FuegoFusion: Breakthrough Advertising on the Web
Web 2.0 applications have traditionally been designed and coded by engineers without the benefit of input from consumer marketing experts. As a result, most content sites end up ‘bolting on’ poor quality off-the-shelf ad systems (as demonstrated in oft-ignored banner ads, annoying pop ups and irrelevant ad links). This stands in stark contrast to the approach taken by Fuego Nation which was originally designed by consumer branding and marketing experts and is now being implemented by a core team of talented engineers. In a sense, our advertising system was built ‘by marketers for marketers.’ The result is a system that we believe will generate the highest ad rates in the industry and open up entirely new sources of revenue and profit unique to Fuego Nation. The Fuego Nation architectural design team was determined from the outset to shatter the existing record of poor quality, largely ineffectual advertising by building an interactive, highly addictive and functional product around the most discerning advertising requirements possible. The end result is a comprehensive advertising and direct marketing system we call FuegoFusion. FuegoFusion represents a revolutionary approach to web-based advertising. Perhaps the best way to understand the potential impact of FuegoFusion is to review the market problems and inefficiencies identified by our design experts and the solutions generated from their passionate commitment to solving these issues for the first time.
Problem: Online advertising is either ignored or annoying
Solution: The standard for advertising on social networking sites, and on the web generally, is Google text-based links, banner ads and pop ups. The problem this standard creates is that similar to newspaper advertising, these ads are largely ignored by users. Further, users on social networks are typically deeply involved in communicating and sharing with other users and are therefore not attentive to even highly targeted advertising. Rather than simply trying to ‘break through the clutter’ by using bigger/flashier ads that often detract from the overall user experience, we are building an integrated advertising experience that seamlessly integrates with the user experience. Take for example, our graphical display paradigm as seen in the rotating carousel. As ads rotate front and center, they cannot be ignored by users. Additionally, our ad serving engine leverages the information we know about our users to serve ads that are demographically, contextually and behaviorally relevant. This innovative solution to what has been to this point largely ineffectual advertising is unique to Fuego Nation and has never been deployed effectively on the web.
Problem: There’s no proven, online ad destination for high-end luxury brands
Solution: Most of the products on the web today, particularly those with roots in social networking, are static, utility-based products designed and built with an engineering mindset. This reality does not dovetail well with brands that are built less around utility and more around status, quality, experience and emotion (e.g. high end luxury brands). We created Fuego Nation to offer a unique product pairing for these high-end advertisers. To do this, the product had to be experiential in nature, of a high graphical acuity, enshrouded by a brand that signified high quality and paired with an emotional brand voice that was both aspirational and intense. We believe that this approach will help brands like Hugo Boss, Tag Heuer, W Hotels and Mercedes Benz find a home for their brands on the web, in many cases, for the first time.
Problem: Data about users is not credible
Solution: While advertising on social networks is expected to boom in the coming years, open networks are plagued by the problem of ‘dirty’ data. That is, users can pretend that they are anyone (especially when self-expression is the primary use case on those networks). Additionally, we intentionally limit the initial data inputs required of our members to only those bits of information relevant to either making a connection or indicating a purchasing pattern. Over time, our FuegoFusion ad serving technology will not only target users based on what they say (e.g. data inputs from their profile) but what they DO (e.g. based on actual behavior in the community). In the end we will deliver targeted data to advertisers that indicate ACTUAL consumer behavior patterns not SUGGESTIVE behavior patterns.
Problem: Users are not in the ideal demographic
Solution: There are several key reasons why companies most open networks generate such low ad rates (measured by CPM, or cost per thousand views). Outside of the ‘dirty’ data issue previously mentioned, the most significant problem is that users have not traditionally fallen in the ideal Gen X demographic. While most social network traffic remains dominated by teenagers (who do not have credit cards) and college students (who do not have jobs), Fuego Nation was designed for an older, more mature, higher income demographic from the outset.
Problem: Advertising isn’t integrated into the product experience
Solution: Truly integrated in-product advertising (e.g. in-game ads in videogames or product placement ads in movies) have proven effective in building brand recognition and affinity. Yet there exist few opportunities on the web to conduct this type of branding activity. Fuego Nation, in contrast, built a graphical display system that includes both photos and videos that allow the imbedding of products within the context of the ads themselves. Considering that many of the higher status members of our community would be expected to exert undo influence on others in the community and amongst guests to the site, having product placement ads within the context of their graphical profile will be very appealing to advertisers. So after rolling through a dozen passion trading card photos, for example, a Hugo Boss apparel ad may rotate through the carousel presented in a context of another visual display of a person (thus integrating nicely into the overall experience). In fact, we will also offer advertisers the option to ’sponsor’ elite community members who wear their apparel in their primary profile photo.
Problem: Advertising isn’t reinforced in multiple venues/facets
Solution: Most social networks offer a limited supply of banner ad inventory…and that’s it. From the outset we wanted to enable a multi-faceted approach that offered a menu-based selection process from which a campaign could be customized to the tastes and needs of the advertiser. On the menu would be flow-through ads in the carousel, contextual ads on the dashboard page, mobile phone sponsorships attached to text messages, content sponsorships (e.g. Leaderboards), offline promotions (e.g. signage at nightclub events); in-product promotions, etc. Great brands require triangular reinforcement to successfully penetrate the minds of consumers and take up permanent residence in their minds. The result of our problem solving endeavor has been a host of new advertising features and products yet to be deployed on a grand scale on the web including:
- HD-capable display technology
- Complete transaction processing within the framework of a single ad unit
- Data and behavioral tracking of user base
- In-product ad placements
- Ability for advertisers to test-market ad campaigns via our voting/reputation system
From the outset, shattering the current standards, protocols and effectiveness of online advertising stood as a cornerstone in the foundation of our company. Over time, we stand committed to offering both advertisers and members alike an integrated and experiential branding opportunity that works to benefit both constituencies from the outset.
