INTERNET BUSINESS NEWS-(C)1995-2003 M2 COMMUNICATIONS LTD
An investigation from provider of PC-based e-commerce technology, Actinic Software Ltd, has revealed that many UK online stores had a seasonal boost in year-on-year growth.
In comparison to the average of 66% increase in year-on-year online sale, traditional high-street stores are reported to have experienced a flat Christmas.
Actinic asked for flash sales figures over the Christmas period from its retailers who had been trading online for more than a year.
Examples of online stores with year-on-year growth are Anything Left-Handed, with a 125% increase and The Gentleman's Shop, with a 121% growth.
Wednesday, September 26, 2007
Seeing The E-Services Big Picture: Online Self-Service Can Pay Huge Dividends, But Requires More Than Simple Automation
"Emerging self-service technologies, such as automated e-mail response, natural language search and knowledge taxonomies, will improve specific aspects of the automation process. Other technologies such as text chat, voice over IP, 'call me back' requests, customer support automation and basic application integration will ease technology integration."
At least that's how the analysts at Gartner, Inc. viewed e-services back in December 2002, having conducted a study on the customer self-service movement. And though automation taking over for contact center agents was still in its business infancy in 2002, there was little reason to think such analyst forecasts wouldn't come to fruition.
At the same time Gartner and other industry forecasters stepped up their focus on self-service trends, multichannel and IP technologies were making waves in business communications circles. Therefore, the verdict more than three years ago that technology integration would eventually enhance e-services automation was a reasonable one.
As it turns out, the folks at Gartner were absolutely prophetic, particularly in their assessment about self-service technology and integration. Since their respective introductions, technologies such as multichannel communications, e-mail response automation, Web text chat and VoIP have continued to come together rather nicely. The business side of the e-services prophecy also is coming true in that many companies are finally beginning to understand the implications of consumers wanting service on their terms - that is, using their media of choice.
The Myths Of E-Services
Customers and tunnel vision aside, many organizations see e-services as being somewhat experimental. "Let's try this self-service thing in Department A first, and if it works, extend it to Department B, then Department C," etc. This kind of corporate thinking also tends to spawn other myths that presume self-service automation is:
* A quick and easy solution to keep up with competitors;
* A one-size-fits-all process that suits all customers and their needs;
* A means by which to reduce live interactions and eliminate agents; and
* The best way to reduce departmental costs.
The truth is this: Web self-service provides a significant opportunity for any business to both retain current customers and attract new ones - but only if an organization views e-services automation from the outside in, and implements a strategy for self-service continuity throughout the company. In other words, instead of looking at self-service as a competitive quick fix or a way to reduce one department's expenses, companies must be ready and able to deploy the online and associated multichannel options their customers want, and do so enterprisewide.
Covering Every Channel
Along with traditional phone, fax and voice mail avenues, today's consumer wants online self-service options to verify a current balance with accounting, to access a technical fix posted from tech support, and to get an automatic response to their e-mail inquiry and seamlessly place a product order with sales. Of course, Web strategies can be implemented incrementally, taking the "Department A, Department B, Department C" route if necessary, although the ultimate objective must be to ultimately extend every interaction type across the organization. Moreover, any e-services objective must be clearly presented to customers and employees alike. That means senior managers, as the analysts at Gartner said, should be willing to retool internal priorities, business rule processes and management responsibilities to make sure their e-services implementation covers every customer service base and interaction type.
At least that's how the analysts at Gartner, Inc. viewed e-services back in December 2002, having conducted a study on the customer self-service movement. And though automation taking over for contact center agents was still in its business infancy in 2002, there was little reason to think such analyst forecasts wouldn't come to fruition.
At the same time Gartner and other industry forecasters stepped up their focus on self-service trends, multichannel and IP technologies were making waves in business communications circles. Therefore, the verdict more than three years ago that technology integration would eventually enhance e-services automation was a reasonable one.
As it turns out, the folks at Gartner were absolutely prophetic, particularly in their assessment about self-service technology and integration. Since their respective introductions, technologies such as multichannel communications, e-mail response automation, Web text chat and VoIP have continued to come together rather nicely. The business side of the e-services prophecy also is coming true in that many companies are finally beginning to understand the implications of consumers wanting service on their terms - that is, using their media of choice.
The Myths Of E-Services
Customers and tunnel vision aside, many organizations see e-services as being somewhat experimental. "Let's try this self-service thing in Department A first, and if it works, extend it to Department B, then Department C," etc. This kind of corporate thinking also tends to spawn other myths that presume self-service automation is:
* A quick and easy solution to keep up with competitors;
* A one-size-fits-all process that suits all customers and their needs;
* A means by which to reduce live interactions and eliminate agents; and
* The best way to reduce departmental costs.
The truth is this: Web self-service provides a significant opportunity for any business to both retain current customers and attract new ones - but only if an organization views e-services automation from the outside in, and implements a strategy for self-service continuity throughout the company. In other words, instead of looking at self-service as a competitive quick fix or a way to reduce one department's expenses, companies must be ready and able to deploy the online and associated multichannel options their customers want, and do so enterprisewide.
Covering Every Channel
Along with traditional phone, fax and voice mail avenues, today's consumer wants online self-service options to verify a current balance with accounting, to access a technical fix posted from tech support, and to get an automatic response to their e-mail inquiry and seamlessly place a product order with sales. Of course, Web strategies can be implemented incrementally, taking the "Department A, Department B, Department C" route if necessary, although the ultimate objective must be to ultimately extend every interaction type across the organization. Moreover, any e-services objective must be clearly presented to customers and employees alike. That means senior managers, as the analysts at Gartner said, should be willing to retool internal priorities, business rule processes and management responsibilities to make sure their e-services implementation covers every customer service base and interaction type.
Friday, September 21, 2007
Online holiday sales retreat from previous years' pace - Brief Article - Statistical Data Included
In contrast to the last three seasons, the once exuberant online holiday selling season will likely serve as the industry's most striking example of "negative growth." Following the events of Sept. 11, several firms, such as Jupiter Media Metrix, have toned down early sales forecasts. Jupiter, for example, now anticipates that online holiday retail sales will ring up $10 billion, a 15% increase over 2000, and the combined online holiday retail and travel sales figure will be $11.9 billion, up 11%. This compares to sales spikes of 54% in 2000 and a staggering 126% in 1999.
Online sales growth has slowed faster than Internet pundits had collectively predicted in the Internet's golden days. In fact, e-commerce sales now stand little to no chance of reaching the trillion-dollar mark by 2003, a time frame put forth merely two years ago by companies such as International Data Corp. and the University of Texas.
In a recent report, Jupiter referred to the slowdown in growth as a "blessing in disguise," reasoning that modest growth expectations allow retailers to scale their businesses to balance consumer expectations and profitability.
Despite the slowdown, e-commerce has not come to a shrieking halt. The Yankee Group analyst Paul Ritter, who predicts a modest single-digit increase of 7% to $9.5 billion, points out that there are still certain growth factors in the sector. Each year, more and more consumers warm up to the idea of shopping online. Jupiter anticipates 10 million more people will buy gifts online this holiday, to total 46 million, up from 36 million in 2000. That said, the traffic boost will likely be offset by shrinking holiday budgets.
And contrary to earlier speculation, the "bunker mentality" is not deterring consumers from frequenting stores. A recent Goldman Sachs, Harris Interactive and Nielsen/NetRatings survey found that 78.3% of this year's holiday shopping will be done in the stores, down slightly from 79.9% in 2000.
Since the mass exodus from the stores to the online channel never took hold, retailers have spent the better part of 2001 trying to quantify the effects of their online business on their stores.
Over the course of 2001, a lot of retailers stopped looking at their online divisions as a separate part of their business, said Jupiter analyst Rob Leathern. The change in corporate philosophy prompted retailers such as Staples, Kmart and Wal-Mart to reel their previously spun-off Internet in-house. Now under the umbrella of a public company, Internet businesses such as Walmart.com and BlueLight.com did away with drains on their budgets, such as free Internet access for customers, a mainstay of the original BlueLight marketing campaign.
Online sales last holiday trumpeted the bricks-andclicks model as the winning formula. Analysts such as Leathern note that throughout the year, consumers have continued to gravitate toward multichannel players.
Ritter went so far as to suggest Amazon is adapting its business model to that of a bricks-and-clicks player through partnerships with Toys "R" Us, Borders, Circuit City and Target. The multichannel approach offers retailers a greater opportunity to capture more market share.
Jupiter research shows that for every dollar spent online, consumers spend another $5 in the stores as a direct result of online research.
Best Buy's own consumer research revealed 80% of consumers surveyed preferred to buy in the store rather than through a catalog or online. Moreover, the research function of Bestbuy.com served to enhance the consumer's experience in the store, said president and ceo Brad Anderson at the International Mass Retail Association's holiday press conference. "'What we discovered over 2001 is that it is truly a clicks-and-mortar strategy."
While retailers have inched closer to a successfully integrated multichannel approach this year, the events of Sept. 11 have thrown them another curveball in terms of fulfillment. Several retailers have set earlier cut-off dates for shipping. Toys "R" Us gave a ballpark date of Dec. 10, a little on the early side compared to past years. Leathern said the earlier dates come after some retailers faced fines from the Federal Trade Commission for failing to deliver on time. "There's an increased sensitivity that external factors-such as shipping- maybe more of an issue because of current events," said Leathern Amazon's in-store pickup deal with Circuit City may help offset sales lost from fewer selling days, said Ritter.
Online sales growth has slowed faster than Internet pundits had collectively predicted in the Internet's golden days. In fact, e-commerce sales now stand little to no chance of reaching the trillion-dollar mark by 2003, a time frame put forth merely two years ago by companies such as International Data Corp. and the University of Texas.
In a recent report, Jupiter referred to the slowdown in growth as a "blessing in disguise," reasoning that modest growth expectations allow retailers to scale their businesses to balance consumer expectations and profitability.
Despite the slowdown, e-commerce has not come to a shrieking halt. The Yankee Group analyst Paul Ritter, who predicts a modest single-digit increase of 7% to $9.5 billion, points out that there are still certain growth factors in the sector. Each year, more and more consumers warm up to the idea of shopping online. Jupiter anticipates 10 million more people will buy gifts online this holiday, to total 46 million, up from 36 million in 2000. That said, the traffic boost will likely be offset by shrinking holiday budgets.
And contrary to earlier speculation, the "bunker mentality" is not deterring consumers from frequenting stores. A recent Goldman Sachs, Harris Interactive and Nielsen/NetRatings survey found that 78.3% of this year's holiday shopping will be done in the stores, down slightly from 79.9% in 2000.
Since the mass exodus from the stores to the online channel never took hold, retailers have spent the better part of 2001 trying to quantify the effects of their online business on their stores.
Over the course of 2001, a lot of retailers stopped looking at their online divisions as a separate part of their business, said Jupiter analyst Rob Leathern. The change in corporate philosophy prompted retailers such as Staples, Kmart and Wal-Mart to reel their previously spun-off Internet in-house. Now under the umbrella of a public company, Internet businesses such as Walmart.com and BlueLight.com did away with drains on their budgets, such as free Internet access for customers, a mainstay of the original BlueLight marketing campaign.
