To continue with my Add-on-Con buzz for marketers and developers of browser add-ons.  My last two postings recapped how browsers plan to lead all application platforms and the buzz on browser add-on business models.  In this post, I will cover the Add-On-Con buzz on add-on distribution channels. 

Add-On Distribution Channels

Browser galleries  

• Firefox’s gallery (AMO) is the leading source of distribution for most add-on developers.
• Firefox announced they do not have plans to have sponsored ads on AMO right now.
• Firefox revealed AMO’s install referrals come from these three primary sources – top ranked, recommended, and searched for
• Add-ons are by default sorted by popularity (cumulative installs) but will be updated to use # of active users.
• Alex Jeung, from Cooliris, mentioned that as a developer you can help your chances of getting recommended within the galleries by establishing your add-on’s popularity outside of the gallery and thereby proving that there is demand for your add-on.

Other distribution channels

• Check-out my earlier post to learn more about other add-on distribution channels including how the W3i Application Network is driving 850% more installs per application than AMO.

A special thanks to AdaptiveBlue, Yoono, and OneRiot for organizing Add-On-Con.  The excitement and anticipation I had leading up to the event were not let down.  I would invite others to participate in next year’s conference and follow their soon to be released blog. 

Please consider following W3i to stay up to date with other market information about add-ons as well as related services provided by W3i. (Twitter, LinkedIn,  Newsletter, Blog).

Ryan Weber, Vice President of Corporate Strategy and Co-Founder, W3i, LLC
Entrepreneur and pioneer of Internet marketing focusing on increasing revenue and distribution for digital downloads.

Add-On-Con was a buzz-worthy event for marketers and developers of browser add-ons.  My last posting recapped how browsers plan to lead all application platforms.  If you didn’t catch it, read it here.  In this post, I will cover the Add-On-Con buzz on add-on business models.  In my next post, I will cover the Add-On-Con buzz on add-on distribution channels.

Add-On Business Models

Paid Model

• Marketplace for add-ons.
  • Developers agreed that a marketplace, promoting the buying and selling of add-ons, is desirable.
    • The marketplace should provide an embedded payment platform.
    • A concern was raised by a developer, Chris Finke, regarding whether or not you could establish a user-base if you charge users.  Add-ons rely heavily on receiving buzz through the add-on galleries and with users which could be less effective if you begin charging as this creates higher friction.
  • Firefox mentioned a marketplace was one of the most commonly requested features from developers through AMO.
  • Firefox announced its plan to release a marketplace at the end of 2010.
• One developer, Eric Jung from FoxyProxy, is already having success with charging for their add-on.
  • Subscriptions he recommended as the best method for charging for add-ons because they allow the developer to create an ongoing stream of revenue which supports continuing to update the software.
  • Eric prefers leveraging the freemium model to drive the initial paid conversions.
• Contributions (donations) so far are not impressing anyone with Firefox.
  • Top developers are earning just $1,000 per month.

Ad-Supported Model

• Promotion – Developers are using add-ons to promote websites that have their own business models.
• Search Advertisements – Yahoo spoke about providing search advertisements, for syndication, as a source of revenue for add-ons including, but not limited to, toolbars.
• Installer Recommendations – I shared results from a recent W3i survey of 502 users which showed that of the ad-supported solutions, app/add-on marketers preferred the method of users seeing ads within the installation or download instead of ads in their application, or participating in market research.  Check out W3i to learn more about generating revenue through the installation of your add-on.
• Data – It came up several times that the data captured from add-ons is a potentially lucrative source of revenue.  Appeasing user’s privacy concerns and monetizing data were viewed with skepticism by most developers.

During my ten years of experience distributing add-ons and consumer apps, I learned that it pays to test various business models.  There is continual evolution, so it pays to discover and test new models to stay afloat.  For more information on using the W3i Application Network to generate revenue for your browser add-on, click here.

Ryan Weber, Vice President of Corporate Strategy and Co-Founder, W3i, LLC
Entrepreneur and pioneer of Internet marketing focusing on increasing revenue and distribution for digital downloads.

