Wireless in Waikiki

First published April 3, 2008 in Mediapost’s Search Insider

Having just dragged my butt off a beach in Hawaii, my mind has not fully settled itself back in the search groove. But I did come to a realization in between snorkeling (highly recommended) and hiking the Na Pali coast in Kauai (even more highly recommended). Mobile is going to change our lives in amazing ways.

I’ve visited this topic  before, but this time, in addition to my beautiful wife and two charming daughter, I traveled with a new companion, a brand new HTC TyTN II with an unlimited data plan. While this may sound “ho-hum” to you Americans, unlimited data is an impossible dream here in Canada. Our mobile providers are still holding us hostage for daring to check emails while on the road. It’s a sad state of affairs for an otherwise civilized country.

All Wired Up And No Place To Go

The combination of 3G speeds, a relatively powerful device and the elimination of worry about a roaming data bill spinning upwards faster than gas prices proved to be a heady and intoxicating combination for me. Unfortunately, I found that although (metaphorically) I was all dressed up, there were still precious few places to go. A couple of times I found myself saying, “surely there must be a WAP site for that” only to find myself trying to negotiate non-mobile-friendly interfaces in a horribly glitchy browser. While the potential was so intoxicating, the reality fell far short.

This was a topic I touched on briefly in my opening remarks at the last Search Insider Summit. Mobile is the place where discontinuous innovation is most likely. There must have been a dozen times over the last two weeks where I said, “it would be so great if someone could…” and completed the sentence with something that seemed so obvious to me yet apparently was unavailable at this time.

So Much Potential, So Little Functionality

Now, much as I’d like to say that it’s my incredible vision that brought all these great possibilities to light, I suspect these are not undiscovered ideas. I’m sure that many companies are sitting on them, just waiting for the right convergence of device horsepower, input and output performance enhancements, bandwidth and standardization to roll these mobile killer apps out. Once some of the current bottlenecks are solved, or at least relaxed, I believe there will be a rush of mobile innovation that’s been sitting on a shelf, biding its time.

Here’s just one example. While on Kauai, I started dreaming of actually owning property there. I indulge in this little fantasy (the huge gap between my income and Kauai property prices unquestionably defines this as a fantasy) ever year. So I did a little searching on Zillow.com just to see how out of reach my dreams were. Now, on the laptop, Zillow is a rich information resource for real estate shoppers. But when you go mobile, its functionality is limited to texting an address to Zillow, and it sending back the current market price of the property as a return text message. While intriguing, this falls far short of Zillow’s total online experience. How amazing would it be to drive through neighborhoods, GPS-enabled PDA or smartphone in hand, and have maps instantly updated with available properties and details. You can almost hear the words coming out of my mouth: “It would be so great if…” Well, you get the idea.

Google: A Map In The Right Direction

I used Google Maps on the mobile a lot while I was away, and I have to admit, I’m pretty impressed with the functionality that has been squeezed into this little app. But we’re barely scratching the surface of what’s possible. Using it to look for a good Mexican restaurant while hiding out from a downpour in Waikiki was an experience that would have driven a lesser man to tears. It’s not really Google’s fault, it’s the lack of online, mobile-friendly presence on the part of almost every business on the planet. Yes, I’ve heard all the market rationalizations about early adoption, critical mass of markets, bandwidth required to mobilize local advertisers…yadda, yadda, yadda. But dammit, the potential is just so tantalizing!

So, my expectations of mobile nirvana fell a little flat, but you’ll be happy to hear I made a full recovery after intensive and repeated beach and Mai Tai therapy.

Mahalo!

More on Why Google is Habit-Forming

First published February 21, 2008 in Mediapost’s Search Insider

In last week’s Search Insider, I introduced the idea of habits, and why they can be hard things to break. This week, I want to explore how search engines can be habit-forming as well.

Cognitive Lock-In

Habits form and stay formed because there is usually a cost associated with discontinuing the habit. In a commercial interaction, this is referred to as the “cost of switching.” These are the lock-in mechanisms that companies hope will keep you from walking across the street to their competitors. In theory, the cost of switching on the Internet should be negligible, creating a frictionless, “perfect” market. There’s no financial penalty. The Internet erases geographic boundaries. And this should be especially true in search. After all, other search engines are only a click away. But researchers (Johnson, Bellman and Lohse, 2003; Brynjolfsson and Smith, 2000) actually found the opposite to be true. It seemed that customer stickiness can actually be greater online. So, if it’s so easy to switch, why aren’t more people doing it?

It appears, based on research (Zauberman, 2003), that there’s another cost of switching, the cost of learning new interfaces. This has been called “cognitive lock-in.”. As you become comfortable navigating through a site, the cognitive cost of learning new interfaces tends to build your loyalty and keep you “locked in” to the site. This happens in the real world as well, and could explain my wife’s seemingly irrational loyalty to the bad grocery store I described last week. She knows where everything is. She knows where to park. And she knows who to argue with when products don’t meet her standards (as well as how to get her point across — it’s an Italian thing). It may not be great, but it’s familiar!

Will Differentiation Increase the Power of Lock-In?

A recent study (Murray and Haubl, 2007) found that cognitive lock-in comes from habits of use as well as habitual choice. Both are relevant in the search space, but let’s put habitual choice aside for a moment. Habits of use form when we become familiar with using a product, the actual mechanics of how it fits us in realizing our goals. We know how to use Google, for example, and how to refine it to get the results we’re looking for. We know which links take us where, which tabs to hit and even through we never use it, the “Feeling Lucky?” button reminds us we’re on Google. When Google tried to remove it, based on lack of usage, there was a huge user backlash.

This sense of familiarity meant that until recently, all search engines looked the same. The same ten blue links, the same treatment of sponsored ads, the same basic layout. But in a recent set of interviews with all the major engines’ design and usability teams, it was made clear that we can expect more differentiation among the engines. Ask’s departure was just the first step in this movement.

It’s Not Just a Tool, It’s a Badge

But it’s not just the utility of an engine that increases lock-in. There’s also habitual choice. This comes from our lock-in to a brand. We always drink Coke, we always drive a Honda, we always fly Southwest, we always search on Google. Yes, even something as utilitarian as a search engine engenders brand allegiance. We identify with brands because they help define us as individuals. And this has happened to varying extents in the search space.

There Will Never Be Another Google in Search

You might ask, if Google became a habit, what’s to stop another engine from also becoming a habit? Well, first of all, it won’t be nearly as easy for a new player as it was for Google. Think back to when you first used Google. No one engine had established itself as the user’s choice, creating the “lock-in” effect. I used to hop back and forth between four or five engines, depending on my objective and the closest engine at hand. I’d perhaps start at Infoseek or AltaVista, and if I didn’t get a great result (which was pretty much always true) I’d try Excite or HotBot. Then, finally, in desperation, I’d sort through the hierarchal jungle that was Yahoo. No engine had become a habit.

