Rasmussen College hosted a "Internet Marketing Evolution" event at the Technology and Design Center at the Brooklyn Park, MN college campus on January 27, 2011. Internet marketing industry executives from Google, JWT, and Market Motive spoke about the evolution of marketing, specific career paths in internet marketing, educational options for the Internet marketing degree student, and more.
Watch the three video segments below and learn about this booming career path. Be sure to also explore the Internet marketing questions and answers from the event.Videos also available for viewing on the Rasmussen College YouTube page, found here.
Michal Lorenc Transcript
Kathy Heldman: Promises to be an interesting informational hour and a half. We have Michal Lorenc, who is with Google, here to share with us his perspectives on the digital marketing world and its impact. We have Steve Wallace, from JWT, who will talk with us about the opportunities available in internet marketing and the exciting life of an internet marketer. And then we have Michael Stebbins, who is the CEO of Market Motive, an important partner of Rasmussen College, and he'll share information on Rasmussen's partnership with Market Motive as well as the skills and responsibilities in the exciting area of internet marketing and what individuals can do once they have a career in that exciting field.
And without further ado, I'd like to welcome Michal Lorenc from Google.
Michal Lorenc, Google: Well, hello everybody. I'll spend about 20 minutes just giving you a very high level overview of some of the changes in the online marketing space. Before we jump into this one, the very first question, how many of you read a paper today? I mean a physical paper. I can see a small room over here, but just think how many people read a paper. How many of us actually listen to the radio? How many of us checked e-mails or interacted with Internet via phone? How many of us right now are either tweeting or checking our Facebook or doing some other things? And what really amazes me is that many of those changes have happened really in the past 12 to 15 years.
When you look back, and I'm not sure if we have access to all of the slides, but when you compare the types of tools and products that you could access via online ten years ago versus right now ,there's a very big difference. Really there was only one device, your computer, that ten years ago had Internet access. Ten years ago, in order for you to generate content, you had to have IP rights. People weren't able to blog. People weren't able to post their photos, their videos. The content was very, very limited.
You fast forward ten years, and right now, basically all of the main media devices are somehow connected to the Internet. So clearly the computer, and it's no longer a desktop computer. It's a laptop computer, and it's a tablet and iPad, and it will continue to evole. It's the phone. the smart phones will very soon out pace what's called the dumb phones in terms of the buying and the utility. But there are some other devices as well. Radio, satellite radio, Pandora, some other radio stations that you can actually access on the Internet. You can listen to pretty much any radio station anywhere in the world. You're not limited anymore to a location. TV, many of you probably have no idea, but you can actually right now buy TV advertising via Google, and I'm talking about traditional 30 second spots. And you can do it using online access and actually send and receive lots of very, very wealthy data. Netflix, another example of getting some of the TV content via Internet.
What about books? Ironically today, a couple of hours ago, Amazon announced that in the first quarter of this year, the Kindle, the electronic edition, outsold paperbacks. For every 100 paperbacks that are sold on Amazon, there are 130 titles sold on Kindle, and it will continue to evolve so that the digital revolution is really changing everything. It's changing our careers.
Some of the slides, again, the presentation's called "The End of Digital Advertising." What I mean by that is that we're no longer a niche. I think it's very important to understand that digital is everything, and it's really becoming a major player rather than minor player. Some of the high level stats – 1.8 billion Internet users globally. Some people believe that actually there are over two billion people that access online and grow very, very fast. U.S. by the way is not a leader in online adoption or broadband adoption. There are other countries globally that have more frequent, more reliable broadband access.
Four billion searches happen every day. Every day there are four billion inquiries happening globally across all of the search engines. When you think, in essence, what is a search? It's, as a consumer, our inquiry, when we are interested in something, when we are looking for something, when we are determining what to buy, what to read, what to eat, where to go, how to entertain ourselves. Marketers really for the first time have opportunity to immediately interact with consumers at what we call the moment of relevance.
