If you’re an events manager with a death wish, invite Jason Calacanis to deliver the keynote address at your next conference. Sure, Calacanis—a serial Internet entrepreneur who made the bulk of his fortune with the sale of his company Weblogs, Inc. to AOL—will deliver an engaging, thought-provoking and sometimes flat-out inspirational talk. But then again, he might just start a riot.

After all, this is the guy who, at SES Chicago in 2006, announced—to a group of search professionals—that “SEO is bullshit!” and compared those engaging in SEO to “snake oil salesmen.”

It didn’t go over well.

Having escaped Chicago, living to speak another day, Calacanis recently addressed a room full of affiliate marketers at the Affiliate Summit West. Apparently unruffled by the flap and furor over his SEO comments, Calacanis explained to the affiliate folks that the rest of the industry saw them as the bottom rung of the food chain, wired to make the quick buck.

There was no standing ovation.

But to be fair to Calacanis, he’s not some sort of egomaniacal misanthrope who gets a perverse pleasure out of standing on a stage and belittling the audience. (Actually, he might just take a little pleasure in it.) In fact, the point he’s trying to make is a valid and intriguing one.

First of all, Calacanis was over-generalizing for effect: he sees value in ethical SEO and understands that there are legitimate best practices to follow in designing, maintaining and promoting a site that will allow it to rank higher in search results. And he certainly doesn’t see anything wrong with the fundamental concept of affiliate marketing: engaging a group of websites to help sell product or generate leads as a sort-of extended sales force.

Calacanis has a problem with those interested in gaming the system to make a quick buck—whether it’s the black-hat SEO firm that exploits a weakness in a search engine algorithm to garner a temporary high rank for an undeserving website (until the search engine closes the loophole and the site plummets off the search results page) or the affiliate who steals content to game the search engines to generate more traffic and commissions, or the marketer who floods blogs, message boards and social networks with paid posts.

According to Calacanis, it’s all borne out of a misguided ethic that has pervaded the Internet since the mid-’90s: if one is technically capable of doing something, then it’s OK.

But he—and others—see reason for optimism. As more and more black-hat marketers exploit the various systems, these systems eventually break down, to be replaced by ones that are more resistant to gaming. Consumers are helping to drive change, too. We leave MySpace to go to Facebook and then to LinkedIn as policing technologies are developed that help eliminate spam or fraud. Sites like Angie’s List—a ratings and reviews site for home-improvement contractors—take off because they are curated to ensure the reviews’ (and reviewers’) legitimacy. In other words, because they earn our trust. Calacanis himself has developed Mahalo.com, a search engine that uses human beings to find and organize the best links for given search terms—and to filter out irrelevant or spam results.

A new ethic is evolving: trustworthiness is good for business.

Tom Dellner is executive editor of Electronic Retailer Magazine and editor of its supplement, Online Strategies

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After Omniture’s acquisition surge last year, the web analytics industry has just been made even smaller by Yahoo’s acquisition of IndexTools. What does it mean when a relatively high-end tool like IndexTools is turned into a free offering like Google had done for Urchin?

Mostly, it means that Yahoo will be able to compete head-on with Google and Microsoft as they offer measured proof that advertising on their properties is a good investment. But how does this shrinking vendor landscape play against growing customer demand?

In these rocky economic times, upper management wants to know that a dollar spent online will result in two dollars earned. The online budget is not getting cut, but it is getting scrutinized like never before. They are looking for all the tools and best practices they can lay their hands on.

As free tools get better, the pay-for-play tools do as well. I look to Omniture, Coremetrics and WebTrends to step up to the challenge and help their high-end clients with even more systems, methods and consulting services. They are incorporating multi-campaign attribution in their tools so more of their clients are learning the ropes. Soon, there will be case studies and best practices.

Until then, I turn to people like Jim Novo and his post on Marketing Attribution Models. I look to Eric Peterson and Avinash Kaushik to keep holding up the lamp so the rest of us can see. I look to the Web Analytics Association to be the collective wisdom of the industry and for the eMetrics Marketing Optimization Summit to be the gathering place, where we can all learn from each other.

Will Google, Microsoft and Yahoo want to play at the enterprise end of the spectrum? Things move fast in this industry. Don’t blink!

Jim Sterne is president of Target Marketing and Chairman of the Web Analytics Association

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In the past few days, Comedy Central has taken a brazen approach to some of the issues we deal with day in and day out. The virtual world Second Life is one of those buzzwords often thrown around conferences by people trying to sound like they know what they’re talking about. Many well-known companies have spent lots of money jumping into Second Life to have a virtual world presence, but I think they were simply jumping the shark.

Second Life, like many other platforms on the Internet, has not taken off quite as expected. “The Daily Show” had quite the time making fun of Second Life. Enjoy the clip below:

A recent “South Park” episode was no stranger to speaking on the Internet’s monetization problems. The boys create a hit YouTube video thinking they’ll rake in some fast cash, only to find themselves waiting in line for “theoretical dollars” at the Department of Internet Money, along with other Internet celebrities. A full list of the episode’s clips can be found here. However, enjoy below Kyle’s closing insights on Internet revenue:

What are your thoughts on monetizing the Internet?

Pat Cauley, eMedia Editor, Electronic Retailer Magazine

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According to ERA’s most recently commissioned paper, Mapping the Path to Purchase, Forrester Research suggests that television drives online sales. Indeed, 44 percent of the study’s respondents went to retail to find a product they saw on an infomercial or home shopping channel and more than one-third of consumers visit engines (eBay, Yahoo, Google, etc.) to compare prices, with more than 50 percent of those making a purchase.

