Insider Chatter by Donna Bogatin

What a coincidence? Just hours ago, I discussed how Google would undoubtedly soon be on VideoEgg’s advertising tail, again! Today, Google announces its latest attempt to make money through video advertising.

BUT, unfortunately for Google, neither its Google Video or YouTube have yielded “material” revenues, Google CEO Eric Schmidt once again acknowledged in the company’s annual SEC reporting this month.

Will Google’s newest stab, dubbed AdSense for Video, have better luck? Long-term poential is unclear, but Google will undoubtedly be challenged out of the video gate and is NOT moving full video steam ahead at present. What’s more, Google is partnering with direct video advertising competitors for distribution, confirming it does NOT have sufficient video advertising clout on its own.

Google’s new video ad options include “text” overlays. The purportedly almighty Google text “clicks” are NOT all they are made out to be, however, a MySpace executive advised yesterday at the “Engagement” conference put on by Google competitor VideoEgg.

In a series of four panels, about two dozen agency, programming and consumer marketing execs discussed the need to “engage” people on the Web via content and interactivity that spurs emotional involvement. Panelist Benjamin Ezrick, Oglivy Interactive, though, incredulously offered the Google “click” as the only irrefutable measure of online user engagment. Co-panelist Chris George, MySpace, however, quickly reported on the fallacy of a supposedly allmighty click:

People who click don’t necessarily convert and people who see ads but don’t click can convert.

Just last week, MySpace colleague Arnie Gullov-Sing shared other Google fallacies at the OMMA Behavaioral conference, as I report and analyze in MySpace To Google: Learn How To Sell Advertising, OMMA Report. The MySpace exec also debunked some myths about Facebook advertising, as I discuss in MySpace to Facebook: NO ‘Reach, Relevancy, Results’! OMMA Report.

MORE: VideoEgg Rocks: Debuts AdFrames in Silicon Alley: Google Next? and Microsoft Steals VideoEgg’s Thunder? Google Ultimate Loser

ALSO: MOBILE Visions? Microsoft, Yahoo, AOL Open Up: NOT Google! OMMA Report and NYT Accepts Google Muzzle: Bombs YouTube NYC Story and Health Vault: Hey, Google, Get With the Microsoft Medical Program! and Facebook Meltdown: Is Twitter Next?

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How does a Web 2.0 video play garner attention for an advertising product launch? Rent out the Hard Rock Cafe in the middle of Manhattan’s Times Square for an ENGAGING afternoon of fast paced, high-level media brainstorming, capped by open bar cocktails and hors d’oeuvres.

In the late 1990’s, lavish Web site launch parties were held throughout Silicon Alley seemingly on a nightly basis, and I enjoyed many of them! Venture capital was flowing and so was the hospitality. Most striking though, from a business development perspective, was a general lack of marketing on the part of party hosts. I remember asking fellow celebrants sipping Martinis in a trendy downtown nightclub one evening, which particluar Website were we celebrating, as there was no signage or corporate announcements. The even bigger question: Where was the ROI, then?

In big conrast, today’s Silicon Alley “parties” are not only fewer and far between, they generaly serve to further explicit business objectives: The Video Egg mini-conference today, for example. Themed “The Engagement Debate,” about two dozen agency, marketing and programing execs offered their real world perspectives on the state of the nascent field of measuring and valuing audience engagement in interactive environments.

In addition to driving the “conversation” forward about the need for marketers to ”engage” consumers on the Web, two VideoEgg execs participated in panels and Troy Young, VideoEgg CMO, presented a rapid-fire new ad product overview at the end of the sessions: Introducing VideoEgg AdFrames. One of the moderators insightfully quipped, for Troy, the conference “engagement” generated will be measured with an old, but still very good, school metric: Advertising contracts signed!

I chatted with Young during the party and asked him what inspired VideoEgg to come up with a new ad product which departs from its signature, core offering. Young told me VideoEgg continually strives to innovate and build towards more and varied solutions which meet diverse and ever changing marketer needs. What’s more, each new product has a shot at turning into the next big advertising thing, Young indicated, hopefully.