Facebook, right now 600 million users globally, and again Facebook is not the largest social network everywhere in the world. There are some markets where there are other social networks. So really, of the two billion internet users, I would say more than half of them already are active participants in social networking.
Video, YouTube, an amazing stat I'll share with you, I'll pause and then I'll say it again. For every minute that you watch YouTube videos, there are 35 hours of new content being uploaded. So for every minute, there are 35 hours, a day and a half. That means that every day, there's five and a half years of new content being added to YouTube. Now let's think about the implication of that. And it's no longer this semi-professional, I recorded somebody hitting himself or herself in the toe and then kind of laughing. I mean there's lots of that. Lot's of unprofessional content will continue to be put up on YouTube and shared because of the smart phones. Most of the phones right now have their cameras. Many of the cameras actually are in high definition. I just read today at the Sundance Festival the first full feature movie, a 90 minute movie that was shot exclusively on iPhone, will actually be shown in some of the theaters. A director in South Korea created a movie. So the technology allows us to embrace and access video to the levels that we never have before.
So again, as marketers, future marketers, people that are interested in interactive, think about opportunities. Think about the power but also think about challenges. How will that change everything that you do? Because the truth is there are no books, there are no textbooks written on search engine marketing or video marketing or social networking that are up to date because things change every day.
If we can switch to the next six slides; so as I mentioned, the online media, the digital is really growing up. There are three things that I like to talk about. The first one is that from the marketing perspective access to data allows us to think of marketing very much like finance. There is so much data we can be extremely accountable. We can find out exactly where our investment is going. We actually compare the Wall Street to Main Street or to Madison Avenue and Main Street, so that historically Wall Street, that's where you buy and sell stocks; very, very heavy analytical aspect. Madison Avenue historically was considered to be very creative, kind of the mad man who creates something very, very interesting.
Well, from the media buying perspective, right now those two become very, very similar. They both deal with fairly defined currency if you will. On Wall Street, you buys shares of companies. In media, you buy shares of media. It can be print, it can be TV spot, it can be banner, it can be a search keyword, but those are fairly defined. So we have similar units. You have big clearing houses on both of those sides. You have buyers and sellers. And right now, you have the power of the Internet and the technology that allows you to literally buy and sell online inventory in near real time. Some of the agencies actually working with Google are doing what's called ad exchange, where they're trading and buying and selling banners globally. Pretty soon the same people are thinking about actually buying futures of media and maybe derivatives. So again, that might be a very different area that doesn't really exist in the marketing advertising as it's being defined right now, but something that probably will come pretty soon.
All advertising is engaging. So again, the old school of advertising where the creative concept was something that nobody wanted to share. We created something, we kept it very close to our heart, then on Super Bowl Sunday or during the big launch, we showed our creative for the first time. Well right now, more and more ads are actually created with users. Oftentimes users are the ones that are starting to spread the word for us as marketers at a much more cost efficient and time efficient way.
There are some of the stats that show that 52% of the people that send Twitter updates already are talking about brands. There are some other stats that talk about the percentage of social media feeds that are actually related to brands. Some of them are negative. Some of them are positive. There are some examples. Southwest Airlines, for example, is very good at monitoring Twitter updates, and anytime somebody complains about Southwest, they reach out to them and they try to see how they can solve their problems. The best description of Twitter I've heard was that it's the world's largest suggestion box and you can either listen to people and try to react to it or can chose to ignore it.
And then finally, next couple of slides, combination of all of the two or three. So I'm sure everybody has seen or have read about the Old Spice videos. A great, great campaign. Now what's interesting, it didn't happen by accident. So actually there was some planning put together, and the client and the agency they thought about leveraging TV and Internet for different reasons. What's the very interesting part, there was actually a moment where the main character and the video crew locked themselves up in the warehouse and they were asking people to submit questions, either on Twitter or Facebook page or directly on the site, and the Old Spice guy was responding to those questions and creating equivalent of 30 seconds to 2 minute video advertisements, which then were being posted on YouTube, sometimes within literally 20, 25 minutes of receiving a question and then leveraging the pre-built social network for people to actually start sharing all of the information. There was a marriage proposal. So there was actually somebody that asked the Old Spice guy to propose to his girlfriend on his behalf, and she said yes. The question is did she say yes to the guy that wanted to propose or the guy that proposed? That campaign was the most talked about topic at the month of launch, and I just heard recently that actually Old Spice they tried some other athletes. They're coming back with the same character, the kind of original Old Spice guy will reappear during the Super Bowl Sunday again.
