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Digital Intelligence
Your monthly review of new research and trends in digital marketing

December 2009

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Digital Strategy Consulting


Our final news round-up of the year saw more 2010 trends take centre-stage. Google's search getting more mobile and personal (long awaited, and sure to shift the market), and the paid for consumer content movement continued to push forwards (sure to trundle forwards, though with far less likelihood of success).

Government policy made headlines with a storm around the Digital Economy Bill and the 50p broadband tax that got the green light in the UK's pre-budget report. Linked to this is the way regulators will play a much bigger role in 2010 - the first spotlight will be on the MS/Yahoo tie-up and the second on privacy. Facebook's lead on safety (giving kids a special "panic" button) is a shrewd move in delivering what's needed, and here in the UK we've been helping the Information Commissioner's Office develop the thinking around what's needed for the hundreds of thousands of small firms now routinely using personal data.

You'll find lots more ideas to fuel your strategy in the news, research and data we've written up below. Click on the links for 50 full stories, forward around to colleagues, and let me know if you need more of the background as you develop your own 2010 digital strategy.

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
Sites ranked by visits for the week ending 5th December 2009

Digital Strategy - Largest UK internet sites. Sites ranked by visits for the week ending 5th December 2009

Top 10 overall search terms: UK
Search terms ranked by clicks for the weeks ending 5th December 2009

Digital Strategy - Top 10 overall search terms: UK. Search terms ranked by clicks for the weeks ending 5th December 2009

Worldwide internet audience - Time spent
Time per person for top 10 parent companies, Worldwide, October 2009

Digital Strategy - Worldwide internet audience - Time spent. Time per person for top 10 parent companies, Worldwide, October 2009

Worldwide internet audience
Global audience reach for top 10 parent companies, October 2009

Digital Strategy - Worldwide internet audience. Global audience reach for top 10 parent companies, October 2009

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Trends
www.DigitalStrategyConsulting.com/intelligence

50p broadband tax gets green light in pre-budget report

The government's controversial broadband tax has been given the go ahead by chancellor Alistair Darling in his pre-Budget report. The £6-a-year levy will be imposed on all households with a fixed line phone. The money made will be put into a fund to ensure rural areas of the UK do not miss out on super-fast broadband services. Keep reading...
11/12/2009

Government plans to put all public services online by 2014
Nearly 100% of government transactions will be carried out online by 2014, saving £400m in three years, according to a new report. The Putting the Frontline First report outlines how the government expects to free-up money for public services by streamlining back-office processes.
The government hopes that putting all services online will lead to better services and free-up staff to deal personally with individuals.
Keep reading...
09/12/2009

Web giants unite to fight Government's Internet copyright plans
Internet giants Google, Facebook, eBay UK and Yahoo have joined forces to fight one of the measures in the Government's proposed Digital Economy Bill. In a joint letter to business secretary Lord Mandelson, Google, Yahoo!, Facebook and eBay have expressed "grave concerns" about plans in the Digital Economy Bill to give ministers powers to amend copyright law without primary legislation. Keep reading...
03/12/2009

Broadband tax 'could treble for homes with multiple lines'
The new 'broadband tax' will be applied to each phone line rather than per person, leaving nearly two million households paying up three times the £6 announced by the government, according to a new report. A document, leaked to the Conservatives and reported in The Times, shows the Treasury stands to gain a further £30 million annual windfall by applying VAT to create a tax upon a tax. Plans by Revenue & Customs show that ministers will apply the tax to each phone line rather than per customer - affecting more than 1.7 million homes with more than one phone line - and will also add VAT to the cost. Keep reading...
01/12/2009

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Digital marketing audits
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Getting the best ROI from your websites, emails and online ads? Sure?

