Our server at work was on the brink of crashing last week (ok, that’s an exaggeration but our IT manager did send out a warning email). Apparently, too many of us were ‘secretly’ streaming videos of the Olympics during work hours. Seems like many people around the world have the same idea, though.
These Olympics have been aptly dubbed “The Digital Games”. Millions of viewers – up to 5% – will watch the Olympics without ever turning on their tallies, and NBC Universal will stream a record 2,200 hours of live footage online.
With figures like these, it makes me wonder – will the Internet become our future medium of choice for watching the Olympics (or any other World Cup/Superbowl equivalent)? Call me old fashioned, but for me, part of the Olympic fun is about sharing the big screen with a bunch friends at the pub while cheering for your team. What do you think?
Either way, it sure is paving for an interesting way of marketing around the Olympics. Gone are the days when big sponsors “pay a gazillion dollars to the IOC, then pay a gazillion more to brag like heck about it on TV and in print ads” (read this article from USA Today ‘Faster, higher, stronger and digital’. It also has some great examples of the digital marketing strategies implemented by savvy companies like Lenovo and Johnson & Johnson – such as athletes blogging and video sharing).
Will the rise of the Internet mean the death of the TV? I hope not. (…but I may just be swayed if the pubs start streaming live internet videos on the big screen).
One wise man who arguably has the best bird’s eye view of the situation is Sir Martin Sorrell, CEO of WPP. According to Sir Martin in his interview with CNBC on the day of the Beijing Olympics opening ceremony, whilst “this is really the first truly digital games…[digital is] only 10% of client budgets, it’s 20% of consumer time. By the time clients move their budgets to 20%, we’ll be spending more time on the web. But you’re right. They all work together.”
China has already earned a gold medal this week. According to the China Internet Network Information Center (CNNIC), there are now 253 million internet users in China, knocking the US off its pedestal. The US now has a meager 223 million users.
This is one competition the US will not likely win again. Most Americans (about 75%) are already internet users while only 19% of China’s population is. With so much potential in this market, who wouldn’t want a little bite?
But I don’t advise taking a nibble without more understanding. After all, emerging markets are very different from the more familiar mature market. Here are my “three” cents for thought re approaching tech in Emerging Markets:
#1. There is no “one size fits all.” Local needs in China will differ greatly from those in Brazil or Indonesia. Tech in emerging markets often bridges the digital divide by increasing connectivity. How this is achieved varies greatly.
#2. Realize a lack of infrastructure exists. Many countries with emerging markets may not have the infrastructure (say, reliable electricity) to support technology. These countries also lack a dependable distribution system. Therefore, developing relationships with local players is necessary to your success.
#3. Now comes the most difficult part: how do we justify selling technology to someone who could instead spend their money on medicine? We know technology creates opportunities by improving access to health care and education while also increasing communication and competitiveness in commerce. How do we convince them of this in our communication approach?
Emerging markets are often seen as a sort of new “frontier.” Just remember that this is a whole new animal you’re approaching. Treat it differently from your cat at home!