What about the last thing? The traditional models are obsolete. I talked about briefly, and unfortunately you can't see in detail those two very busy slides in the middle, many of the dots. But basically it describes at a very high level the landscape of traditional media buying where on one hand you have advertisers and it can be a big advertiser – Target, Best Buy, Ford, GM – or it can be somebody very small. On the other hand, you have the media or the content providers. In online, it can be anybody from America Online, Yahoo, Microsoft, Google, YouTube to some of the very small bloggers. Many of us actually that blog; if we have Facebook page, we provide real estate for Facebook to try to sell and monetize.
So we have advertisers and then you have publishers. In the middle are the intermediaries. And it used to be just a handful of agencies, and there was an agency of record and there were agencies that specialized in maybe a creative aspect, in strategy, in media. Sometimes they specialized in one type of media. There were media houses, and there was some delivery aspect. When I used to work at agency and I did both, actually I did print and TV, and I used to work at the cable company. I still remember times where you were creating ads on one of those big types, and my job as a trafficker was to put the types in the right order so the right ads were showing at the right time. When you're buying print advertising, you send your specs and then you had to wait and the publishers were sending you back the actual copy of the magazine as the proof that the ad had shown. Then oftentimes you had to wait six to eight weeks to get somehow verifiable data – how many copies of the magazine sold, how many people have seen the ad. But again, it wasn't in real time.
Well, right now what you're seeing is this plethora of technology providers that help agencies and publishers and advertisers be very effective and efficient in terms of buying media, analyzing media, comparing what works best, what doesn't. You can buy directly from publishers. You can buy remnant. You can do round of side, you can do ad exchange. You can target in an extremely sophisticated way. You can combine somebody's database with your database. We can do what we call remarketing or retargeting, where you provide a different type of messaging to a person that visited your website and purchased from you versus somebody that visited your website and didn't purchase from you and so on and so forth.
There are literally thousands of companies in this space. What we believe will happen, we as Google, but also I think as an industry, is that in 2011/2012, there will be a big consolidation. Yet there's lots of opportunity and pretty much all of those companies are hiring.
So you think you figure it out. You think you have it, but then there's mobile space. I didn't talk anything about mobile, but it's really changing everything. After you figure out mobile, then the iPad comes in and the tablet space. Twitter's only three years old, YouTube five years old, Facebook about six, Google 12 years old. Fast forward to 3, 5, 6, 12 years from now. There will be huge brands that everybody will know about that don't exist right now.
So as my last slide said the future is definitely digital. It's definitely bright. There are plenty of opportunities. Happy to share my LinkedIn and Twitter information, so please follow me. I try to update and share lots of industry stats and happy to hold off and then answer any questions during Q&A. Thank you.
Steve Wallace Transcript
Steve Wallace, JWT: I'm Steve Wallace. I'm the Group Strategy Director with JWT in Minneapolis, and it might make sense to just tell you a little bit about what that title means. JWT is one of the largest ad agencies in the world. Very, very old. Our office here is all digital. I'm the Group Strategy Director. I have account planners who are really audience researchers. I have UX and IA strategists who . . .
Participant: What are UX and IA?
Steve Wallace, JWT: User Experience and Information Architecture, thank you. These are the engineers who actually spec out and map out experiences online. I have digital strategists, and then I have metrics and analytics people that work with my group. I do a lot of hiring and really a lot of role definition. As you heard from Michael, the future is bright. Well, it's so bright that we're starting to create jobs for people that we don't fully understand yet. That's how bright it really.
