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Internet Marketing Blog for the Serious Entrepreneur.

Yahoo and Microsoft Deal For Some Of The Search Marbles

August 31, 2010 – 3:42 pm
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Yahoo!, after a period of management disarray, is settling into a full search partnership with Microsoft.  A couple days back, the technology firm aligned their services with Microsoft’s Bing to help leverage market share against Google in the search advertising industry.  The technology giants agreed to a ten-year contract with the goal to be a serious contender.  Yahoo was motivated to enter this direction to reduce expenses incurred from years of fiscal mismanagement leading to a reduced stock price quote.  Microsoft wanted to test new search algorithms and expand their product strategies with Bing, which is also aligned with Facebook’s wealth of personal profile data.  Bing needs to recoup startup expenses incurred and this is a start on that path.

Neither company is capable of catching Google alone, but as mentioned, offer unique abilities that can complement one another.  First off, companies are looking to use Bing as a search index and have an ability to negotiate pay-per-click rates more palatable with their budgets.  Bing needs to gain credibility with local and national businesses, and will not cut off their nose to spite their face.  Facebook’s new geolocation application, Places, can drive up search indexes even more as users entrust the privacy settings installed online.  Yahoo wants to gain credibility as a content provider, and possesses loyal visitors who use the website for assorted page applications such as Finance, News, and Sports.  They can now focus on delivering that content with more quality.

In a perfect world, the companies will save resources, while creating a vacuum for research and development that offers a premium price point for online advertisers.  Innovative technologies will present themselves and shift seamlessly between platforms. Here are some thoughts from advertisers at the San Francisco SES Conference on the impact.

The King Is Dead, Long Live The King, by David Houle

August 31, 2010 – 2:26 pm
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Futurist David Houle has been peeling layers on Oprah.com about The Shift Age. He has went into discussion about the change of communication with technology, and how values shifted into various directions.  He discussed the future of education, arguing that women will be at the forefront.  He feels that technology has advanced with such speed that our brains cannot handle the relentless flow of information.  Now, he examines this proverbial statement:  Content is King.  In his mind, that is no longer true.  Click on the image to hear his reasoning.

Weekly Blueliner Newsminer

August 30, 2010 – 1:39 pm
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Good afternoon, everyone.  We are back with the Weekly Blueliner Newsminer, a Monday edition.

1.  Paul Allen Sues Apple, Google, over patents

This story broke on Friday afternoon.  It’s not unlike the suit by Larry Ellison of Oracle over Java Technology, but equally as laughable.  According to the piece, Allen had been sitting on these patents for years and just now realized that they have value.  It’s like the alphabet inventors suing the estate of James Joyce because they are still making revenue from the sales of Ulysses.  I’ve documented on the space about the mobile technology being in a virtual shootout for control.  This is just another gun firing the pistol.

2.  HP and Dell square off for 3Par

HP and Dell continue to reach outside of their traditional customer PC markets by bidding for the data management firm.  The latest word is that 3Par executives consider HP to have a superior presentation and plan to nullify the agreement with Dell.  Both corporations are looking to gain control in the race for cloud computing.  Cloud computing is an emerging industry with remote data centers offsite.  Firms now are expanding their reach into the market with CRM solutions that can be an asset for small businesses.   These days, tech firms are looking to exhaust their piles of cash on the balance sheet.  Whether their decisions benefit shareholders will be seen later on.

3.  Yahoo and Microsoft team up to counter Google

After two years of rebuffing the pursuit, Yahoo and Google team up to gain market share in search advertising.  Bing, Microsoft’s emerging search index, has made moves with an alliance with Facebook, who presents a wealth of personal data for marketers seeking to leverage revenue from social media.    Small businesses will have a wider array of pay per click rates to choose from that fits their respective budgets.  Yahoo receives a strong chunk of the revenue gained from search on their site, while Microsoft provides the algorithms. Both companies can also start experimenting with product innovation, giving hope to restoring Yahoo’s former glory as a search leader.

