Widgets: Evolution from Hypothetical to Real-Time
If you have ever downloaded or interacted with WeatherBug, then you are familiar with widgets and branded desktop applications (BDAs).
WeatherBug's desktop application was launched in 2000 and is consistently ranked as one of the highest trafficked Web properties in Comscore's monthly rankings. While WeatherBug's reach is attractive to advertisers, it is the loyalty and repeat visitation of its audience that is highly compelling. Because the application does not require an open browser and is highly customizable to individual user preferences, it provides a high level of utility to each individual user.
Many brands have finally begun harnessing the power of BDAs and widgets through the positive ways they can improve their marketing efforts and drive business results.
Branding
BDAs, and to a large degree, many forms of today's widgets, provide immersive brand experiences. Typically, BDAs take on unique shapes and forms and are skinned to match the look and feel of an advertiser's brand.
Widgets are also being placed on personal websites, blogs, personal pages in social networks, and personal homepages (e.g., My Yahoo! or iGoogle pages), making them highly trafficked and frequently utilized. BDAs and widgets enable brands to take on more personal, intimate feels, since users are able to set preferences and closely control the content they choose to receive.
Relationship Marketing
BDAs and widgets fit nicely into an ongoing contact strategy. A major challenge for advertisers is determining the optimal timing and flow for pushing out communications to their constituents. Email is typically sent out on a regimented basis – usually daily, weekly, or maybe even monthly. DM is normally executed with much less frequency. BDAs and widgets, on the other hand, are always live and always updating through RSS (syndicated feeds). The benefit to the advertiser is that if a user sets alerts for content tailored to his/her preferences or has an immediate need for information, a constantly updating widget fills the communication void nicely.
Considering how much competition exists and how many channels are currently being utilized to attract new customers and retain existing customers these days, maintaining an ongoing dialogue is becoming increasingly important. As Ray Valdes, research director for Gartner noted in an interview, "…a widget is providing value by helping a consumer offload a task—such as tracking new products—and giving back to them just-in-time information on an ongoing basis."
Research
BDAs and widgets can be used as two-way communications devices. Not only is content pushed out to users, but also existing customers can be communicated with and surveyed on an ongoing basis – for free! Additionally, user interaction and behavior can be tracked, enabling content optimization. Sr. Analyst at Forrester, Jeremiah Owyang, dives deeper into the widget metrics on his blog.
Direct Response
Southwest's DING! application has been downloaded more than 1 million times and has generated more than $150 million in revenue. When alerts are set to inform a user about deals and offers that align with his or her pre-determined preferences, s/he will be more likely to react and convert. Putting the consumer in control of an application that is constantly live and updating greatly increases the odds of an opportunistic, incremental sale. Whether you're selling airline tickets or software, a BDA or widget may be the ideal vehicle to reach an existing customer with a highly compelling up-sell or cross-sell message.
Viral
BDAs and widgets are highly viral and easily distributable. They can be emailed, easily downloaded, or installed with simple pieces of code. These relatively low-cost, highly functional marketing tools have infiltrated the social networking environment on sites like Facebook and MySpace.
Many companies have begun to experiment with BDAs over the past few years - some more successfully than others. While BDAs are flexible and customizable, each one must have a unique value proposition for its end users. Users not only need compelling reasons to download a new application in their already cluttered desktop environments, but there must also be enough value so that they use the application actively and repeatedly, instead of discarding the application after a short trial period. So, don't just create a BDA or a widget because they’re popular and everyone else seems to be getting in on the game. Do it if your customers and prospects will find incremental, lasting value in the experience and if you, as an advertiser, will be able to gain further insights and value from your installed base of users.