Online sales last holiday trumpeted the bricks-andclicks model as the winning formula. Analysts such as Leathern note that throughout the year, consumers have continued to gravitate toward multichannel players.
Ritter went so far as to suggest Amazon is adapting its business model to that of a bricks-and-clicks player through partnerships with Toys "R" Us, Borders, Circuit City and Target. The multichannel approach offers retailers a greater opportunity to capture more market share.
Jupiter research shows that for every dollar spent online, consumers spend another $5 in the stores as a direct result of online research.
Best Buy's own consumer research revealed 80% of consumers surveyed preferred to buy in the store rather than through a catalog or online. Moreover, the research function of Bestbuy.com served to enhance the consumer's experience in the store, said president and ceo Brad Anderson at the International Mass Retail Association's holiday press conference. "'What we discovered over 2001 is that it is truly a clicks-and-mortar strategy."
While retailers have inched closer to a successfully integrated multichannel approach this year, the events of Sept. 11 have thrown them another curveball in terms of fulfillment. Several retailers have set earlier cut-off dates for shipping. Toys "R" Us gave a ballpark date of Dec. 10, a little on the early side compared to past years. Leathern said the earlier dates come after some retailers faced fines from the Federal Trade Commission for failing to deliver on time. "There's an increased sensitivity that external factors-such as shipping- maybe more of an issue because of current events," said Leathern Amazon's in-store pickup deal with Circuit City may help offset sales lost from fewer selling days, said Ritter.
Behind the magic: how do stellar sellers work their magic? From the first cold call to closing the deal, discover the top sales secrets of some seriou
The secret to a successful sales letter is making it took just like a typical business letter. You want to position yourself as a peer who has a great idea and a helpful offer. In working with sales Consultants at IBM, we coach them to start where the last conversation left off--something like, "After your comment to me on the phone last month, I've been thinking about a way to X." Your opening shot can't be a misfire.--Dianna Booher, author of E-Writing: 21st Century Tools for Effective Communication and CEO of Booher Consultants Inc., a Dallas/Fort Worth-area communication training firm
How to generate repeat business
Our customers aren't customers; our customers are owners. That sets a certain bar. If one of our owners is going to take a flight, a sales vice president may be helping with the luggage and the catering. We feel like if we get in front of our customers and we hustle, at the end of the day, it will be translated into repeat business.--Kenny Dichter, founder of New York City-based Marquis Jet, an 80-employee global leader in private jet cards whose Marquis let Card Program has a 90 percent customer renewal rate
How to upsell your current clients
I asked a client if they were thinking about redoing their website. They said, "No." I didn't tell them, but I was going to work on something because I had a vision for it. I presented it to them, and they loved it. I had a $10,000 sale for that website. The biggest secret is just taking the time to think, "What does my client need that he's not asking for?"--Paula Yakubik, founder of MassMedia, a 7-year-old Las Vegas PR and advertising firm with 18 employees and $3.5 million in annual sales
How to hire a good sales manager
Successfully hiring a strong sales manager is a balance between science and art. All strong sales-manager candidates exhibit three behavioral traits: a high energy level, tenacity and competitiveness. The biggest mistake companies make is that they try to find someone who will change the process because sales are not at the desired level. The majority of the time, the process isn't broken; what they didn't find was someone who has sold in that process before. Finding a manager compatible with the process is crucial.--Jim Kasper, author of Creating the #1 Sales Force: What It Takes to Transform Your Sales Culture
How to offer great customer service
The big secret is to passionately believe in your people. It's easy to say and difficult to execute unless you're in a culture that supports and encourages great customer service. Everyone's going that extra mile. Behind every transaction is a personal relationship.--Jack Mitchell, author of Hug Your Customers: The Proven Way to Personalize Sales and Achieve Astounding Results and CEO of Mitchells/Richards, a high-end Connecticut clothing retailer with $70 million in annual sales
How to generate repeat business
Our customers aren't customers; our customers are owners. That sets a certain bar. If one of our owners is going to take a flight, a sales vice president may be helping with the luggage and the catering. We feel like if we get in front of our customers and we hustle, at the end of the day, it will be translated into repeat business.--Kenny Dichter, founder of New York City-based Marquis Jet, an 80-employee global leader in private jet cards whose Marquis let Card Program has a 90 percent customer renewal rate
How to upsell your current clients
I asked a client if they were thinking about redoing their website. They said, "No." I didn't tell them, but I was going to work on something because I had a vision for it. I presented it to them, and they loved it. I had a $10,000 sale for that website. The biggest secret is just taking the time to think, "What does my client need that he's not asking for?"--Paula Yakubik, founder of MassMedia, a 7-year-old Las Vegas PR and advertising firm with 18 employees and $3.5 million in annual sales
How to hire a good sales manager
Successfully hiring a strong sales manager is a balance between science and art. All strong sales-manager candidates exhibit three behavioral traits: a high energy level, tenacity and competitiveness. The biggest mistake companies make is that they try to find someone who will change the process because sales are not at the desired level. The majority of the time, the process isn't broken; what they didn't find was someone who has sold in that process before. Finding a manager compatible with the process is crucial.--Jim Kasper, author of Creating the #1 Sales Force: What It Takes to Transform Your Sales Culture
How to offer great customer service
The big secret is to passionately believe in your people. It's easy to say and difficult to execute unless you're in a culture that supports and encourages great customer service. Everyone's going that extra mile. Behind every transaction is a personal relationship.--Jack Mitchell, author of Hug Your Customers: The Proven Way to Personalize Sales and Achieve Astounding Results and CEO of Mitchells/Richards, a high-end Connecticut clothing retailer with $70 million in annual sales
Thursday, September 20, 2007
Take heart: to really make an impression on your customers, don't just memorize a sales pitch—let them see your heart and soul
YEARS AGO, I worked with a sales rep who had a great personality and a real knack for building relationships--outside of sales calls. As soon as he got in front of a prospect, his whole demeanor changed. He became a robot, spitting out the sales pitch he had memorized and virtually shutting out the customer. The guy with the great personality disappeared, and the salesperson showed up in his place.
Sure, customers want you to know your business. They expect you to have the facts at your fingertips. They need you to be thinking all the time. But what they really want is to make a connection. It can't be said too many times that people buy from people they like, trust and respect. If you use just your brain on a sales call, and not your heart, you'll be like every other Tom, Dick and Sally, working as hard as you can and making very few sales.
Here are four ways to use both your mind and heart to make your sales sing:
1. PREPARE. This is the "just the facts" part of the sale. Do your research. Gather as much knowledge as you can about the person you're selling to, the company he or she works for and that company's customers. Make sure you're armed with information about your own product or service as well.
2. BUILD A STRUCTURE. Set goals, and outline how you would like the sale to go. This is not a script that you follow, but rather a general idea of the direction you want to pursue. Any event, whether it's a one-on-one sales call or a presentation to a large group, is only as strong as its structure. If there is no foundation, a single question or comment can throw you completely off track. Having a structure allows you (or the customer) to go off on a tangent but then find your way back quickly and efficiently.
3. LET GO. Once you have the structure established, let it go. I've talked before about mushin, the martial arts concept that means "no mind." When you have really practiced a martial art, you don't have to think about every move you make. Your strength and agility are based on your previous training. In a sales call, you've got to rely on your training as well. It becomes easy to go with the flow, instead of following a rigid script, when you have experience and have done all the research. When you learn to trust your instincts, you can allow yourself to react naturally and believe in your abilities.
4. SELL FROM YOUR TRUE, PASSIONATE HEART.
Customers want to deal with the real you. They want to believe in both you and your product or service; they want to know that buying from you is the right choice. When you're passionate and enthusiastic, you spread those emotions directly to the customer. I deal with high-level customers every day--from sports legends and famous comedians to CEOs of billion-dollar corporations. People in those positions don't buy because a salesperson has the most polished presentation. They want to cut through all the layers and make a connection. They want to see inside you, not right through you. When they can see your true spirit and tell you're on the same level, they can be confident you have their best interests at heart.
As Shakespeare wrote, "This above all: to thine own self be true, And it must follow, as the night the day, Thou canst not then be false to any man." Follow the four steps outlined above, and you have the perfect formula for a successful sales call.
Sure, customers want you to know your business. They expect you to have the facts at your fingertips. They need you to be thinking all the time. But what they really want is to make a connection. It can't be said too many times that people buy from people they like, trust and respect. If you use just your brain on a sales call, and not your heart, you'll be like every other Tom, Dick and Sally, working as hard as you can and making very few sales.
Here are four ways to use both your mind and heart to make your sales sing:
1. PREPARE. This is the "just the facts" part of the sale. Do your research. Gather as much knowledge as you can about the person you're selling to, the company he or she works for and that company's customers. Make sure you're armed with information about your own product or service as well.
2. BUILD A STRUCTURE. Set goals, and outline how you would like the sale to go. This is not a script that you follow, but rather a general idea of the direction you want to pursue. Any event, whether it's a one-on-one sales call or a presentation to a large group, is only as strong as its structure. If there is no foundation, a single question or comment can throw you completely off track. Having a structure allows you (or the customer) to go off on a tangent but then find your way back quickly and efficiently.
3. LET GO. Once you have the structure established, let it go. I've talked before about mushin, the martial arts concept that means "no mind." When you have really practiced a martial art, you don't have to think about every move you make. Your strength and agility are based on your previous training. In a sales call, you've got to rely on your training as well. It becomes easy to go with the flow, instead of following a rigid script, when you have experience and have done all the research. When you learn to trust your instincts, you can allow yourself to react naturally and believe in your abilities.
4. SELL FROM YOUR TRUE, PASSIONATE HEART.
Customers want to deal with the real you. They want to believe in both you and your product or service; they want to know that buying from you is the right choice. When you're passionate and enthusiastic, you spread those emotions directly to the customer. I deal with high-level customers every day--from sports legends and famous comedians to CEOs of billion-dollar corporations. People in those positions don't buy because a salesperson has the most polished presentation. They want to cut through all the layers and make a connection. They want to see inside you, not right through you. When they can see your true spirit and tell you're on the same level, they can be confident you have their best interests at heart.
As Shakespeare wrote, "This above all: to thine own self be true, And it must follow, as the night the day, Thou canst not then be false to any man." Follow the four steps outlined above, and you have the perfect formula for a successful sales call.
Thursday, September 13, 2007
IBM Eyes '100 Percent Mandate' for Online Software Sales
IBM is offering a 10% discount on software obtained through IBM.com. Already, IBM claims 60% of the site's software sales in the Americas are fulfilled electronically, up from the low teens at the end of 2000. The site now carries for sale only smaller software packages such as Lotus Notes and WebSphere Commerce Suite for OS/390, which run on workstations or midrange servers and can be downloaded in a relatively short time.
As for cutting costs, IBM estimates that sales completed online with help from a telesales representative cost 40% less than sales completed face-to-face; sales completed online with no human intervention cost 80% less. It won't state absolute dollar savings. To help, the company is sprucing up its software to make it easier to sell online.