4.  Intel makes a second deal in two weeks; this time for Infineon

Intel continues to expand into wireless technology buy purchasing Infineon.  Infineon specializes in electronics for automobiles along with producing chips for security cards.  Intel’s track record of expansion has been relatively weak of late, and it is unclear when the investment will return dividends since mobile technology has negligible security issues at this time.  This should be nice for Infineon, as they can focus on product innovation, which has been their weakness.

5.  Google to Acquire Angstro

Google acquired this start-up to build their portfolio and challenge the social media industry, where Facebook clearly is the titan. Angstro has developed applications that mine personal data to deliver search results on a person’s professional network. Angstro also creates social networks and caller IDs for sites like LinkedIn.  Google is clearly worried about Facebook as an emerging search presence and after the disaster of Buzz, looks to pull a rabbit out of their hat. It could be too little, too late.

That’s the Blue news for now. See you next week.

For Google, Yelp Will Not

August 26, 2010 – 5:32 pm
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The launch of Facebook Places last week is rustling more than privacy settings.  Their rivals are now sparring against one another. In a current report, Yelp has struck a deal with Google to remove their content from Google Places, since the pay-per-click credit would fall to advertisers on Google Places and not Yelp, despite their influential business review to extract a consumer purchasing decision.  Yelp had a syndicated relationship that ended in 2006, but their reviews content appeared after the partnership’s termination.  After a meeting between both site executives, Google promised to remove the content.  Yelp still wants to surface in Google’s search index results, especially with Caffeine as an additive, pun intended.  

Those unsure of the distinction between the two can follow this distinction.  Google Places is seeking to overtake Yelp, Facebook, Craigslist, and other classified search hubs through acquiring third party publisher sites.  Third party publisher sites are created for advertisers to provide server space, campaign delivery, and reporting facilities needed to show content at an optimal cost.  Yelp clearly doesn’t have the financial resources of Google, so third party publishing is a fiber of their cyberspace identity with cookies being the sweet tooth. Cookies are placed on viewed websites to eliminate repeat pop-ups per page open, establish an advertising sequence, and monitor web traffic for analytical reports.  It gives them the platform for their unique customer reviewers to post routinely, creating a bucolic online community.  I think this will be a permanent discontinuation since the e-classified market needs to distinguish itself.

The Impact of Mobile Marketing on Businesses

August 25, 2010 – 4:01 pm
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Recent developments in technology created new media channels for advertising and marketing. The channels of communications used by marketers include SMS, MMS and email, etc. The new area of marketing is the form of marketing that targets mobile phone users in Mobile Marketing.  
Anywhere and at anytime, advertisers can reach their customers in order to promote their products or services through mobile devices. With the help of the consumer profile and their interests, the advertising companies can launch highly targeted campaigns. When devising a mobile marketing campaign, there are quite a few factors that need to be kept in mind which include but not limited to user acceptance, consumer responsiveness and the impact of the campaign on the purchase making decision.

The current format of mobile advertising or marketing does not have a major effect on the buying decision of the consumers and various studies reveal that the response of consumers towards this form of marketing fall in different categories which include a disruptive nature of the advertisements, a need for personalization of advertisements, and the advantages or use of mobile advertisements. The major advantage of this media as a tool of marketing is that it will improve the chances of reaching consumers directly with personalized content. On the other hand, most companies think of negative response from consumers and invasion of consumer privacy as main disadvantages.

Recent studies reveal that one third of Americans who have signed up for promotional alerts via mobile phones indicate that these marketing services make an impact on their buying decision. Placecast studies indicate that only 3% of women and 7% of men are interested in location based social networks.  The check-in services or the mobile optimized location based services of leading social networks has only a limited impact and the reach is still not measured properly.  Studies also reveal that the short messaging services as a new advertising medium can generate good responses as high as 40% compared to direct mail and banner advertisements.  Location based mobile advertising messages are having higher click through rates when compared to online advertising messages.

