon for fast-growing consumer digital media company, and Snapchat has raised billions in capital from investors, the company's S-1 warns that it "may never achieve or maintain profitability."</p> <p>That standard risk disclosure language would probably be easier to overlook if it wasn't for the fact that <a href="https://econsultancy.com/blog/68763-can-snapchat-survive-instagram-s-aggressive-copycat-tactics/">Facebook's Instagram seems to be taking away some of Snapchat's shine</a>.</p> <p><img src="https://assets.econsultancy.com/images/0008/3673/snapchat_logo.jpg" alt="" width="470" height="243"></p> <h3>Snapchat's younger users are more engaged, but they could be more fickle</h3> <p>Snapchat's S-1 revealed that "the majority of our users are 18-34 years old" and this group is the most highly engaged...</p> <blockquote> <p>For example, users 25 and older visited Snapchat approximately 12 times and spent approximately 20 minutes on Snapchat every day on average in the quarter ended December 31, 2016, while users younger than 25 visited Snapchat over 20 times and spent over 30 minutes on Snapchat every day on average during the same period.</p> </blockquote> <p>While its young demographic makes Snapchat an especially ideal platform for many advertisers, the company acknowledges that "this demographic may be less brand loyal and more likely to follow trends than other demographics."</p> <h3>Snapchat has 158m DAUs...</h3> <p>In December, 158m people on average logged onto Snapchat every day globally. That's up from 110m in December 2015.</p> <h3>...but user growth is slowing</h3> <p>Is Snapchat the next Facebook, or the next Twitter? The company's ability to continue growing its user base will largely determine the answer to that. While Snapchat experienced significant growth earlier in the year, growth has slowed considerably since Instagram launched Stories, highlighting the challenges Snapchat may face as Facebook targets its upstart competitor.</p> <blockquote class="twitter-tweet"> <p lang="en" dir="ltr">Snapchat net growth in millions. Crazy spike in the first two quarters. Then Instagram launched Stories in August. <a href="https://t.co/RlZLOuCsAc">pic.twitter.com/RlZLOuCsAc</a></p> — Ben Sandofsky (@sandofsky) <a href="https://twitter.com/sandofsky/status/827297063763259392">February 2, 2017</a> </blockquote> <h3>Snapchat wants to reinvent the camera</h3> <p>How can Snapchat ward off Facebook? The company's S-1 suggests that Snapchat believes it's not a social network or mobile app. Instead, the S-1 states, "Snap Inc. is a camera company." It goes on...</p> <blockquote> <p>We believe that reinventing the camera represents our greatest opportunity to improve the way that people live and communicate. Our products empower people to express themselves, live in the moment, learn about the world, and have fun together.</p> <p>In the way that the flashing cursor became the starting point for most products on desktop computers, we believe that the camera screen will be the starting point for most products on smartphones. This is because images created by smartphone cameras contain more context and richer information than other forms of input like text entered on a keyboard. This means that we are willing to take risks in an attempt to create innovative and different camera products that are better able to reflect and improve our life experiences.</p> </blockquote> <p>In other words, Snapchat appears to be betting the farm on its ability to out-innovate other companies that are building cameras and camera-centric products and services, suggesting that <a href="https://econsultancy.com/blog/68333-what-brands-need-to-know-about-snapchat-spectacles">Spectacles</a> is just the first product in a physical product pipeline.</p> <p>In fact, the S-1 alerts prospective investors to the fact that they should expect Snapchat to spend lots of money on these efforts...</p> <blockquote> <p>Many of the products we create leverage new technologies and may be considerably different from what is already available. This means that we often make large investments and take substantial risks to develop and launch them.</p> <p>Some of our products have high production costs and long development timelines, and we expect to see an increase in our costs and expenses due to the launch of Spectacles and future capital-intensive projects.</p> </blockquote> <h3>It's all about advertising</h3> <p>Despite the fact that Snapchat is calling itself a "camera company," it generates almost all of its revenue today from advertising and will for the foreseeable future. Like Facebook in its earlier days, the company says that it is focused on creating great products that users want to engage in, and that it might not monetize those products for "a long time."</p> <p><img src="https://assets.econsultancy.com/images/0008/3674/snapchat_spectacles.png" alt="" width="750" height="428"></p> <p>But when it does decide to monetize, expect Snapchat to follow common models. For instance, the company notes that it allows advertisers to purchase geo-filters in a self-service fashion, and to purchase ads through an API.