Google’s genius was in providing pretty good results for a wide variety of searchers. Suddenly, I didn’t have to hop from engine to engine, because nine out of 10 times Google provided better results. By the time the rest of the engines had closed the gap, I was already locked in. Now, arguably, other engines provide better results for certain types of searches. But Google is habitual. It’s going to be an uphill battle for the competition. In fact, Google is such a habit; its name has even replaced the word “search.” We now “Google” it.

So, where does that leave the competition? I have some ideas, but they’ll have to wait till next week.

Interview: Branton Kenton-Dau of VortexDNA

In this week’s Just Behave Column, I had the opportunity to interview Branton Kenton-Dau from Vortex DNA. I’ve posted the complete transcript here for those that are interested:

Gord: 
So I think what we’ll do in this interview is cover off on a basic level what VortexDNA does, and then we’ll get into a little bit more about the potential I think it has for users.  So, it’s obviously an interesting idea using core values to try to determine intent. Maybe I’ll let you just walk through a little bit about how VortexDNA works, and why your approach is unique.

Branton Kenton-Dau: 
Yeah, thanks Gordon. I think that is a great place for us to start, and I think for us, it probably would go back to the human genome project itself, where we initiated as a society this project to map our human DNA.  And the great vision around that was that once we knew what our physical DNA was like we would be able to define the characteristics of your world and in particular help prevent  serious illnesses.  And one the outcomes of that project, was actually we found that there weren’t enough genes.  We found too few genes to map the 100,000 chemical pathways of our body; and that since then, where science is taken us is that it’s demonstrated that our physical DNA actually doesn’t determine who we are, but the whole science of epigenetics is saying actually it’s our environment, you know what we eat and particularly what we believe about ourselves which determines our propensity to be ill, to be healthy, to be successful or not.  So, actually our belief system is a major impact in determining who we are, and what is exciting about that is basically it represents a shift for us as a society from the very deterministic view of ourselves; that we are basically physical machines. Either we’re broken or not, depending on what our parents gave us, to the idea that we are actually beings that are creating our own lives with much more build out of what we  believe about ourselves at any moment and any time. That’s exciting because what we believe about ourselves can obviously be changed.  And basically what VortexDNA is is a technology that came out of the insight that the way we structure our beliefs is governed by the mathematics of complex systems.  What that means is that we know the structure our beliefs, and because of that we can then map out the structure of our intentional DNA, the intentions behind the world we create, and that’s basically the breakthrough, the technology. It provides a map of the way people organize who they are, literally who they are, through their belief systems.  And out of that, then comes the opportunity to create a better world for yourself whether that’s finding your best life partner or finding better research results or finding better car insurance rates because your particular belief system has a low propensity for accidents. It actually touches every part of your life, because we are actually mapping human characteristics.  The true genome, if you like, based upon the new science.

Gord: 
Okay, this is an interesting approach and undoubtedly a unique approach. I don’t know anyone else who is doing this. But you know, I approach this with a fair degree of cynicism saying, okay, obviously if you learn more about my belief system you can try to map that against the content of the internet. But how well does that actually work because my beliefs are the foundation, but on top of that, there are a lot of layers of intent for a lot of different things. How granular can your belief system be in disambiguating intent?  In some searches, I would see it working very well where it points to sites that you know resonates with my belief frame work, but in others where it is a much more practical “looking for information”, will trying to anticipate with my beliefs might indicate would be a good site, will that really be a good indicator of relevance?

Branton Kenton-Dau: 
That’s a really good question Gordon; I think that the answer to that is that we don’t know yet.  I think that we are at very early stages of really what is the science of human intention, I mean, that’s really what’s it about.  And what I can share with you is that we validated the technology last year against Google search results, and that’s where we were able to show that we can improve Google’s page rank by up to 14% which would improve it by a 3% improvement in click rates.  And, what that seems to be saying to us is (it does help), and that’s across the board, people obviously searching for anything and everything that’s possible on the web, we were analyzing that data.  We haven’t been able break that down to say whether or not if you’re hunting for a job, we are able to provide better recommendations than when you are looking for your recipe for custard or something; we just don’t know yet enough about it.  One of the things is interesting is that when we had our expert review done on that data by a Rhode Island consultancy firm, they said that they the way that the technology works, because it’s iterative, i.e. it learns as it goes.  He said that we probably have no idea yet of how efficient the system is, we don’t know because we are dealing with a very small sample and as more and more users and more DNA is selected on links of the net, then there is no reason that it can’t actually be more effective than we’ve demonstrated, but we just don’t know yet.  It’s just early days yet.

Gord: 
You made the comment that this is iterative and it learns as it goes, and from going through your site I see you answer an initial questionnaire; and I’ll get to the whole privacy question, or the perception of privacy question is probably more accurate, I’ll get to that in a minute. But you answer the questionnaire that creates an ideological or a value-based profile of you which then gets mapped against different sites.  But then, at anytime you can go back and answer more surveys to further refine what that profile looks like.  How much of this refinement process or this learning process is incumbent on the user as opposed to transparent in the background just by VortexDNA watching what are you doing and how you are interacting with different sites?

Branton Kenton-Dau: 
The answer is this system actually learns that every time you click on something, because every time you click on something, if you have downloaded the extension, the MyWebDNA extension, basically every time you click somewhere it’s a statement of your intentionality, so if other people have also clicked on it, it helps build up a map for that link of the intentionality that has been focused on the link.  So, we can feedback that intentionality into your own profile and therefore you don’t have to do anything.  Actually this year we will probably do away with the survey, so then you will won’t even need the survey to get started, that was just like a pre-heat process.  So, all we have to do is just surf as normal and you will be monitoring the state of your intentionality moment by moment with each click you make.

Gord: 
Okay, so let’s deal with that a little bit.  If you are monitoring my activity, in some ways this overlaps with what Google is doing with their web history and their search history, where they are tracking your usage and trying to learn more about you as an individual, theoretically, and then altering the results on the fly based on the personal signals it’s picking up. What you are doing is you are layering this outline of core values and what our belief systems are over and above that to say, “Okay well, not only are we watching what you are doing; we are trying to understand what’s important to you as an individual.”  Now, if we take that and we say, Okay I am in a business where at any given time for any given hour I’m working, I may be doing research, I might be writing the column on hate literature in North America, so I am going to be going to the sites of Neo-Nazi groups, trying to find information..that’s just part of my job.  How do you know that that doesn’t reflect my belief system, how do you know that this is just something that I happen to need to find information on right now?