Digital and interactive has always been hot. These are two quotes that I remember from the past year. I talked with a recruiter in Minneapolis, and she said that during this recession digital grew. It did not shrink. A lot of traditional media did shrink, but digital actually grew with this. I met with the Managing Director from Goodby Silverstein – it's a very popular ad agency in San Francisco – and he said if you really want to make money, make sure that you have digital somewhere in your title because that's what everybody is looking for.
To close that out, it's the shallow end of the pool. If you are doing any of these roles either for a consultancy, an agency, or a company, what I mean by the shallow end of the pool, there's a lot of people there or there's a lot of demand for people there, but there aren't a lot of people to do it all. It's a very lucrative, marketable place to be.
I'm not going to lie to you. You all read the newspaper. With 10% unemployment, it's very rough out there today. Industries are contracting and others are growing. You hear that and it's easy to get down about that, but that's not impacting this particular job market. If we can go on to the next slide, you'll notice that this has been happening forever. Where that red circle is, that's in December of '88. I graduated from college in 1990, and there was a recession after the first Gulf War and that one was going to be the end of the world. Nobody was ever going to have a job again after that one. Well, ten years later, the dot com bust came and that happened again. This is a natural cycle, and it actually feeds these opportunities. So don't get gloomy by the news that you hear. If you've decided to work in this space, it really is a bright place to work.
For me, and this has been 20 years, one day I woke up and I had a title that sounds good. I had a lot of people that were working for me, and it's kind of a process how that happened. Some of it's by design, some of it's by accident, but it's 20 years in the making and I don't even know where I'm going to be in the next 20 years. It starts, really, as soon as you walk out of this school with that degree. If I can give you one piece of advice right now, really focus on where you want to be in five to ten years. Get an idea of what that role is you want to be. Get a path. Chart a path. Get experience. Just start getting experience somewhere and realize it's going to change at some point. It's not going to end up being what you think it is today.
What are the options that are out there? For digital, which is a part of every industry right now, you can take a look at the private sector and the corporate world. There are great pros to that, huge number of jobs, huge number of opportunities. They typically will pay a little bit less, but digital interactive is different because they need more bodies. Job security for the most part is going to be a little bit more secure in a company – a 3M, a Honeywell, a General Mills. You're going to have a path for growth. It can be very hard to move sometimes. Why? Because they will slap on what they call the golden handcuffs. They'll make it very easy to stay and that's not a negative thing. It's just realizing that that may be your career path.
Better chance for depth of experience, to get into a role and actually absorb and understand SEO or social media or user experience and information architecture or metrics and analytics, because that will typically be your focus. Changing jobs could be difficult though, on the flip side of that, because you're considered narrow. This is all you do and we want somebody with a breadth of experience.
So there are pros and cons to all of them. The biggest though, I would say, is you can typically have a life. Companies, yes, you do work very hard, but when you work in a corporate environment with a defined role, you can typically have a life that you might not find in other areas. Politics can be a lot worse because people don't move very often, but politics are everywhere, so we're just going to have to get used to that.
Did I miss one before this? I might have. There was one before I got to this. The other realm, we have the private sector, but there's consulting and there's agency work. There are fantastic things in the . . . maybe I lost that slide. I apologize. I work in the agency world. It could be J. Walter Thompson, BBDO, any of a number of others. There are consulting companies like Accenture, McKinsey. What these companies do is they work with companies that don't have the horsepower to get something done. That's why you hire an agency or you hire a consulting company.
It's very stimulating. Every day is completely different than the day before. Every six months you typically get to change jobs. It's a very exciting place to be and the pay is very good. You will work like a dog in a lot of those different areas. They're very competitive. You're only as good as what your last billable job was. I would encourage you, when you look at the consulting world, which is very big and very lucrative particularly for digital, just know that there's great opportunity for experience and growth, but it does come with a cost.