IBM director of e-business enablement Darryl Turner attributes part of last year's jump in IBM.com's software sales to new technology IBM developed to speed and restart software downloads. IBM's labs are also investigating ways to break software into modules so it can be downloaded in smaller chunks, an effort Turner says is in the "very early planning stages."
Who will buy? Yet corporate customers say that IBM—or any software vendor, for that matter—has a long way to go before they would consider buying all their software online as a routine practice.
In general, IBM sells very complex software whose online delivery time can be measured in hours. "Would we buy online? With little items [like Java licenses], no problem, but with big items like Content Manager, we would want to discuss with [the IBM support staff] whether we need it," says David Bush, CIO of corporate truck and fleet management company LeasePlan USA, which uses IBM software to manage documents electronically.
Resellers of IBM software may lose revenue from IBM's shift online, but one integrator says the benefits of having customers educate themselves and try out software before embarking on a major project will be well worth it. "All of the other software vendors will follow this if they aren't doing it already," says Richard Came, CEO of global business strategy for Dimension Data, a technology services company.
Nonetheless, says office automation consultant Amy Wohl, customers will still want to keep a physical copy of the software on hand. Otherwise, when software goes bad, "I have to go back and get if off the Net," she says. Meaning: You have to re-download software you thought you already had.
Maine says IBM has spent the last two years rebuilding IBM.com, after learning the hard way—from highly public outages like that which occurred during the 1996 Summer Olympics in Atlanta—that "men in ponytails and earrings" were not sufficient to provide the "traditional IT structure and processes" that the job required.
With help from its R&D organization, IBM runs the site on IBM products—hardware, DB2 database, and WebSphere application server, and incorporates changes into the software as needed. On the technical side IBM is simplifying IBM.com, which consists of around 4.5 million Web pages and 2,200 separate URLs, and has integrated browsing and shopping so that customers can purchase an item immediately without backing out and clicking through a separate "Shop IBM" channel.
On the business side, IBM has embarked on a 4,500-seat installation of Siebel's customer relationship management (CRM) software, the largest in Siebel's history. Telesales representatives now handle customer support and some sales and are available to IBM.com customers through "Chat" and "Call Me" buttons on the site. They can also intervene to encourage customers to finish shopping when they suspect an abandoned shopping cart.
As for cutting costs, IBM estimates that sales completed online with help from a telesales representative cost 40% less than sales completed face-to-face; sales completed online with no human intervention cost 80% less. It won't state absolute dollar savings. To help, the company is sprucing up its software to make it easier to sell online.
IBM director of e-business enablement Darryl Turner attributes part of last year's jump in IBM.com's software sales to new technology IBM developed to speed and restart software downloads. IBM's labs are also investigating ways to break software into modules so it can be downloaded in smaller chunks, an effort Turner says is in the "very early planning stages."
Who will buy? Yet corporate customers say that IBM—or any software vendor, for that matter—has a long way to go before they would consider buying all their software online as a routine practice.
In general, IBM sells very complex software whose online delivery time can be measured in hours. "Would we buy online? With little items [like Java licenses], no problem, but with big items like Content Manager, we would want to discuss with [the IBM support staff] whether we need it," says David Bush, CIO of corporate truck and fleet management company LeasePlan USA, which uses IBM software to manage documents electronically.
Resellers of IBM software may lose revenue from IBM's shift online, but one integrator says the benefits of having customers educate themselves and try out software before embarking on a major project will be well worth it. "All of the other software vendors will follow this if they aren't doing it already," says Richard Came, CEO of global business strategy for Dimension Data, a technology services company.
Nonetheless, says office automation consultant Amy Wohl, customers will still want to keep a physical copy of the software on hand. Otherwise, when software goes bad, "I have to go back and get if off the Net," she says. Meaning: You have to re-download software you thought you already had.
Maine says IBM has spent the last two years rebuilding IBM.com, after learning the hard way—from highly public outages like that which occurred during the 1996 Summer Olympics in Atlanta—that "men in ponytails and earrings" were not sufficient to provide the "traditional IT structure and processes" that the job required.
With help from its R&D organization, IBM runs the site on IBM products—hardware, DB2 database, and WebSphere application server, and incorporates changes into the software as needed. On the technical side IBM is simplifying IBM.com, which consists of around 4.5 million Web pages and 2,200 separate URLs, and has integrated browsing and shopping so that customers can purchase an item immediately without backing out and clicking through a separate "Shop IBM" channel.
On the business side, IBM has embarked on a 4,500-seat installation of Siebel's customer relationship management (CRM) software, the largest in Siebel's history. Telesales representatives now handle customer support and some sales and are available to IBM.com customers through "Chat" and "Call Me" buttons on the site. They can also intervene to encourage customers to finish shopping when they suspect an abandoned shopping cart.
Ableauctions - J.M. Wood 34th Annual Late Summer Auction Sells $1.3 Million Online, Setting Internet Sales Record for J.M. Wood for a September Auctio
J.M. Wood Vice President Bryant Wood said, "We are seeing tremendous results from our online auctions and NAALive does a great job of adding to the excitement of our live auctions."
JM Wood Auction Company Inc. has been in business, specializing in construction, forestry and county surplus auctions, for 34 years and attributes their accomplishments to their advertising and professional staff. Teamed with a staff that holds years of experience, J.M. Wood has built a mailing list of 75,000 national and international prospective buyers and advertises in national publications such as: Rock & Dirt, Rock & Dirt En Espanol, Machinery Trader, Equipment Trader and Contractors Hotline. Through these marketing tools J.M. Wood expects continued success at their two locations in Montgomery, Alabama, and Columbia, South Carolina.
About NAALive
NAALive is an Internet-based broadcast service for NAA members who conduct real auctions. Utilizing NAALive's real-time software, auction houses broadcast over the Internet and online bidders participate in live auctions as if they were physically present at the auction. NAALive also enables bidders to review auction catalogs and place absentee bids prior to an event. NAALive is rapidly becoming the standard for live Internet auctions and the premiere Web site for consumer access to the auction industry. This means thousands more potential bidders for your auctions.
About Ableauctions.com
Ableauctions.com Inc. (AMEX:AAC) is a high-tech liquidator and on-line auction facilitator that operates the domains iCollector.com, Naalive.com and Unlimited Closeouts.com.
As an on-line auction facilitator, the Company, with the experience of over 3,000 auctions, has developed state-of-the-art technology to broadcast auctions over the Internet (www.ableauctions.com/technology) and currently provides the technology and related services to auction houses, enabling them to broadcast auctions over the Internet. The Company broadcasts business and industrial auctions over the Internet for auctioneers and members of the National Auctioneers Association (NAA) and art, antique and collectible auctions for numerous galleries and auction houses around the world through eBay Live Auctions.
As a liquidator, the Company, through Unlimited Closeouts, purchases overstocks, order cancellations and discontinued products from major manufacturers and importers, then sells the merchandise to major retail chains, other resellers or the public.
For a comprehensive Corporate Update and prior releases, visit www.ableauctions.com. For more information, contact Investor Relations at investorrelations@ableauctions.com.
This press release contains forward-looking statements, particularly as related to, among other things, the business plans of the Company, statements relating to goals, plans and projections regarding the Company's financial position and the Company's business strategy. The words or phrases "would be," "will allow," "intends to," "may result," "are expected to," "will continue," "anticipates," "expects," "estimate," "project," "indicate," "could," "potentially," "should," "believe," "considers" or similar expressions are intended to identify "forward-looking statements." Actual results could differ materially from those projected in the forward-looking statements as a result of a number of risks and uncertainties. Such forward-looking statements are based on current expectations, involve known and unknown risks, a reliance on third parties for information, transactions or orders that may be cancelled, and other factors that may cause our actual results, performance or achievements, or developments in our industry, to differ materially from the anticipated results, performance or achievements expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially from anticipated results include risks and uncertainties related to the performance of our staff, loss of management personnel, an inability to obtain financing as and when we need it, competition from other on-line auction businesses, our ability to implement or manage our expansion strategy, general economic conditions, our ability to license our software to other auction houses, our ability to acquire profitable companies and integrate them into our business successfully and other factors that are detailed in our Annual Report on Form 10-KSB and on documents we file from time-to-time with the Securities and Exchange Commission. Statements made herein are as of the date of this press release and should not be relied upon as of any subsequent date. The Company cautions readers not to place undue reliance on such statements. The Company does not undertake, and the Company specifically disclaims any obligation, to update any forward-looking statements to reflect occurrences, developments, unanticipated events or circumstances after the date of such statement. E.&O.E.
JM Wood Auction Company Inc. has been in business, specializing in construction, forestry and county surplus auctions, for 34 years and attributes their accomplishments to their advertising and professional staff. Teamed with a staff that holds years of experience, J.M. Wood has built a mailing list of 75,000 national and international prospective buyers and advertises in national publications such as: Rock & Dirt, Rock & Dirt En Espanol, Machinery Trader, Equipment Trader and Contractors Hotline. Through these marketing tools J.M. Wood expects continued success at their two locations in Montgomery, Alabama, and Columbia, South Carolina.
About NAALive
NAALive is an Internet-based broadcast service for NAA members who conduct real auctions. Utilizing NAALive's real-time software, auction houses broadcast over the Internet and online bidders participate in live auctions as if they were physically present at the auction. NAALive also enables bidders to review auction catalogs and place absentee bids prior to an event. NAALive is rapidly becoming the standard for live Internet auctions and the premiere Web site for consumer access to the auction industry. This means thousands more potential bidders for your auctions.
About Ableauctions.com
Ableauctions.com Inc. (AMEX:AAC) is a high-tech liquidator and on-line auction facilitator that operates the domains iCollector.com, Naalive.com and Unlimited Closeouts.com.
As an on-line auction facilitator, the Company, with the experience of over 3,000 auctions, has developed state-of-the-art technology to broadcast auctions over the Internet (www.ableauctions.com/technology) and currently provides the technology and related services to auction houses, enabling them to broadcast auctions over the Internet. The Company broadcasts business and industrial auctions over the Internet for auctioneers and members of the National Auctioneers Association (NAA) and art, antique and collectible auctions for numerous galleries and auction houses around the world through eBay Live Auctions.
As a liquidator, the Company, through Unlimited Closeouts, purchases overstocks, order cancellations and discontinued products from major manufacturers and importers, then sells the merchandise to major retail chains, other resellers or the public.
For a comprehensive Corporate Update and prior releases, visit www.ableauctions.com. For more information, contact Investor Relations at investorrelations@ableauctions.com.