I also joked with Young about when we should expect Google to come out with its own version of the latest VideoEgg creation. After all, when Google announced its YouTube overlay ad product with much fan fare last year, VideoEgg “welcomed” YouTube to its orignal video overlay party by declaring on its homepage:

We invented the video ad overlay product about a year ago. We are delighted that the market is finally catching on to a vital new approach to video advertising.

VideoEgg does NOT appear to be holding a YouTube grudge: A Google TV Ads exec participated in VideoEgg’s opening panel today. The Googler was, in typically Googley fashion, reserved on stage, but perhaps he was taking notes during Young’s AdFrames pitch:

AdFrames is a performance-based ad offering designed specifically for brand advertisers. Advertisers pay on an “engagement” basis – that is when a user rolls over the ad and the advertiser’s full screen creative is displayed.

No other network offers rich media like this.

So there, Google!

MORE ON VIDEO EGG CONFERENCE: MySpace To Google (Round 2): Text Clicks Do NOT Rule! VideoEgg Report and Microsoft Steals VideoEgg’s Thunder? Google Ultimate Loser

PLUS: Silicon Alley: Crouching Tiger, Hidden Entrepreneurs and Silicon Alley Web 2.0 Startups: Bootstrap For Success and How Web 2.0 Meetups Displaced the New York Software Industry

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What a New York Times non-story, from Ms. Story, to boot! All the news that is fit to print? NO! NYT reporter Louise Story claims to “report” from a Google event even as she acknowledges that Google’s terms for allowing her to attend the Google event are that she is prohibited from reporting what transpired!

The NYT “reporter” apparently negotiated with Google the “right” (privilege) of telling the world, on behalf of Google, what a wonderful party Google threw last night in NYC to woo advertisers for its fledging YouTube property (yes, despite high bandwidth cost monster traffic, YouTube IS a STILL fledging Google business).

ODD, that the “old gray lady” would proudly “report” that it accepted a company’s muzzle while it gleefully regurgitates approved PR talking points. Story says the event was “choreographed to be somewhat of a lovefest for Google” while dutifully succumbing herself to Google’s proscribed moves.

What are the “bits” of “news” the NYT passed along to readers from a pre-party Google-scripted PR event? HP, Pepsi, General Mills ‘made substantial committments to running ads on YouTube.” Too bad Story didn’t find out–at the press event–how the hand-picked Google testimonialists quantify “substantial,” aka hard numbers.

It is not surprising that “new” NYC media–CNET, Silicon Alley Insider–cheer THEIR Google snub, same as they cheered for Google when they were let in, last month. SEE:  Google Execs Silent On NYC Print, Radio, TV Promises

Here at Insder Chatter, though, I cut through the Google hype, in (last month) or out (last night) of the Googleplex machine. SEE:  Google CEO In-Car Radio Ad Vision Fading and Google TV Ads Auction: NO AdWords Buyer’s Remorse.

How did the NYT really bomb the Google YouTube story though? Ms. Story neglected to remind readers of the billion dollar YouTube party pooper menace that aims to crash the YouTube copyright infringement free ride for good: Viacom.

The NYT’s Story oddly concludes her non Google story by bringing up the non-reporting she did from the Facebook “invitation only” event last year. The final line of Story’s NYT Google “report”: “Clearly Google didn’t want reporters at YouTube’s coming-out event to pick-up on anything controversial.” REALLY? The big YouTube controversy is aready long public, despite now being ignored by the NYT. 

Why would Google be worried about a favored “reporter” such as NYT’s Ms. Story? She bombed the Facebook story too, even though she was given an exclusive front row seat, as I “report” in Facebook: Harvard Dropout Tricks NYT? Zuckerberg is Coca-Cola Scapegoat.