I returned from Boston last week after attending my first Software Industry Conference (SIC).  In this post I wanted to share with you some general information about the conference, the buzz, and information about W3i’s participation to keep you up to date with what transpired.

General Information

• The conference was held at the Boston Marriot in Quincy from July 16th to July 18th.
• Attendance was down a bit with an estimated 200 attendees (attributed to the economy).
• Cost was only $269 at the door and as low as $229 if you registered early enough!  The organizers aim to keep costs down so that even small publishers can afford to attend.  The cost of admission includes a full conference pass, breakfast each day, food in the evening at events, and one luncheon.
• Though inexpensive, the conference is packed with things to keep you busy including educational sessions, exhibit night, networking events, and the Shareware Industry Awards.

The Buzz

• There was quite a bit of buzz around the topic of business models.
• Free and paid models were discussed including very innovative approaches at improving performance with both.
• The dominant model is definitely paid shared by participants and their service providers.
• Publishers were very focused on a paid only model and hadn’t considered a hybrid model, which would leverage both paid and ad-supported options.
• The hybrid model though may satisfy the greatest number of users.  I found an article on how online music is being impacted by free ad-supported alternatives and I thought this was a great parallel to how publishers might want to consider hybrid models with downloadable software.
• I was excited to learn of a few publishers that were willing to participate in hybrid model trials to explore this further.  This may include both high and low converting shareware titles mixed with the ad-supported solution offered by my company.  I hope that we can complete these trials and share our findings at a future date through a subsequent blog post.

W3i’s Participation

• I gave a presentation titled “Increasing Your Bottom Line through Leveraging an Understanding of User Engagement”.  In my presentation I highlighted suggestions and examples of how application publishers are improving user engagement from initial discovery all the way through the complete customer life cycle.  By pleasing the user, you get the same benefits as if you just focused on revenue, only easier.
• My twin brother Rob spoke about How to Squeeze More Money from Your Apps in his presentation which detailed various business models.
• W3i announced a new product at the conference, 3quency, which aims to provide a better custom toolbar solution.
• W3i had a table at exhibit night which was the highlight of the trip for me.  For 3 hours a room was filled with conference attendees.  Here is a picture of me juggling in front of our table.
  

For any shareware providers interested in exploring a hybrid business model which includes ad-supported services provided by W3i, please contact us and we’ll discuss the details further.

I hope this wrap-up keeps you in the know and better yet drives you to attend next year’s conference in Dallas, which I hope to attend.

Ryan Weber, Vice President of Corporate Strategy and Co-Founder, W3i, LLC
Entrepreneur and pioneer of Internet marketing focusing on increasing revenue, distribution, and engagement for applications.

Applications are an effective vehicle for keeping users connected to your content and re-enforcing your brand message.  Through your branded application, you increase repeat users that are more profitable than new users because there is minimal cost of acquisition.  Here are several things to consider for improving your apps effectiveness:

1. What is your objective?
   • Increase frequency of brand/content with existing users
   • Expand your reach to new users
   • Generate revenue
     • W3i’s Application Network helps Windows application providers generate revenue from the distribution of their applications.
2. How will you distribute?
   • Through your web-site, newsletter, or blog
   • As a recommendation with other software you distribute
   • Through paid advertisements
     • W3i’s Application Network provides Windows application advertisers with access to millions of installations every month. Target to users based on their technical profile, application interests, geography, and more.
3. Why should I create one now?
   • Stay top of mind with your fans
     • Do you feel that there is no need to be in the browser? Consider the impact of not acting. Your users are more accessible to content from competitors than from you.
4. How can I create a killer app?
   • Create convenience
     • What content do you have that your users would value accessing on a routine basis?
     • Don’t limit yourself to your own content. Consider what other content you might be able to syndicate to improve your relevancy. If you outsource the creation of your browser plug-in, ask the third party what content they have available.
     • Let your users customize your app to suit their needs
     • Consider whether creating different configurations for different segments is appropriate so that users can download what is most relevant from the start 
   • Fully leverage technical capabilities.
     • Would your app benefit from other desktop applications or the operating system?
       • Convenient access to relevant files
         • Encouraging users to share their local files with others on the web
         • Easier uploading of files to your service
         • Understanding the technical profile to filter content which is most appropriate
     • Would your content benefit from web browser features?
       • Detecting when the user visits a particular web-site to deliver an important message
         • Need to clearly disclose the functionality of your app and provide an easily understood value proposition
       • Enhancing the browser chrome
         • Display important information in real-time through the chrome
         • Toolbars are common, but there are other shortcuts and integration possibilities dependent on the browser your app is developed for 
   • Build Or Outsource
     • Is this core to your business?
     • What are your essential (urgent) features versus important (desirable) features?
     • Will you have resources to build and maintain your app internally?
       • Have you considered how you will manage upgrading the application?
       • Have you factored in maintenance for browser or operating system updates?
     • For most companies, when these factors are considered outsourcing is more cost-effective. Some technology providers, like W3i, will even pay you for creating and distributing your app using their platform.

