Inside Digital Intelligence | Data and statistics | Trends | Social networking | Advertising | Ecommerce | Country focus: Spain
Mobile | Broadcasting | Sector focus: pharmaceutical marketing | Companies
Digital Intelligence
Your monthly review of new research and trends in digital marketing

October 2009

---------------------------------------------------------------------
Digital Strategy Consulting


As brands and retailers gear up for Christmas, this month we've tracked a steep rise in website development, relationship marketing, campaign planning and mobile marketing. The 2010 digital strategy starts now because customers acquired before Christmas will stick with retailers into the January sales and far beyond.

To help brands and their agencies get more from their budgets, The Digital Training Academy has opened up a couple of its online classrooms for the first time. As a client or partner, you can now access additional resources in Social Media, Mobile and Relationship Marketing.

Marketing spend on the high street might be flat, but the switch to the web is clear - and it's also coming with the call for tighter ROI and strong analytics. P&G are among many brands pushing for greater accountability in web advertising, and the growth of online behavioural advertising seems unstoppable. In this month's interview the mastermind marketing Microsoft's Bing search tool takes us behind the scenes on a new way to search and the country focus is on Spain.

If you're a client of the Digital Strategy group and your colleagues would like our research, simply forward this link and we'll do the rest: http://www.digitalstrategyconsulting.com/digitalbriefings.

Best from all @ Digital


Danny Meadows-Klue
Founder and Chief Executive
Digital Strategy Consulting

 

Data and statistics
www.DigitalStrategyConsulting.com/intelligence

Here are the latest stats and figures from the past month.

Largest UK Internet sites
UK audience reach for top 10 parent companies, August 2009

Digital Strategy data - Largest UK Internet sites. UK audience reach for top 10 parent companies, August 2009

Internet Audience: UK
Time per person for top 10 parent companies, UK August 2009

Digital Strategy data - Internet Audience: UK. Time per person for top 10 parent companies, UK August 2009

Consumer internet behaviour: UK
Monthly internet use: key indicators for UK web users, August 2009

Digital Strategy data - Consumer internet behaviour: UK. Monthly internet use: key indicators for UK web users, August 2009

top
Trends
www.DigitalStrategyConsulting.com/intelligence

Internet 'now dominated by just 30 companies'

The Internet has become dominated by a small number of giant firms, with Google now the largest source of web traffic, according to a new report. Keep reading...
14/10/2009

Just 11% of Brits pay for online content
Only one in ten UK web users now pay for any form on web content, as consumers cut back on their media spending by seeking free alternatives online during the recession, according to a new survey. Keep reading...
13/10/2009

20,000 hacked email passwords published
More than 20,000 email passwords, the majority from Microsoft's Hotmail, have been hacked and posted online, according to a report. Technology blog neowin.net claimed an anonymous user had posted Windows Live Hotmail account details on pastebin.com pastebin.com, a site used by developers to share code, on 1 October. Keep reading...
06/10/2009

Brits spend 30 hours a week online
Brits are clocking up an astonishing 30 hours a week online, with the popularity of social media fuelling the growth, according to new research. The study, from uSwitch, found that on a typical working day the average person now spends 5 hours online - 2 hours for professional or work purposes and 3 hours for pleasure and leisure. Keep reading...
02/10/2009

70% of digital publishers plan to charge for online access
Almost three-quarters of digital publishers (70%) intend to charge for online content, with most preferring a flat-rate subscription model ahead of micro-payments, according to a new survey. Keep reading...
01/10/2009

top
Social networking
www.digitaltrainingacademy.com/socialmedia

Top social networking sites: UK

Facebook tops the social network list with half of all visits in UK, October 2009

Digital Strategy data - Top social networking sites: UK. Facebook tops the social network list with half of all visits in UK, October 2009

Top 10 websites ranked by page view: UK.
Facebook accounts for 1 in every 7 UK page views during September 2009

Digital Strategy data - Top 10 websites ranked by page view: UK. Facebook accounts for 1 in every 7 UK page views during September 2009

Top 10 search terms: UK
Search terms ranked by clicks for the 4 weeks ending 17th October 2009

Digital Strategy data - Top 10 search terms: UK. Search terms ranked by clicks for the 4 weeks ending 17th October 2009