Branton Kenton-Dau: 
There are two parts to that.  One is that I feel we are very respectful of what Google and Yahoo, and their analysis in the whole semantic web push are doing in terms of trying to make the web more relevant to people and we do believe our technology is complementary to those approaches.  We don’t believe we are competing with any of those and, as you say, it’s overlay, it’s additive to those.  Having said that, we are really completely different to that because, it’s actually the structure, the pattern, the way your beliefs are organized that we are interested in, and what that means is that we actually turn your answers to your questionnaire, what you click on, into just a set of numbers.  There are seven numbers that correspond to different aspects of that pattern of organization, that makes up your intentionality.  And so, really when you are going around, what we are doing is as you click on something, we will compare your number, it might be 7632416 say, with the numbers that are held against that link.  So, what we are doing is we are comparing numbers, we don’t know whether you’ve gone to a Nazi site or whether you are looking for apple pie recipes. We have absolutely no idea and maintain no record of where you’ve been, in all those sites. So when your genome is updated, because you’ve gone to this site,  we might update your genome because you’ve been to that site to change one of your digits in one way, by one point or so, then that digit could be changed from any site you ;  the news or Yahoo! or whatever.  So, what makes us really truly unique with this approach, which we think is really important, is that we absolutely protect your privacy because we do not track your searches in any shape or form because we are just adding or subtracting numbers from that seven digit identifier.  So it makes no difference to us, and I think that’s a really powerful thing, because you know there is concern with people for what information people hold on them and all we hold is a seven digit number, and you could be anywhere, it could have been Walt Disney Movies, it could have been finding out about the players in your favorite football team, it makes no difference to us.  So we can’t tell even if a law enforcement agencies came to us, and asked to us, “hey, where has Gord been”, we would have no idea, we could not tell them.

Gord: 
So what you do is in your identification of all the sites, you look at the sites and you assign each of those a profile and then your profile is altered on the fly based on the profiles you are matching up with against your content then, right?

Branton Kenton-Dau:  That’s correct and they’re all number, those profiles are numbers so…

Gordon: 
Right.  So there is no history retained, it’s just a constantly updated value which in turn, with every time you go out, is compared against all the values of the sites that come up in a search engine for instance, and the best possible matches are highlighted in the search results then.

Branton Kenton-Dau: 
Thank you, that’s absolutely perfect.

Gord: 
That’s interesting.  And now, obviously, that’s a totally different approach and one that should put some fears to rest on the privacy side, but I’ve got to tell you when I checked out VortexDNA and went through the process of the download, the whole idea of filling out a  questionnaire identifying my belief system, it gave me cause for concern. It was funny because as far as identifying me as an individual, the demographic information I fill out here and there across the web is potentially much more of a cause for concern for my privacy, because there is identifiable information in there.  I don’t usually have a second thought about but something about putting my beliefs down and sharing them with somebody else was very hard for me to do. Are you finding..and you said that you are probably going to drop the questionnaire…but are you finding that as a sticking point for people signing up for VortexDNA?

Branton Kenton-Dau: 
I think some people never think about it.  We get up in the morning, brush our teeth and go to work and make our daily bread.  Sometimes we don’t have time to think at all, “why am I here?”, and when you ask the question, “what’s your purpose in life?” Well that’s a pretty profound question.  What we found is that some people don’t fill in (the questionnaire) correctly or too quickly or they just answer anything, they don’t really think about it deeply and therefore, because noise goes in, they just get noise out.  That’s where over the course of last year we actually developed what we call this idealized genome. We can just infer your genome by what you click on.  We think that’s a much better way, and we can do that for instance, by just playing a game.  We can show some images, pick some of your favorites, we can infer your genome that way.  So, lot’s of more, less mentally taxing and more fun ways that we can get you started in creating your genome, your profile, which we think would work a lot better.

Gord: 
Well, you mentioned this whole approach may limit your potential market just because a lot of people haven’t thought about what their core values are or what their beliefs are, so the whole appeal of VortexDNA might be lost on them.  Unless you are a fan of Stephen Covey or you’ve read Built to Last, or Good to Great, you may not get it.  What are your thoughts about that?

Branton Kenton-Dau: 
I think you are right, and I think that the technology is broad enough, so it can serve anyone, whatever their focus is in life, and that it’s our responsibility to make sure that it’s that easy to use. We like to be able to do it (transparently), say, if you want to play Pacman, this way you are building up your profiles, and we can enable you to do that.  And we should be able to that shortly.  At the same time, I think one of the really key things about the technology, and certainly from my point of view of what, you know, gets me up in morning is the fact that I think it really is empowering for people to understand that the lives that they create, they literally do create it, it’s not given to them. Who you are is not determined by your upbringing, or your life experiences, or by the genes your parents gave you; but it is actually created by you moment by moment.  And, it’s my hope that the technology would help. It’s really a very American thing, in the sense that there is all about human freedom ultimately, and it gives people more freedom as they realize, “well, I am the creator of my life and if I am going to keep stuck in this rut then it is what I believe about myself that is keeping me there.”  That’s what I find exciting about the technology, so I hope that may dawn on some people faster than others and that’s okay, there is no problem with that.  But I believe the technology has the ability to make a contribution to human freedom ultimately.

Gord: 
So, you are climbing up Maslow’s hierarchy to the top level?

Branton Kenton-Dau: 
Yes, I absolutely believe that and I think that  we as human beings are always trying to really understand our true ability to create reality, and that our intentionality is, if you like, part of ourselves that we probably put less effort into training than anything else.  We spend a lot of time on the fitness machines or jogging to keep our bodies in shape, but we haven’t spent a lot of time in what actually seems to be a real key factor in determining the success of our life, which is our intentionality; and so I am hoping the technology will help focus us on that.

Gord: 
We’ve talked about some pretty lofty ideals for a technology here. About  helping people with self-actualization, and become better people, and become more aware of both what’s important to them internally and externally.  All of which is great for any fans of Collins or Covey who might be reading this or listening to this. We are getting to the hedgehog concept here; you are obviously passionate about this, you’ve got something different that you can be unique in, possibly best in the world at.  Now, comes the money question. How does this drive your economic engine? What’s the business model for VortexDNA, and how do you see that playing out over the 2 years to 3 years?

Branton Kenton-Dau
We have given a lot of thought about that and made a lot of mistakes as well and I think U-turns on it.  But basically, the company I represent, we basically have a technology which we issue licenses to other organizations and participate with them as strategic partners. For instance, in rolling out the technology.  And there are two kind of key parts for that, two key aspects of the technology, one is that the technology can be used by any ecommerce sites, whether that’s an e-tail or social site, in order to provide better recommendations, using their algorithms.  So, that’s a pure B2B solution, and we have the company incorporated in United States at the moment in order to do that. We would be interested in anyone who would like to partner with us to roll that out.  And then, the other side is that we feel we can create a better web by harnessing the power of mass collaboration, just like Wikipedia, to map the genome of the web and out of that, will come better search engines, will come a better ability to find people like you anywhere you are, enhance your blog, pretty much a holistic upgrade if you like, of the web itself. And that, we believe, like search engines themselves, is a pure advertising based free service to users.  So, we see there is an application there and in fact within next 30 days, we will be launching the Web Genome Project with its own website, and that would be an advertising based play again.  We believe that that has potential in every country in the world and we are open to issue licenses to partners that would like to take up the opportunity.

Gord: 
This territory has been somewhat explored in the past, you know the one example I am thinking of with the Music Genome Project where Pandora tried to use your past songs you like to recommend more songs you might like.  So, is this somewhat similar to that except obviously a much broader scope. Anything that could be on the web, right?
Branton Kenton-Dau:  That’s correct, I guess the difference would be that what’s great about the Web Genome Project is that while you sleep, millions of other people will be clicking on things that will make the web better for you in the morning.