This press release contains forward-looking statements, particularly as related to, among other things, the business plans of the Company, statements relating to goals, plans and projections regarding the Company's financial position and the Company's business strategy. The words or phrases "would be," "will allow," "intends to," "may result," "are expected to," "will continue," "anticipates," "expects," "estimate," "project," "indicate," "could," "potentially," "should," "believe," "considers" or similar expressions are intended to identify "forward-looking statements." Actual results could differ materially from those projected in the forward-looking statements as a result of a number of risks and uncertainties. Such forward-looking statements are based on current expectations, involve known and unknown risks, a reliance on third parties for information, transactions or orders that may be cancelled, and other factors that may cause our actual results, performance or achievements, or developments in our industry, to differ materially from the anticipated results, performance or achievements expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially from anticipated results include risks and uncertainties related to the performance of our staff, loss of management personnel, an inability to obtain financing as and when we need it, competition from other on-line auction businesses, our ability to implement or manage our expansion strategy, general economic conditions, our ability to license our software to other auction houses, our ability to acquire profitable companies and integrate them into our business successfully and other factors that are detailed in our Annual Report on Form 10-KSB and on documents we file from time-to-time with the Securities and Exchange Commission. Statements made herein are as of the date of this press release and should not be relied upon as of any subsequent date. The Company cautions readers not to place undue reliance on such statements. The Company does not undertake, and the Company specifically disclaims any obligation, to update any forward-looking statements to reflect occurrences, developments, unanticipated events or circumstances after the date of such statement. E.&O.E.
Tuesday, September 11, 2007
Tooling University supports Kennametal Inc. for online education: tooling and training companies team up to provide high-quality applications engineer
Tooling University, the leader in online education and training for manufacturing and shop floor trades, has agreed with Kennametal Inc., a leading global supplier of tooling, engineered components and advanced materials, to launch the company's first-ever online technical education program. It will be an extension of Kennametal's Educational Services (KU) and will allow the company to certify its sales force as experts in metal cutting applications engineering. The program is targeted to start in July 2005, according to Jeffrey Holst, Kennametal director of organizational effectiveness.
KU is dedicated to providing expert instruction in Metal Cutting Application Engineering. Courses are offered at the basic and advanced levels, and include classroom, lab, and machine demonstration. Course content is designed to provide the metalworking professional with necessary skills to gain optimum performance in metal cutting operations.
"We're continually looking for ways to optimize productivity for our manufacturer clients," said Holst. "Tooling University's training tools allow us to verify and account for gains in expertise, while our sales force gets to access the knowledge on a 24x7 basis."
Tooling University was founded by Jergens Inc., a sixty-year-old Cleveland-based manufacturing company, to solve manufacturing problems. The Cleveland manufacturer first developed its curriculum and tools of assessment and ongoing measurement in 2000.
Jack Schron, CEO of Jergens Inc. and Tooling University, originally began developing curriculum offerings for his employees in response to global economic pressures for greater shop-floor productivity that continue to compound. Through discussions with vendors, suppliers and customers, he realized they each shared a challenge for continuous skills training and productivity knowledge on the shop floor, field sales and customer support. He also realized that a web-based service could respond to these challenges more effectively and efficiently, regardless of location.
"We're responding to the global need for training that ensures productivity gains while assuring quality and safety," said Schron. "We do it by providing learning sessions that can be scheduled around production requirements or personal needs, offering learning opportunities at the convenience of the trainee and giving management real-time access and measurement of results."
KU is dedicated to providing expert instruction in Metal Cutting Application Engineering. Courses are offered at the basic and advanced levels, and include classroom, lab, and machine demonstration. Course content is designed to provide the metalworking professional with necessary skills to gain optimum performance in metal cutting operations.
"We're continually looking for ways to optimize productivity for our manufacturer clients," said Holst. "Tooling University's training tools allow us to verify and account for gains in expertise, while our sales force gets to access the knowledge on a 24x7 basis."
Tooling University was founded by Jergens Inc., a sixty-year-old Cleveland-based manufacturing company, to solve manufacturing problems. The Cleveland manufacturer first developed its curriculum and tools of assessment and ongoing measurement in 2000.
Jack Schron, CEO of Jergens Inc. and Tooling University, originally began developing curriculum offerings for his employees in response to global economic pressures for greater shop-floor productivity that continue to compound. Through discussions with vendors, suppliers and customers, he realized they each shared a challenge for continuous skills training and productivity knowledge on the shop floor, field sales and customer support. He also realized that a web-based service could respond to these challenges more effectively and efficiently, regardless of location.
"We're responding to the global need for training that ensures productivity gains while assuring quality and safety," said Schron. "We do it by providing learning sessions that can be scheduled around production requirements or personal needs, offering learning opportunities at the convenience of the trainee and giving management real-time access and measurement of results."
Earn your living online: 10 ways to increase your cash flow by becoming an eBay PowerSeller
More than 430,000 people earn part or all of their living selling products on eBay, but only 90,000 have achieved PowerSeller status by selling at least $1,000 worth of goods each month and maintaining at least a 98% positive feedback rating. PowerSellers have mastered the art of selling online through hard work and savvy buying and selling.
1. Focus on one product category.
Former co-workers Raymond Ramsey and Charles Ross Jr., co-owners of Cash Money Buyers in Chicago, opened a retail store in 2004 to buy and resell a range of products. On eBay, however, they specialize mainly in consumer electronics and power tools. eBay sales now account for 45% of Cash Money Buyers' business.
2. Buy low, sell high.
PowerSellers research prices and routinely monitor demand using free reports at the site. Ramsey and Ross buy their inventory wholesale, then clean, test, and prep the items before listing them. But "the beauty of eBay is that you may get a bidding war," says Ross. "Even if a saw is worth $100, [a buyer] may pay $200."
3. List in volume.
Cash Money Buyers lists about 200 or more items a month, while James and Brenda Daniel; owners of Best Designer Wear in Woodstock, Georgia, list more than 400. They sell new and used women's fashions from Jones New York Ann Taylor, and Gap at more than 50% off retail.
1. Focus on one product category.
Former co-workers Raymond Ramsey and Charles Ross Jr., co-owners of Cash Money Buyers in Chicago, opened a retail store in 2004 to buy and resell a range of products. On eBay, however, they specialize mainly in consumer electronics and power tools. eBay sales now account for 45% of Cash Money Buyers' business.
2. Buy low, sell high.
PowerSellers research prices and routinely monitor demand using free reports at the site. Ramsey and Ross buy their inventory wholesale, then clean, test, and prep the items before listing them. But "the beauty of eBay is that you may get a bidding war," says Ross. "Even if a saw is worth $100, [a buyer] may pay $200."
3. List in volume.
Cash Money Buyers lists about 200 or more items a month, while James and Brenda Daniel; owners of Best Designer Wear in Woodstock, Georgia, list more than 400. They sell new and used women's fashions from Jones New York Ann Taylor, and Gap at more than 50% off retail.
Sunday, September 9, 2007
In less than a year, it has caught on with such industry heavyweights as deejay Rick Dees, Justin Timberlake and Kanye West, and attracted such adver
Performics is the performance marketing division of DoubleClick, which provides technology and services that empower marketers, agencies and web publishers to work together successfully and profit from their digital marketing investments. Our focus on innovation, reliability and insight enables clients to improve productivity and results.
Since 1996, DoubleClick has empowered the original thinkers and leaders in the digital advertising industry to deliver on the promise of the rich possibilities of our medium. Today, the company's DART and Performics divisions power the online advertising marketplace. Tomorrow, we will continue to enable clients to profit from opportunities across all digital advertising channels as consumers worldwide embrace them.
DoubleClick has global headquarters in New York City and maintains 21 offices around the world to serve its more than 1500 clients.
The corrected release reads:
ONLINE MARKETERS CAN EXPECT BIG NUMBERS THIS HOLIDAY SEASON: PERFORMICS 50 PREDICTS GROWTH OF 53% FOR ONLINE SALES OVER LAST YEAR
Growth in search engine marketing continues unabated, with year-over-year conversions, search spend, and impressions displaying increases of nearly 50%; active keywords have grown by a robust 58% and total clicks by 32%. The Performics 50, a representative index of well-managed paid search campaigns designed to monitor the growth of paid search advertising, indicates much of this growth is due to online marketers' increased knowledge and sophistication of search engine marketing.
The Performics 50 forecasts that sales during the forth quarter will surpass last year's sales by 53%. As a general rule, marketers can expect to see Q4 activity equal to the sum of Q1 and Q2 activity. In other words, sales during the fourth quarter of this year, which includes the busy holiday shopping season, are likely to equal the combined sales of the first half of '06 (Q1 and Q2). The same holds true for budgeting and marketing costs.
"Online marketing is passing over a huge hurdle," said Cam Balzer, director of search strategy at Performics. "Experienced SEMs and program managers are harnessing the full value of search and realizing that maintaining an aggressively managed campaign onlineCoone that drives online sales, offline sales, increases brand awareness and maximizes your search budgetCois critical to overall marketing success. This potentially means big business for the final quarter of 2006 and the upcoming holiday season."
The Performics 50 identified an increase in competition for higher-priced and more popular keywords in the last quarter as well as marketers mining the 'long tail' of key terms to balance out their keyword portfolios. This type of program management led to a relatively stable cost per keyword (CPK) environment, increasing only $.14, or less than 0.5%, from first quarter averages, and demonstrates online marketers' aptitude for mounting, targeting and maintaining complex search engine campaigns.
Marketers can analyze and combine their first and second quarter budgets in order to determine their likely spend for all of the fourth quarter. Additionally, October is the optimal time to detect and correct any campaign variances in order to capitalize on the holiday rush. Intervention at this time can prevent substantial loss and improve November and December revenue.
Please go to www.performics.com to download a complete copy of the Performics 50.
About Performics
Performics is the performance marketing division of DoubleClick, which provides technology and services that empower marketers, agencies and web publishers to work together successfully and profit from their digital marketing investments. Our focus on innovation, reliability and insight enables clients to improve productivity and results.
Since 1996, DoubleClick has empowered the original thinkers and leaders in the digital advertising industry to deliver on the promise of the rich possibilities of our medium. Today, the company's DART and Performics divisions power the online advertising marketplace. Tomorrow, we will continue to enable clients to profit from opportunities across all digital advertising channels as consumers worldwide embrace them.
Since 1996, DoubleClick has empowered the original thinkers and leaders in the digital advertising industry to deliver on the promise of the rich possibilities of our medium. Today, the company's DART and Performics divisions power the online advertising marketplace. Tomorrow, we will continue to enable clients to profit from opportunities across all digital advertising channels as consumers worldwide embrace them.
DoubleClick has global headquarters in New York City and maintains 21 offices around the world to serve its more than 1500 clients.
The corrected release reads:
ONLINE MARKETERS CAN EXPECT BIG NUMBERS THIS HOLIDAY SEASON: PERFORMICS 50 PREDICTS GROWTH OF 53% FOR ONLINE SALES OVER LAST YEAR
Growth in search engine marketing continues unabated, with year-over-year conversions, search spend, and impressions displaying increases of nearly 50%; active keywords have grown by a robust 58% and total clicks by 32%. The Performics 50, a representative index of well-managed paid search campaigns designed to monitor the growth of paid search advertising, indicates much of this growth is due to online marketers' increased knowledge and sophistication of search engine marketing.
The Performics 50 forecasts that sales during the forth quarter will surpass last year's sales by 53%. As a general rule, marketers can expect to see Q4 activity equal to the sum of Q1 and Q2 activity. In other words, sales during the fourth quarter of this year, which includes the busy holiday shopping season, are likely to equal the combined sales of the first half of '06 (Q1 and Q2). The same holds true for budgeting and marketing costs.