Google and Bing seal live search deals with Twitter
Google and Bing have inked a deal with Twitter to add real-time updates from the micro-blogging sites users to its search results. The deal will mean searchers on Google and Bing users will have the option to see results based on the most recent and popular trends on Twitter. Keep reading...
22/10/2009

Twitter mulls creation of sales force
Twitter is considering hiring a sales force to make money from advertising, as the micro-blogging service notches up its 5 billionth tweet. Speaking at the Web 2.0 Summit in San Francisco, Twitter chief executive Evan Williams said there are a large number of companies interested in working with Twitter to promote brands. "We are optimistic about revenue," Williams said. "I can't tell you want the mode is." Keep reading...
22/10/2009

Facebook bigger than Google in terms of page views
Facebook accounts for 1 in every 7 pages viewed by UK Internet users, and is now more than twice as big as Google in terms of page views, according to new research. The findings, from Experian Hitwise, reveals Facebook accounted for 14.5% of all UK Internet page views during September 2009. Keep reading...
16/10/2009

Viadeo buys rival business social network UNYK
European business social network Viadeo has acquired Canadian-based UNYK for an undisclosed sum. The deal will give Viadeo access to UNYK's membership of 16 million users, which is growing at a rate of 600,000 new members each month, a smart address book product and contact synchronization technology. Keep reading...
14/10/2009

top
Advertising
www.DigitalStrategyConsulting.com/intelligence

Global adspend forecast to grow in 2010

Global ad expenditure in 2009 will fall further than originally anticipated, according to a new report. Zenith Optimedia forecasts that expenditure would drop 9.9 per cent during the year, compared to its earlier prediction of 8.5 per cent. Keep reading...
20/10/2009

P&G ditches ad clicks for 'engagement' payment model
Procter & Gamble is to ditch traditional CRM and CTR ad payment models in favour of a new 'cost-per-engagement' scheme. The move will see publishers that run ads for the FMCG giant's brands, paid depending on specific metrics used to measure their engagement with the advert. Keep reading...
19/10/2009

New ad targeting tool for online gamers
comScore has launched GamePlan, an audience targeting tool for gaming publishers and developers. The tool combines comScore's broadly used consumer digital behaviour with a comprehensive longitudinal measurement of consumer attitudes, behaviours and lifestyle attributes. Keep reading...
19/10/2009

Which ad formats work best for rich media?
When it comes to rich media ads, bigger isn't always better, according to new research looking into the most effective display ad formats. The study, conducted by display ad provider Eyeblaster, found that the choice of right video, ad format, flash features and expansion played a far more significant role in engaging the consumer than size. Keep reading...
14/10/2009

Online ad spend up for first time since 2008 - Bellwether
UK ad spend may be bottoming out, with spending on traditional media advertising falling by the smallest amount for the past six quarters and online ad spend showing its first increase since 2008, according to a new survey. The IPA/BDO Bellwether survey for the third quarter of 2009 indicates that British companies' spending on advertising fell for the eighth quarter in succession in the third quarter, but the reduction in budgets was the smallest seen for a year. Keep reading...
14/10/2009

10% of US display ads 'are locally targeted'
Approximately 10% of online display ads in the US are locally targeted, according to a new comScore study of four American cities. The study is based on a new capability from comScore of identifying local advertisers in a particular market in this case four major U.S. markets: Atlanta, Chicago, San Francisco and Washington DC. The study found that between 9 and 11 percent of display ads in the four markets among all publisher sites were locally targeted. Keep reading...
13/10/2009

UK consumers get universal opt out for targeted ads
The Internet Advertising Bureau (IAB) has launched a site dedicated to providing consumers with clear and easy-to-understand information about online behavioural advertising including a one-stop 'opt out' page. The site aims to educate consumers about online ads based on an individual user's surfing habits, such as the controversial technology behind Phorm. Keep reading...
12/10/2009

Global adspend to grow just 1% in 2010 - Carat
Media agency Carat expects the global ad industry to not recover until 2011 and has cut its forecasts for global ad spend in 2009. Carat, which is part of Aegis, now expects worldwide ad spend to fall 9.8% this year, down from its previous prediction of 5.8% in March. Keep reading...
06/10/2009

top
Ecommerce and online retailing
www.DigitalStrategyConsulting.com/intelligence

