Archive for the ‘General’Category

Succeeding With Startup Incubators

The past two weeks have drawn much attention in the web startup industry to the upcoming deadlines for startup incubators. Thanks to an internet entrepreneur that is physically distant from the U.S. startup scene, but still very in touch with the funding opportunities, Juri Kaljundi of  Estonia has put together a comprehensive list of the startup accelerator programs currently accepting applications. Check it out here.

While I am not planning on applying to participate in these programs specifically designed to accelerate the startup process, I would like to offer advice to the applicants that are applying  now or in the future. These are a few quick notes from an entrepreneurial program I participated in at Drexel University’s Baiada center for entrepreneurship in the summer of 2009-

In order for a startup to be the most successful with their product or service, their offering must meet the following requirements:

1) Solves a current problem.

2) Perceived as being innovative. Even if its not; because of the way it is packaged or marketed.

3) Easy and inexpensive to install or integrate.

4) Low-tech, meaning that it is simple to operate.

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Keep in mind that these guiding points are merely a starting point, and many other variables such as market size, existing competitors, etc. must be taken into account. Either way, this  should give you an idea if your startup business is on the right track, and hopefully make your idea stand out a bit more than others. Good luck on the applications!

25

02 2010

Virtual Goods Evolves Again

I said it back in May of 2009 when virtual goods was the largest emerging market of the year, and I will say it again, the demand has rapidly increased. This past week the new startup Kwedit launched, positioning itself to open up new revenue opportunities in the virtual goods industry. Their never seen before technology allows users of any age to buy real physical goods and digital goods, by making using a variety of payment methods online to credit their account. The first reason why this is such a noticeable change in the industry is because for the first time users of any age (essentially tapping into the demographic of kids under 16) to pay for things offline based on credit that they earn on the internet. Credit can be earned by paying via credit card, but does not have to be paid immediately. Eventually a virtual credit score is attributed to each user’s account, generated by their algorithms , and kids are able to learn the importance of maintaining a positive credit score because it can effect their purchasing power in the future. Kwedit has teamed up with 7-Eleven to first implement its credit system, and will likely partner with more brands that attract youth in the near future.

More on this promising new payment provider:

TechCrunchKwedit Launches: The First Completely Unreliable Payment Network

The New York Times Buy Now, Pay Later (Maybe With Your Allowance)

11

02 2010

Education 2.0 – Digital Learners

In the past couple of years, an online education has become more accessible that ever imaginable. For example: Many college students are sharing course notes on sites such as ShareNotes. Moreover, the general intellectually curious go getters are soaking up Ivy League school lectures from schools who have made them free online, such as Princeton. MIT was the pioneer of enabling internet users to free higher education lectures, with their OpenCourseWare service which includes the entire curriculum, online. (P.S. Bill Gates has been rumored to take in one or two Physics lectures from MIT in his spare time, when he is not managing his philanthropic work.) The course material available is often up to date, and taught by the some of the smartest professors in their field. So, in reality, an Ivy League education is really just a click away for any internet user.

Some of my favorite lectures that I have seen have been through AcademicEarth. Their portal has accumulated lectures on an array of subjects from numerous institutions, even offering AP course test prep for high school students. 2010 is truly the advent of digital learning, where classroom time will main irreplaceable, but learning online will increase greatly.

Many people hold up, and limit their view of online education for the college/university level. That is absolutely false, because the largest group of learners online are the K-12 kids going through school right now, who are engaging with school lessons online.  Here, take a look into the life of my typical day in high school-

Glancing back at my PreCalculus class notes posted online, while doing homework:

Again, studying online from the notes and discussions posted on my Environmental Science class’s website:

I realize what you may be thinking, that is just the math and sciences of the curriculum. For my English class, the widely used study aid CliffNotes now offers all of their materials online, offering literary criticism among many other study tools. In addition, for institutions to combat academic dishonesty, the leading tool Turnitin was created to scan a students work and compare it to all existing publications available on the web, which is often used in my history class for research papers.