Gord: 
Right.

Branton Kenton-Dau: 
That’s what’s so cool about mass collaboration. You do your clicking, you click on whatever, a thousand links in your day, but while you are sleeping well there are millions of links that have been updated and have better DNA against them, so that you can find what you want better when you wake up in the morning, and that’s really exciting.
Gord:  It’s definitely one of those big idea things.

Branton Kenton-Dau
Yes.

Gord
To flip this on its side, as a community we are all clicking away, and this DNA matching is going, so it’s making the web a better place, as you say, collaboratively, but on the flip side of that, once you’ve identified or a profile has been built that’s been refined over time based on the sites you found interesting or you’ve spent time with.  That’s a unique identifier that says something about you so, theoretically, down the road, if somebody comes to a site, if the owner of that site can identify what’s important to that person based on the profile, it could on the fly serve up content matching those beliefs, is that another possible application for this?

Branton Kenton-Dau: 
Thank you, that’s what I was attempting to describe in the first application, that’s the B2B solution.   So an e-tailer or search engine can now take out a license to run the application, the user would visit the site, you won’t see anything different through your Google search or through your Amazon book recommendations, but that’s all being added to the recommendation engine behind, so you are just going to say “hey, for some reason, I just feel that I am getting better recommendations now”.  So, it’s our way of making the web more efficient and that technology is available right now. We’ve got three installations in United States currently progressing, and that’s the other, that’s the business-to-business model, and we believe that has applications around the world as well.

Gord: 
So, for any business applications the big question is critical mass, how many people will be downloading the plug in and using it?  This is fairly new, how long has the Firefox plug-in been available?

Branton Kenton-Dau: 
About a year now.

Gord: 
What has the adoption been like to this point?

Branton Kenton-Dau: 
At this point, it’s been slow because what we’ve actually done is that plug-in was actually built initially to validate the technology.  That’s what we had to do last year, and then we spent the rest of last year really building enterprise-grade technology that enabled to be used by clients. So we really start the year, as I said, the next 30 days will see the Web Genome Project being launched, so we are only just at the start of the technology coming online.

Gordon: 
Are there any plans to accelerate the adoption either through partnerships or bundling or other ways to actually get people to download the plug in and start using it?

Branton Kenton-Dau: 
There are, I mean for each of the people, partners, e-tailors that would like to use the technology, we’ll be producing custom versions with extensions for their users, so that, they will encourage their uses to download the extension, because that will help map the DNA of their links quicker.  So, that will speed the application and we have also got plans to provide custom versions of the extension also to people of different social networks, so that they can enhance the experience within social networks as well.  And then, also if you’re logged in to any service, if you have an account with Amazon or some other e-tailer, you actually don’t need to use the plug in because when you login they already know who you are, so you already will be able to get better recommendations from that person without using the plug-in at all. You won’t see it. It would be completely seamless and invisible to you, and you just get a better web experience.

Gord: 
So, if you log into Amazon for instance, I guess it just keeps the profile so that profile would not be portable then.  It would stay with Amazon, and I think to get to the broader context of what you are talking about, the portability of that profile, the fact that it goes with you from site to site, would be an important part of that, right?

Branton Kenton-Dau: 
That’s why we see the extension would be great if people did use it or it just became embedded in web browsers generally.  Because it will give you a more universal better experience. 

Gord: 
Okay so looking forward, you’ve done a lot of development on the backend to build the infrastructure, and the theory is there.  Now, it’s just a matter of having it proven out in real world situations, right?

Branton Kenton-Dau: 
That’s exactly what we are about to see. That’s why these installations are taking place at the moment in the United States to validate that, and we are getting started with the Web Genome Project, it is all about delivery this year.

Gord: 
Well, it’s fascinating, like I said it’s one of those big idea things that is fascinating to contemplate.  Is there anything else you wanted to add before we wrapped up the interview?

Branton Kenton-Dau: 
We’ve worked on this  pretty much, well, it’s been an 8-year project, so it’s not been a fast thing for us, but I just thought I might share  a couple of books that have been really important to me which you probably know about anyway. One of them that I just finished reading is The Intention Experiment by Lynne McTaggart who is also the author of The Field. What is nice about that is she just documents all the rigorous science that is basically saying that we are shifting our paradigm, to understand we are more like any energy fields, if you like, than physical bodies, that’s the definition of us.  And just the science has come out of Stanford and other places that validates that, is just awe inspiring.  And then, the other one is The Biology of Belief by Bruce Lipton, which gives that whole transition process from us believing we are physical genes to the whole science of extra genetics, if it’s actually our environment including our beliefs which is a key factor in determining who we are; and I just wanted to share those because I found those two books very inspiring.  They happened after the fact. We didn’t build the technologies because we read the books, but with the books now, we say “oh yeah, that’s why our technology works.

Gord: 
Well, it’s interesting you mentioned that because it seems like anytime I ‘m talking to people about really interesting things there has been this almost renaissance of understanding about what makes us as humans tick, starting in areas like psychology, neurology, and evolutionary psychology and a whole bunch of different areas.  And it all started to happen in the early 90’s, and just for the last 10 years to 15 years, it seems like so many paradigms have shifted.  We’re just looking at things in a whole new way and I agree with you, it’s very inspiring and exciting to know that everything seems to be in such flux right now.

Branton Kenton-Dau: 
I absolutely agree with that, and that’s been our sense as well.  It’s just such a privilege to be part of that process.  I know your comments and what you are doing is aligned with that as well.  You know, we are all doing it, but when we are creating together, we are creating something which is new and exciting, I think, and we all have our parts to play in it.  I find it a privilege to participate in this, really, it’s human movement in taking us forward at such a rapid pace as well, so we are now absolutely aligned with what you were saying there.

Why Google is Habit Forming

First published February 14, 2008 in Mediapost’s Search Insider

My wife Jill was the victim of another drive-by “why-ing” — and I, of course, was the perpetrator.

There’s a small specialty grocery store where we live that Jill visits every week or two. And almost every time, she complains about the experience. Outdated stock is repackaged. Food is rancid. The staff is surly. But she keeps buying there. After listening to another long-winded vent, I dared to go where no man should go. I asked her “why?”

There were a number of reasons that she gave. It’s on the way on her daily route. Parking is convenient. Prices are low. But the biggest reason was one she didn’t express, because she didn’t know it. It had become a habit. And habits are tough things to break.

Why We Have Habits

Like almost everything else, habits are a way we cope with the world. They’re cognitive shortcuts so we can save our brains for more appropriate work. And most times, they work pretty well. When things work the same way the majority of times, we don’t have to think about them every single time. We relegate them to habits. It’s why we have such difficult times with doorknobs, even when we’re given instructions (“push” or “pull” –and thanks to SI reader Peter Simmons for the example). Our brain is in short-cut mode, so it’s not taking the time to read signs. Based on the shape of the door handle, the presence or absence of push plates, whether we’re entering or exiting and other cues, the brain makes a decision to push or pull without really consulting our conscious mind. We won’t even see the sign (which would engage our consciousness) unless we don’t get the result we expect.