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Social networking
www.digitaltrainingacademy.com/socialmedia

Google links with Twitter, MySpace and Facebook for real-time search

Google has unveiled its much anticipated real-time search service, the result of a series of partnership deals struck with leading social networks Facebook, Twitter and MySpace. Amit Singhal, Google fellow, introduced the real-time section during an event at the Computer History Museum in Mountain View, California. "We are here today to announce Google real-time search," Singhal said, describing it as: "Google relevance technology meets the real-time web". Keep reading...
09/12/2009

YouTube to start charging for ad-free shows?
Google is in talks with US TV networks to charge viewers for streaming ad-free shows on YouTube, according to reports. Technology website All Things Digital reports that that "preliminary discussions" are taking place in the US between Google, which owns YouTube, and some of the major television networks. The move would see viewers charged around $1.99 to watch episodes of their favourite shows online, without any adverts, the day after they were first broadcast on TV. Keep reading...
08/12/2009

Facebook forms safety board, gives children 'panic' button
Facebook and other networking sites are to install panic buttons enabling children to alert administrators if 'inappropriate' material is posted. The Sunday Times reports that 140 companies, charities and other groups have signed up to the code and that Home Secretary Alan Johnson is set to announce the new scheme today (Tuesday). The initiative also includes the obligation for sites to provide 'safe search' facilities, allowing parents to restrict access to offensive pages. The government will also launch a national advertising campaign aimed at parents, teachers and kids. Keep reading...
08/12/2009

Facebook use smashes social media records
This week the audience of socnet giant Facebook broke the 350m user barrier, setting new records for social networking both globally and here in the UK. The national numbers see Facebook's audience rise to a staggering 23m uniques a month, but the jaw-dropping statistics are in the frequency of use. Half of all British Facebook users return daily, confirming the platform's position as the most engaging social media player. Keep reading...
07/12/2009

MySpace takes on Spotify with music streaming site
MySpace has launched a UK version of MySpace Music in a bid to compete directly with streaming sites like Spotify and Last Fm. The service, already available in the US, Australia and New Zealand, claims it has "the most comprehensive catalogue" on the internet, and will allow users to buy DRM free downloads via a partnership with iTunes. It will offer free streaming access to entire back catalogues of artists on both major and independent labels. Keep reading...
04/12/2009

Yahoo plugs email and Flickr into Facebook
Yahoo will let users of its email, photo-sharing and other online products link their content and activities directly into Facebook.
Yahoo's support of the Facebook Connect service, which it said it expects to begin in the first half of 2010, represents an important move in Yahoo's efforts to tap the popularity of social networking and underscores the growing clout of Facebook, which now counts more than 350 million worldwide users.
Keep reading...
03/12/2009

It's official: Twitter to launch commercial accounts next year
Twitter has confirmed it will be rolling out paid-for business accounts next year, as the micro-blogging service looks for new ways to monetise its service. The paid-for commercial accounts would offer extra services to help companies tweeting to understand how the service is working for them, providing analytics, statistics and feedback. The plans were revealed by twitter co-founder Biz Stone in an interview with the BBC. Stone stressed that the micro-blogging service would remain free at a fundamental level, on both personal and commercial fronts. Keep reading...
01/12/2009

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Digital regulatory compliance - get it right, right now
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Regulation of web content, advertising and personal data is now stronger than ever. Is your firm compliant? And are you truly sure? Have our consultants join your team to troubleshoot and give you the real picture. Compliance health checks completed in just 2 weeks.

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Advertising
www.DigitalStrategyConsulting.com/intelligence

Digital advertising spending: UK

Paid for search dominates with two-thirds of the digital advertising spend during the first half of 2009

Digital Strategy - Digital advertising spending: UK. Paid for search dominates with two-thirds of the digital advertising spend during the first half of 2009

Online advertising spending: UK
Online advertising overtakes TV for the first time during the first half of 2009

Digital Strategy - Online advertising spending: UK. Online advertising overtakes TV for the first time during the first half of 2009

Microsoft cements Yahoo search ad deal - but still awaits regulator approval
Microsoft and Yahoo have finalized the terms of a broad search and advertising agreement intended to help them compete more effectively with Google. The deal was first announced in July, letting Microsoft's new Bing search engine to power Yahoo's search results. In return, Yahoo will provide premium search-advertising services for both companies. They had hoped to finalize the deal in late October but needed more time to work out the details. Keep reading...
08/12/2009

