US Business and Economy

Citibank is in hot water, having double-charged some customers for months because of a technical glitch they experienced.  Starting in July, they have been double-charging people because of a problem with an iPad application; the problem was only discovered and fixed in December, according to Citibank spokesman Andrew Brent.

The bank hasn’t wanted to discuss the issue too much, of course, but it appears that about 2% of Citibank transactions that were made through an iPad were counted twice.  Citi has reached out to those clients who were affected and have resolved all problems.

As Brent wrote,

“We take seriously the functionality of our products and services as well as the satisfaction of our clients.”

Perhaps you’ve found yourself a bit confused recently. If advertisers are wiling to spend $3.5 million for a 30 second spot during the upcoming Super Bowl, then why are they posting these advertisements on YouTube before the big game?

For the first time, advertisers seem to be using this tactic, and waking up to the importance of social media for their success.  Analysts are saying that this year shows a turning point for businesses that are incorporating social media into their advertisement plans like never before.  As Tim Calkins, professor of marketing at Northwestern University, said “This year, we’re really seeing it go to a totally new level where marketers are making social networking a core part of their Super Bowl efforts.” 

Advertisers are trying a new way to extend the life of their costly commercials and to build viewer excitement. They are doing so this year by showing either teaser clips, or the entire commercial, on TV or the Internet.  As Peter Daboll, CEO of Ace Metrix, points out however,

“This is kind of a risky tactic to us. With such a large audience watching the game, there’s a certain surprise appeal.”

Time will tell whether the social media craze will be worth it for advertisers after the Super Bowl – or if they’ve abused their outlets by offering too much access ahead of time.

Dannon has apparently gotten itself into the Super Bowl act, debuting its first ever advertisement during the February 5th big event.  Featuring actor John Stamos and the Oikos Greek yogurt brand, the TV spot is 30 seconds in length and cost in the ballpark, according to Dannon spokesman Michael Neuwirth, “in the $3.5 million range.”

Neuwirth explained the justification for the spot. As he said, “It’s not to change snacking habits during the Super Bowl obviously. But we’re in a category of food that continues to grow. It’s a long-term trend.”

He explained that, to create exposure “there’s no better way to do that than the Super Bowl.”

With no dialogue, the ad shows a sexy couple fighting over a cup of yogurt, and Danon certainly hopes to make an economic splash with it.

It will certainly be interesting to watch Yahoo in the coming months and to see if they manage to recover from the mess they’ve made of themselves. Yahoo co-founder Jerry Yang just announced that he is packing up and leaving, just two weeks after Yahoo Inc. hired former PayPay executive Scott Thompson to be its new CEO.

Yang, in a letter to Yahoo Chairman Roy Bostock, wrote, “My time at Yahoo, from its founding to the present, has encompassed some of the most exciting and rewarding experiences of my life. However, the time has come for me to pursue other interests outside of Yahoo.”

There is no indication of what Yang’s next plans will be. He certainly doesn’t need to bring in a paycheck with his fortune that is estimated to be about $1.1 billion.

While giving up his board seat at Yahoo, and at China’s Alibaba Group and Yahoo Japan, Yang is also giving up his position as the “Chief Yahoo.”

Perhaps Scott Thompson will have an easier time fixing Yahoo without Yang breathing over his shoulder. Time will certainly tell.

Not surprisingly, Steve Jobs continues to inspire and create buzz even now that he’s gone. A new report by YouGov BrandIndex said on Tuesday that Apple was among the top companies to receive positive buzz during 2011; and that those positive feelings spiked in October, when Jobs passed away.

Apple ranked 10th for their positive buzz, according to the report that polled consumers about last year and looked at 1100 companies. These findings were made even more significant when considering that it was the first time in three years that Apple reached the top 10 list. They joined companies such as Subway, Amazon, Google and Ford.

Ted Marzilli, the BrandIndex global managing director, wasn’t surprised that Apple doesn’t make the list each year. They are, he explained, the type of company that creates loyalty, but that also creates strong criticism.

As Marzilli said, “It’s not an uncontroversial brand.” Marzilli explained, however, that “Even if you’re not a huge Apple fan, I think a lot of people would say he’s a visionary.”

Robert Passikoff, founder of the market research firm Brand Keys, points out that Apple certainly has large shoes to fill now that Jobs is gone. As he said, “No one, at this point, I think really knows what the next big thing is for Apple, but surely any missteps are going to (be looked) at really, really closely.”