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Get your head in the cloud

September 23rd, 2009
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Join the cloud revolution

Enjoy the benefits of the cloud

Most that work in web development field have heard the term “cloud computing.” Its a great new tech buzzword that evokes pictures of serene skies and flight, but what does this new concept really do and how can it help your agency and your clients? One of the largest direct up sides for companies is hosting cost savings.

One of the largest direct up sides of cloud hosting for companies is cost savings.

There are millions of web servers using less than 10% of their resources, purely because IT personnel have to worry about the worst case scenarios. For that one day rush on your website, you pay 364 days of unnecessary costs to keep a “maximum capacity” server running that is dedicated to your site. Cloud computing allows far more scalability and a “pay as you use” model. The limitations of a single machine’s hardware, size of a single hard drive, and other current hardware specific problems also become far less of an issue.

Without Cloud Hosting

Let’s start with a real world example. About 2 years ago, before many of the current cloud tools were fully ready for prime time, we had a client that had highly variable website traffic due to various promotional efforts.  Their website traffic could very low on one day and then increase by 1000% or more after a day of heavy promotion.  Because of the demand on processors the best option was a rack of servers (8 processors each) to keep up with demand. These 8 CPU boxes cost the client about $500+ per month, and we needed 40 to keep up with the peek demand we anticipated. Since most hosting facilities require at least a 6 month contract to provision this many boxes, that meant we were looking at an average of $20,000 per month, or $120,000+ just in hosting fees for the campaign. Not only is this costly, but its budget that is not going towards improving the end product, just running it. On most days no more than 2-3 machines were even processing visitor request.  The extra machines only had to be there to be able to handle peak traffic.

With Cloud Hosting

Fast forward to today and lets look at the same example with cloud options. In a cloud setup we only pay for a virtual machine as we use it. If its 3 AM and no one is on the site, we may only need 1 machine to be running. If its noon and a promotional campaign just went live our 40 machine setup might not even be enough to handle the sudden spike in demand. The cloud setup can scale as needed so that we can go from 1 machine to 100 in minutes and scale back down an hour later if the demand dies down. We also are not locked into a 6 month contract on a 3 month project. The best part, is that this can be automated so no one is tied in to watching the site usage; the system simply scales as needed.

Low hourly cost

Lets say we go with the fastest VM’s offered, all the options, all the monitoring, all the bells and whistles. We are looking at less than $1.50 per hour per machine to run! Each machine can run the same load as out static servers, but we can turn them on and off at will, and the system can even do this for us. So some simplified (and even rounded up) math paints this picture…

Average load would need 2 servers at $1.50 per hour for 180 days, or $12,960
Lets assume that this really takes off and for 3 days straight we need to run 100 servers 24/7. That’s a lot of usage, but the math works out as follows…
3 days * 100 servers = $10,800

So using this example we can handle FAR more capacity and scalability, the user experience is better as the backlog never gets too long, and the total out of pocket cost was $23,760, a savings of almost $100,000!!!

Granted this is an extreme (but very real) example so we maximized savings, but the cost benefits are clear. In addition to raw cost savings there are other benefits…

  • Data is backed up on multiple locations at all times so potential for loss is significantly decreased
  • If a server goes down another one can be started in minutes reducing the possibility of down time, even with a catastrophic server crash
  • If one entire facility were to go down, the server could be restarted remotely at another facility. This removes a single location being a point of failure.
  • If your hard drive is full on a traditional server, serious problems in functionality and data loss can pose a huge problem, but the cloud can have unlimited file storage
  • If a central database server crashes in a traditional environment it can take down the site. With proper configuration in the cloud it can automatically switch over to an “up to the second” backup server.

So why not move everything over now? Quite simply, cloud hosting is not for everything. It works best for potentially highly variable traffic such as the traffic that is generated by focused promotional efforts.  Hosting one small site will likely not see much, if any, cost benefit. Privacy and company policies on some systems prevent using any outside facility to run some applications. Additionally, legacy sites that are programmed to access local files on the hard drive may need to be adjusted to work correctly in their new cloud home, so there is a cost to move and update.

The cloud movement is here and growing fast because of increased redundancy with decreased cost.

The cloud movement is here though, and growing fast. Services are emerging that once were out of reach due to hardware limitations. Online video converters, complex calculations, cheap mass storage and more are available thanks the cloud movement. We’ll cover some of these in later articles, but I hope this has helped give you a brief overview of what cloud computing is and what it can do for you.

Please contact us if you’d like to discuss cloud hosting for any of your campaigns or clients.