 Contact W3i if you would like to learn more about engaging your user with a killer app, expanding your distribution, or generating revenue with a browser plug-in.

Ryan Weber, Vice President of Corporate Strategy and Co-Founder, W3i, LLC
Entrepreneur and pioneer of Internet marketing focusing on increasing revenue and distribution for digital downloads.

W3i’s Download Network featuring Install IQ is a Finalist in Most Innovative Service/Business Model category.

St. Cloud, Minnesota – June 2, 2009 – W3i, LLC, provider of marketing solutions that increase revenue, distribution, and engagement for Windows applications and plug-ins, was named a Finalist today in the Most Innovative Service/Business Model category for the 2009 Comp TIA SoftwareCEO Software Innovation Awards.

The finalist designation was presented for W3i’s Download Network, a leading consumer software platform. Using a network approach, W3i’s Download Network pays partners to generate traffic, installs interactive consumer applications, and delivers active users to W3i’s clients.

The Computing Technology Industry Association (CompTIA) is the leading trade association for the world’s information technology (IT) industry. The SoftwareCEO Software Innovation Awards recognize innovative software products and new business models in eight different categories. Award winners will be announced at the CompTIA special online award ceremony on June 18, 2009.

SoftwareCEO Software Innovation Awards finalists by category are judged for:

Scope – What business problem or opportunity does the software innovation address? What is the size of the problem/opportunity?

Impact – What practical results, such as sales, users or profits, has the innovation had on a software product or on the software industry? The innovation must be new and have both a current and future impact.

Novel – How does the innovation break with traditional ideas or processes?

“W3i is honored to become a Finalist especially in the area of innovation. We know W3i’s Download Network can be a key distribution and monetization strategy for publishers and advertisers of Windows and browser applications. To date, we have installed over 250 million applications, and we are just getting started,” comments Andy Johnson, CEO of W3i. “Congratulations to the W3i team for becoming a finalist in the 2009 SoftwareCEO Software Innovation Awards.”

Entries are judged by a select panel of industry experts, including analysts, consultants, writers and trade press, and subject-matter experts. A list of the esteemed panel can be found here: http://www.softwareceo.com/leadership/awards_judging.aspx.

Details about the 2009 SoftwareCEO Software Innovation Awards and the list of Finalists in all categories are available at http://www.softwareceo.com/leadership/2009/awards_finalists.aspx.

“Software innovation is more than just ideas; it’s the ability to develop those ideas and make them work in the market,” said Mark Fogle, publisher of SoftwareCEO. “The annual SoftwareCEO Innovation Awards recognize products, ideas and business models that break with conventional software ideas and processes to introduce product offerings and business models that are key to our industry’s future growth and vitality.

About W3i:
W3i increases revenue, distribution and engagement for Windows applications and plug-ins. W3i uses a network approach combining the demand for free and trial downloads monetized by the distribution of useful downloads when the consumer is in the download mindset. W3i’s Download Network uses Install IQ, W3i’s proprietary Windows installer, the first installer to be certified in the TRUSTe Trusted Download Program. Tested and optimized on over 250 million installs–currently 7.1 million installs monthly and growing, W3i will prove to be a valued distribution partner in growing your application business. To learn more, visit W3i’s Download Network.