GOOGLE MUZZLE PART II: Antisocial Google: Googler Bradley Horowitz Mum

MORE:  MySpace To Google: Learn How To Sell Advertising, OMMA Report and MySpace to Facebook: NO ‘Reach, Relevancy, Results’! OMMA Report and MOBILE Visions? Microsoft, Yahoo, AOL Open Up: NOT Google! OMMA Report and Will John McCain Report to Google? Eric Schmidt Flexes Presidential Muscle

ALSO: Silicon Alley Web 2.0 Startups: Bootstrap For Success 

CONTACT DONNA BOGATIN

Who are the biggest winners in the latest Internet fueled business model disruption? Independent filmmakers and videographers. YouTube may not be a big money maker for Google, but it has spurred the money making ambitions of unsung video creators and the monied interests that seek to leverage their low-cost video production skills.

On the local video advertising battlefield, ambitious players TurnHere and Spot Runner not only duke it out for lucrative video production and distribution contracts, but fight for the highest quality, most prolific independent video producers as well.

TurnHere has built its 3200 member “Filmmakers Network” from the ground up, Spot Runner has fueled its ”Production Network” with the absorbtion of GlobeShooter, a 1200-person strong group of local video professionals.

TurnHere leverages its base of independent video creatives for a variety of vertical applications–travel, publishing, local directories–while Spot Runner has its roots in a core local advertising message.

SpotRunner CEO Nick Grouff: “The acquisition of GlobeShooter is a natural extension of our strategy to be a central resource for local businesses’ broad spectrum of advertising needs.”

TurnHere “has established a strong foothold in the directory and local markets,” said John McWeeny, Business Development, TurnHere, in announcing a video production agreement with YellowPages.com this week, on the heels of its non-exclusive vendor agreement with Superpages.com, announced last month. TurnHere has been supplying video production services to Citysearch since last May.

Why such local business interest in videos?

According to Matt Crowley, CMO, Yellowpages.com, “Advertisers recognize that video can play a key role in delivering a unique and memorable message that engages the consumer and influences action.”

TurnHere’s McWeeny offers: “We continue to see rising industry demand as small merchants embrace online video as a platform to attract new customers and drive businesss growth.”

Citysearch itself, however, is more nuanced in evaluating video traction among merchants online. In November, President Jay Herratti spoke of the need to lower cost of video entry for advertisers in order to spur greater adoption, while keynoting at the Kelsey conference in Los Angeles.

The local video battle for advertisers and production contracts is NOT solely an online one. The Spot Runner founding claim to fame is ”the first Internet-based ad agency that makes it easy and affordable for local businesses to advertise on TV.” Nevertheless, GlobeShooter’s video producers serve to “expand the company’s ability to offer highly customized ads for both TV and the Internet.”

The TurnHere founding Internet message was Web-centric, offering “studio quality Internet adverising and Web distribution for building online traffic.” TurnHere is now poised to leverage good old fashioned television as well, however.

When I spoke with TurnHere CEO Brad Inman about the Yellowpages.com online video deal this week, he began by underscoring how TurnHere is key to bringing “television quality advertising” and television like distribution to the reach of local merchants. What’s more, the TurnHere video product is “more micro-targeted than cable television.”

Inman also hailed the television worthy work of the TurnHere “Filmmakers Network.” Will videos by TurnHere soon be playing then on a TV near you? Stay tuned!

ALSO: Spot Runner Sells For Rival Google: Local SEM Bandwagon Grows and TurnHere Video Gets the Book Marketing Party Started

PLUS: Reach Local Advertising? How Google Squeezes SEMs and AdWords Buyers and Google Apps & Maps: Enterprise and Local Business STILL Missing and
Local Advertising Online: SMEs Hold the Billion Dollar Keys, ILM ANALYSIS and Google TV Ads Auction: NO AdWords Buyer’s Remorse

CONTACT DONNA BOGATIN

What information overload in the Facebook presidential debates? After all, Facebook users “have shared their political affiliations and opinions since the site’s inception,” the (don’t call it social networking) site boasts:

Facebook first began adding politicians to the site during the 2006 mid-term election. Today, more than 500 US politicians have Facebook Pages, where Facebook users can support candidates, learn more about them and communicate with them. These include all the major presidential candidates, most Members of Congress and many state governors. In November 2007, Facebook launched a partnership with ABC News for the 2008 presidential election – including a revamped US Politics application on Facebook and co-sponsorship of the televised debates ahead of the New Hampshire primary.