"Online marketing is passing over a huge hurdle," said Cam Balzer, director of search strategy at Performics. "Experienced SEMs and program managers are harnessing the full value of search and realizing that maintaining an aggressively managed campaign onlineCoone that drives online sales, offline sales, increases brand awareness and maximizes your search budgetCois critical to overall marketing success. This potentially means big business for the final quarter of 2006 and the upcoming holiday season."
The Performics 50 identified an increase in competition for higher-priced and more popular keywords in the last quarter as well as marketers mining the 'long tail' of key terms to balance out their keyword portfolios. This type of program management led to a relatively stable cost per keyword (CPK) environment, increasing only $.14, or less than 0.5%, from first quarter averages, and demonstrates online marketers' aptitude for mounting, targeting and maintaining complex search engine campaigns.
Marketers can analyze and combine their first and second quarter budgets in order to determine their likely spend for all of the fourth quarter. Additionally, October is the optimal time to detect and correct any campaign variances in order to capitalize on the holiday rush. Intervention at this time can prevent substantial loss and improve November and December revenue.
Please go to www.performics.com to download a complete copy of the Performics 50.
About Performics
Performics is the performance marketing division of DoubleClick, which provides technology and services that empower marketers, agencies and web publishers to work together successfully and profit from their digital marketing investments. Our focus on innovation, reliability and insight enables clients to improve productivity and results.
Since 1996, DoubleClick has empowered the original thinkers and leaders in the digital advertising industry to deliver on the promise of the rich possibilities of our medium. Today, the company's DART and Performics divisions power the online advertising marketplace. Tomorrow, we will continue to enable clients to profit from opportunities across all digital advertising channels as consumers worldwide embrace them.
Pyramid Power? No, say execs at music download firm BurnLounge. They see 'concentric marketing' as key to sudden sales surge
In less than a year, it has caught on with such industry heavyweights as deejay Rick Dees, Justin Timberlake and Kanye West, and attracted such advertisers as Cadillac and Nokia.
Moreover, it has enlisted an online army of more than 40,000 retailers known as "burn team members." They sell music for downloads, and the retailers share commissions with those who enlisted them.
Founded by Chief Executive Alex Arnold, Chief Operating Officer Ryan Dadd and Chief Creative Officer Stephen Murray, the company combines iTunes-type music downloads and eBay-style retailing with traditional multi-level marketing.
But could BurnLounge's business model be the cover of an old tune: the pyramid scheme?
BurnLounge's Arnold bristled at the suggestion that his company's multilevel marketing--he prefers the term "concentric sales"--could tip into anything illegal.
"I would call it more of affiliate marketing meets fan-to-fan promotion."
Multilevel marketing can be tricky terrain. Even successful mainstream multilevel marketing firms, such as Herbalife International Inc., have wound up in legal hot water by not managing their operation correctly.
In order for a multilevel marketing model not to be considered a pyramid scheme, the majority of the proceeds from sales must go to the retailers, not to those who recruited them.
The deal
The business works like this:
Users create pages where they post and sell artists' music of their choosing for buyers to download. Downloads of a song typically go for 99 cents. Each participating artist signs a non-exclusive, one-year license agreement with BurnLounge and gets between 50 percent and 70 percent of the revenue generated by sales of their songs.
Of the remainder, BurnLounge corporate takes 60 percent while the retailer who sold the song gets 40 percent. However, the retailer must give 20 percent of his take to the one who recruited him. The recruiter must pay a percentage of his take to the one who recruited him, and so forth.
In addition, each retailer gets a $50 bonus for each new retailer recruited; all retailers are part of a "Burn Team," directly tied to the person who recruited them.
"You get rewarded for your team's sales. Music is a fairly low margin product, so you are earning pennies and cents--a little bit of a lot of people," Arnold said. "That's the beauty of it; nobody makes that much money on a single album sale."
BurnLounge is not a pyramid scheme because financial success for the retailers is not solely dependent on recruiting others. A pyramid scheme relies on enrolling new sales people in order to make money. However, there are elements that resemble those traditionally associated with pyramid schemes, including recruitment presentations in hotels and special events designed to entice potential sellers.
But Arnold pointed out that rather than a commodity or a line of products, BurnLounge sells various music that's highly segmented and user-specific. Small, independent bands are the linchpin of BurnLounge's content library.
In fact, the increased exposure and payment for the legal downloads is luring hordes of garage bands and their followers. BurnLounge already has almost 2 million tracks posted for purchase. Every user can configure his download page to promote bands of his choice, so the more friends and fans who sign up, the bigger his potential audience.
True believers
Not surprisingly, most of those involved with BurnLounge are true believers.
Robby Welles, a former real estate agent who now hosts BurnLounge recruitment seminars at hotels and other rented spaces, started an online download store in January.
Welles said he was skeptical when a friend asked him to attend a BurnLounge presentation, and that he resisted multiple invitations. Finally, in return for dinner and drinks, he agreed to go.
"My first reaction was, 'Thanks, man, but I don't have time for anything like that'," Welles said.
After the presentation, Welles said he was impressed and signed up right away. He said that within three months he had left his job to focus on his stores and now has more than 4,000 members on his two "burn teams."
"I heard who was involved and I felt my reputation was no longer on the line, that it was legit," Welles said. "The company is changing the direct sales industry because it's making it cool and fun. The money's good and it will just keep getting better."
Moreover, it has enlisted an online army of more than 40,000 retailers known as "burn team members." They sell music for downloads, and the retailers share commissions with those who enlisted them.
Founded by Chief Executive Alex Arnold, Chief Operating Officer Ryan Dadd and Chief Creative Officer Stephen Murray, the company combines iTunes-type music downloads and eBay-style retailing with traditional multi-level marketing.
But could BurnLounge's business model be the cover of an old tune: the pyramid scheme?
BurnLounge's Arnold bristled at the suggestion that his company's multilevel marketing--he prefers the term "concentric sales"--could tip into anything illegal.
"I would call it more of affiliate marketing meets fan-to-fan promotion."
Multilevel marketing can be tricky terrain. Even successful mainstream multilevel marketing firms, such as Herbalife International Inc., have wound up in legal hot water by not managing their operation correctly.
In order for a multilevel marketing model not to be considered a pyramid scheme, the majority of the proceeds from sales must go to the retailers, not to those who recruited them.
The deal
The business works like this:
Users create pages where they post and sell artists' music of their choosing for buyers to download. Downloads of a song typically go for 99 cents. Each participating artist signs a non-exclusive, one-year license agreement with BurnLounge and gets between 50 percent and 70 percent of the revenue generated by sales of their songs.
Of the remainder, BurnLounge corporate takes 60 percent while the retailer who sold the song gets 40 percent. However, the retailer must give 20 percent of his take to the one who recruited him. The recruiter must pay a percentage of his take to the one who recruited him, and so forth.
In addition, each retailer gets a $50 bonus for each new retailer recruited; all retailers are part of a "Burn Team," directly tied to the person who recruited them.
"You get rewarded for your team's sales. Music is a fairly low margin product, so you are earning pennies and cents--a little bit of a lot of people," Arnold said. "That's the beauty of it; nobody makes that much money on a single album sale."
BurnLounge is not a pyramid scheme because financial success for the retailers is not solely dependent on recruiting others. A pyramid scheme relies on enrolling new sales people in order to make money. However, there are elements that resemble those traditionally associated with pyramid schemes, including recruitment presentations in hotels and special events designed to entice potential sellers.
But Arnold pointed out that rather than a commodity or a line of products, BurnLounge sells various music that's highly segmented and user-specific. Small, independent bands are the linchpin of BurnLounge's content library.
In fact, the increased exposure and payment for the legal downloads is luring hordes of garage bands and their followers. BurnLounge already has almost 2 million tracks posted for purchase. Every user can configure his download page to promote bands of his choice, so the more friends and fans who sign up, the bigger his potential audience.
True believers
Not surprisingly, most of those involved with BurnLounge are true believers.
Robby Welles, a former real estate agent who now hosts BurnLounge recruitment seminars at hotels and other rented spaces, started an online download store in January.
Welles said he was skeptical when a friend asked him to attend a BurnLounge presentation, and that he resisted multiple invitations. Finally, in return for dinner and drinks, he agreed to go.
"My first reaction was, 'Thanks, man, but I don't have time for anything like that'," Welles said.
After the presentation, Welles said he was impressed and signed up right away. He said that within three months he had left his job to focus on his stores and now has more than 4,000 members on his two "burn teams."
"I heard who was involved and I felt my reputation was no longer on the line, that it was legit," Welles said. "The company is changing the direct sales industry because it's making it cool and fun. The money's good and it will just keep getting better."
Saturday, September 8, 2007
MTV Rallies Together Online Sales Forces
Mansfield said that MTV Networks Online's breadth of offerings would he compelling to advertisers looking to reach markets that ranged from "cradle to older adults." Mansfield will lead the centralized ad sales force to help advertisers make buys across all online properties. She noted that the group would continue to work with the cable TV ad sales groups to create innovative packages for advertisers who want to advertise on different platforms, a process that can be confusing to some advertisers.
"I think some advertisers are getting it now, but it's an education process," said Mansfield. "As sales people, we need to be prepared not only to educate our advertisers to all the opportunities that are available on our sites, but also really listen to what their needs are, whether it's creating high-profile events on the Web or doing advanced targeting."
"The opportunity to work with advertisers across all of our businesses and to really understand the unique needs of advertisers in the online space is the reason why we wanted to get these guys together," said Fred Seibert, president of MTV Networks Online. "Peggy comes from a very eclectic background, having worked in print, TV and online. She has not only the online experience, but the traditional media experience that allows her to understand the unique needs of clients in a new space."
"I think some advertisers are getting it now, but it's an education process," said Mansfield. "As sales people, we need to be prepared not only to educate our advertisers to all the opportunities that are available on our sites, but also really listen to what their needs are, whether it's creating high-profile events on the Web or doing advanced targeting."
"The opportunity to work with advertisers across all of our businesses and to really understand the unique needs of advertisers in the online space is the reason why we wanted to get these guys together," said Fred Seibert, president of MTV Networks Online. "Peggy comes from a very eclectic background, having worked in print, TV and online. She has not only the online experience, but the traditional media experience that allows her to understand the unique needs of clients in a new space."
Consumers Punishing Physical Stores for Sins of Online Counterparts
"Retailers have been very slow to understand that, to the consumer, it's one brand," said Paula Rosenblum, a retail technology analyst for the Retail Systems Alert Group. "They're not structured for it. They're not compensated correctly for it, and, in many ways, their technology isn't set up to accommodate that."
Jupiter Research retail analyst Patti Freeman Evans said customers have a very high expectation of shared information, expecting, for example, store employees to know what they did online. Such data sharing rarely exists.
"Though retailers philosophically understand that they want to be there, it's very expensive to change those systems, to change their operating programs, to change their compensation packages in a way that really significantly is going to impact the way they do business," Evans said.
One of the authors of the Gomez report, Jessica Bryan, said the change in consumer perception is strong, and, often, it's not at all fair. That lack of fairness manifests itself in consumers blaming retailers for many parts of the online experience that are beyond the retailer's control, ranging from slow response time (which might be due to overall Internet traffic, the customer's computer or the customer's connection speed) to checkout issues (which the retailer likely has outsourced).
