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How P&G skips the middleman

? Piper Jaffray Report: Online Video Up while TV Viewing Declining |


| Panning Wal-Mart on a blog: Sign of crisis? ?

January 08, 2007

How P&G skips the middleman

Stephen Baker

The Wall Street Journal writes today about how P&G and other companies are setting up their own social-networking sites to reach consumers. Capessa, a P&G health features venture with Yahoo, is an example. The point of these sites is not to advertise, but to interact with consumers and learn from them. It's much like a worldwide focus group, but the analysis will be driven in many cases by mathematical rendering of the clicks and interactions on the sites.

So how does traditional ad-based media respond to this challenge? Like Yahoo, we'll have to figure out how to act as a conduit between advertisers, or sponsors, and their customers. They want more data. And if they don't get it from media, it's now clear, they'll strike out on their own.

10:40 AM

advertising, mainstream media

I think you'll find that not only are consumer brands doing this but others. Instead of going for the quick sale companies are looking for innovative solutions and ideas to help them CONNECT with customers for the long haul and interact with them on a closer basis.

Even tech companies are looking for ways to get closer to customers the way the customer wants to.

Ramon Ray, Editor,

Posted by: Ramon Ray at January 9, 2007 06:07 AM

Answer: The traditional ad-based media should respond to this challenge by doing the same thing, set up your own social-networking sites -- but, don't get all wrapped up in the terminology. A social-networking site is nothing more than a forum/chat group -- NOT a Blog.

You are absolutely correct, your advertisers want data and if they don't get it from you, they will strike out on their own. The ONLY way that you are going to figure out how to act is through experience. And I would expect that you might even figure out a way to make it pay for itself.

I refer you to my web site for examples:

Posted by: Doug Skoglund at January 11, 2007 09:47 AM

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