But wait, there’s more; now it’s the consumers themselves who are creating pathways and signposts. It’s interesting, looking at the apparent quick rise of the “consumer influencer.” It seems just yesterday when branding was king and PR, marketing, research and agencies pushed sales. But today, through the power of blogs, online communities, forums, boards, videos on YouTube, Facebook and more, customers are definitely in charge.

I wonder what retailers think about how this will all shake out? How do retailers leverage those consumer influencers?

Sieglinde Friedman is ERA’s vice president of strategy

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“It’s hard to know where to spend your money.” This is a quote from Mat Zucker at Agency.com, an Omnicom Shop from Adweek.

I circled that quote three times over because it optimized the confusion and quandary most agencies have today. They really don’t know. They are not sure whether they should ethically advise their clients to shift major budget to the web or protect their existing bread and butter in print and TV. They don’t know whether to build a microsite, re-build the existing corporate site or build landing pages within social networks like Facebook. They simply are more confused, conflicted and truthfully unable to make good strategic recommendations going forward. So, they guess and pontificate and recommend using old school “push” methods and creative mentality that does not work on the web, costing corporations billions in lost marketing dollars.

There is no reason for confusion. It just takes a little guts to do something new for your client, or if you are the client, new for your company. Find out what your target audience does, where they go, what they like and then use those channels and information to market to them.

Aaron Kahlow is managing partner of BusinessOnLine and chairman of the Online Marketing Summit. He is a regular columnist for Electronic Retailer magazine.

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I have this little theory that social media (e.g., blogs, forums and social networks) open up a whole new behavioral change where it’s acceptable to be a little personal, a little less professional and more “off the cuff” with thoughts, comments and ideas. Facebook is the “great experiment” in which we are all now trying to figure out how much of our personal lives to share with who we allow to be friends.

It comes back to the transparency element of social networking in that you must be transparent and real about your level of communications. If too contrived or too rigid, it just does not work.

So, my conclusion is: it’s about time! We all have enough stress in our lives and really do not need any more when it comes to communicating amongst peers. So, let’s be ourselves, be comfortable with that, recognize every once in a while that we’ll have friends post things that are less than appropriate and all accept it for what it’s worth.

Do you agree? 

Aaron Kahlow is managing partner of BusinessOnLine and chairman of the Online Marketing Summit. He is a regular columnist for Electronic Retailer magazine.

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ERA’s eRetailer Summit is off to a great start. We’ve already exceeded last year’s total registrations before the tradeshow floor even opened! Whenever I attend conferences, I always seem to find myself drawn to the education sessions, rather than the tradeshow floor. My instincts proved correct today when I learned more about blogs within an hour than I had learned in the past three months. I’ll begin implementing what I’ve learned moving forward. I hope you check back often as our blog continues to grow and expand in quality and quantity.

Earlier today, I also had the pleasure of eating lunch while listening to a keynote presentation from YouTube’s Brian Cusack. Among many interesting statistics, he addressed the rapidly shifting media consumption habits. It turns out people are spending as much time engaging with online content and videos now as they do watching TV. Don’t believe it? If you’re reading this blog post, you’re part of that statistic.

Since you’re clearly not watching your TV right now, enjoy the following video I came across while checking my email today. It’s definitely not something I want to think about when I board that plane on Wednesday!

How do you think marketers and advertisers will adapt if these viewing habits continue?

Pat Cauley, eMedia editor, Electronic Retailer Magazine

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I was having lunch the other day with ERSP Program Analyst Bob Hilleman and our former ERSP colleague Tessa Barrera. Soon, the conversation turned to the subject of traditional television and print advertising and how these promotional vehicles (though still packing a powerful punch) will soon be considered the advertising models of the past. We discussed how new outlets such as Facebook, MySpace, YouTube, Second Life and Twitter have arisen as new outlets for marketers to explore. Yes, marketers are realizing that as technology advances so must marketing, and these examples are just the tip of the iceberg. However, perhaps looking at why traditional marketing campaigns succeeded can help guide the jump into exploring the new media.

Think back to the advertising campaigns that you remember: M&M’s “Melts in your mouth, not in your hands”; Wendy’s “Where’s the Beef?” and Campbell Soup’s “Mmm…Mmm good.” All catchy taglines tied to successful advertising campaigns that appeal to the consumer’s feelings of trust, quality and security. By building a recognizable brand, the advertising worked to reinforce and create the connection with the consumers by appealing to their emotional sense of quality, fairness and connection. What makes a successful brand and a successful advertisement is that emotional connection. Consumers have to invest themselves into the subject, the character or the product.

More and more, new technology is on the rise. YouTube or Vimeo features short, digestible clips. Twitter issues one-sentence updates. Tumblr is built for short and quick blogging. The focus is on content, quick, constantly updating, but never in-depth. This speed, this bite-size focus is being heralded as the wave of the future, but it doesn’t allow for the building of a brand. It’s focused on tiny bits of information ready now, not to be stored away but to create a temporary quick fix for a need of information. It’s exciting, it’s constantly moving, it’s cutting edge. Yet, it is also, as of now, fairly impersonal. Consumers are there for the speed of changing content, not for the emotional ties to others. Tubmlr is attempting to incorporate those two aspects—building on the social connections of a Facebook, but still on the speed of a Twitter. Yet still, even with the social networking tie-in, the speed of the information has not yet been harnessed to achieve emotional connections. (more…)

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