Who needs Google then? What CNN-YouTube debates? What have you done for me lately, rather! YouTube is playing the New Hamsphire priimary card with its standard “submit Your Voter Video” solicitation:

Anyone who is in New Hampshire and thinking (a la Facebook Soundboard) about the primaries can submit a video. You don’t have to be a New Hampshire voter necessarily, thought we are looking to highlight videos from the Granite Staters. Document your primary experience from start to finish. We want t shoe the natio what primaries are like, so bring your video camera along with you and give an on-the-ground view of your experience.

Facebook may be neck and neck with YouTube on the online-offline social networking political game, but in the high-stakes political power battlefield that really counts, Google is the hands down winner.

Hillary Clinton, Barack Obama, John McCain…have all made their pilgramages to the mighty Googleplex for what Google CEO Eric Schmidt is fond of calling ”the ultimate job interview for the top job in the U.S.” The top Googler has made sure that “the presidential campaign trail winds though the Googleplex.”

Circa 2007:

Google CEO Eric Schmidt to Hillary Clinton: Welcome to Google!

Senator Hillary Clinton: I am thrilled to be at the “best place to work in America” that is “helping to invent the future” and has “revolutionized the way we live, work, think…”

So began a one on one in February between the leader of one of the most powerful corporations in the world and the (then) Democratic frontrunner in the race to become the next leader of the most powerful country in the world. The Clinton chat with Schmidt before an audience of Googlers took place after Clinton privately meet at the Googleplex with Silicon Valley leaders.

Schmidt’s Q & A with the former First Lady offered presidential candidate Clinton an opportunity to present her stands on major election issues, such as Iraq, the environment…AND Google Health!

Schmidt set-up to Clinton:

These are the people that make Google a success. You are a Google user. How can Google help your vision happen?

Clinton return:

When Eric was showing me around, we stopped at the Google Health team office, we can not get to Universal Health Care coverage unless we have a much better information base that is very reliable that people can turn to make decisions on their own, to be empowered as consumers of health care, that is something I know you are working on and we really need you to be aggressively pursuing that.

We do need more Information Technology generally in health care, if you’ve gone to a new doctor, they probably took a new history on paper, they probably don’t have electronic medical records, if you go to a doctor out of state, they’ll have to do it all over again, because they probably can’t transfer what you have at your doctor.

The health sector is woefully deficient in Information Technology, any way you can help us move our health sector into the 21st century will help us to get a base of information on which we can make better decisions to provide health care for everybody.

Sound familiar? Ex-Googler Adam Bosworth’s ears may be ringing! His December 2006 “Connecting Americans to Their Health Care: Empowered Consumers, Personal Health Records and Emerging Technologies” speech seems to have “inspired” Clinton.

Bosworth is long gone from Google and Google’s health care intiatives seem to be going nowhere, but the leader of the leading Amerian corporation still has the ready ear of the next president of the United States, whomever that may be.

Google also is making political hay daily not only in our nation’s capital, but alongside governments worldwide. Worried about Google’s determination to control the world’s information? The Google triumvarite aims to rule the entire world Googley style, really.

Facebook’s wet behind the ears Mark Zuckerberg, though, is most likely NOT prepping to meet and greet the world’s power elite.

SEE: Google Global Power Grab: Aussie Politicians in Tow and
Google to World: AdWords Need Political Freedom and
PayPerPost Warns U.S. Congress of Google Monopoly: Barack Obama to the Rescue? and
Eric Schmidt: Google Cures What Ails the World and
The Next President of the U.S. Answers to Google and
Google Masters Art of Influence Peddling and
Google Joins Blogosphere in Mocking Wikia Search: Jimmy Wales Defiant

CONTACT DONNA BOGATIN

Who needs Aristotle, Socrates, Plato…when Google offers “Our Philosophy.”  Heck, who needs Moses’ Ten Commandments, as Jeff Jarvis continues his ludicrous public cry to join him in worshipping God Google, really.

