Whats The Frequency Kenneth

What's With The Frequency Capping, Kenneth?

MediaPost's David Goetzl is grilling his Buyer's panel at OMMA Video this morning, about the way they "frequency cap" their online video ad rotation online, especially the fact that the same creative runs over and over again, infuriating trade reporters' online viewing experience, if not the average consumer's. The consensus from the panelists is that it is more of a creative issue than a media issue.

"I don't think it's necessary the networks fault. I think it is a client and agency problem," explained Renee Whittingstall, partner-digital media director at MediaCom. "Clients don't want to spend on additional creative. Putting the resources behind it to get four different creative executions is expensive."

Universal McCann's David Cohen concurred, noting, "I don't think that we have the level of creative resources."

As did OMD Digital's Rob D'Asaro: "I definitely think that's on the agency.... That there is a healthy creative rotation in the mix. The majority of our clients are not buying full stream at this point, and a lot of the reason for that is the lack of creative resources.

Twist & Shout ~ What's The Frequency Kenneth? « Trade With Dave

Low frequency original Pixy Stix

New & Improved High Frequency Giant Pixy Stix

There’s 1960’s Twist & Shout courtesy of the The Beatles and The Isley Brothers.  That’s low frequency twisting and shouting. 

Then there’s next generation Twist & Shout courtesy of  R.E.M., Dan Rather and the assailant who believes that his mind has been taken over by the mainstream media.  That’s high frequency twisting and shouting courtesy of Kenneth.   

To fully appreciate what only the chairdresser knows for sure, you have to appreciate his appreciation for financial history.  Ben Bernanke appears to be taking a page from history and the John F. Kennedy administration as the plan to implement Operation Twist has received a shout out via twitter from no other than Bill Gross of Pimco, who when it comes to bonds is even bigger than The Beatles.

For those of you having difficulty sleeping, Dave offers this elaboration on the High Frequency upon which Operation Twist will resonate:  http://www.brookings.edu/~/media/Files/Programs/ES/BPEA/2011_spring_bpea_papers/2011_spring_bpea_conference_swanson.pdf

 Here’s an article from 2008 that addressed a similar issue: http://seekingalpha.com/article/68166-fixing-the-mortgage-mess-operation-twist-take-two

Here’s Dave’s gut instinct.  This is a temporary attempt to strengthen the dollar artificially cooling inflation while attempting to coax cash off of corporate balance sheets into mid-term investments by inverting the yield curve and motivating banks to lend to businesses again due to attractive low, long-term rates.  What will it actually do?  Dave thinks it’s like “cash for clunkers”, but it’s really more just “cash for candy.”  It will create the need for increased liquidity and more paper money and it will increase the near-term velocity of cash actually creating a currency shortage.

It will be like a sugar high.  Like dropping a Mentos into a bottle of Coke.  Wow!  Then you’re left with a flat soda and sticky mess.  Is anyone foolish enough to sink long-term or even mid-term (say a 7 year term loan for a business) investments when you have such an unstable environment?  No.  So, what will happen is an increase in liquidations (further drop in real estate prices) in an effort to lock-in short term returns.