Finally, the next step of my education is the college search and application process, which non-coincidentally takes place on the web these days, with the help of powerful software such as Naviance. This is the age of digital learners, and the internet is the new path towards a higher education. If you are looking for the next place to continue your education, then the chances are that you are already here.

31

01 2010

Forging Lasting Partnerhips at Conferences

Forging Lasting Partnerships

Right now in Vegas, the Affiliate Summit West is taking place at the Rio. For the performance marketing industry specifically, this is the largest event and congregation of people who do business in the industry. Networks, merchants, and affiliates often spend many weeks or days in preparation of this event, hoping that the time and monetary investment in this 3 day show will pay off over the next six months, until the next Affiliate Summit. From my limited, but very impressionable experience attending the Affiliate Summit East – NYC this past August, I can tell you now which moves back then, ended up paying off in the long term.

Firstly, my best relationships remain in place with companies who were open and honest about their offerings, and were willing follow up personally a few days after the event, and get me situated with their company. I assure you that these companies were not involved in the practice that has been described as “the pitchfest” where most companies simply pitch their unoriginal products over and over again, talking all about themselves and not how they could specifically help anyone else.

The companies that come out of the trade show with winning relationships have a value proposition in hand, and are prepared to offer their customer a tool or product that will elevate their game. In the internet world, this is often in the form of proprietary technology, which is able to reduce costs and increase profits. Such as: Tatto Media, who offers an innovative enterprise level tracking platform for a cost that beats out all competitors. Tracking202 (now BlueSky) is also the leading tracking software provider for affiliates, due to their opensource platform which has enabled thousands of affiliates to scale profitable campaigns. MediaTrust is one of the first companies in the industry to enable the advertisers with better fraud detection software, and a thoroughly vetted publisher base. In my opinion, companies that are similar to the ones mentioned above are truly changing the game, and are investing in long term profits versus high short term payouts.

In addition, the companies that are maintaining the winning relationships month after month are often the smaller boutique networks which usually have not invested in proprietary software tools, but instead into educating their publishers on how to be better marketers. These types networks have gained an enormous respected in the industry among affiliates, because they are provide one-on-one support to work their publishers up the ranks, even through the tough times. The first networks that come to mind are Convert2Media and Eagle Web Assets. Both are run by former affiliates who realize the importance of their business model, which is 100% reliant on affiliate driven revenue.

Perhaps the most valuable relationships you can make are with affiliates/publishers, since they are on the forefront of the industry, setting up new campaigns daily, and getting prepared for a prosperous 2010. Either way, keep on the lookout for the mutually beneficial partnerships at your next conference.

17

01 2010

Adknowledge Integrates Bidding Into Virtual Goods

Just last month Adknowledge became the first company to integrate a bidding system into virtual goods platforms. Their innovative offering is the first of its kind, and it is playing off the current virtual goods boom that is taking place across the socialshpere. Through their updated ad platform, advertisers can now bid to have their offers completed via CPA pricing. To a CPA marketer, this type of traffic is gold because the it enables a guaranteed ROI if the bid on the campaign is high enough.

I expect other ad networks and virtual goods platforms to follow suit and integrate some sort of option for advertisers to compete for the spot in a virtual game. Adknowledge has really taken this first step to allow a free market for advertisers to compete for the virtual goods offers that millions of social users complete daily. Take a look at this offering for sure, I look forward to using the Adknowledge bid system soon!

10

01 2010

Looking Forward Into 2010

If you haven’t noticed recently, all media outlets usually wind down the year with numerous publications on the year in review, or in this case the entire past decade. On the contrary, today the MediaTrust blog published a blog post containing the “Top 10 Predictions for Digital Marketing in 2010“. For this forward thinking post, I was honored to contribute my predictions on the near future of digital marketing.  So, if you haven’t already seen my predictions, here they are:

#9. Spending for online video advertisements will continue to increase due to the expanding amount of feature programs now available online.

#3. Consumers will begin to see much more relevant online advertisements due to expanding ad-targeting capabilities, which will be drawing from social media profiles in particular.