W3i Contact:
Deborah Manthei
Director of Marketing Communications
W3i
320-257-7571
deborah.manthei@W3i.com
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About SoftwareCEO.com
SoftwareCEO is a resource-packed electronic newsletter and web portal built by software executives for software executives. It is Page One for software industry information and education on topics such as software marketing, sales, business, financing, and services. For more information, visit http://www.softwareceo.com/.

About CompTIA
CompTIA is the voice of the world’s information technology (IT) industry. Its members are the companies at the forefront of innovation; and the professionals responsible for maximizing the benefits organizations receive from their investments in technology. CompTIA is dedicated to advancing industry growth through its educational programs, market research, networking events, professional certifications, and public policy advocacy. For more information, please visit www.comptia.org.

CompTIA Contact:
Steven Ostrowski
Director, Corporate Communications
CompTIA
Phone: 630-678-8468
Email: sostrowski@comptia.org

St. Cloud, Minnesota, May 7, 2009 – W3i, provider of marketing solutions that increase distribution, revenue, and engagement for Windows applications, announced today that VoloMedia is now part of W3i’s Download Network (WDN).  VoloMedia, provider of advertising and reporting solutions for portable media, is using W3i’s Download Network to broaden its user base for its iTunes plug-in to grow its panel of users for more effective advertising.

“W3i’s Download Network can be a significant source of new users for growth companies with Windows applications and various types of plug-ins,” said Rob Weber, VP of Business Development at W3i.  “VoloMedia joins a network of application companies in their efforts to ramp up user acquisition at a known ROI.  During the installation process, WDN leverages the demand for popular free or trial downloads by matching them with other download companies seeking distribution, like VoloMedia, giving the user a value-add.”

“W3i’s distribution capabilities are helping us reach our target users,” notes Jeff Karnes, VP of Marketing and Products for VoloMedia. “Their installation and download process is a great way for us to promote our unique iTunes plug-in.” 

W3i used its consultative services to optimize this distribution channel for VoloMedia, demonstrating how using proven techniques to engage the user can increase lifetime value and make their marketing spend more effective.

About W3:
W3i increases revenue, distribution and engagement for Windows applications and plug-ins. W3i uses a network approach combining the demand for free and trial downloads monetized by the distribution of useful downloads when the consumer is in the download mindset.  W3i’s Download Network uses Install IQ, W3i’s proprietary Windows installer, the first installer to be certified in the TRUSTe Trusted Download Program.  Tested and optimized on over 250 million installs–currently 15 million installs monthly and growing, W3i will prove to be a valued distribution partner in growing your application business. To learn more, visit W3i’s Download Network.

About  VoloMedia:
VoloMedia provides a unique combination of products with a nationwide ad sales team to deliver advertising and reporting solutions for portable media, extending the reach and monetization of video and audio podcasts. The company’s products and services are utilized by some of the largest and most well known media companies, including ABC News, FOX News, MSNBC, Washington Post/Newsweek, and Public Radio International in its Business, News, and Politics podcast verticals.  Other VoloMedia content verticals include Entertainment, Health, Music, Sports, Technology, Video Games, and Women. http://www.volomedia.com.

Contact:
Deborah Manthei
Director of Marketing Communications
320-257-7571
deborah.manthei@W3i.com

Jocelyn Johnson
212-924-9500
PR Contact for VoloMedia
jjohnson@gravitas-pr.com

For years, as part of my job, I’ve scoured the web for innovative browser and Windows software applications.  In the spirit of the Final Four tournament, I broke down the apps that make up my Elite 8 for innovation and let them battle it out for the one I crown as national champ.

The Final Four (http://sports.espn.go.com/ncb/tournament/bracket) plays out this Saturday in Detroit with Michigan State facing off against Connecticut and Villanova facing off against North Carolina in this year’s semifinals.  The finalists will be played on Monday for the national championship.

I was compelled to take this opportunity to respond to a common question I receive.  What browser and desktop software applications do I find interesting?