Then there are others. Government. There are fantastic jobs in government. They're doing very interesting things with the Internet and technology. You can be at the forefront of policy making. You're going to have lower pay that rarely increases, but there are opportunities there. So take a look at government, and when I say government, local government as well.
Education. I have three friends who I graduated from high school with and they chose to go into education and they have wonderful lives. They are teaching. One is teaching computer science. Another one is now teaching marketing at this time. It is a wonderful, wonderful life. It's almost impossible to move. Once you get into it and you become an educator, it's hard, personally, to move and change from that, and it's also hard to transition to a company sometimes because they're a little leery that you might go back to education too quickly. But it is a wonderful life.
International is about the best experience you can have and people pay attention to it. They like that diversity, that depth. Going to work in a foreign country to help with some technical or Internet initiative, that impresses me when I see something like that on a resume. That takes guts. That takes courage. You're going to be away from your family. Highly recommended if that opportunity comes up.
Lastly, working for yourself on contracting. In the digital space, there are a lot of people who pick this route because companies may not have a long-term SEO need. They may not have a long-term metrics need or information architecture or metrics analytics, whatever. They may need somebody for a period of time – three to six weeks, maybe six months. So there's a huge, huge market out there for people with specialized skills to get out there and work with these different companies.
So what I would say as a piece of advice with this, if you can, get experience in a vertical market. What I mean by that, pick something. I'm going to do digital in health care. I'm going to digital in financial services or consumer packaged goods or manufacturing, whatever it might be. But get horizontal experience within that. Understand what everybody does in that role, from the SEO specialist to the SEM to the project managers to the strategists. Try to become an expert in an industry and in multiple roles. You're highly marketable when you can do something like that. I hope you'll understand what I'll mean by that.
Now, a couple of the different roles and jobs that you might have, getting in to what a day in the life of an internet marketer might look like. I would typically say in digital, it really comes into two camps. There are the thinkers and then there are the doers. Thinkers are people who see possibility. Thinkers are people who identify problems. They love the challenge of that. They love to solve problems and look for it, and they also realize that their job is never done. When they go home at the end of the day, they're going to still be thinking about it and they're coming in the next day.
Doers are people who actually can take that and understand, aha, there's a way to get this accomplished, because in digital, at some point it, really does come down to building software. I don't care what it is you're doing, you're either building or manipulating software. So you need project managers, you need coders, all of these people that are going to help this get implemented. I am a thinker and I have project managers who are doers and they're kind of mutually exclusive. I'm a mess when it comes to actually implementing something. You remember that old commercial? I don't actually do the work. I just tell you how to do the work. You've got to find somebody. That's me.
They're both critical in any environment. If you take pride in a job well done, if you want to go home at the end of the day and if you like discipline and process, then you probably want to be a doer. What does that translate into what specific roles might be? I just picked two. I picked a day in the life of an agency strategist, and this is my calendar from Monday. 8:00 in the morning, I got in and I had an allocations meeting. If you're in a consulting environment and you have people working for you, hours are billable, so the first thing you have to do is you've got to figure out who's working on what, who's light on hours, what do we need, and who is the best fit for a specific project. You have a large group of people and a lot of accounts and activity going on. This has to be done very quickly, and it has to be done right, because the rest of the week counts on that.
I am the Head of Strategy for our Toronto office, so at 8:30 on Monday mornings, I have a conference call with them. There's a lot of interesting things that we talk about. Canada is obviously a foreign country. You don't realize how foreign it is. When you live in Minnesota, you think it's your back yard. It's a very different place. 9:00 to 10:00, I have my one-on-ones, usually 10 to 15 minutes with every person I work with to understand what is it that you're working on, what do you need help with, what do you need support with, and then I actually follow up with that.
At 11:00 on this particular Monday, I had stakeholder interviews with a group of clients from United Health Group. What are stakeholder interviews? Any time you go into an organization for a digital initiative, you're trying to find out who makes decisions here, who can get things done and you're trying to get them aligned, you're trying