Habits are grooves worn in the brain, and they tend to be relatively durable because of that. The rule of thumb seems to be about three weeks. So, if you moved a light switch from the right side of the door to the left side, it would take about 21 days before your brain stopped telling your right hand to turn on the switch.

The Hand is Quicker Than the Brain

Here’s the important part of that circuit (the one in the brain, not the one that turns on the light). The loop between the brain and the right hand is an unconscious one. It’s made of synapses firing on autopilot. At a conscious level, you know the switch is on the left side, but the conscious loop is slower than the unconscious one. It’s the laziness of the brain at work. If we don’t have to think about everything, why should we? So your right hand is already patting the wall looking for the switch before your rational, thinking brain catches up and says, “It’s on the other side, idiot.” This has to happen a couple dozen times before the new groove in your brain is established and you can go back to not thinking about turning on the light switch.

Why Incumbents Usually Win

Now, in my typical, roundabout way, I am getting to why this is important in search. If we think about habits, it starts to become clear why Google has such a huge market share advantage. I’d like to introduce another idea called the “incumbency effect.”   When it refers to politics, the incumbency effect means that once you win an election, you have a greater chance of winning subsequent elections for the same office. This is due to several factors that give you the edge in the eyes of voters: familiarity, experience in the role, access to funding and the ability to call in favors racked up during the previous term. All things being equal, incumbents are tough to beat.

But in other arenas outside politics, the incumbency effect can also be driven by the fact that habits are formed. It’s not just the rational reasons why an incumbent can be tough to dethrone; it’s also the irrational ones. The incumbent has worn a groove in our brain. And to knock off an incumbent, with all these things in their favor, you can’t just be a slightly better alternative. You have to be significantly more attractive. Either the incumbent has to screw up badly, or you have to offer a dramatic improvement over them.

As per usual, my weekly allotment of words has run out before my idea, so I’ll pick this up next week, when we look at the incumbency effect and a parallel concept, cognitive lock in, and how they’re playing out in the world of search.

Wedding Night Advice for Microsoft and Yahoo

First published February 7, 2008 in Mediapost’s Search Insider

Now that there seems to be some sort of union in Yahoo’s future, blessed or otherwise, I felt the urge to pass along some advice to whoever the happy couple might be. For, in all this talk about the impending nuptials, the clear objective is to survive and compete in the business of attracting the attention of prospects online.

I offer this advice on behalf of users, because frankly, I think that’s the only perspective you should be interested in. I’ll explain why.

Why Search is Essential

First of all, there’s a lot of talk about how a Microsoft-Yahoo deal would give you the biggest chunk of the online ad network space, and this is true. But I hasten to add: Don’t forget search. Google has stumbled in rolling out another significant revenue channel that holds up against its search business, yet it has still dominated. That’s because the importance of search has been understated up to this point. Here’s why search matters.

Search is the thin edge of a wedge that is marking a fundamental change in advertising. And it’s fundamental because it’s initiated by the prospect. The importance of that sometimes gets missed by marketers, who start looking at search as just another weapon in their arsenal.

Search is important because of expressed intent. That puts it in a whole different league than all other advertising, online or off. Behavioral targeting is effective, but it’s still intrusive and interruptive. We ask for search results. That’s a different level of engagement, a different balance of control, and a different mindset on the part of the prospect. It’s the first place that balance shifted from the marketer to the customer, but it won’t be the last. Search is forging the way, but customers will demand that level of control and relevance to intent in more commercial communication from corporations. So, for all the talk about ad serving networks, it’s vital that the new duo gets search right. All the truly effective revenue channels will lead from search and the new principle of prospect initiation, including the vast untapped mobile and local markets. You can’t afford to screw it up.

Users Come First, Advertisers Will Follow

Secondly, all you should be focused on is one thing, and that’s meeting the expressed need of the user. Don’t talk to me about balanced ecosystems or serving the needs of both users and advertisers. While as an advertiser I appreciate the consideration, as a user I call it hogwash.

Search cannot serve two masters. One has to prevail. And it should always, always, always be the user. Users are the prospective customers, and without them, the equation doesn’t work. Get users, and the advertisers will follow. And those advertisers will play by the rules laid out by the users because they have no choice. Google gets it (probably due to the philosophical bent of Google and an inherent suspicion of advertising) and you’ll have to get it too to compete. So those ads better be highly relevant and in the user’s interest if they appear. If they’re not, don’t show them.

If you pay attention to nothing else, please pay attention to this one point. It’s vital to your success.

Church and State: Antiquated Concept?

The final piece of advice is not to be so set on holding on the divide between church and state on the search results page. This is one holdover from the offline world that may be due for rethinking.

The concept of the church/state divide came from the fact that advertisers will always push their advantage. That’s one reason why you can’t have a balanced ecosystem. Advertisers have always had a much louder voice that gets heard more often. So in traditional channels, the only answer was to divide up the page (or other real estate). Advertisers had free reign over some sections, but they had to keep their hands off others. Consequently, we’ve learned to largely ignore the real estate given over to advertisers. The success of this church/state division has been questionable in the past, but it’s a relic of journalistic thinking that somehow became entrenched in the world of search.

But if you pay scrupulous attention to my first two pieces of advice, you don’t have to worry about church/state. The fact is that in search we have expressed our desire for relevant information, and if that information is commercial in nature, and it matches our intent, than we’re open to it. At my company, we’ve looked at interactions with search advertising in minute detail, and while people will self-report an aversion to advertising in general, in the midst of a task, relevance trumps all. If an ad is the closest match, it will succeed.

This opens the door to mash up editorial functionality with commercial messaging in a richer way. As search becomes better at determining intent and delivering richer results, the opportunity exists to seamlessly integrate commercial messaging with other information in a user-centric way. But user trust is paramount. Let the user set the rules of what’s acceptable.

So, whatever happens, this is the advice I would give. There’ll be a lot on your mind in trying to navigate the new union, so I’ve kept it simple. You can thank me later.

SpaceTime: Another Dimension to Search

The quote on the home page of SpaceTime is intriguing:

“I think I’ve found a product that makes the Google interface look like it was designed by Apple.”
Rob Enderle, Enderle Group.

Now, those are two pretty big names to throw around. But you know what? Based on an initial test drive, SpaceTime just might be up to the challenge. This is a paradigm shift in browsing behavior. When I interviewed Jakob Nielsen last summer, he took Ask to task for calling their interface 3D.