W3i is a leading provider of distribution, revenue generation, and user engagement solutions utilized for more than 200 million downloads by a wide range of browser and desktop software publishers.  It is my job to understand browser and desktop software trends.  I am also an enthusiast who believes software done right creates a compelling user experience that web-sites alone cannot compete with.

I will begin with an overview of the apps which make up my Elite 8.  My only criteria was what I found to be the most interesting and innovative apps.  These are not necessarily my most often used nor the most complex applications.  The apps include browser (toolbars or other add-ons) and Windows desktop software applications.

1. Xobni - http://www.xobni.com/- Xobni is an Outlook plug-in that has even captured Bill Gate’s (http://www.youtube.com/watch?v=Mr5zOxG7wbU) attention. I have found this application helpful in understanding the relationship I have with people I frequently exchange emails. Such as the fastest responder or the most frequent people I interact with. There are also various methods they use to organize your emails in a way that creates a new and valuable experience.



2. Digsby - http://www.digsby.com - Digsby is my preferred software interface for aggregating my many social networks, instant messengers, and email services.
3. Recipe Feeder - http://www.recipefeeder.com - My wife loves pasta but I have a particular taste for it. Using Recipe Feeder, I inputted my preferences within a few seconds. After a few minutes, Recipe Feeder scoured the web and found the recipes that met my criteria. I have taken an interest in pulling recipes, but as of yet haven’t mastered my own kitchen!



4. TurboSaver  by Upromise – http://www.upromise.com/partner/origin.do?partnerName=turbosaver&ax=turbosaver&cm_mmc=Other-_-Toolbar-_-Menu-_-toolbar – I have had a Upromise account for a few  years but found it a bit painful to always navigate back to their web-site when shopping online to look for opportunities to earn cash for my 5 year old nephew’s college fund.  Since they have released TurboSaver, a browser plug-in to help aid in your discovering participating merchants, I have found it much easier to purchase from their participating merchants.



5. Skype Phone Number Recognition – http://www.browserhighlighter.com/ – Dialing a phone number seems so old fashioned.  Why not leverage Skype’s browser plug-in to dial a phone number directly from a web-page?  Skype recognizes the phone numbers found on a web-page and allows you to easily click on them to dial.



6. Wakoopa - http://www.wakoopa.com – A desktop application which tracks your Windows and web software usage.  You will see an overview of the types of software you use, usage, reviews you have written, and can share this information with friends.
7. MashLogic - http://www.mashlogic.com  – A Firefox application which modifies the web-page to enable keywords matched on the web-page to source additional information retrieved from sources you configure.  The matching and speed are of high quality.  With the right information this tool can be quite handy.  I use it to save time when looking up information on other web-sites or companies.



8. Youlicit Search Enhancement - http://www.youlicit.com/download/ – Youlicit mines the social web to find out which web-sites are being recommended by real people.  The Firefox application highlights web-sites (see green highlights in below screenshot) which Youlicit has found to be recommended as well it provides additional recommendations on the right side of the search results.

The Most Innovative Apps Tournament Bracket

And the National Champion is… Xobni!

These are all very innovative apps.  So what’s so special about Xobni?  Besides being a really cool application, it stands out because I love seeing something interesting in what otherwise tends to be a boring application experience with my basic business applications.  We all spend so much time on the desktop and so providers like Xobni deserve a lot of credit.

Looking to step up your game with downloads?  Check out our website to learn more about how we can help you improve distribution, revenue generation, and user engagement with your downloads.

Ryan Weber, Vice President of Corporate Strategy and Co-Founder, W3i Holdings, LLC
Entrepreneur and pioneer of Internet marketing focusing on increasing revenue and distribution for digital downloads.