Online retail spending growth 'slowest since 2000'

Online spending in Britain rose at its slowest annual pace in September since records began in 2000, hit by promotions from store groups, warm weather and disruption to postal services. The IMRG Capgemini e-Retail sales index showed online sales rose a lower-than-normal 1.9 percent month-on-month in September to 3.9 billion pounds and were up 7.6 percent on the year. Keep reading...
22/10/2009

Postal strike 'could discourage online shoppers'
An IMRG survey of its retail members has revealed that 77% of them believe that strike action by the CWU may discourage consumers from shopping online in the run up to Christmas. Keep reading...
20/10/2009

OFT to probe misleading online pricing
The Office of Fair Trading is to conduct two separate investigations into online pricing practices. The UK trade watchdog will be examining price comparison websites, while a separate study will look into a series of activities like "drip pricing", where charges and extras are added during the purchase. Keep reading...
15/10/2009

top
Country focus: Spain
www.DigitalStrategyConsulting.com/intelligence

Largest internet sites: Spain

Spanish audience reach for top 10 parent companies, August 2009

Digital Strategy data - Largest internet sites: Spain. Spanish audience reach for top 10 parent companies, August 2009

Internet audience: Spain
Time per person for top 10 parent companies, Spain August 2009

Digital Strategy data - Internet audience: Spain. Time per person for top 10 parent companies, Spain August 2009

Consumer internet behaviour: Spain
Monthly internet use: key indicators for Spanish web users, August 2009

Digital Strategy data - Consumer internet behaviour: Spain. Monthly internet use: key indicatiors for Spanish web users, August 2009

top

Mobile
www.DigitalTrainingAcademy.com/mobilemarketing


Google debuts AdSense for Smartphones

Google has upgraded its AdSense contextual ad scheme to support high end smartphones, such as iPhones and Blackberrys. The move means Publishers using AdSense can now show up much larger ads on their mobile sites to visitors using smartphones. Keep reading...
09/10/2009

Google's Android 'second largest OS for SmartPhones by 2012'
Google Android will be the second most used mobile operating system in the world by 2012, according to a new report. Research group Gartner predicts that Android will overtake Research in Motion's BlackBerry OS, the iPhone OS and Windows Mobile to capture 14.5% of the smartphone market in three years. Keep reading...
09/10/2009

Vodafone joins O2 and Orange for iPhone rights
Vodafone is to go head-to-head with O2 and Orange to win iPhone customers after becoming the third mobile company to clinch a deal to sell the device in the UK. The announcement followed yesterday's news that Apple had broken off its exclusive contract with O2 to allow rival companies to also sell the smartphone. Keep reading...
01/10/2009

Flash video set for mobiles, iPhone users miss out
Adobe is to make its popular Flash video software available for most smartphones by 2010, with the significant exception of the iPhone. Flash is the most commonly used video technology on the web, delivering around 75% of all online videos. Keep reading...
06/10/2009

top

Broadcasting
www.DigitalStrategyConsulting.com/intelligence


Top entertainment sites: UK

YouTube tops the entertainment list of all visits in UK, October 2009

Digital Strategy data - Top entertainment sites: UK. YouTube tops the entertainment list of all visits in UK, October 2009

YouTube's C4 deal paving way for ITV?
YouTube has secured a deal with channel four to stream to broadcaster's programming in full length for free. The deal could pave way for a similar deal under negotiation between the video sharing site and ITV. Set to launch in the coming months, the partnership will run for an initial term of at least three years and the two parties will share advertising revenues on an agreed basis. Keep reading...
16/10/2009

YouTube to stream full C4 shows (and ads)?
YouTube and Channel 4 are reportedly about to strike a deal to stream the broadcaster's content and advertising in full on the video sharing site. The Telegraph reports that the Google-owned site and Channel 4 have been in talks for at least the last six months and a contract is expected to be signed imminently. Keep reading...
13/10/2009

250,000 fans pay to watch England's web-only match
The first England international to be available only on the internet attracted around 250,000 subscribers, with a total estimated viewing figure of almost 500,000, organisers said on Sunday. Keep reading...
12/10/2009