"The retail brand today transcends the channel," Bryan said. "When [customers] have a poor Web experience, as in poor page loads [or] unsuccessful transactions," it's taken out on the storefronts, too. "Consumers don't understand the complexity of delivering an optimal Web experience," she said.
Rosenblum said that even though e-commerce sales are soaring—Jupiter is projecting about $32 billion in online purchases this year—it's a footnote to overall retail sales of about $1.2 trillion. Jupiter projects that online sales will represent about 6 percent of many retail chains' holiday sales and about 5 percent of their total annual sales.
"If it's 6 percent of your business, it's hard for these guys to put in the kind of money they need to put in to create the right online experience," Rosenblum said.
On Nov. 2, the National Retail Federation released its own customer service survey , which placed Amazon as the best merchant (online and offline) for customer service. Analysts argued that Amazon's online-only status is the reason it can strategically justify spending so much online to deliver that level of customer service.
Jupiter Research retail analyst Patti Freeman Evans said customers have a very high expectation of shared information, expecting, for example, store employees to know what they did online. Such data sharing rarely exists.
"Though retailers philosophically understand that they want to be there, it's very expensive to change those systems, to change their operating programs, to change their compensation packages in a way that really significantly is going to impact the way they do business," Evans said.
One of the authors of the Gomez report, Jessica Bryan, said the change in consumer perception is strong, and, often, it's not at all fair. That lack of fairness manifests itself in consumers blaming retailers for many parts of the online experience that are beyond the retailer's control, ranging from slow response time (which might be due to overall Internet traffic, the customer's computer or the customer's connection speed) to checkout issues (which the retailer likely has outsourced).
"The retail brand today transcends the channel," Bryan said. "When [customers] have a poor Web experience, as in poor page loads [or] unsuccessful transactions," it's taken out on the storefronts, too. "Consumers don't understand the complexity of delivering an optimal Web experience," she said.
Rosenblum said that even though e-commerce sales are soaring—Jupiter is projecting about $32 billion in online purchases this year—it's a footnote to overall retail sales of about $1.2 trillion. Jupiter projects that online sales will represent about 6 percent of many retail chains' holiday sales and about 5 percent of their total annual sales.
"If it's 6 percent of your business, it's hard for these guys to put in the kind of money they need to put in to create the right online experience," Rosenblum said.
On Nov. 2, the National Retail Federation released its own customer service survey , which placed Amazon as the best merchant (online and offline) for customer service. Analysts argued that Amazon's online-only status is the reason it can strategically justify spending so much online to deliver that level of customer service.
Friday, September 7, 2007
Save the date: an online calendar service is the next crusade for one serial software entrepreneur
JEREMY JAECH'S schedule is packed. A serial entrepreneur, Jaech has had two previous software companies that did so well, they sold for enormous profits. The most recent was Visio, which Microsoft purchased in 2000 for $1.5 billion. In June, Jaech launched Trumba Corp. with the help of four co-founders and $4.75 million in funding. This latest Seattle-based venture offers OneCalendar, an online service that makes it easy for users to manage their schedules, e-mail upcoming events to groups and share their calendars with others.
The concept of a group calendar isn't new, yet Jaech is confident the timing is finally right. "You really need an always-on connection to the internet for this to work really well, and now over 50 percent of internet-connected households are broadband-connected," explains Jaech, 50, whose strategy for success is recognizing shifts--along with room for opportunities--in the marketplace.
With Trumba's 2006 sales projected to hit $12 million, you just might want to pencil Jaech in on your calendar of entrepreneurs to watch.
The concept of a group calendar isn't new, yet Jaech is confident the timing is finally right. "You really need an always-on connection to the internet for this to work really well, and now over 50 percent of internet-connected households are broadband-connected," explains Jaech, 50, whose strategy for success is recognizing shifts--along with room for opportunities--in the marketplace.
With Trumba's 2006 sales projected to hit $12 million, you just might want to pencil Jaech in on your calendar of entrepreneurs to watch.
Online promotions boost beveraqe sales - Brief Article - Statistical Data Included
The greatest marketing machines in the real world are solidifying their places in the cyberworld. Both Coca-Cola and Pepsi-Cola are forming alliances with heavy-hitters of the Internet.
Coca-Cola and America Online have announced plans to form a $100-million alliance for advertising and promotions. The agreement will "activate advertising and promotional initiatives across grocery shelves and into cyberspace, according to Brand week.
Coca-Cola said it was in the "final stages" of forming strategic alliances with unnamed Internet companies.
Pepsi-Cola and Yahoo! announced a joint online and offline promotional program, Pepsi Stuff.com. The Pepsi Stuff.com program will enable consumers to earn digital awards and discounts online from promotional partners through an under-the-cap promotion scheduled to appear on 1.5 billion single-serve bottles of Pepsi, Diet Pepsi, Pepsi One, Mountain Dew, Diet Mountain Dew and Wild Cherry Pepsi. The five-month promotion is expected to launch in August 2000.
Through these Internet marketing agreements, drug stores will be able continue growing the carbonated beverage category.
According to ACNielsen data for the 52 weeks ended May 13, the regular carbonated beverage category experienced sales of $583.8 million in the drug channel.
For the 12 weeks ended May 13, sales of carbonated beverages in drug stores were up 21.5 percent to $186.2 million, making drug stores the fastest-growing mass channel tracked by ACNielsen for that period. During the same 12 weeks, sales in food stores increased just 3.7 percent to $2.65 billion, while convenience store sales increased just 3.5 percent to $1.11 billion. Sales in the mass merchandise channel increased only 1.6 percent to $226.9 million for the same period.
Connecting with consumers
Through Yahoo!, Pepsi's popular "Pepsi Stuff' promotion will become interactive, allowing consumers to collect points under the caps of 20-ounce and one-liter bottles of Pepsi and Mountain Dew products and quickly redeem their points online for digital and hard-good prizes, as well as discounts from leading manufacturers and retailers. Pepsi Stuff.com also will feature auctions of rare items from Pepsi and its pro. motional partners.
Pepsi and Mountain Dew product bottles will have a "Pepsi Stuff.com, Powered by Yahoo!" logo on labels to alert consumers to the promotion. In exchange, Yahoo! is scheduled to receive logo placement on point-of-purchase materials that will be placed in about 50,00 retail stores nationwide
Coca-Cola and America Online have announced plans to form a $100-million alliance for advertising and promotions. The agreement will "activate advertising and promotional initiatives across grocery shelves and into cyberspace, according to Brand week.
Coca-Cola said it was in the "final stages" of forming strategic alliances with unnamed Internet companies.
Pepsi-Cola and Yahoo! announced a joint online and offline promotional program, Pepsi Stuff.com. The Pepsi Stuff.com program will enable consumers to earn digital awards and discounts online from promotional partners through an under-the-cap promotion scheduled to appear on 1.5 billion single-serve bottles of Pepsi, Diet Pepsi, Pepsi One, Mountain Dew, Diet Mountain Dew and Wild Cherry Pepsi. The five-month promotion is expected to launch in August 2000.
Through these Internet marketing agreements, drug stores will be able continue growing the carbonated beverage category.
According to ACNielsen data for the 52 weeks ended May 13, the regular carbonated beverage category experienced sales of $583.8 million in the drug channel.
For the 12 weeks ended May 13, sales of carbonated beverages in drug stores were up 21.5 percent to $186.2 million, making drug stores the fastest-growing mass channel tracked by ACNielsen for that period. During the same 12 weeks, sales in food stores increased just 3.7 percent to $2.65 billion, while convenience store sales increased just 3.5 percent to $1.11 billion. Sales in the mass merchandise channel increased only 1.6 percent to $226.9 million for the same period.
Connecting with consumers
Through Yahoo!, Pepsi's popular "Pepsi Stuff' promotion will become interactive, allowing consumers to collect points under the caps of 20-ounce and one-liter bottles of Pepsi and Mountain Dew products and quickly redeem their points online for digital and hard-good prizes, as well as discounts from leading manufacturers and retailers. Pepsi Stuff.com also will feature auctions of rare items from Pepsi and its pro. motional partners.
Pepsi and Mountain Dew product bottles will have a "Pepsi Stuff.com, Powered by Yahoo!" logo on labels to alert consumers to the promotion. In exchange, Yahoo! is scheduled to receive logo placement on point-of-purchase materials that will be placed in about 50,00 retail stores nationwide
Nexus and the 'net - Tax - states urge Congress to pass Internet sales tax
Should businesses have to collect sales taxes for states in which they have no physical presence? Riding the coattails of interest surrounding the soon-to-expire Internet Tax Non-discrimination Act, a growing number of cash-strapped states are pushing to get Congress to say yes.
While the act primarily addresses taxes on Internet access charges--not sales--the bill has become a catalyst for the long-running debate about how and when companies must collect state and local taxes. "It's not just going to be about extending the legislation," which is set to expire November 1, says Jeff Friedman, tax partner with KPMG LLR "We expect to see bills and amendments introduced to expand the protections for E-commerce, and possibly to redefine nexus," potentially making a company's physical location irrelevant to its tax obligations.
Currently, most companies do not have to collect sales tax for states in which they do not have a presence, thanks to a 1992 U.S. Supreme Court decision that said managing the myriad and ever-changing rules on all state and local taxes would be too burdensome.
In an effort to get that decision overturned, however, this spring 13 states passed laws to adopt the agreement drawn up by the Streamlined Sales Tax Project (SSTP), which aims to standardize definitions of taxable goods across states and limit each state to two sales-tax rates, thereby defusing the burden argument. According to Neal Osten, a director for the National Conference of State Legislatures, project backers are hoping to get a bill before Congress by next fall seeking authority for states to require all out-of of-state sellers, including Web-based ones, to collect sales tax.
"Businesses would benefit from the simplification," says Douglas Lindholm, president and executive director of the Council on State Taxation, which represents 550 multistate corporations on tax issues. However, he says, the reform should include congressional action to stop states from using the same logic to pad their income-tax bills. "If you set physical presence aside as a standard for sales-tax purposes," says Lindholm, "the big unanswered question is, what is the nexus standard for business-activity taxes?"
RELATED ARTICLE: GETTING TOGETHER: States adopting the SSTP agreement.
1. Arkansas
2. Indiana
3. Kansas
4. Kentucky
5. Minnesota
6. Nebraska
8. Oklahoma
9. South Dakota
10. Utah
11. Washington
12. West Virginia
13. Wyoming
While the act primarily addresses taxes on Internet access charges--not sales--the bill has become a catalyst for the long-running debate about how and when companies must collect state and local taxes. "It's not just going to be about extending the legislation," which is set to expire November 1, says Jeff Friedman, tax partner with KPMG LLR "We expect to see bills and amendments introduced to expand the protections for E-commerce, and possibly to redefine nexus," potentially making a company's physical location irrelevant to its tax obligations.
Currently, most companies do not have to collect sales tax for states in which they do not have a presence, thanks to a 1992 U.S. Supreme Court decision that said managing the myriad and ever-changing rules on all state and local taxes would be too burdensome.