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Augmented Reality: A new advertising tool

September 22nd, 2009
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ar_thumbIf engaging your audience is important then augmented reality is something you should consider adding to your quiver of advertising tools. And, very importantly, recent improvements in the technology make it possible for much more modest budgets than in the past.

BMW, Volvo, GE, Best Buy and many others have already used augmented reality in their ads. Why shouldn’t you?

What if you were no longer confined to interacting with your computer using a brick on a string? What if your physical movements allowed you to be part of the experience?  That future is much closer than you think with augmented reality.

So what is Augmented Reality?

Augmented reality is best understood by seeing it. The video below is a good basic example from GE from January 2009.

GE Augmented Reality Demo

Augmented reality (or AR) is most simply defined as integrating digital content with live video streams. Much like virtual reality, the goal is to engage the user and make them part of the experience. With AR, however, the user’s real environment is the canvas for the digital elements.

Using a simple web cam, you can hold out your arm with a special printed marker sitting in your hand and a 3d character can stand on your palm, talk, move, and interact. You can be part of the action, not just view an artificial world through a monitor. A little confused? Be sure to check out the video above first.

AR as a concept has been around for several years but has recently begun to see broad ranging usage. It is being used in applications from product marketing, advertising, video gaming, product visualization, toys, and providing localized information.

Significant Potential

This technology, especially when used in combination with existing advertising and marketing efforts, has shown significant potential to enhance promotions and expand opportunities for user engagement (see Sasquatch example). Recent advances in AR have reduced cost to utilize this technology opening up new advertising applications that were not economically possible previously.

We want to break through some of the hype with this article and discuss advantages and limitations of this technology. We will also briefly review how other large advertisers are currently using it and how you and your clients can benefit from it. Be sure to check out other examples as words frequently don’t do this technology justice.

What are the benefits to advertisers? Here are a few:

• Very novel and engaging applications are now possible without a large budget.
• Can be an effective complement to print advertising as well as online or video efforts.
• Enables interaction with brand, products and characters in compelling ways not previously possible. The user is part of the experience.
• The cool aspect of the interaction can quickly go viral and spread exposure with word of mouth, social networking, and link sharing.

Augmenting other efforts

Many large brands are experimenting with AR in their marketing including GE, Toyota, Wal–mart, Best Buy and Papa Johns (see other examples for a more complete list). Some uses of AR are stand alone promotions but AR has also been used as an effective complement to print, online, TV/video and mixed media campaigns (see Best Buy for print, BMW for integration with video campaign).

Best Buy in 3D Demo

BMW:  AR integration with video

Adding AR to a campaign or promotional effort can take a basic marketing approach to new levels with mass viral sharing of content. See Sasquatch for a good example of how AR was used for a campaign with entertaining, personalized, user generated content. Every visitor to the site had the potential to bring many more just from sharing their created content with friends. The net result can be an exponential growth of visibility.

Product Visualization

AR has also frequently been used for product visualization and interaction. AR creates the possibility of engaging and even, to some degree, physical interactions with products (see Toyota IQ and Lego examples). While good examples exist of single products, we believe this is just the start of what is to come. The lines between virtual and real are being crossed so that users can visit a store and interact with an actual size virtual example, right in the palm of their hand. Or you can “try before you buy” without ever visiting a store.

Toyota IQ Demo

Lego Retail Demo

So why is now the time to use this technology?

There are many reasons, but one of the most compelling is the recent advancements in AR which have reduced production cost and technical barriers to users. We believe this has shifted the cost/benefit ratio of AR to a point where many more advertisers should consider using AR as a way to enhance advertising and promotional efforts.

AR is no longer just for the huge studios with deep pockets.

In the past, integration of 3D graphics similar to those used in AR has been limited to large budgets, such as movie productions, but can now be done on far more limited budgets with real time video streams. With the ability to scale complexity, quality, and interactive elements, AR is no longer just for the huge studios with deep pockets.

A few limitations

There are a few limitations of which advertisers should be aware. AR is certainly not for everything.

Although AR has been around for a while it is still a maturing technology. This means it still has novel value but also means best practices are currently being worked out.  Some uses of AR in advertising have been very experimental and not all AR examples are “good” AR examples. User expectations have to be realistic as well. For a user to visit a web site and have the quality of interaction they see on a local gaming system, such as a PS3, might be a bit unrealistic but simple animation and well crafted characters can now be brought to life with no new browser plug-ins for user to install.

The key hardware for AR to work online is a web cam. While not every user has a camera there does seem to be a trend of increasing availability of web cameras. According to some estimates the web cam market in 2008 was $1.8 billion and web cams are becoming a standard feature on many laptop and some desktop models.  It is also worth noting that recorded AR video can be viewed without a webcam as with the video examples included in this article.