To elaborate on #9 briefly, online video is emerging with endless advertising opportunities. Some quick facts: YouTube is the #2 search engine, behind Google of course. This means that consumers demand video, and the advertising dollars will follow the consumers.

As for the # 3 prediction, ad-targeting is now more precise than ever with the amount of data ad servers can use in their tracking algorithms. Consumers will begin to see much more specific advertisements, that relate to the content their browsing history and content published online. Furthermore, the IAB will begin to assume more responsibility for making sure that the ads are targeted towards the right people.

Case in point:

Today I was browsing AOL’s video website SlashControl.com when I came across an ad on their homepage. Take a look- (Click the image for a close up!)

slashcontrol_iab

How cool is that? The ad server actually detected that the ad about to be shown would have been irrelevant to me, and thus a waste of the advertisers budget. I was impressed by this real-time action to maintain relevance and create a mutual win-win situation between consumer and advertiser. For more information on this function implemented by the IAB, along with other ad targeting information,  visit their site here.

I look forward increasing relevance and transparency in digital marketing, in 2010. Good luck in the new year!

31

12 2009

Staying On Top of Your Game

Often I get the question: “How did you learn all about this?”  The answer is by reading and doing. In order to be able to understand positive and negative trends in any industry, it’s imperative that you read often about related topics and events. This is because being successful in any industry is a process, not a singular event that suddenly clicks with you after one game changing event.

Simply put, staying on top of your game enables you to be in position to rise above your competition faster and quicker. Knowledge is power…  How do I stay on top of the digital marketing industry? By reading at least the following-

  • Twitter status updates at the end of each day, and clicking through to interesting links.
  • The Web List – aka every top social media story of the day from the front page of Digg, Delicious, Reddit, etc. (By # of clicks)
  • Affbuzz.com for affiliate marketing news.
  • Google Reader to group related RSS feeds.

That’s it really. In order to stay on top of the digital marketing industry I take around thirty minutes each day to read, be informed, and think critically about the material presented.

The controversial thought here though is that many online marketers say “Stop reading!”. The reason for that is because many new people to an industry will only read, and not actually do anything… resulting in negative productivity.

Lastly, staying on top of your game can most literally be seen in sports, where a day off is a day that you lost. So, I want to share an advertisement that I clipped out of a magazine a while back:

“Me and running don’t always see eye to eye. Some days it hurts more than others. But it doesn’t mean I don’t do it. Ideal with it and I keep running because not everything that is good for you always feels good for you. Every day is the day.” – Lance Armstrong

armstrong

24

12 2009

How Bing Is Already Reshaping Search Marketing

Bing cashback

Now in the heart of holiday shopping season, the prices found online this year are irresistible when taking a glance at the virtually unheard of deals. Almost all of the best deals that I have come across, are part of the Bing cashback program. In the Bing cashback program, consumers are rewarded for making purchases online by receiving a percentage of their sale back as a rebate, varying among retailers. This allows online retailers to spend their ad dollars on the high ROI, cost-per-action (CPA) basis. With Bing charging advertisers on a CPA basis, the ad revenue generated from the CPA sale allows Bing to reward consumers by giving a percentage of the revenue back, thus cashback. This cash incentive for the consumer helps advertisers increase conversions on their site’s, and subsequently higher ROI.

Now, the remaining question is how can advertisers afford to payout such a significant portion of the sale to Bing? The answer lies in the fact that the advertisers/retailers no longer have to run PPC campaigns on Bing, which previously ate up a significant chunk of their ad spend and often delivered lackluster results. Advertisers can then payout between 2-25% of each sale to Bing, who then pays the consumer for participating in Bing cashback. Additional perks include advertisers with a cashback campaign receiving higher organic placement in the search rankings, which ultimately increases sales.

For most of the retailers participating in Bing cashback, it is their first advertising campaign based on the performance driven model. So far, the results have been impressive with eBay drawing attention for the most initial success in this case study. With Bing cashback, everyone wins, but most of all the consumers who receive great deals and great products, which hopefully improves their quality of life. Additionally, advertisers increase their ROI with more sales and Bing increases advertising revenue. In other words, this is a performance marketing win!