</p> <h3>Snapchat's ARPU lags Facebook's</h3> <p>In Q4 2016, Facebook's average revenue per user (ARPU) in North America approached $20 per user. For comparison, in the same quarter, Snapchat's North American users had an ARPU of just $2.15.</p> <p>Snapchat's ad business is obviously much more nascent, and it's worth pointing out that Facebook's ARPU for North American users was approximately $5 when it went public. So prospective Snapchat investors will need to decide whether Snapchat will be able to grow ARPU the way Facebook did, or not.</p> <h3>Snapchat is spending a ton of money with Google</h3> <p>Snapchat's founders, investors and many of its employees will make lots of money when the company goes public, but one of the biggest beneficiaries of Snapchat's success is Google.</p> <p>According to Snapchat's S-1, "We have committed to spend $2bn with Google Cloud over the next five years and have built our software and computer systems to use computing, storage capabilities, bandwidth, and other services provided by Google, some of which do not have an alternative in the market."</p> <h3>You know what's cool? $25bn</h3> <p>Snapchat is aiming to go public at a valuation of $25bn, raising $3bn in the process. That's quite a bit lower than Facebook's IPO, which valued the social networking giant at more than $100bn, but it's still a significant valuation that will make Snapchat's IPO the biggest consumer tech IPO by valuation in years. </p> <h3>Public shareholders won't have much of a say in Snapchat's business</h3> <p>Will investors be eager to invest in Snapchat despite the losses, competitive risks and questions over what the company actually is? Interestingly, those considerations might prove to be less important than the fact that the class A shares the company is offering to the public will have no voting rights. That means investors who own these shares of the company will effectively have no ability to influence the company's decisions.</p> <p>While corporate structures that give founders and management effective control over their companies are more and more common in big tech, a number of observers have noted the fact that apparently no other company has gone public and not offered shares with voting rights, so Snapchat will be the first to test the market in this way.</p> tag:econsultancy.com,2008:BlogPost/68765 2017-02-02T14:19:00+00:00 2017-02-02T14:19:00+00:00 Why brands should be making more use of Pinterest Nikki Gilliland <p>Of course, Pinterest’s age-old image problem remains, with the platform often being dismissed as ‘female-centric’ – a place for wedding inspiration and rainbow cake recipes. But having surpassed 150m monthly users in 2016 – a 50% increase from the previous year – and a growing male audience, could this be a false assumption?</p> <p>Here’s a rundown of why it might be worth paying Pinterest a bit more attention this year. And to learn more on this topic, check out Econsultancy's range of <a href="https://econsultancy.com/training/courses/topics/social/">social media training courses</a>.</p> <h3>Encourages path to purchase</h3> <p>Unlike Twitter or Facebook, which both have messaging or communication at their core, Pinterest is built on strong commercial elements. 55% of Pinterest users visit the platform for the <a href="https://www.socialbakers.com/blog/detail/?id=2652&amp;url_key=6-pinterest-updates-marketers-need-to-know-from-2016&amp;category_url_key=marketing" target="_blank">sole purpose of finding or shopping for products</a>. In comparison to just 12% doing the same on Facebook and Instagram respectively, the opportunity to directly drive sales is unrivalled. </p> <p>With a Buy Button and Promoted Pins, brands now have the opportunity to expand visibility on the platform, serving native ads to relevant feeds and search results. </p> <h3>Incorporating AI</h3> <p>Further to this, Pinterest has recently announced that it is incorporating <a href="https://econsultancy.com/blog/67745-15-examples-of-artificial-intelligence-in-marketing/" target="_blank">artificial intelligence</a> into its platform, using deep learning to improve its Related Pins feature. </p> <p>By drawing on user data, it will be able to serve pins that are more related to the user's context and ongoing activity. </p> <p>This focus on <a href="https://econsultancy.com/blog/67070-why-personalisation-is-the-key-to-gaining-customer-loyalty/" target="_blank">personalisation</a> is already proving successful, with early testing resulting in <a href="https://engineering.pinterest.com/blog/applying-deep-learning-related-pins" target="_blank">5% more engagement</a> on Related Pins.</p> <h3>Introduction of video ads</h3> <p>Last year, Pinterest launched video advertising or ‘promoted video’, allowing brands to add another dimension to their presence on the platform. With a <a href="http://fortune.com/2016/08/04/pinterest-video-focus/" target="_blank">reported 60% increase</a> in the number of videos saved on the platform, it is clear that users crave this visual medium to further enhance their browsing and shopping experience.</p> <p>By pairing video ads with promoted pins, brands have even further opportunity to drive sales, with beauty brands in particular making use of tutorial videos and customer reviews.  </p> <h3>Expanding male audience</h3> <p>While fashion, beauty and weddings remain a few of Pinterest’s most popular categories – Pinterest is not actually dominated by women. In fact, male usage increased by 70% last year, and 40% of the site’s monthly active users are now made up of men.</p> <p>So what are they doing on the site? Funnily enough, exactly the same thing as women, which is curating and discovering content related to their hobbies and interests. </p> <p>Brands are also realising that the platform doesn't have to be so gender-divided. One example of this is Pinterest’s new microsite aimed at Super Bowl fans. Based on the idea that sports viewers will search the platform in advance of big events, looking for party planning ideas and other related content, it aims to target potential buyers, as well as increase the platform’s focus on personalisation.</p> <h3>Examples of brands on Pinterest</h3> <p>So, how exactly are brands utilising Pinterest? Here are a few of the best examples.</p> <h4>Etsy</h4> <p>Pinterest acts a bit like a shop window display for Etsy, carefully curating collections to highlight the very best of the marketplace.</p> <p>For shoppers, it provides inspiration and encourages purchases. On the other hand, it is a brilliant marketing and promotion tool for Etsy sellers.</p> <p><img src="https://assets.econsultancy.com/images/0008/3566/Etsy.JPG" alt="" width="760" height="414"></p> <h4>Lonely Planet</h4> <p>For travel brands, Pinterest can be a highly effective tool for targeting consumers in the 'planning' stage.</p> <p>Lonely Planet uses the platform to curate travel guides, drawing on content from bloggers and social influencers as well as its own site. This approach encourages a community-feel, meaning that users are inclined to contribute to group boards.</p> <p><img src="https://assets.econsultancy.com/images/0008/3567/Lonely_Planet.JPG" alt="" width="760" height="413"></p> <h4>L’Oreal</h4> <p>Last year, L'Oreal Paris launched a series of Promoted Pins and video ads to promote a new line of highlighters. Results show that these ads <a href="http://www.adweek.com/digital/pinterests-scroll-activated-video-ads-are-paying-lor-al-and-hersheys-170354/" target="_blank">increased purchase intent by 37.2%</a> and boosted brand awareness by 30.7%.</p> <p>By targeting users with relevant and well-timed content, L'Oreal is one of the best examples of how to use Pinterest for advertising purposes.</p> <p><img src="https://assets.econsultancy.com/images/0008/3568/L_oreal.JPG" alt="" width="760" height="366"></p> <h4>Tesco</h4> <p>Recipe ideas are a great way for supermarkets to drive sales of ingredients, as well as improve general brand awareness.</p> <p>Tesco does this particularly well, using its Pinterest presence to target food-related searches and curate healthy and family-orientated recipes.</p> <p><img src="https://assets.econsultancy.com/images/0008/3569/Tesco.JPG" alt="" width="760" height="417"></p> <h4>GQ</h4> <p>Apparently, more men use Pinterest than read GQ magazine or Sports Illustrated combined.</p> <p>This puts the platform's scale into perspective, as well as its ability to target men who are already interested in specific media publications.</p> <p>GQ is one magazine that capitalises on online interest, using Pinterest to curate helpful and fun content. It's not afraid to be a little off-the-wall, either. I spotted a particularly humorous board called "Leonardo DiCaprio's Year in Leisure", detailing everything fun that Leo did back in 2014.</p> <p><img src="https://assets.econsultancy.com/images/0008/3570/GQ.JPG" alt="" width="760" height="404"></p> <p><em><strong>Now read:</strong></em></p> <ul> <li><em><a href="https://econsultancy.com/blog/68763-can-snapchat-survive-instagram-s-aggressive-copycat-tactics/" target="_blank">Can Snapchat survive Instagram’s aggressive copycat tactics?</a></em></li> </ul> tag:econsultancy.com,2008:BlogPost/68766 2017-02-02T10:10:00+00:00 2017-02-02T10:10:00+00:00 I tried out the new Resident Evil AI chatbot. It was far from intelligent. Ben Davis <p>It's the work of Sony Pictures and artificial intelligence agency IV.AI, and <a href="http://www.prnewswire.com/news-releases/moviegoers-to-chat-with-the-first-ai-movie-character-to-make-their-social-media-debut-as-true-ai-300392110.html">the press release</a> promised me I could match wits against Resident Evil's Red Queen by messaging her on Facebook.</p> <p>The release tempts me as follows (the highlighting is mine):</p> <blockquote> <p>True to the character that fans know and love, the Red Queen's dismissiveness and attitude have been embedded in the <strong>personality profile</strong> of the experience using AI, so that the audience can have <strong>genuine interaction</strong> with the character.</p> </blockquote> <p>and</p> <blockquote> <p>This unique messenger experience <strong>utilizes automated AI with built-in natural language processing</strong> in multiple languages, across a variety of social media platforms enabling fans of the films to interact with the Red Queen character in real time.</p> </blockquote> <p>'SO COOL!' I thought.</p> <h3>But..</h3> <p>Here's a rundown of my experience with the Red Queen.</p> <p>I agreed to the terms and conditions (a non-clickable link was provided) and there she was, the Red Queen. She knew my name, and her quick-fire introduction with flickering GIFs did somewhat conjure the spirit of the franchise.