Microsoft takes on iPhone with mobile app store
Microsoft has unveiled its new software for mobile phones, promising more than 30 new devices would be on the market in more than 20 countries by the end of the year. Phones using Microsoft's new Windows Mobile 6.5 software, which can play music and open Word and Excel documents, are set to compete with Apple's iPhones and Research in Motion Ltd's BlackBerry devices. Keep reading...
08/10/2009

Hulu strikes multi-million dollar ad deal with MediaVest
US online video service Hulu has won several million dollars in ad spend from media buying agency MediaVest. The deal will see the Publicis Groupe agency run ads on Hulu from at least six of its high-profile clients, targeted to demographic clusters. Keep reading...
07/10/2009

England World Cup qualifier to become Web exclusive
This weekend's England football international will be broadcast exclusively live over the internet for the first time. Media group Perform is to stream Saturday's away clash against Ukraine on a pay-per-view basis, charging viewers from £4.99 to watch the game live on their PCs or laptops. Keep reading...
05/10/2009

BBC websites to get more social
The BBC is planning a radical re-launch of its website portfolio to include more social media features, according to a news report. BBC sources have told MediaGuardian that the new-look site will launch by March next year. Keep reading...
01/10/2009

Sky Player to run targeted TV commercials
Sky is to launch its new AdSmart service on its Sky Player early next year, giving TV advertisers the chance to target commercials at consumers based on their location and opt-in preferences. Keep reading...
01/10/2009

top

Sector focus: pharmaceutical marketing
www.DigitalStrategyConsulting.com/pharmaceutical_marketing


Strong web presence boosts US pharma brands

The Internet is playing an increasingly significant role in boosting brand awareness for pharmaceutical brands, a new study has found. Keep reading...
16/10/2009

UK pharma sector celebrates first digital awards
Manchester agency Creative Lynx scooped the top three gongs at the first ever UK pharma digital media awards ceremony, held this month. Keep reading...
06/10/2009

New regulations spark dramatic drop in pharma search ads
Sponsored links from pharmaceutical brands have fallen by more then 50% in the US, following new industry regulations on misleading claims by drug companies in search ads. The findings, from comScore, indicate that sponsored link exposures dropped 59 percent from 10.5 million during the week ending March 29 to 4.3 million during the week ending April 5, when the new regulations were enforced. Keep reading...
05/10/2009

top
Companies making the news
www.DigitalStrategyConsulting.com/intelligence

Hulu to charge viewers fees?

Media giant News Corporation has said its popular online video site Hulu will start charging fees at some point. US-based Hulu has struggled to make money despite its popularity as an ad-supported site. Keep reading...
26/10/2009

NewsNow issues open letter to newspapers after threats
Online news aggregator Newsnow.co.uk has been threatened with legal action by UK newspapers if it does not introduce new controls on how it links to their articles. Newsnow automatically posts news links from websites across the world on its site and arranges them by subject matter. Keep reading...
26/10/2009

PayPal opens up platform to developers
PayPal is opening up its online payment platform to developers with a new API tool. The move will make it easier for people to carry out purchases on a variety of devices, such as mobile phones, and via channels such as social networking sites. Keep reading...
26/10/2009

Kindle helps Amazon profit beat expectations
Amazon has reported profits that have outstripped analyst forecasts, as the online retailer has seen strong demand for its new e-book reader Kindle. Third-quarter net income increased 69% to $199 million from a year earlier, the company said today in a statement. Keep reading...
26/10/2009

Microsoft unveils Vista successor Windows 7
Microsoft has officially launched Windows 7, the successor to Windows Vista. The new version of Microsoft's market-leading web browser now supports multi-touch technology. Keep reading...
23/10/2009

YouTube rival Dailymotion gets funding boost
Video sharing site Dailymotion has raised EU17m in funding from private funding, as the video sharing site looks to win marketshare from YouTube. Keep reading...
22/10/2009

The end of Blu-ray? Disney's online storage scheme aims to replace DVDs
Disney is working on an online storage service that would give users access to its movies and TV shows online, offering an alternative to DVDs and Blu-rays. The Wall Street Journal reports that the service, called Keychest, would give users access to media via a wide variety of platforms and devices, including PCs and mobiles. Keep reading...
22/10/2009