Gord: Like Ask is experimenting with right now with their 3D search. They’re actually breaking it up into 3 columns, and using the right rail and the left rail to show non-web based results.
Jakob: Exactly, except I really want to say that it’s 2 dimensional, it’s not 3 dimensional.
Gord: But that’s what they’re calling it.
Jakob: Yes I know, but that’s a stupid word. I don’t want to give them any credit for that. It’s 2 dimensional. It’s evolutionary in the sense that search results have been 1 dimensional, which is linear, just scroll down the page, and so potentially 2 dimensional (they can call it three but it is two) that is the big step.
Well, SpaceTime attempts to jump the gap to the 3rd dimension by giving web browsing depth as well as heighth and width. Is it successful? Yes and no. But there’s enough “yes” here to significantly change your browsing experience, especially when it comes to searching, and to entice you with what the possibilities might be.

spacetimeopensm

(I tried to get more screenshots, but SpaceTime is a bit of a memory hog, and I didn’t have enough to run SnagIt and SpaceTime as the same time without them both crashing)
Lately I’ve been spending a lot of time writing and talking about how search helps us make decisions where we have to gather and compare alternatives, as in researching an upcoming purchase. This is called satisficing, and search is built to be a natural extension of our working memory. But one of the drawbacks is searches fairly rigid interface. We can usually only see one page at a time. Even the introduction of tabbed browsing, while a step in the right direction, still feels rigid and linear. We pogostick back and forth between pages and the search results. And as I’ve said before, linear is not how humans operate. We’re used to dealing in random ways in 3 dimensional environments. The 20th century squeezed us into a linear, 2 dimension, sequential mode, just because we didn’t have any choice, but the 21st century will be one of navigating within 3 dimensions (and probably 4, as technology allows us the shift timelines to suit our purposes more often) and picking our own random paths through them, berry picking our content. SpaceTime (notice the inclusion of the 4 dimensions in the name) is an interface built to allow this to happen.
Don’t Worry, Be Crappy
Guy Kawasaki always says, when you have something revolutionary, don’t worry, ship it even if it’s crappy. It worked for the Mac. Let’s hope it works for SpaceTime.
Now, to be fair, the SpaceTime interface is far from crappy, it’s a prettty polished piece of work. But if we’re moving into a 3d environment, I want to be able to interact with it in an intuitive way. SpaceTime doesn’t quite allow me to do this yet. I can’t grab and manipulate items in the 3d space. I have to use the buttons and controls SpaceTime provides to go from page to page. But the advantages SpaceTime offers, allowing me to quickly flip from page to page, all the time keeping a visual history of my browsing in a bottom timeline, more than makes up for the pain. This turns pogo sticking into an experience more like spreading options on a table in front of you, allowing you to spot the things that appear to be what you’re looking for. And that’s a big shift from what we’re used to.
In the test drive, I also found that auto loading videos and other rich streaming media seemed to give the SpaceTime interface some hiccups (interrupting the SpaceTime continuum — sorry, couldn’t resist) but I’m sure that’s being worked on. This is version 1.0, after all. Generally, it performed pretty well. In fact, one of my favorite uses was browsing through videos in SpaceTime.
But if we look forward into where things are going, with multitouch displays and surface computing, SpaceTime is the step that’s needed into a much more natural user experience. I’m sure the grab and manipulate options I’m looking for are just a version or two away, waiting for more access to the underlying OS to integrate these features in. But Microsoft or Apple has to let this happen. In fact, once you get used to operating in SpaceTime, going back to 2 dimensions just seems clunky. I’d be amazed if one of the two doesn’t snap SpaceTime up soon. Of course, it could also be that SpaceTime just got out first and there’s something in the Apple or MS labs very similar. I’d love to see a mobile version of SpaceTime on the iPhone!
And this is the cloud on SpaceTime’s horizon. While it’s revolutionary, it can’t survive as a stand alone app. This is something screaming to be incorporated into our online experience, and much as I like it, I probably won’t use it again. It’s great for searching, but rather pointless for standard browsing. Where it shines is when you need to consider a number of alternatives, as in search. It’ll linger at the bottom of my programs list, out of sight and out of mind.  I’m too used to my current browsing experience, and the paradigm shift required to use it as my new browser is too great. Without being adopted by a major player, the proverbial 800 pound gorilla, TimeSpace may die on the far side of the Chasm. And that would be too bad, because SpaceTime is all kinds of cool. Let’s hope either it shows up on a MS or Mac interface, or finds a niche it can survive in. Perhaps it’s the next Google acquisition.
Check out SpaceTime. Just one word of advice for them. Dump the autoplay video. It irritates the hell out of me. And is it just me, or does CEO Eddie Bakhash look like Danny Bonaduce?
But I digress.

Persuasion on the Search Results Page

First published January 3, 2008 in Mediapost’s Search Insider

Chris Copeland took out 2007 with one last jab at the whole “agencies getting it” thing. Much as I’m tempted to ring in the New Year by continuing to flog this particular horse, I’m going to bow to my more rational side. As Chris and Mike Margolin both rightly pointed out in their responses to my columns, we all have vested interests and biases that will inevitably cause us to see things from our own perspectives. Frankly, the perspective I’m most interested at this point in this debate is the client’s, as this will ultimately be a question the marketplace decides. So, for now, I’ll leave it there.

But Chris did take exception to one particular point that I did want to spill a little more virtual ink over; the idea of whether persuasion happens in search. Probably the cause for the confusion was my original choice of words. Rather than saying we don’t persuade people “in search” I should have said “on the search page.” Let me explain further with a quick reference to the dictionary, in this case, http://www.m-w.com/dictionary/persuadeMerriam-Webster:

Persuade: to move by argument, entreaty, or expostulation to a belief, position, or course of action.

In the definition of persuade, the idea is to move someone from their current belief, position or course of action to a new one. The search results page is not the place to do this. And the reasons why are important to understand for the search marketer.

For quick reference, here’s Chris’s counterargument: Persuasion is at the heart of everything that we do in search — from where we place an ad on a page (Hotchkiss’ golden triangle study) to how we message. The experience we drive to every step of the process is about understanding behavior and how to better optimize for the purpose of connecting consumer intent with advertiser content.
I don’t disagree with Chris in the importance of search in the decision-making process, but I do want to clarify where persuasion happens. What we’re doing on the search results page is not persuading. We’re confirming. We’re validating. In some cases, we’re introducing. But we’re not persuading.

As Chris mentioned, at Enquiro we’ve spent a lot of time mapping out what search interactions look like. And they’re quick. Very quick. About 10 seconds, looking at 4 to 5 results. That’s 2 seconds per listing. In that time, all searchers can do is scan the title and pick up a few words. From that, they make a decision to click or not to click. They’re not reading an argument, entreaty or expostulation. They’re not waiting to be persuaded. They’re making a split-second decision based on the stuff that’s already knocking around in their cortex.

Part of the problem is that we all want to think we’re rational decision-making creatures. When asked in a market research survey, we usually indicate that we think before we click (or buy). This leads to the false assumption that we can be persuaded on the search page, because our rational minds (the part that can be persuaded) are engaged. But it’s just not true. It’s similar to people looking at a shelf of options in the grocery store. In a study (Gerald Zaltman, How Customers Think, p. 124) shoppers exiting a supermarket were asked if they looked at competing brands and compared prices before making their decision. Most said yes. But observation proved differently. They spent only 5 seconds at the category location and 90% only handled their chosen product. This is very similar to responses and actual behavior we’ve seen on search pages.