</p> <p><img src="https://assets.econsultancy.com/images/0008/3597/chat_1.jpg" alt="res evil chatbot" width="470"></p> <p>As you can see from the first question of the game, below, the experience is very much one of multiple choice. Quite how this style of interaction is meant to elicit intelligence, I'm not sure.</p> <p>I got the first question right by guessing. Note how the Red Queen says 'I know it well', as if I had introduced the topic of the secret research facility and not her. Funny.</p> <p><img src="https://assets.econsultancy.com/images/0008/3594/res_chat_3_know_it_well.jpg" alt="res evil chatbot" width="470"></p> <p>Any natural language processing that goes into the game certainly doesn't involve the processing of my own words, as I'm not allowed to write any.</p> <p>The second question is multiple choice once again. Again I guess the right answer.</p> <p><img src="https://assets.econsultancy.com/images/0008/3593/res_chat_4_alice.jpg" alt="res evil chatbot" width="470"></p> <p>I got the next question wrong, failing to identify a hideous slimy creature which luckily you can't see in the screenshot below. I like how the Red Queen insulted me for my ignorance. 'Kinda pathetic' she said, and now I'm getting my own back.</p> <p>Perhaps the natural language processing goes into creating unique insults in real-time? It's hard to tell, the whole thing could just as easily function off a pre-prepared spreadsheet.</p> <p><img src="https://assets.econsultancy.com/images/0008/3590/res_5_insult.jpg" alt="res evil chatbot" width="470"></p> <p>I get the next question wrong, too, not aided by an image that failed to render, so I was guessing blind.</p> <p>The Red Queen was not surprised I made the wrong choice. She's a ray of sunshine.</p> <p><img src="https://assets.econsultancy.com/images/0008/3589/res_6_pic_error.jpg" alt="res evil chat bot" width="470"></p> <p>And with those incorrect answers my game is seemingly over. I am bombarded with three or four messages at the end - invitations to share, picture of high scorers, an embedded trailer for the movie.</p> <p>I'm also invited to come back and play in 24 hours.</p> <p><img src="https://assets.econsultancy.com/images/0008/3585/res_7_game_over.jpg" alt="res evil chat bot" width="470"> </p> <h3>Where is the AI?</h3> <p>So, a sort-of-fun game for Resident Evil fans, but the "world's first movie character powered by AI on social platforms"? It doesn't feel like that to me.</p> <p>It feels more like a multiple choice quiz with some cool GIFs and a bit of 'personality' (with inverted commas).</p> <p>I tried to play the game a second time and send the Red Queen a message, but she wasn't having any of it (see below). Maybe future games will have a bit more intelligence built in?</p> <p><img src="https://assets.econsultancy.com/images/0008/3615/wait.jpg" alt="res evil chatbot" width="615"></p> <h3>PR has a responsiblity not to overhype AI</h3> <p>I know it seems like I'm flaming this game, but it's a completely passable quiz and it's cool that it's available in a mobile-ready format within Messenger. I can imagine fans trying to top the leaderboard.</p> <p>But the press release goes a bit far in saying, "Using IV.AI's sophisticated artificial intelligence ingestion system, the online experience has been created using Resident Evil scripts, films and writers from Sony Pictures Entertainment. Alongside this, IV.AI's natural language processing algorithms and emotional analysis based machine learning transforms this data into a natural feeling, interactive artificial character online."</p> <p>I not sure what that means. Looking at IV.AI's website I would suppose that most of the Resident Evil game I have discovered so far uses <a href="http://iv.ai/our-tools/decision-trees">decision trees</a> - simply mapping out information to guide a bot experience. Perhaps in my next game (after waiting 24 hours) I will get the chance to type a message and the bot will use emotional analysis to gauge some kind of response.</p> <p>IV.AI's tech is no doubt really cool and something we should talk about (I'll have to do a follow-up with the agency), but whacking 'AI' in every press release is misleading. Soon the public will believe that C3PO is close to a reality when, in fact, natural language processing still has a long way to go yet.</p> <p>All sorts of different tech can be called AI-powered, but why can't we concentrate on what that actually means, what the benefits are, rather than using it as clickbait?</p> <p>Confusing people with terminology already happens <a href="https://econsultancy.com/blog/68687-my-nightmare-trying-to-understand-header-bidding/">in the world of display advertising</a>, we need to ensure it isn't propagated further afield.</p> <p><strong>More on AI:</strong></p> <ul> <li> <a href="https://econsultancy.com/blog/68722-how-ai-will-impact-marketing-and-the-customer-experience/">How AI will impact marketing and the customer experience</a> </li> <li><a href="https://econsultancy.com/blog/68466-could-ai-kill-off-the-conversion-optimisation-consultant/">Could AI kill off the conversion optimisation consultant </a></li> </ul>