The Search Works rebrands as TD Search
Digital marketing firm TradeDoubler is rebranding The Search Works as TD Search in the UK and France, as it looks towards integrating its online operations across Europe. The change, effective immediately, brings the search marketing agency in line with the rest of TradeDoubler's TD Search businesses across Europe. Keep reading...
21/10/2009

Google rolls out first major UK ad campaign
Google is to launch its "Gone Google" ad campaign globally, promoting its services to audiences in London, Paris, Tokyo, Sydney, and Singapore. Initially launched in the US in August, the campaign promotes the search giant's growing enterprise business. Keep reading...
20/10/2009

Google posts record profits, declares 'recession over'
Google has posted record quarterly profits of £1bn, up 27% leap on the same period last year, boosted by a rise in online shopping searches. Google's net revenue in the third quarter rose 8.5% from a year earlier to $4.38bn, beating the $4.24bn expected by analysts. Keep reading...
19/10/2009

Google takes on Amazon with e-books store
Google is launching a new online service for booksellers next year which will allow readers to buy books in electronic format, to read on phones, PCs and e-book devices. The new Google Editions service will put it in competition with Amazon's Kindle reader. Keep reading...
16/10/2009

Bloomberg buys BusinessWeek
Bloomberg has bought the website and print publication BusinessWeek from textbook publisher McGraw-Hill for an undisclosed sum. Bloomberg said the acquisition will strengthen the newswire's online, television and mobile products. Keep reading...
15/10/2009

Online video site Joost shuts UK offices
Joost has reportedly put its UK operations into liquidation, as the online video service failed to lure web users away from rivals such as market leader YouTube. The FT reports that Joost UK was put into liquidation earlier this month. Keep reading...
15/10/2009

First Direct campaign reveals uncensored user comments
UK bank First Direct is to showcase all consumer opinions via a new microsite that aggregates live comments from eight million social media sites. The site is the first time that a bank has made such a move, and aims to restore trust in the banking sector as open and transparent, following the credit crunch. Keep reading...
15/10/2009

Spotify rival Deezer gets €6.5m funding boost
Music search engine Deezer has has raised 6.5 million Euros in a second round of funding. Based in Paris, Deezer has 10 million users in Europe, including 6 million in France. Keep reading...
13/10/2009

YouTube gets 1 billion views a day
YouTube now gets attracts more that one billion video views a day worldwide, as the video-sharing site marks the third anniversary of its acquisition by Google. "I'm proud to say that we have been serving well over a billion views a day on YouTube," YouTube chief executive Chad Hurley said in a blog post. Keep reading...
12/10/2009

Amazon's Kindle goes international
Amazon plans to start selling its Kindle reader in over 100 countries and territories on October 19, and the company has already started booking pre-orders for the device on its site. Keep reading...
09/10/2009

Ask.com debuts coupon search tool
Ask has launched a new service that scours the internet for online coupons, as the IAC-owned search engine looks to capitalise on the growing trend for online discounts. Keep reading...
08/10/2009

Napster takes on Spotify with £5 streaming and download service
Napster has launched a new subscription service that gives users 5 downloads of their choice and letting them stream the music stores catalogue of eight million songs via PCs and preview tracks on 'just about any web-enabled mobile phone'. Keep reading...
08/10/2009

Amazon ditches Royal Mail contract for rival
Amazon has reportedly cancelled its contract for heavier parcels with Royal Mail after continued strike action threatens the online retailer's pre-Christmas deliveries. The Guardian reports that Amazon has cancelled its long-term contract for parcels over 500 grams and will instead use rival delivery service, Home Delivery Network. Keep reading...
08/10/2009

Google takes on directories with local ad listings
Google is launching a new local ad listings service, letting businesses target nearby customers through Google Search and Maps. Keep reading...
07/10/2009

Tesco web sales hit £1bn
Tesco has seen its online sales up by 11% to £1bn during the first half of the year, as the supermarket giant plans to launch a new online clothing range. Profits at Tesco's online retail business, which includes grocery sales and Tesco Direct, rose 21% to £58m. Keep reading...
07/10/2009