In an effort to get that decision overturned, however, this spring 13 states passed laws to adopt the agreement drawn up by the Streamlined Sales Tax Project (SSTP), which aims to standardize definitions of taxable goods across states and limit each state to two sales-tax rates, thereby defusing the burden argument. According to Neal Osten, a director for the National Conference of State Legislatures, project backers are hoping to get a bill before Congress by next fall seeking authority for states to require all out-of of-state sellers, including Web-based ones, to collect sales tax.
"Businesses would benefit from the simplification," says Douglas Lindholm, president and executive director of the Council on State Taxation, which represents 550 multistate corporations on tax issues. However, he says, the reform should include congressional action to stop states from using the same logic to pad their income-tax bills. "If you set physical presence aside as a standard for sales-tax purposes," says Lindholm, "the big unanswered question is, what is the nexus standard for business-activity taxes?"
RELATED ARTICLE: GETTING TOGETHER: States adopting the SSTP agreement.
1. Arkansas
2. Indiana
3. Kansas
4. Kentucky
5. Minnesota
6. Nebraska
8. Oklahoma
9. South Dakota
10. Utah
11. Washington
12. West Virginia
13. Wyoming
Thursday, September 6, 2007
Online retailers need to protect their customers - report
INTERNET BUSINESS NEWS-(C)1995-2005 M2 COMMUNICATIONS LTD
A majority of UK consumers would like to be better informed on how to protect themselves during online shopping, according to recent research from Forrester Research Inc (NASDAQ: FORR).
The results shows that 74% of consumers would like more information on how to protect themselves, but retailers still fail to educate their online customers.
According to secure browser business, Deepnet Explorer, one of the most effective things that retailers can do to help ensure safe online transactions is to include password hashing into their online sales process. Shoppers need to enter their details, such as credit card, into their 'password hashing' enabled web browser and these details are scrambled up, becoming useless to anyone except theretailer they are intended for.
A majority of UK consumers would like to be better informed on how to protect themselves during online shopping, according to recent research from Forrester Research Inc (NASDAQ: FORR).
The results shows that 74% of consumers would like more information on how to protect themselves, but retailers still fail to educate their online customers.
According to secure browser business, Deepnet Explorer, one of the most effective things that retailers can do to help ensure safe online transactions is to include password hashing into their online sales process. Shoppers need to enter their details, such as credit card, into their 'password hashing' enabled web browser and these details are scrambled up, becoming useless to anyone except theretailer they are intended for.
Hot stuff - Buzz - online business - Brief Article
E-commerce didn't die with the dotcom bust. It just got more realistic. Now "slow" and "steady" are the buzzwords entrepreneurs live by. Analysts are trying to figure out what online retail areas win be hot. Tech research firm Forrester Research Inc. sees growth in food and beverage sales, used sporting goods, home products like tools and hardware, flowers, and health and beauty products.
Another encouraging sign is the growth of paid content online. The Online Publishers Association reports the first half of 2003 saw spending increase to $748 million, up 23 percent over the same period in 2002. Some of the biggest areas are personals and dating, business and investment, and entertainment and lifestyles. Entrepreneurs looking for opportunities in e-commerce should keep an eye on these trends.--A.C.K.
Another encouraging sign is the growth of paid content online. The Online Publishers Association reports the first half of 2003 saw spending increase to $748 million, up 23 percent over the same period in 2002. Some of the biggest areas are personals and dating, business and investment, and entertainment and lifestyles. Entrepreneurs looking for opportunities in e-commerce should keep an eye on these trends.--A.C.K.
Catholic singles seek their match online; hopeful romantics find love when they turn to Catholic dating sites
Judy Conti, of Alexandria, Va., is a pro-life Democrat and a lawyer who runs a nonprofit organization advocating for low-wage workers. Frustrated with the Washington-area dating scene, she was definitely ready for marriage in 2002 when she considered online personals. Several acquaintances had tried them; some had explored specialized race--or faith-based dating services.
"I knew four different people who married folks they met on J-Date [a Jewish singles site], and a few who met on Black Planet, a few on Match.com," she said. "I had doubts, and thought, 'You have to be desperate to look for a date on the Internet,' but by that time it had lost the negative connotation because it had been around for a while."
After six months on Match.com meeting men who grilled her on her SAT scores or detailed the playlists from every Bruce Springsteen concert they'd ever attended, Ms. Conti quit Internet dating--or so she thought. By 2003, Ms. Conti, then 34, was considering Plan B: adopting a child on her own. She gave Internet dating one last try, and this time she signed up with Catholic Singles, hoping an affinity site would help her meet prospects whose values were more closely aligned with hers.
"Affinity" or "niche" online dating sites target people seeking others with similar ethnic, professional or religious backgrounds. Catholic Singles, Catholic Match, Ave Maria Singles and Catholic Mingles are four Catholic dating sites with varying degrees of emphasis on the faith.
After corresponding with a handful of the men she met, Ms. Conti narrowed down the serious prospects to two. One was Dave Dunn, a sales manager for a construction equipment company, and the rest is history.
"None of our friends would have put us together because of our politics," said Mr. Dunn, who is a pro-NRA Republican. Though the two may disagree in a big way about politics, they found common ground in their similar views on faith and family.
The most ironic aspect of the couple's story is that they had lived about 10 minutes apart and attended the same parish for eight years without ever crossing paths. The couple , married on April 2 after what Ms. Conti calls "a fairy book romance" that defied her previous approaches to dating.
"I spent my life telling everyone I know, 'You should never get engaged to someone you haven't known for a calendar year,'" she said. "I broke all my rules for this guy."
Affinity sites, and online dating in general, have become increasingly popular. First, there are simply more , singles out there--approximately 80 million in the United States, said Dr. Christine Whelan, an expert on changing relationship and dating patterns. Second, more people are staying single longer and marrying later. And about half of them, by some estimates, have browsed online personals.
But for every success story like Ms. Conti's, there are others who find the Internet dating experience a little less than storybook-perfect. Browsing online personals can feel voyeuristic. Patrons fill in the blanks with their preferences in a potential partner: "blue eyes," "loves sports," etc., and see who shows up on the screen. But the fantasy can fade when a cyber-friend suddenly ignores them or they try site after site, finding friends and fellowship but no fiance.
"I think the whole idea of a Catholic Web site tells us one message: Finding someone who shares your faith is a priority ... but then the format doesn't lend itself to real relationships," commented "Daniel-48875," AKA Daniel O'Mullane, a youth minister from Mountain Lake, N.J., in a real-time online chat with a reporter on Catholic Match, to which he's subscribed for 15 months. He likes the site's technological user-friendliness and sense of camaraderie. But, while he's met several e-mail partners, he has yet to meet someone special.
"I'd say that people just have to manage their expectations," Mr. O'Mullane concluded, "but that there's a lot of great fellowship going on here, real positive experiences even if you don't find 'the one.'"
Patricia Wrona, a 47-year-old trial attorney in Chicago, might agree with Mr. O'Mullane. She's tried three Catholic sites, and though she has met many friends among the other singles, ultimately she sees marriage as her vocation.
"I went to all the 'good' parishes in the areas of town where the yuppies tend to live, [did] all the things I thought I could do to run into likeminded single Catholics," Ms. Wrona said. She'd even spearheaded an archdiocesan singles group for those 35 and older, a demographic she thinks is ignored by the church in general. Although she met men both online and in "the real world," few shared her level of Catholic belief and practice.
"I knew four different people who married folks they met on J-Date [a Jewish singles site], and a few who met on Black Planet, a few on Match.com," she said. "I had doubts, and thought, 'You have to be desperate to look for a date on the Internet,' but by that time it had lost the negative connotation because it had been around for a while."
After six months on Match.com meeting men who grilled her on her SAT scores or detailed the playlists from every Bruce Springsteen concert they'd ever attended, Ms. Conti quit Internet dating--or so she thought. By 2003, Ms. Conti, then 34, was considering Plan B: adopting a child on her own. She gave Internet dating one last try, and this time she signed up with Catholic Singles, hoping an affinity site would help her meet prospects whose values were more closely aligned with hers.
"Affinity" or "niche" online dating sites target people seeking others with similar ethnic, professional or religious backgrounds. Catholic Singles, Catholic Match, Ave Maria Singles and Catholic Mingles are four Catholic dating sites with varying degrees of emphasis on the faith.
After corresponding with a handful of the men she met, Ms. Conti narrowed down the serious prospects to two. One was Dave Dunn, a sales manager for a construction equipment company, and the rest is history.
"None of our friends would have put us together because of our politics," said Mr. Dunn, who is a pro-NRA Republican. Though the two may disagree in a big way about politics, they found common ground in their similar views on faith and family.
The most ironic aspect of the couple's story is that they had lived about 10 minutes apart and attended the same parish for eight years without ever crossing paths. The couple , married on April 2 after what Ms. Conti calls "a fairy book romance" that defied her previous approaches to dating.
"I spent my life telling everyone I know, 'You should never get engaged to someone you haven't known for a calendar year,'" she said. "I broke all my rules for this guy."
Affinity sites, and online dating in general, have become increasingly popular. First, there are simply more , singles out there--approximately 80 million in the United States, said Dr. Christine Whelan, an expert on changing relationship and dating patterns. Second, more people are staying single longer and marrying later. And about half of them, by some estimates, have browsed online personals.
But for every success story like Ms. Conti's, there are others who find the Internet dating experience a little less than storybook-perfect. Browsing online personals can feel voyeuristic. Patrons fill in the blanks with their preferences in a potential partner: "blue eyes," "loves sports," etc., and see who shows up on the screen. But the fantasy can fade when a cyber-friend suddenly ignores them or they try site after site, finding friends and fellowship but no fiance.
"I think the whole idea of a Catholic Web site tells us one message: Finding someone who shares your faith is a priority ... but then the format doesn't lend itself to real relationships," commented "Daniel-48875," AKA Daniel O'Mullane, a youth minister from Mountain Lake, N.J., in a real-time online chat with a reporter on Catholic Match, to which he's subscribed for 15 months. He likes the site's technological user-friendliness and sense of camaraderie. But, while he's met several e-mail partners, he has yet to meet someone special.
"I'd say that people just have to manage their expectations," Mr. O'Mullane concluded, "but that there's a lot of great fellowship going on here, real positive experiences even if you don't find 'the one.'"
Patricia Wrona, a 47-year-old trial attorney in Chicago, might agree with Mr. O'Mullane. She's tried three Catholic sites, and though she has met many friends among the other singles, ultimately she sees marriage as her vocation.
"I went to all the 'good' parishes in the areas of town where the yuppies tend to live, [did] all the things I thought I could do to run into likeminded single Catholics," Ms. Wrona said. She'd even spearheaded an archdiocesan singles group for those 35 and older, a demographic she thinks is ignored by the church in general. Although she met men both online and in "the real world," few shared her level of Catholic belief and practice.
Monday, September 3, 2007
Now Online: U.S. Retailers' Black Friday Secrets
NEW YORK (Reuters)—On the prowl for the best deals from U.S. retailers this Thanksgiving weekend? A quick check online can provide the answers that retailers are not yet ready to reveal.