Setbacks worth noting:
- Only available to users based in the United States
- Cashback may not be paid for up to 60 days.

More information on Bing cashback for consumers and advertisers.

06

12 2009

Thought Leaders With Content Worth Devouring

My account on Twitter reaches one year old on Tuesday, and similar to many other individuals working in the internet industry, I have seen my fair share of proclaimed “Social Media Gurus/Experts”. On the contrary, a few users have made their way across my news feed daily due to the reputable and informative content that they publish regularly.

So, its safe to say that I immediately devour the material published by the following thought leaders:

PR 2.0 | Brian Solis – Public Relations and communications.
The Future Buzz | Adam Singer – Media, marketing, and PR.
Good.is | “Pushing the world forward.”
Seth’s Blog | Seth Godin – Internet news, and motivational.
Peter Shankman – Social Media, and PR.

This short list alone is enough to stay in line with the forefront of internet trends and behavior. Please leave a comment there is a source of information that you always consume yourself with once published.

29

11 2009

American Food Fads

Nutrition label.

Americans have seen the names “Fletcherizing”, “Dr. Atkins”, and “Açaí” rise and fall in popularity in food culture, often not realizing the devastating impact of these short lived eating trends. All three are similar because they are part of the past and present food fads in America. Over the course of the past century in America, food fads have appeared multiple times, each time swaying America’s diet in a short period of time. By analyzing American traditions, popular food fads, and their results, we can understand why they become popular and their legacy. Americans embrace these food fads so often because of a common problem in the United States known as The Omnivore’s Dilemma, an idea made popular by Michael Pollan.

In America, the omnivore’s dilemma is a more prevalent problem than in any other industrial nation because of our culture and tradition. Americans are constantly juggling in their minds the question of what to eat because the culture that we embody is widespread. In Pollan’s book, he explains why America’s weak relationship with food makes us especially vulnerable to food fads:

…each immigrant population has brought ways to the American table, but none has ever been powerful enough to hold the national diet very steady. We seem bent on reinventing the American way of eating every generation… That may explain why Americans have been such easy marks for food fads and diets of every description (Pollan 298-299).

As Pollan points out, Americans are always trying new foods, and rarely posses a diet that is composed of similar cuisine. Thus, if there is no habit in our eating, there are not any eating traditions, with the small exception of Thanksgiving, of course. This vulnerability has been detected for the past century and food marketers prey on it. American’s in general have become reliant on fast food as part of our diet on a regular basis, leading to obesity among many Americans. Food marketers sought to address this obesity problem by claiming that new scientific discoveries can solve weight problems, but at the same time altering eating habits.

America’s first food fad, “Fletcherizing” became popular towards the early 1900’s. The fad consisted of millions of Americans taking advice from Horace Fletcher, to chew each bite of food up to as many as one hundred times (Pollan 299). With Americans latched onto this concept, the food that they ate no longer became significant or a habit, instead the habit was to chew, chew, and chew more. “Gradually, the fad died because people were too lazy or too busy with other things to give the required 45 strokes to every mouthful”(TIME). No one in America at the time of the fad’s popularity attempted to challenge Fletcherism until a physiology professor at the University of Chicago released his results on his study of the theory. Dr. Harold G. O. Hoick concluded that his own practice of Fletcherizing had no benefits on the overall health of his body (TIME). Either way, Horace Fletcher became the first man in America to sway the diets of millions of Americans with one fad.

Similar to the Fletcherizing craze, Dr. Atkins introduced another diet routine in the beginning of the twenty-first century, not based off of tradition and taste, but merely a nutritional science claim. Large amounts media coverage proclaiming Dr. Atkins theory swayed America’s diet yet again: “One article in the New York Times Magazine in 2002 almost single-handedly set off the recent spasm of carbophobia in America”(Pollan 299). Dr. Atkins theorized that, based on nutritional science studies, the human body would burn fat when it is starved of carbohydrates. He even went as far as saying: “Followed properly, the Atkins program… can last a lifetime, without your having to count calories or feel hungry all the time”(Atkins, M.D.). By making these enlightening and non-scientifically backed claims, Dr. Atkins’s claim grasped the wallets of Americans who sought to lose or maintain body weight, but lost credibility once put into practice.