While we believe there are currently significant benefits to using AR in advertising the longevity of AR as an advertising tool remains unclear. We will continue to monitor AR usage in advertising and report on trends as they become visible.

Ready to give it a try but not sure where to start?

We can help. We have developed our capabilities as the cost/benefit ratio for AR has improved. We have worked on online and offline projects, developed a rapid AR prototype for this year’s E3 convention, and have extensive experience in web, flash and 3D programming which carries over well to AR development.

Our goal is to put technology this valuable and cutting edge within your reach.

While AR has a great deal of potential, it’s new enough that most agencies and companies can not justify dedicated in house staff focused on this new technology. Not to worry, we are happy to step in and work with or as your technical team. Our goal is to put technology this valuable and cutting edge within your reach.

We believe it is a good idea for advertisers to review examples of AR in advertising to keep a general awareness of how this technology might be beneficial to existing clients.

Please let us know if you have any potential projects you’d like to discuss.

SEE ALSO:

Augmented Reality:  Other Examples

Video overview of other AR applications

AR How Stuff Works – Info about more localized uses

AR Wikipedia Entry – A more technical article

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Augmented Reality: Other Examples

September 22nd, 2009
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*Please note some of the technical difficulties with several of these examples would not be present in up to date development.  Some of these examples were pretty experimental at the time.

Please let us know if you have any potential projects you’d like to discuss.

UPDATE-  We have a new article with a more complete analysis of Augmented Reality.

5 Gum – Music Mixer

Best Buy Demo – Product Visualization

BMW – Integration with Video

District 9 Video – Movie Promotion

GE Promotion

Harry Potter Hat – AR Promotion

Kia Soul – Facebook AR game

Layar – Localization – Article with Video

Lego – Product Visualization

MacDonalds – Product Visualization

Mini Cooper – Product Visualization

Nissan – Product Visualization

P & G – Product Promotion Demo

Papa Johns – Promotional Game

Sasquatch – Jack Links Beef Jerky – User generated content/viral promotion

StarTrek – Movie Promotion

Toyota IQ – Product Visualization

Transformers – Movie Promotion

USPS – Product/Service Visualization – Box simulator

Volvo – Sailing Sponsorship Promotion

Wal-mart – Promotion

Zugara – Online Retail Sales

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10 Harsh Truths About Corporate Blogging

August 11th, 2009
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Build it and they will come, right?  Unfortunately not. If you have, or are planning a corporate blog, you might want to read this article to make sure your plan is built on more than just a hope of magic traffic.

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A Guide to Google Analytics and Useful Tools

July 17th, 2009
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Knowledge is power. We use Google Analytics with most of the sites we deploy and the detail it provides can be invaluable. This article covers some of the ways to use Google and some handy tools to help with your data mining.

Read more here.

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Ways to make your site accessible using web standards

June 20th, 2009
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All too often the focus of a site is so heavily placed on a particular feature or a design that we overlook standards. Not every user will visit your site with the same browser, OS, or even device you use. With phones, custom web devices, and disability enabled devices becoming more prominent, its more important than ever to keep all of your audience in mind. This article covers some of the most important things to remember when building a site so its accessible to everyone.

Check it out here.

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Can you afford to innovate?

June 18th, 2009
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This is a great article that covers the costs we often see in innovation, but contrasts their long term pay offs. Being forward thinking hurts a bit more on the front side, but the end benefits can be huge.

Check out the article here.

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12 Tips for Designing an Excellent Checkout Process

May 29th, 2009
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We’ve all visited sites that the store makes us want to run away rather than show. There is a delicate balance between getting the needed information from a customer and pushing your products without making them feel frustrated. This article covers some great “dos” and “don’ts” for e-commerce.

Check it out here.

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Flash Versus Silverlight

May 20th, 2009
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This is a very good (and relatively unbiased) comparison of the two technologies. They don’t go much into Flex/AS3, but as abase technologies its not bad. Silverlight still only has around 30% of the browser market compared to Flash’s 98%+, but competition always breeds inovation.

Check it out here.

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Is there a better way to price your product.

April 15th, 2009
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In advertising and development, we all are in a few ruts for pricing. Clients typically want to know up front how much an undefined product or campaign will cost. We personally have seen the best success on projects when clients truly appreciate and make use of planning, design and concepting up front. This article points out one company’s unique approach to pricing and stages of a project. With econimic changes, we all need to consider new pricing models that work for both client and vendor.

Check it out here.

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