Google concurs: “To fully understand Google, it’s helpful to understand all the ways in which the company has helped to redefine how individuals, businesses and technologists view the Internet.” 

On the eve of the New Year, when learned men and women generally reflect on how, as individuals, we can help make the world a better place, Jeff Buzz Machine Jarvis doubles down on his inane campaign to negate thousands of years of spiritual yearning with an ode to a ruthless, $200 billion market cap corporation with the unholy mission of obtaining and controlling all the “information” in the world as its own private, for-profit property, aka Google.

What is REALLY scary, is that Jarvis is undoubtedly evangelizing his personal, one-corporation G worship to the nation’s future journalists as an instructor at the City University of New York, and MY tax dollars are helping fund the irrational, and dangerous, Google exuberance!

How IS Google God? Google has encapsulated all its Googley “ways” in a “Ten Things Google has found to be true” handy cheat sheet.

I repost them below (in italics), along with my Insider Chatter translation (in bold) of how Google is REALLY redefining how individuals, businesses and technologists are impacted by the Internet, Google’s Internet.

1) “Focus on the user and all else will follow”

There is NO escape: We follow the user all over the World Wide Web, and into the cloud.

2) “It’s best to do one thing really, really well”

It’s better to do dozens of things ad hoc, keeping our Googley fingers crossed that some will work out OK.

3) “Fast is better than slow”

We control YOUR data: Caching content owned by everyone else within Google’s server farms keeps US in control.

4) “Democracy on the Web works.”

Here’s the (Back)Rub: Google Democracy is for sale to the highest, non-transparent bidder.

5) “You don’t need to be at your desk to need an answer”

We know where you live, work, play…what you think, dream…

6) “You can make money without doing evil”

A little evil is good for the bottom line, a lot of evil makes us GOD.

7) “There’s always more information out there.”

Resistance is futile, we WILL control the world’s information, all of it.

8) “The need for information crosses all borders.”

Who needs the United Nations! YouTube is the only electorate that matters.

9) “You can be serious without a suit”

It won’t be any fun to watch GOOG on the way down, but there is always the free lunch.

10) “Great just isn’t good enough”

Thanks to our Fuzzy Logic, Google is always great! Just Google-It, or ask Jeff Jarvis!

Jarvis’s new found G religion apparently worships dominant corporate market share which crushes all competition, oversized corprorate profit margins garnered at the expense of millions of businesses worldwide and defacto corporate control of the World Wide Web.

Fortunately for the sane Internet world, however, Jarvis’ spiritually misguided G yearnings may soon haunt him. While Jarvis revels in rattling off Google’s mighty corporate dominance stats, keen Wall Street analysts have a keen eye on the one-trick, rich pony that is GOOG.

YouTube may hope to move the elections, but it is NOT moving GOOG. Tech bloggers may swoon over Google Apps, but corporations are shunning it. Google Checkout may succeed in garnering free PR media puff pieces, but Google can’t buy its way to success…

Google Gears, Open Social, Android…so little, so late.

BUT, the biggest, baddest Google problem of all is the GOOG cash machine itself, Google.com. Read all about it in: Google Knol: The End of Google.com, NOT Wikipedia 

ALSO: 2008 Social Media Warning: Beware Google AND Facebook and
Browser Flack: Will Google Ever Escape Microsoft Rule? and
There Is NO Google Apps Love in the Enterprise and
Lost On Google Maps! What Merry Christmas? and
Google Warning: How GOOG 411 Tricks Consumers and
Google Zeitgeist: $200 University Payola AdWords Scam and
Google Ignores Hanukkah, Again: Festival of Lights Dark on Homepage and
Google AdWords Plus Box: Local CPC Bidding War Unleashed! 

ALSO: Rich Skrenta: Blekko ‘Absurd’ Search Startup Disses King Google

CONTACT DONNA BOGATIN