Numerous Web sites have cropped up in recent years that publish in advance what they claim are copies of the newspaper ads retailers will run for Black Friday—the day after Thanksgiving, which marks the chaotic and ultra-competitive launch of the holiday shopping season.
Another Web site, Black Friday Ads (http://bfads.net) says Wal-Mart Stores Inc. will be offering a 42-inch high-definition plasma television for $988 from 5 a.m. until 11 a.m., while supplies last, on Nov. 24.
Jon Vincent, founder of BlackFriday.info, said he gets copies of the ads from employees working at newspaper distribution facilities, who take snapshots of the inserts and send them to his site.
Vincent said he does not call the retailers to verify the information, but he makes sure the pictures look legitimate and the prices seem reasonable before posting them.
"People are really interested to find out what's on sale on Black Friday," he said. "If they know a plasma TV is going to be on sale for $500 off, they're not going to buy it now, they'll just wait until Black Friday and then they'll buy it then."
But retailers are not happy having their holiday sales plans revealed ahead of schedule to either shoppers or to their competitors.
Black Friday Ads said privately held home goods retailer Linens 'n Things sent a letter asking it to remove the information from the site or it would take legal action.
Linens 'n Things did not immediately return a phone call seeking comment.
BlackFriday.info had a note on its site on Nov. 13 saying it had removed a Best Buy Co. Inc. advertisement after the electronics retailer threatened to try to shut the site down.
"We can't really fight Best Buy," Vincent said.
A Best Buy spokesman said he was unaware of the note posted on BlackFriday.info, but said the retailer does not acknowledge or comment on "rumor" sites.
But it is hard to make the information disappear once it is online.
The day after BlackFriday.info removed the Best Buy ad, Black Friday Ads had a copy of what looked like a Best Buy newspaper insert, promoting a 42-inch LCD high-definition TV for $999.99, after $500 in instant savings, until noon on Black Friday.
BlackFriday.info's Vincent said this is the third year his site has published Black Friday deals. While every year one or two retailers complain, he does not expect that to hinder these sites.
Numerous Web sites have cropped up in recent years that publish in advance what they claim are copies of the newspaper ads retailers will run for Black Friday—the day after Thanksgiving, which marks the chaotic and ultra-competitive launch of the holiday shopping season.
Another Web site, Black Friday Ads (http://bfads.net) says Wal-Mart Stores Inc. will be offering a 42-inch high-definition plasma television for $988 from 5 a.m. until 11 a.m., while supplies last, on Nov. 24.
Jon Vincent, founder of BlackFriday.info, said he gets copies of the ads from employees working at newspaper distribution facilities, who take snapshots of the inserts and send them to his site.
Vincent said he does not call the retailers to verify the information, but he makes sure the pictures look legitimate and the prices seem reasonable before posting them.
"People are really interested to find out what's on sale on Black Friday," he said. "If they know a plasma TV is going to be on sale for $500 off, they're not going to buy it now, they'll just wait until Black Friday and then they'll buy it then."
But retailers are not happy having their holiday sales plans revealed ahead of schedule to either shoppers or to their competitors.
Black Friday Ads said privately held home goods retailer Linens 'n Things sent a letter asking it to remove the information from the site or it would take legal action.
Linens 'n Things did not immediately return a phone call seeking comment.
BlackFriday.info had a note on its site on Nov. 13 saying it had removed a Best Buy Co. Inc. advertisement after the electronics retailer threatened to try to shut the site down.
"We can't really fight Best Buy," Vincent said.
A Best Buy spokesman said he was unaware of the note posted on BlackFriday.info, but said the retailer does not acknowledge or comment on "rumor" sites.
But it is hard to make the information disappear once it is online.
The day after BlackFriday.info removed the Best Buy ad, Black Friday Ads had a copy of what looked like a Best Buy newspaper insert, promoting a 42-inch LCD high-definition TV for $999.99, after $500 in instant savings, until noon on Black Friday.
BlackFriday.info's Vincent said this is the third year his site has published Black Friday deals. While every year one or two retailers complain, he does not expect that to hinder these sites.
In Print and Online: Acquisitions in the Media Sector
The media sector has been seeing a fair amount of merger and acquisitions activity lately. Traditional print and broadcast media firms, struggling to compete with new online and mobile media outlets, have been targeted by private equity buyers. Meanwhile, online players have been buying up innovative new content providers in order to remain competitive and keep up with the latest technologies.
Radio station operator Clear Channel Communications recently agreed to be acquired by Bain Capital and Thomas H. Lee Partners for about S18.7 billion.
Thomson Financial describes the deal as the largest buyout to date in the media and entertainment industry. But the deal is only one of several recent private equity buyouts in the traditional media sector. After an extended bidding war, Spanish-language broadcaster Univision sold to a consortium of private equity firms for S12 billion.
On the publishing and printing side, Reader's Digest Association recently agreed to be acquired for $1.6 billion, plus the assumption of about $776 million in debt. The Tribune Company, which owns 11 newspapers and a number of television stations, has received considerable interest from buyout firms and private investors after announcing that it might sell all or part of the company.
Traditional broadcast and print media companies are facing competition from other media sources. Between the Internet and the media content now available for mobile devices such as cell phones and handhelds. consumers can access news, information, and entertainment on demand. Advertisers are responding by shifting a significant portion of their ad dollars to new media clients. With the loss of advertising revenue, many traditional media companies are seeing a corresponding decline in their share value.
The low stock prices make these companies attractive targets for private equity players, since with stock values depressed the media companies can be acquired for less. Since traditional media companies still enjoy fairly stable sales figures, buying them up makes good business sense for investment companies. Subscription services take money up front and deliver product over time, generating a lot of available cash. And once a company is taken private, equity firms can make up for lost advertising revenue by selling off assets or making drastic operational changes.
Consolidation is also occurring in the Internet media sector, as major corporate players such as Google make new acquisitions. Recent sector deals include Google's S 1.65 billion acquisition of YouTube and media conglomerate News Corp.'s 2005 acquisition of Intermix Media, the owner of popular social networking site MySpace. Current deals reported to be in the works include Google buying iRows, an Israel-based provider of a browser-based spreadsheet service, and a Yahoo! deal to acquire Bix.com, a site that allows users and advertisers to stage online contests. Bix.com was founded in January 2006.
As popular Internet sites feature more social features and user generated content, major Internet players have turned to acquisitions to remain competitive. While the previous boom in Internet start-up companies was driven by speculative investment buyers, the current run of acquisitions is being led by established companies within the industry who already have successful business models.
Radio station operator Clear Channel Communications recently agreed to be acquired by Bain Capital and Thomas H. Lee Partners for about S18.7 billion.
Thomson Financial describes the deal as the largest buyout to date in the media and entertainment industry. But the deal is only one of several recent private equity buyouts in the traditional media sector. After an extended bidding war, Spanish-language broadcaster Univision sold to a consortium of private equity firms for S12 billion.
On the publishing and printing side, Reader's Digest Association recently agreed to be acquired for $1.6 billion, plus the assumption of about $776 million in debt. The Tribune Company, which owns 11 newspapers and a number of television stations, has received considerable interest from buyout firms and private investors after announcing that it might sell all or part of the company.
Traditional broadcast and print media companies are facing competition from other media sources. Between the Internet and the media content now available for mobile devices such as cell phones and handhelds. consumers can access news, information, and entertainment on demand. Advertisers are responding by shifting a significant portion of their ad dollars to new media clients. With the loss of advertising revenue, many traditional media companies are seeing a corresponding decline in their share value.
The low stock prices make these companies attractive targets for private equity players, since with stock values depressed the media companies can be acquired for less. Since traditional media companies still enjoy fairly stable sales figures, buying them up makes good business sense for investment companies. Subscription services take money up front and deliver product over time, generating a lot of available cash. And once a company is taken private, equity firms can make up for lost advertising revenue by selling off assets or making drastic operational changes.
Consolidation is also occurring in the Internet media sector, as major corporate players such as Google make new acquisitions. Recent sector deals include Google's S 1.65 billion acquisition of YouTube and media conglomerate News Corp.'s 2005 acquisition of Intermix Media, the owner of popular social networking site MySpace. Current deals reported to be in the works include Google buying iRows, an Israel-based provider of a browser-based spreadsheet service, and a Yahoo! deal to acquire Bix.com, a site that allows users and advertisers to stage online contests. Bix.com was founded in January 2006.
As popular Internet sites feature more social features and user generated content, major Internet players have turned to acquisitions to remain competitive. While the previous boom in Internet start-up companies was driven by speculative investment buyers, the current run of acquisitions is being led by established companies within the industry who already have successful business models.
MTV Rallies Together Online Sales Forces
MTV Networks Online today is expected to announce the formation of a consolidated advertising sales group, a move the online arm of New York-based MTV Networks hopes will allow it to better address the specific needs of advertisers looking to enter the online space. The new ad sales division will service online subsidiaries MTVi and Nickelodeon Online.
Peggy Mansfield, formerly vice president and publisher of Nickelodeon MediaWorks, is being named senior vice president of advertising sales for MTV Networks Online.
Mansfield said that MTV Networks Online's breadth of offerings would he compelling to advertisers looking to reach markets that ranged from "cradle to older adults." Mansfield will lead the centralized ad sales force to help advertisers make buys across all online properties. She noted that the group would continue to work with the cable TV ad sales groups to create innovative packages for advertisers who want to advertise on different platforms, a process that can be confusing to some advertisers.
"I think some advertisers are getting it now, but it's an education process," said Mansfield. "As sales people, we need to be prepared not only to educate our advertisers to all the opportunities that are available on our sites, but also really listen to what their needs are, whether it's creating high-profile events on the Web or doing advanced targeting."
"The opportunity to work with advertisers across all of our businesses and to really understand the unique needs of advertisers in the online space is the reason why we wanted to get these guys together," said Fred Seibert, president of MTV Networks Online. "Peggy comes from a very eclectic background, having worked in print, TV and online. She has not only the online experience, but the traditional media experience that allows her to understand the unique needs of clients in a new space."
Peggy Mansfield, formerly vice president and publisher of Nickelodeon MediaWorks, is being named senior vice president of advertising sales for MTV Networks Online.
Mansfield said that MTV Networks Online's breadth of offerings would he compelling to advertisers looking to reach markets that ranged from "cradle to older adults." Mansfield will lead the centralized ad sales force to help advertisers make buys across all online properties. She noted that the group would continue to work with the cable TV ad sales groups to create innovative packages for advertisers who want to advertise on different platforms, a process that can be confusing to some advertisers.
"I think some advertisers are getting it now, but it's an education process," said Mansfield. "As sales people, we need to be prepared not only to educate our advertisers to all the opportunities that are available on our sites, but also really listen to what their needs are, whether it's creating high-profile events on the Web or doing advanced targeting."
"The opportunity to work with advertisers across all of our businesses and to really understand the unique needs of advertisers in the online space is the reason why we wanted to get these guys together," said Fred Seibert, president of MTV Networks Online. "Peggy comes from a very eclectic background, having worked in print, TV and online. She has not only the online experience, but the traditional media experience that allows her to understand the unique needs of clients in a new space."
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