Yahoo puts users in control of ads they see
Yahoo has just launched its Ad Interest Manager designed to make online advertising more transparent. The opt-in service gathers information based on searching habits to provide relevant advertisements to the user. The Ad Interest Manager site lets the user see a summary of their online activity on Yahoo's content network. They can then determine their level of exposure to interest-based ad served by the Yahoo Ad Network. Keep reading...
08/12/2009

Google teams up with TiVo for TV ad data
Google has teamed up with TiVo in the US, in a bid to capitalise on TV ads. TiVo will provide Google TV Ads with second-by-second viewing patterns of time-shifted programs in order to "enhance the measurement and accountability of ad impressions," the companies said in a joint statement. Google TV Ads is a 2-year-old initiative from the Internet search giant for auctioning off television ad inventory on a CPM basis, charging advertisers only for the ad impressions viewed. Keep reading...
01/12/2009

Google buys ad targeting firm Teracent
Google has bought ad targeting software firm Teracent for an undisclosed sum. The move will give the search giant software that will help its display ads better target web users. Teracent's software selects elements of ads, such as images and colours, that can be optimized for users based on criteria such as geographic location and language. Teracent was founded in 2006, and is based in California. Keep reading...
01/12/2009

New metric unites print and online under one currency
The Newspaper Society has launched Locally Connected, which it claims to be the UK's first integrated print and online audience currency. In the first research released using the new metric, the trade body has revealed that local media websites increase the unduplicated reach of regional and local newspapers within their circulation areas by 14%, particularly among upmarket and core middle age groups. Keep reading...
01/12/2009

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Ecommerce and online retailing
www.DigitalStrategyConsulting.com/intelligence

Top 10 retail search terms: UK

Search terms ranked by clicks for the 4 weeks ending 5th December 2009

Digital Strategy - Top 10 retail search terms: UK. Search terms ranked by clicks for the 4 weeks ending 5th December 2009

Top 20 retail sites: UK
Search terms ranked by visits for the week ending 5th December 2009

Digital Strategy - Top 20 retail sites: UK. Search terms ranked by visits for the week ending 5th December 2009

Apple's Lala buy to pave way for iTunes subscription service?
Apple has bought US-based online music store Lala for an undisclosed sum, fuelling rumours the company could be adding subscription-based music services via iTunes. The New York Times confirmed the purchase last Friday, citing a person with knowledge of the deal. Lala lets users listen to a catalogue of around 8 million songs for free through the Web. According to Lala's site, users can pay 10 cents for unlimited plays of a song; they can also download an MP3 version for 89 cents. Keep reading...
08/12/2009

Police shut down over 1,200 illegal shopping sites in UK
More than 1,200 illegal internet shopping websites that have made millions of pounds for criminals have been shut down by Scotland Yard in the biggest operation of its kind in Britain.
The sites claimed to sell heavily discounted designer goods, including Ugg Australia Boots, ghd hair straighteners and jewellery from Tiffany & Co and Links of London. Buyers either received counterfeit products or nothing at all. It is also likely that their credit card details have been used to fund other illegal activity. It is estimated that British shoppers have spent millions on the sites but police are convinced that by shutting them down consumers have been saved millions more.
Keep reading...
07/12/2009

Johnston Press starts charging for online content
Johnston Press has become one of the first regional UK publishers to start charging for its online content. Johnston Press owns more than 300 local newspapers including the Yorkshire Post and 'The Scotsman'. The move will see the publisher put content from six of its titles behind 'paywalls'. From yesterday, readers of three Johnston titles, the Northumberland Gazette, the Whitby Gazette and the Southern Reporter, will pay £5 (€5.40) for a three-month online subscription. Keep reading...
02/12/2009

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Country focus: US
www.DigitalStrategyConsulting.com/intelligence