Now, if someone is in satisficing mode (looking for candidates for a consideration set for further research) you can certainly introduce alternatives for consideration. But the persuasion will happen well downstream from the search results page, not on it.

Am I splitting semantic hairs here? Probably. But if we’re going to get better at search marketing, we have to be obsessed with understanding search behavior and intent. Chris and I are in agreement on that. And that demands a certain precision with the language we use. I was at fault with my original statement, but similarly, I think it’s important to clear up where we can and can’t persuade prospects.

Of course, you may disagree and if so, go ahead, persuade me I’m wrong. I’ll give you 2 seconds and 6 or 7 words. Go!

Highlights from the Search: 2010 Webinar

Yesterday, I had the tremendous privilege of moderating a Webinar with our Search 2010 Panel: Marissa Mayer from Google, Larry Cornett from Yahoo, Justin Osmer from Microsoft, Daniel Read from Ask, Jakob Nielsen from the Nielsen Norman Group, Chris Sherman from Search Engine Land and Greg Sterling from Sterling Market Intelligence. It was a great conversation, and the full one hour Webinar is now available.

I won’t steal the panelists thunder, but the first question I posed to them was what they see as the biggest change to search in the coming year. Most pointed to the continued emergence of blended search results on the page, as well as more advances in disambiguating intent. A few panelists looked at the promise of mobile, driven by advances in mobile technology such as multi touch displays, embodied in the iPhone. After listening again to the various comments, I’ve put them together into 4 major driving forces for Search in 2008 and beyond:

Disambiguation

The quest to understand what we want when we launch our search is nothing new. How do you deal with the complexities and ambiguity of the English language (or any language, for that matter) when you’re trying to make the connection between the vagaries of unexpressed intent and billions of possible matches? All we have to go by is a word or two, which may have multiple meanings. While this has always been the holy grail of search, expect to see some new approaches tested in 2008. We’ve already seen some of this with the search refinement and assist features seen on Yahoo, Live and Ask. Google also has their query refinement tool (at the bottom of the results page), but as Marissa Mayer pointed out in the Webinar, Google believes that as much disambiguation as possible should happen behind the scenes, transparent to the user.

The challenge with this, as Marissa also acknowledged in the Webinar, is that there are no big innovations on the horizon to help with untangling intent in the background. Personalization probably holds the biggest promise in this regard, and although it was regarded with varying degrees of optimism in the Webinar, no one believes personalization will make too much of a difference to the user in the next year or so. All the engines are still just dipping their toes in the murky waters of personalization. Using the social graph, or tracking the behavior of communities is another potential signal to use for disambiguation, but again, we’re at the earliest stages of this. And, as Jakob Nielsen pointed out, looking at community patterns might offer some help for the head phrases, but the numbers get too small as we move into the long tail to offer much guidance.

For the foreseeable future, disambiguation seems to rest with the user, through offering tools to help refine and focus queries, and possibly doing some behind the scenes disambiguation on the most popular and least ambiguous of queries, where the engines can be reasonably confident in the intent of the user. The example we used in the Webinar was Feist, a very popular Canadian recording artist. But “Feist” is also a breed of dog. If there’s a search for Feist, the engines can be fairly confident, based on the popularity of the artist, that the user is probably looking for information on her, not the dog.

More Useful Results

The second of the 4 major areas goes to the nature of the results themselves, and what is returned to us with our query. Universal (Federated, Blended, etc) results are the first step in this direction. Expect to see more of this. Daniel Read from Ask led the charge in this direction, with their much lauded 3D interface. As engines crawl more sources of information, including videos, audio, news stories, books and local directories, they can match more of this information to user’s interpreted intent. This will drive the biggest visible changes in search over the short term. For the head phrases, those high volume, less ambiguous queries, engines will become increasing confident in providing us a richer, more functional result set. This will mean media results for entertainment queries, maps and directory information for local queries and news results for topics of interest.

But Marissa Mayer feels we’re still a long ways from maximizing the potential of the plain old traditional web results. She pointed out some examples of results where Google’s teams had been working on pulling more relevant and informative snippets, and showing fresher results for time sensitive topics. Jakob Nielsen chimed in by saying that none of the examples shown during the Webinar were particularly useful. And here comes the crux of a search engine’s job. Just using relevance as the sole criteria isn’t good enough. For someone looking for when the iPhone might be available in Canada, there are a number of pages that could be equally relevant, based on content alone, but some of those pages could be far more useful than others. The concept of usefulness as a ranking factor hasn’t really been explored by any of the algorithms, and it’s a far more subtle and nuanced factor than pure relevance. It depends on gathering the interactions of users with the pages themselves. And, in this case, we’re again reliant on the popularity of a page. It will be much easier to gather data and accurately determine “usefulness” for popular queries than it will be for long tail queries.

By the way, the concept of usefulness extends to advertising as well. A good portion of the Webinar was devoted to how advertising might remain in sync with organic results, whatever their form. Increasingly, as long as usefulness is the criteria, I see the line blurring between what is editorial content and what is advertising on the page. If it gets a user closer to their intent, then it’s served its purpose.

Mobile

When we’re talking innovation, the panel seems to see only incremental innovation in the near term on the desktop. But as a few panelists pointed out in the interview, mobile is in the midst of disruptive innovation right now. The iPhone marked a significant upping of the bar, with its multitouch capabilities and smoother user experience. What the iPhone did in the mobile world is move the user experience up to a whole new level. With that, there’s suddenly a competitive storm brewing to meet and exceed the iPhone’s capabilities. As the hardware and operating systems queue up for a series of dramatic improvements, it can only bode well for the mobile online experience, including search.

Remember, there’s a pent up flood of functionality just waiting in the mobile space for the hardware to handle it. The triad of bottlenecks that have restricted mobile innovation – speed of connectivity, processing power and limitations of the user interface – all appear that they could break loose at the same time. When those give way, all the players are ready to significantly up the ante in what the mobile search experience could look like.

Mash Ups

One area that we were only able to touch on tangentially (an hour was far too short a time with this group!) is how search functionality will start showing up in more and more places. Already, we’re seeing search being a key component in many mash ups. The ability to put this functionality under the hood and have it power more and more functional interfaces, combined with other 2.0 and 3.0 capabilities, will drive the web forward.

But it’s not only on the desktop that we’ll see search go undercover. We’ve already touched on mobile, but also expect to see search functionality built into smarter appliances (a fridge that scans for recipes and specials at the grocery store) and entertainment centers (on the fly searching for a video or audio file). Microsoft’s surface computing technology will bring smart interfaces to every corner of our home, and connectivity and searchability goes hand in hand with these interfaces between our physical and virtual worlds.

That touches on just some of the topics we covered in our one hour with the panelists. You can access the full Webinar at http://www.enquiroresearch.com/future-of-search-2010.aspx. We’ll be following up in 2008 with more topics, so stay tuned!