Lastly, the most recent food fad in America is the “Açaí” berry miracle fruit. In this current new media age where the Internet and television is American’s primary source of knowledge, American’s were exploited by TV journals such as 60 Minutes and internet marketers with “Buy Açaí” ads plastered on thousands of websites online. In as little as six months, “Açaí”, a Brazilian fruit filled with anti-oxidants, became a mainstream fruit to eat and devour, in order to lose weight. This most recent fad proves that more recently, Americans are embracing the fads in shorter time periods. Therefore, food marketers are now even more powerful because they can start a food fad for one product in less than a year, and then develop a new product to start a new fad when the previous one dies down. However, food chemistry Professor Talcott at Texas A&M University noted that the true problem is the same as both Fletcherizing and Dr. Atkins: “There is currently no scientific research to support a weight loss claim for açai fruit… It is doing nothing more than playing on consumer ignorance.” Again, food marketers capture the minds of Americans who have a desire to eat healthier by making often untested claims, and their diet is swayed momentarily.

The most prominent legacy of dietary instability within the United States is a food marketing industry that thrives on Americans who are constantly anxious to eat. The food marketers create new products that consistently change eating habits all of the time, and in turn leave cultural traditions such as the family dinner ignored (Pollan 301-302). Similarly,

…sociologist Daniel Bell called attention to the tendency of capitalism in its single-minded pursuit of profit, to erode the various cultural underpinnings that steady society but often impede the march of commercialization. The family dinner, and more generally a cultural consensus on the subject of eating, appears to be the latest such casualty of capitalism (Pollan 302).

A stronger food culture and tradition would likely slow the food marketers from changing America’s eating habits so often; as shown in France, where a strong food culture has slowed American fast food restaurants from impeding on their diet habits. The current state of food traditions in America makes us seem as if we are back in a prehistoric era; we are constantly stressed on evaluating what is healthy to eat. Pollan then goes onto to discuss food selection:

Instead of relying on the accumulated wisdom of a cuisine… we rely on expert opinion, advertising, government food pyramids, and diet books, and we place our faith in science to sort out for us what culture once did with rather more success. Such has been the genius of capitalism, to re-create something akin to a state of nature in the modern supermarket or fast-food outlet…(Pollan 303).

Here Pollan further supports that in the current American food culture where we rely on third party sources to determine which food to eat, it’s not unreasonable to understand that millions of Americans participate in food fads, swaying their diets often.

Americans being easily manipulated food culture is the underlying factor behind food fads. However, it is the food marketer’s drive to exploit each and every demographic, from children to senior citizens, that sets off food fads. Then as we have seen over the last century in America, the economic well-being for the food marketer is placed before the health of each American who buys into the scientific claims; as proven by the first Fletcherizing fad onto the Dr. Atkins and eventually Açaí. Each time at the expense of the diets and food habits among Americans, dominating their diets witch each fad. Looking ahead, the likeliness that Americans will continue to eat a diet with little stability is probable. America is a nation made up of many cultures with each wave of immigrants often giving up their food tradition and succumbing to American food fads.

Works Cited

Atkins, M.D., Robert. “The Case for Low Carbs.” TIME.com. TIME, 2 Sept. 2002. Web. 18 Oct. 2009. <http://www.time.com/time/magazine/article/0,9171,1003162,00.html>.

Ellin, Abby. “Pressing Açaí for Answers.” Skeptics Press Marketers for Proof of Açaí Berry’s Benefits. The New York Times, 11 Mar. 2009. Web. 18 Oct. 2009. <http://www.nytimes.com/2009/03/12/fashion/12skin.html>.

“Fletcherizing.” Medicine: Fletcherizing. TIME. Web. 18 Oct. 2009. <http://www.time.com/time/magazine/article/0,9171,927881,00.html>.

Pollan, Michael. The Omnivore’s Dilemma A Natural History of Four Meals. New York: Penguin, 2006. Print.

12

11 2009