Top 10 US search providers

Two-thirds of all searches by searches by Americans are carried out using out using Google, October 2009

Digital Strategy - Top 10 US search providers. Two-thirds of all searches by searches by Americans are carried out using out using Google, October 2009

US Internet audience - Time spent
Time per person for top 10 parent companies, US, October 2009

Digital Strategy - US Internet audience - Time spent. Time per person for top 10 parent companies, US, October 2009

US internet audience - Audience reach
US internet audience reach for top 10 parent companies, October 2009

Digital Strategy - US internet audience - Audience reach. US internet audience reach for top 10 parent companies, October 2009

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Mobile
www.DigitalTrainingAcademy.com/mobilemarketing


Google uses phone pics to conduct searches
Google has begun testing a new search product called 'Goggles', which lets users scour the Internet with mobile telephone cameras or spoken words in multiple languages. The service uses online using pictures taken with cameras in mobile phones based on its Android operating system.
"When you take a mobile phone camera and connect it to the Internet, it becomes an eye," Google mobile search vice president of engineering Vic Gundotra said while demonstrating Goggles in Mountain View, California.
Keep reading...
09/12/2009

Vodafone tests priority network access for 'premium' subscribers
Vodafone is testing a new system that lets business customers pay a premium for priority access to the network during peak times. The technology, which was launched in Spain last week, means that business customers can choose to pay a data tariff of €49 (£44) a month to ensure enhanced access. Businesses are becoming increasingly reliant on mobile phone applications beyond traditional e-mail data services, but, as the number of smartphones has increased, mobile networks have struggled to cope with thousands of customers using iPhones to watch videos and other bandwidth-heavy applications. Keep reading...
01/12/2009

Google to debut first phone handset in 2010 - report
Google is planning to release its first mobile device next year, according to a new report. Times Online reports that an analyst is predicting in 2010, Google will launch their own smartphone, running a new version of Android. The report says the device will feature a larger-than-usual touch screen and a speedy Qualcomm processor that trumps the one powering the iPhone 3GS. The gadget will likely run the as-yet-unseen "Flan" version of Google's Android operating system and support Google Voice, the phone management service Google offers free that lets users ring their home, work and mobile numbers through a special Google number. Keep reading...
01/12/2009

Tesco Mobile to sell iPhone
Tesco Mobile is to start selling iPhone 3G and iPhone 3GS in Tesco Phone Shops and online through Tesco Direct in the UK. The move is made possible through its joint venture partnership with O2. The company sells exclusively Tesco Mobile branded services in Tesco stores, online and through Tesco Direct, across the UK using O2's technology and network. Keep reading...
01/12/2009

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Broadcasting
www.DigitalStrategyConsulting.com/intelligence


Top 10 entertainment websites: UK

Sites ranked by visits for the week ending 5th December 2009

Digital Strategy - Top 10 entertainment websites: UK. Sites ranked by visits for the week ending 5th December 2009

Channel Five signs on demand deal with YouTube
Five has become the second broadcaster to sign a deal with YouTube to show its programmes on the video sharing website. The three-year deal follows a similar link up between YouTube and Channel 4 last month. The move will see full versions of popular shows from Five available on YouTube for up to 30 days after they are broadcast, providing an alternative viewing method to Five's current on demand service. Keep reading...
07/12/2009

Sony outlines plans for all-in-one online media network
Sony's chief executive, Howard Stringer, has unveiled the technology giant's plans for an all-in-one online network that pipes Sony's films, music, games and other content to its TVs, Walkmans and PlayStation game machines. In an interview with reporters this week, Stringer said the project, known as the Sony Online Service, which will combine the company's digital content and hardware. The company, based in Tokyo, expects to book its second consecutive annual loss in the fiscal year that ends in March, after losing 98.9 billion yen, or $1.12 billion at the current exchange rate, last year. Keep reading...
04/12/2009