St. Cloud, Minnesota, December 16, 2008 – It is imperative to keep up with the constant changes in the marketplace to be successful in your marketing of online software; but who has the time to monitor everything published? I’ve utilized my nine plus years experience creating solutions to increase revenue and distribution to identify ten key trends in software marketing:

1. Hybrid Business Models – Ad-supported software continues to grow either as a full replacement, or an alternative, for users to choose when consuming software. Yahoo Games, the leading online game site, signed a deal with NeoEdge (http://www.neoedge.com) and Double Fusion (http://doublefusion.com) to offer 400 ad-supported downloadable games. This is a real change as typically these downloadable games were offered for free play for 60 minutes. W3i is helping many desktop software publishers improve their revenues by offering an ad-supported Windows installer. Click here to learn more.
2. Location Based Applications – Yahoo (http://fireeagle.yahoo.net/), Google, Apple, and a magnitude of other mobile players are creating platforms for leveraging a user’s location to provide an exciting new twist on software. There are plenty of mobile devices leveraging GPS capabilities, but that’s not all. Wi-Fi triangulation is also being supported by Google and Firefox platforms so that laptop applications are also location aware (http://venturebeat.com/2008/10/21/google-gears-uses-wifi-to-geolocate-your-laptop/). 
3. Browser Extensions Putting Users In Charge – No longer do you have to view what a website operator wants you to view. Many companies are creating browser extensions allowing you to embed relevant content while you browse the web. Some of my favorites are: Tynt.com, Upromise TurboSaver, eBay’s Browser Highlighter (http://www.browserhighlighter.com), and BuySafe’s Shopping Advisor. Often these browser extensions do not require a toolbar. With such limited space on the browser chrome, it’s great to have the convenience of these services without having to accept the toolbar interface from each provider. 
4. Mobile Apps Taking Hold – It was only July when Apple unveiled its App Store. Now over 200M apps have been downloaded, and the iPhone is being touted as a real force in the portable gaming space, which contributed to 25% of these downloads. 
5. Desktop Software Through Web Development – Adobe AIR, Google Gears, and other technologies are supporting the development of web applications that can be deployed cross-platform as desktop software. This reduces complexity which, in turn, creates faster and reduced cost development of desktop software. Another advantage is that this software can be leveraged through the web, creating maximum distribution. Adobe AIR is said to be in collaboration with Verizon Wireless, Motorola, and Nokia to extend support to mobile next year. 
6. Funding Application Development - Google Android, Nokia, Apple for iPhone, Blackberry, and others are offering investments, prizes, and marketing geared at attracting developers to use their APIs to develop applications. This is viewed as an effective strategy for gaining distribution and at a lower cost than creating the applications. 
7. Browser Innovation Heating Up - Internet Explorer, Firefox, and Chrome are engaged in an aggressive competition to win your favor as the world’s superior browser. The pace has really picked up and so keeping up with the latest capabilities, and retain market share, is important if you are creating browser extensions. 
8. Software As A Service - To maximize distribution, many traditional software providers are extending their desktop software to the web. Microsoft, for example, is expected to have Office available for the web in 2009 (http://en.wikipedia.org/wiki/Microsoft_Office_14) and (http:/venturebeat.com/2008/10/28/the-cloud-gets-better-with-microsoft-office-and-google-labs/). 
9. Software Analytics - Nielsen and comScore are measuring the use of popular software applications along with typical demographic data to support a deeper understanding of market trends. Kampyle (http://www.kampyle.com/owner_public/?page=services&p=2) is offering a subscription service to help with the collection and organization of user feedback for your software application. 
10. The Widget Grows Up - Lightweight software applications are becoming commonplace as social networks battle for opening their platform and as other platforms emerge to improve widget accessibility, value, and relevancy to consumers.

Author:
Ryan Weber, Vice President of Corporate Strategy and Co-Founder, W3i, LLC – Entrepreneur and pioneer of Internet marketing.

About W3i:
W3i, owner of Freeze.com, delivers proven, integrated desktop and browser marketing solutions.  With solutions tested and optimized on over 200 million installs–currently 4.5 million installs monthly, W3i can increase revenue and traffic for downloadable software, applications and digital content or provide a receptive consumer base for customized, targeted distribution programs.  W3i’s solutions utilize Install IQ, a proprietary installation system and download manager. Install IQ is the first installation system to be certified in the TRUSTe Trusted Download Program.  To learn more about W3i, visit www.W3i.com.

Contact:
Deborah Manthei
Director of Marketing Communications
320-257-7571
deborah.manthei@W3i.com

There are several noteworthy examples of successful desktop and browser widgets created and distributed by loyalty marketers to increase customer retention.