Another Year, Another SEMPO Survey

First published December 6, 2007 in Mediapost’s Search Insider

As chair of SEMPO, one of the things I’ve seen establish itself is the regular SEMPO state of the market survey. Every year about this time, we field a gargantuan survey (in excess of over 400 questions, including all the possible branches) in which we attempt to capture a relatively complete snapshot of where search is at this given point in time. We use the data captured to analyze year over year trends and attempt to project forward  how these trends might develop over the coming year. This year, in addition to the main survey, which primarily collects North American data, we’ll also be launching a smaller European version, scheduled for the new year.

One of the interesting things about the survey is that it can act as an early warning system for emerging trends. Among the biggest variances last year was the clear signal that many marketers would ideally like to move their search marketing management in-house. Over the course of the year, we’ve certainly seen this start to happen, and my suspicion is that we’ll continue to see this trend play out in 2008 and beyond. In-house marketers are the fastest growing SEMPO membership segment. By digging this point out of the data, we were able to put it on the radar of search agencies, letting them know that perhaps the value provided wasn’t quite up to what clients were looking for. It may not have been good news, but it was vital.

Two years ago, click fraud emerged as a major concern. While the urgency of click fraud seems to have lessened, it’s still a nagging doubt that seems to linger in the background and throw a shadow on the effectiveness of search as a marketing channel.

Other data points worth mentioning: Last year, for the first time, search seemed to pierce the consciousness of C-Level executives. This trend literally appeared out of nowhere, as one year previous these execs were barely aware of search. Heightened awareness on the executive floor might be responsible for some of the directives to bring search in-house. If you want something to capture the attention of executives, make it a budget line-item. For many companies, search broke this threshold in 2007.

Also, while many marketers seemed to feel there was still room to up their keyphrase bid amounts, the ceiling seemed closer than ever before. Pricing fatigue became a reality for more and more search marketers.

That was the backwards look at last year’s survey findings. This time around, it will be interesting to see how what has arguably been the biggest year of change in search has impacted marketers. With the rollout of unified (or universal, or blended, or 3D, or whatever the label du jour is) and personalized search, the interface has undergone some pretty dramatic changes. While the impact on most of our campaigns has been minimal to this point, we’re all thinking about how this might change the game. It will be interesting to see what changes in attitudes towards search as a channel boil out of the data.

So, if you have a few minutes to spare (about 10 to 15 should do the trick) make sure you take this year’s survey. Like any study, its accuracy is totally dependent on how many people volunteer their information. The more who take it, the more we can slice and dice the data and pull more nuggets out of it. And, by taking it, you get the first look at the findings.

Finally, a word of thanks to my SEMPO research co-hort, Kevin Lee from Did-It. He puts a lot of hours into question formulation and testing every year, all of them as a volunteer. This survey is really his baby.

Will Agencies Get Search? Don’t Hold Your Breath

First published November 1, 2007 in Mediapost’s Search Insider

It seems like anytime I have a conversation with anyone who knows search and its effectiveness, we always come back to the same question: “Why don’t more ad agencies and brand advertisers get search?”

Just this week, I was having this conversation. Twice, in fact. One of my pet peeves is an arbitrary allocation of budget to search, with no regard for the objectives of a cross-channel campaign. “We’ll take this pile and give it to television. We’ll take this slightly smaller pile and give it to print. Here’s a small pile for online, and, oh, make sure you take a little bit of that and set it aside for search, because everyone’s telling us we should be doing search.” I guess I shouldn’t be complaining. At least there’s now a little bit left over for search, which is a vast improvement from where we were just a few years ago.

But what this approach does is force your search campaign to be managed to budget, rather than to overall objectives. So we see more restrictive targeting, movement down the tail into longer and more specific key phrases, day parting and flighting, geo targeting and other ways to slice and dice the campaign to get the best quality clicks from the budget available.

Now, there’s nothing wrong with this. It’s called campaign optimization. But it’s often done to keep within an arbitrary budget cap that has no logical reason to exist. I’ve said it before and I’ll say it again. Search dollars should be the first ones in, not the last. Take as much search inventory as you can get. Judge your costs per acquisition not against your top performing keywords, but against your other channels, both online and offline. If even the marginal search traffic is generating a lower CPA, beg, borrow and steal as much budget as you can and top up search. Only then should you move from “pull” (prospects holding up their hands to purchase through search) to “push” (trying to persuade latent prospects to purchase). Only put restrictions on your search campaign if you’re absolutely certain that another channel can exceed its effectiveness.

The Classic Brand Building Gambit

Sure, you say, but what about ‘branding”? That’s TV’s domain. Well, I disagree. I think there’s no better branding opportunity than deep engagement with a Web site from a qualified prospect. Again, this is someone well down the funnel who is considering his or her purchase options. And search drives these opportunities. Sure, TV, print and other channels can build brands, but I challenge anyone to prove to me that they build brands as cost-effectively as search driving Web site engagement. I’ve yet to see a study that shows that. I’ve seen several that show search blowing away other channels, including the CPG study I wrote about last week. Brand-build with prospects that are ready to buy first, then build with the “maybe, someday” crowd with what’s left over.

So, why is it such a struggle to get search on the horizon of big agencies and advertisers? I’ve come to the conclusion that search is being held back by four things:

Search is small. Advertisers and agencies like to think big. They like big, bold ideas. Killer campaigns. Knock-your-socks-off creative. Search is none of those things. Search is thousands of micro-niche campaigns. Search is granular and gritty. Search is turning a whole bunch of dials and pulling a lot of levers, to squeeze out new customers a few at a time. You can’t “unveil” a new search campaign, like snatching a sheet off a sculpture. Launching a search campaign is more like putting a million grains of sand into a bucket, one spoonful at a time. That’s not a concept that “brilliant” advertising minds can get fired up about.

Search is measurable. You can measure the hell out of search. You can hold everyone accountable. You can demand to know who screwed up the campaign because your ROI dropped 10 points. That can cause a lot of red faces round the ol’ agency conference table.

Search is hard. Because search is granular, search is hard. It takes a lot of work to squeeze out an impressive bottom line. And the harder you work, the more impressive that bottom line will be. You’ll never hit a search home run with one inspired brainstorm. There is no golden concept. You just keep plugging away, tweaking keywords and pulling in prospects. Agencies and big advertisers are looking for that single perfect run down the mountain, with fresh powder and the sun shining. Search is more like cross-country skiing up the mountain.

Search is utilitarian. Search is constantly accused of not being sexy. That drives me nuts. The irony is that in pigeonholing search as being boring and utilitarian, all these brilliant advertising minds are missing the biggest idea of all: search works because it’s the customer driving the process, not the advertiser. All you have to do is a half decent job of meeting them halfway. Some say it’s that lack of control that scares the bejeebers out of agencies and brand marketers. To be fair, I don’t think that’s always true. I just think that search just doesn’t get the juices going in the average marketer. It may not be that they’re scared; it may just be that they’re bored.

And for all these reasons, I don’t think big agencies will ever truly get search. It’s too much of a cultural mismatch for them. They’ll bring search in-house, but they’ll silo it off, in a back room, far from the playground which is really where everyone wants to be, cranking out killer creative for the next TV campaign.

It’s just too bad that those TV ads won’t work very well. At least, not when you compare them to search.