BBC may be forced to cut websites
The BBC Trust has said that the corporation's online operation could be scaled back in the future following recent criticism from industry stakeholders. The BBC was also ordered by its internal regulator to rein in the activities of BBC Worldwide, its commercial arm, after competitors complained that the corporation's huge financial muscle was giving it an unfair advantage. The Trust has also published an ongoing strategic review document for the entire BBC operation. Keep reading...
01/12/2009

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Companies making the news
www.DigitalStrategyConsulting.com/intelligence

Google CEO faces privacy backlash after talk show comments

Google CEO Eric Schmidt is facing a backlash from privacy advocates following comments made during a TV interview last week. When asked during an interview for CNBC's recent "Inside the Mind of Google" special about whether users should be sharing information with Google as if it were a "trusted friend," Schmidt responded, "If you have something that you don't want anyone to know, maybe you shouldn't be doing it in the first place." Keep reading...
14/12/2009

AOL and Time Warner finally split after 10 years
AOL and Time Warner have formally split after almost 10 years as one company. The companies merged back in 2001, in what was dubbed the "deal of the century" at the time.
However, AOL soon started loosing market share as it was slow to react to the shift from dial-up to broadband internet access. In 2002, AOL had 26 million dial-up customers, now it has 5.4 million. However, it still earns 43% of its revenue from these die-hard subscribers and runs several successful media sites including tech blog Engadget. On Thursday, investors will get their chance to rate AOL's prospects when the shares start live trading. The occasion will be marked by AOL's chief executive, Tim Armstrong, who will ring the opening bell at the New York Stock Exchange.
Keep reading...
11/12/2009

Google expands personalised search to non-account holders
Google' has begun tracking the search behaviour of all its users to offer more refined results and targeted ads, expanding the service beyond those with a Google account. The move will see Google using a cookie placed on users' machines to track their search behaviour and offer personalised recommendations, even when they are not logged into a Google account. Keep reading...
08/12/2009

News Corp joins US 'digital newsstand'
News Corp. is joining a new, independent digital publishing consortium in the US, according to a news report. The Financial Times reports that the consortium - which also involves Time Warner's Time Inc., Conde Nast, Hearst Corp. and Meredith - could be announced this week. The paper reported that the five US publishing giants are set to this week target the e-reader market 'to wrestle control of its digital future' from the market leaders Amazon, Apple and Sony. Keep reading...
08/12/2009

Google limits free news access to 5 a day
Google is to limit the number of news articles users can read for free via its search engine. The search engine is changing its 'First Click Free' programme so that readers would not be able to look at more than five pages in one day. The programme lets readers get around paying subscriptions or registration to news sites by accessing news articles through Google. Keep reading...
02/12/2009

Adconion buys video assets from Joost
Online advertising network Adconion Media Group has acquired certain assets from the online video service Joost, for an undisclosed sum. In June, Joost announced a change in its business strategy to focus on providing white-label video platforms, and Adconion plans to pursue this strategy.
Tyler Moebius, CEO, Adconion Media Group, said: "Through the acquisition of the Joost assets we will be able to provide advertisers, content owners and website publishers with an end-to-end global video platform and cross-channel video and display ad-serving solution."
Keep reading...
01/12/2009

Google reveals top UK search trends of 2009
Google has revealed the UK's top search trends in 2009, with Swine Flu, the death of Jade Goody and the popularity of Susan Boyle topping the list. Google's annual "zeitgeist", which analyses the firm's search trends, revealed that top website searches included Hotmail, eBay, Yahoo and social network Bebo. The fastest rising search queries of the year included the BBC's iPlayer and Bing. Keep reading...
01/12/2009

US magazine publishers unite for 'digital newsstand'
Four top US publishers, Time, Conde Nast, Meredith and Hearst, are to launch a digital newsstand company for publications in a variety of digital formats, according to a report. Hailed as an 'iTunes for magazines,' the new company and service will have the four rival publishers as equity partners. The New York Times quotes an anonymous source familiar with the deal, which admits that the publishers are eager to get more control over digital readership while print circulation continues to go down. Keep reading...
01/12/2009

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