Google adds shopping and near-live search options
Google has added new features to its Search Options, including the ability to search for results posted in the last hour, and focus on shopping sites. Keep reading...
05/10/2009

London Evening Standard to become free newspaper
The London Evening Standard, which is owned by the Russian businessman Alexander Lebedev is to become a free newspaper from October 12. Keep reading...
05/10/2009

Spotify lets PC users download music for first time
Music streaming service Spotify is to allow its Premium subscribers to download music to their PCs for the first time. The new service will only be available to premium subscribers, who pay £10 per month for their music. Keep reading...
02/10/2009

Google begins testing live editing tool Wave
Google has invited a limited number of people to help it test its new social editing tool, Google Wave. The tool combines email, instant messaging and wiki-style live editing and went on public trial yesterday, with its creators describing it as "how e-mail would look if it were invented today". Keep reading...
01/10/2009

Reuters pulls plug on financial chatroom
Reuters has dropped its Americas Dealzone chatroom on Reuters Messaging, citing a lack of demand. The company said the service didn't attract enough customers to sign up for the trial. Keep reading...
01/10/2009

Murdoch creates digital research division
News International is setting up a new strategy and product development unit, that will look into developing new digital products. Keep reading...
01/10/2009

top
Forward to a friend Forward to a friend
Share our research with your colleagues, forward this on today.
-------------------------------------

Sign up Sign up
Reading a forwarded copy? Get the research and news directly. Apply for a guest account.
-------------------------------------

Sign up Update your details
Let us know what you're interested in. Update your details.
Digital Training Academy
Boost your team's results with marketing coaching training from our 40 intensive one-day Digital Training Academies.

Digital Training Academy

Digital Training Academy Contact our academy managers

Digital events
View NetNights: Mobile Rocks! 11/11/09
View Digital Directors' Dinner: Obama's digital guru
20/11/09
View Netimperative Sector Seminar: Online publishing - boosting revenue and readers 24/11/09
View NetNights: Usability - design for user experience 25/11/09
View Digital Directors' Dinner: Facebook - inside the world's white-hot social media brand
02/12/09
With our events company Netimperative.com

Accelerating digital brands
Insight Reports
We've been helping accelerate digital brands since 2000. How can our team help accelerate your business online?
Join next conference call E-mail our team

Digital Insight Reports
Insight Reports
In times of huge economic and technical change, knowledge becomes your critical success factor. Digital Insight Reports interpret the digital landscape to show you what matters.
Previous publications
Preview Report Profiling the world's leading digital ad economy
Preview Report Building sustainable online audiences
Preview Report The digital skills crisis, told in their own words
Preview Report Getting to grips with online media planning
Preview Report A blog is for life and not just for Christmas

Digital Thought Leaders
Cedric Chambaz

Cedric Chambaz

For many firms online marketing only means search. Retailers live and die by their position in the organic search rankings, and fight ever smarter battles in the bid wars for pay-per-click position. But now there's a new kid on the block. We talked to Bing's London marketing manager Cedric Chambaz.

About
Digital Intelligence is a research briefing developed and published by Digital Strategy Consulting Ltd. in association with our strategic partners. Every month there's a new edition and you can also read them online.
 
View Our privacy policy
View About your data

On the Digital site
How else can we help you?
View Digital Training Academy
View Digital Jargon Buster
View Press: latest news
View Digital Intelligence briefings
View Digital Insight Reports
View Thought Leader interviews
View Digital Book Club reviews
View Meeting up? Our diary dates
View Example services
View Blog
View Joining our team

Search Digital's sites

Access problems?
If you have problems reading our e-mail please tell us. If it gets flagged as spam because it's a new address then simply add this address to your 'contacts' (though carry on using my personal address the rest of the time).

Our e-mail partner

Visit RedEye

E-mail powered by
RedEye E-mail Marketing.

Forward to a friend Forward to a friend
Share our research with your colleagues, forward this on today.
-------------------------------------

Sign up Sign up
Reading a forwarded copy? Get the research and news directly. Apply for a guest account.
-------------------------------------

Sign up Update your details
Let us know what you're interested in. Update your details.
 
 

Digital Strategy Consulting Limited: Copyright 2000-2009, all rights reserved.