My wife and I have been using Upromise’s TurboSaver browser widget for about a year now and have generated $276.67 and counting towards our daughter’s future college education. Through this desktop widget, Upromise’s merchants have become our first stop for all of our online purchases. And it’s not just us. According to Upromise, who is owned by Sallie Mae, Inc., “Members who install TurboSaver (formerly the Upromise Toolbar) save an average of five times more than members who don’t. Five Times!” This kind of online loyalty program is called a “coalition loyalty program.” Other coalition loyalty programs, like MyPoints, have had similar success with browser toolbars. The Upromise TurboSaver widget has been significantly more successful than the typical online mall concept used by most loyalty marketers in the finance, travel, and retail e-commerce categories today.  

One travel company who has taken advantage of the power of a having a widely distributed desktop widget is Southwest Airlines. Southwest introduced their DING desktop widget in 2005. Now, whenever discount fares are offered, their program emits the familiar ringing sound of the in-flight seatbelt. These discounts are only accessible via this application. Within the first two years, about 2 million consumers had downloaded DING, and it generated more than $150 million in ticket sales. Industry sources estimate that 45% of DING users come back to book again compared to a 27% repeat rate.

There are also several examples of desktop and browser widgets used not to just earn more for the customers, but to also donate more. Examples include browser toolbars from FreeCause, GoodSearch, and others.

Rob Weber, Vice President of Business Development and Co-Founder, W3i, LLC
Rob is an Internet marketing pioneer with over eight, profitable years evolving W3i (owner of Freeze.com) in the Integrated Interactive Media industry.  

I attended a new marketing conference in Orlando earlier this week called “Loyalty Expo”  (www.loyaltyexpo.com). Did you know there is a whole segment of the marketing world just focused on loyalty marketing?  I bet your average interactive marketer doesn’t spend much time thinking about loyalty marketing. Although this particular conference was generally geared at marketers in the banking, travel, and retail industry that typically have utilized loyalty marketing as a core part of their strategy, there were a few key broad takeaways internet marketers should take note of:

1. It is far easier and less risky for a marketer to do a ‘milk run’ than to build a new book of customers.  Jack Welch commented on CNBC on November 5th that Obama’s Presidential campaign was astonishing, given he had to beat the Clintons’ “milk run” (i.e. raising money from the Clintons’ pre-existing sources) by building up his own book of business. This is really the exception to the rule as Welch points out, and most marketers know this too. If you are facing a cash crunch in your own marketing budget, better to do your own “milk run” than to scramble to add new customers. Given the focus on measuring campaign effectiveness, like interactive media, loyalty marketing should be a bright spot in an otherwise difficult environment for marketers.��

2. Marketers who aren’t necessarily “internet marketers” are generally open-minded about emerging interactive channels and utilizing new technology platforms to access these new channels efficiently and effectively.  Nearly all of the loyalty marketers I either spoke with or listened to were trying to figure out how they could leverage mobile and social media, as well as trying to figure out the next “big thing” coming out of interactive industry. Nearly all seemed open to using outside technology platforms to gain access to these same channels. This is good news for the interactive companies providing the technical tools to various other businesses around the world. The bad news is that these same marketers are going to be even more skeptical over the short term on trying new, unproven tools given the squeeze on their budgets due to economic pressures.��

3. Other marketers are very ROI focused too. In my experience, internet marketers tend to operate in a vacuum and think they are the only ones who crave instant performance feedback on their marketing campaigns based on measurements that they are focused on. This flat out isn’t true.  Loyalty marketers have some pretty sophisticated databases as well. This is probably why some of the loyalty marketers see adopting internet marketing as a pretty straight forward concept.

From my point of view, desktop and browser plug-ins may be the next big thing for loyalty marketers and internet marketers alike. Next week I will blog more on the current use of desktop and browser plug-ins used by loyalty marketers. 

Rob Weber, Vice President of Business Development and Co-Founder, W3i, LLC
Rob is an Internet marketing pioneer with over eight, profitable years evolving W3i (owner of Freeze.com) in the Integrated Interactive Media industry.