The key for success in mobile marketing is to maintain a certain level that will not disturb the mobile phone users. So for every marketer, it is very important to know the use of mobile marketing to make a clear impact on the buying decision of a consumer. Mobile media is considered to be more personal than any other traditional mode of communication and emails. It is highly recommended to follow a conceptual framework when defining a mobile marketing campaign using the permission based marketing strategy.

Want To Get A Job Online? BranchOut Then.

August 24, 2010 – 12:09 pm
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Many discussions lately have been focused on advertising through multichannel platforms and the influence of large technology firms on distribution of content.  The content also varies from online advertising to product development driven by social media.  I was curious about the factor of social media servers, namely Facebook and Twitter, in leveraging career positions.  Many articles have covered that it does expedite services and listed success stories.  Rick Marini, founder of BranchOut, has an opinion on several industry topics, which he discusses here.  His company offers an application that aims to truly synthesize the personalization of Facebook with company profiles to engender a relationship with far more depth than LinkedIn.  The main feature of BranchOut is the opportunity to search for a company and see all of your friends who have worked at said firm.  Once your friend installs BranchOut on their profile, then you can take inventory of their work history.  You can also see jobs available that they have posted from their current and past companies.  BranchOut currently does not have the depth of features that LinkedIn provides, but can offer a chance to network virally without privacy interference.  Those Facebook members who are interested should investigate here.

Blueliner Discusses Mobile Marketing

August 23, 2010 – 1:04 pm
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Mobile technology currently is in transition. Large firms seek to establish control over broadband waves, while others want to limit application sharing. Blueliner looks to set its own initiative with this campaign that synthesizes the 7 Pillars of Marketing with a vision of a future where digital content is shared through a multichannel network of platforms. The slideshow also asks pertinent questions about mobile technology as an information device, while spotlighting studies that demonstrate its nascent growth for advertisers and marketers. Enjoy.

Weekly Blueliner Newsminer

August 20, 2010 – 5:01 pm
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Good afternoon. Welcome to the Weekly Blueliner Newsminer. One topic surfaced this week that may become a watershed moment in interactive media, while one CEO gave a candid discussion on the present and future.

1.  Facebook Places Is On The Corner

I discussed my viewpoint of the social network giant’s foray into the geolocation sector, and it can be found here. The potential for revenue on many levels is startling, and will probably jeopardize the future of smaller specialized sites such as Craigslist, amongst others. Facebook users should also be aware of their privacy settings, as one reporter from The Huffington Post details here.

2.  Google CEO Eric Schmidt Interview

In the WSJ,  the Google executive shares some candid insight on current topics ranging from net neutrality, the future of privacy, and ongoing battles with tech rivals like Oracle.  His responses seem to belie the nefarious criticism from many in the cyberworld.  But alas, it’s only an interview.

3.  Intel purchases McAfee for $7.7 billion

Intel made this striking purchase earlier in the week with the vision of leading the market in smart chip security as content travels through multichannels and various platforms.  Marketing executives found the purchase strange on many levels, and I don’t know how it fits either.  I know that Intel has made some strong advertising campaigns for decades now, and generates revenue through their hardware chips in every PC.  I just never once thought them as a player on the consumer technology front, like Apple or even Microsoft.  When was the last time you visited J&R for Intel chips? Unless you are a tech manager?  The future could make this deal seem prescient, but right now, hmm…

4.  Textbooks Get Interactive In Time for the Academic Year

The iPad is starting to get universities to embrace digital textbooks by debuting an application today selling McGraw-Hill best sellers in various disciplines at $2.99 per chapter and $69.99 for the entire textbook. The price for the entire text will be raised to $84.99 soon thereafter.  The article notes that one university in Pennsylvania is passing out close to 2,000 iPads for students.  I think that despite the explosion of e-titles over the past year, parents will be hard-pressed to spend an additional $500 on a device which holds few titles that fit schedule needs.  Kindle, inversely, has stepped up their hardware with the iPad’s challenge.  It, however, lacks the graphical capability that professors would want for more visually dependent interaction.  I think a sea tide will follow when tablets gain traction, but not right now.

5.  Apple To Close Quattro Wireless

Apple’s decision to close Quattro was expected for awhile, as the head of Quattro joined the iAd Development staff sometime back.  This will help clarify Apple’s strategic initiative into mobile advertising, which remains murky on an industry level at best. I discuss my thoughts in more detail here, and along with Intel’s purchase of McAfee, the mobile industry is taking shape by the day.

That’s the Blue News this week.  Until next time.

Corporate Blogging For Search Index Gains

August 18, 2010 – 6:32 pm
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2010 has undoubtedly been the year of social media, where Twitter, Facebook, and Google look to expand their applications and compete will all involved.  All business sectors are turning to social media for instant distribution of content as opposed to traditional blog applications.  The strategy is sound depending on your initiatives and personnel, but corporate blogging still maintains credibility.  

According to eMarketer,  43% of US corporations will be blogging by 2012.  The nature of blogging is a healthy method of communication for those firms who have a solid consumer purchasing base with growth potential.  A veritable portfolio of services is also a factor for the value of a corporate blog.  Managers can easily read messages that are sent to the direct box and respond with little effort.  The transaction can also be confidential for sales negotiations, when having a phone conversation is not ideal.  WordPress, for example, has several chat plug-ins that are easily downloadable and assist with troubleshooting. The eMarketer piece also mentions that smaller companies do not have traditional bureaucratic constraints of other sectors and lead this charge.  I understand that sentiment, but does not prohibit the value of a blog for a departmental method of operation.  The corporate blog can be a hub for industry news and opinions, as well as the hub for success stories between the seller and consumer.  Tags allow for simple grouping of articles on topics to provide insight for your next annual report.  You can provide a consistently fresh outlook on several levels to current investors and prospective employees.

These mechanisms go a long way in the liveliness of your blog, since it must be treated as a breathing specimen and fed at all times.  But in the same vein, you must post information that leaves people wanting more, and that includes an amalgam of interactive media, still images, and thought.

Target Stays On Point With and Without Gilt

August 17, 2010 – 6:03 pm
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In today’s news, Target will enter a partnership with Gilt Groupe to do an exclusive flash-sale of its fall collection.  It’s a deft move for brands to leverage two popular consumer bases and improve their online advertising metrics.  Target, for years, has cemented their reach as a haute purveyor with thrifty price points through esteemed labels such as Isaac Mizrahi and Alexander McQueen.  This experiment with Gilt Groupe takes their interactive marketing reach to a higher level, but one must wonder the inverse effect for Gilt?  This is the second premiere retailer they are working with on an exclusive sale campaign.  They initially ran a Rewards Program Sale with Starbucks earlier this month.  Are they trying to sell out for mainstream fervor?  The economic downturn has been a blessing for this online apparel retailer, which gained popularity through exclusive membership offers that allow entrants to purchase quality products at a reasonable price within a certain amount of time.  Their e-commerce model is sound, and the navigable, metallic website creates an aura of mystique.  Why the rush to outreach?

Brands that emerge from obscurity often face a crossroads from an equity standpoint and must decide on whether to branch far beyond their niche on a broad level or make incremental growth strategies.  Some have the product that stands the test of durability and competition, allowing profitability to flow from above.  The other side of that coin are those that do not have the vision to see pitfalls in the marketplace nor make the necessary adjustments to keep the brand afloat.

The partnership of these two firms is interesting in that their approach mirrors the scenario explained in the prior paragraph.  Target has clear advantages in their retail market strategy with a wider level of products and stores to maintain fixed cash flow, such as personal care items.  Their marketing team can afford to create niche strategies, while giving them the resources to develop their own unique consumer base.  

Gilt Groupe, as a novice e-commerce retailer, doesn’t have this same flexibility in terms of risk.  They could be compromising the integrity of their mission, for all we know.  It will be interesting to see if they maintain this aggressive outreach into mainstream brand partnerships.  The sale starts at high noon Eastern Time on Friday, at Gilt.com.  Your fingers and debit card should be ready.