Winners and Losers in Facebook’s Invasion of Google’s Turf

The world has been buzzing about Facebook’s achievement over Google. Harness the power of Facebook, but don’t let it make your Web site irrelevant. 

 

Sept. 13, 2010

It seems the world of marketers and net users – cyber citizens – have been buzzing about Facebook’s achievement over Google. That being the comScore data indicating cyber citizens spent more time on Facebook than the Google sites in August.

Cyber citizens spent an aggregate 41.1 million minutes on Facebook — 9.9 percent of their search-time. That beat the 39.8 million minutes, or 9.6 percent, on all of Google’s sites.

It’s noteworthy because Google, of course, is the leading search engine and has Google News, Buzz, Gmail and most-importantly, YouTube.

With more than 500 million cyber citizens, Facebook’s achievement was over-shadowed by the unveiling of Google Instant, an innovative new feature, which speeds the pace of search.

However, it would appear there are other questions to consider:

1. How does Bing profit as Facebook’s Web search partner?
2. What should businesses do in marketing on Facebook?
3. What precautions should businesses take to make certain their Web sites are not obliterated by Facebook?

Facebook’s time spent viewing can only mean increased search share for Bing vs. Google.In 2008, for $240 million, Microsoft bought 1.6 percent of Facebook. (You might wish to read Why Facebook May Be Inching toward An IPO.)

To maximize the marketing investment, businesses should consider establishing a Facebook page.

For a Facebook presence, Website Magazine’s Linc Wonham recently published some basic tips:

• Set goals for your Facebook page and monitor your progress
• Make your page interesting and informative, and update it as often as you can
• Promote your Facebook page on your business website and elsewhere; add a Find us on Facebook button wherever you can
• Reward your Facebook Fans with discounts and special promotions
• Create a Facebook user group that will be of interest/useful to your audience
• Join other Facebook user groups that pertain to your industry or niche
• Take advantage of Facebook’s tools; track your success with Facebook analytics

“Businesses can add a Facebook Place to their Facebook Page, or the two can be combined,” according to the Website writer. “The result of either option is getting your company’s address, map, phone number and other data in front of Facebook’s massive user network and giving them a way to share the information with friends.”

Mr. Wonham specifies the benefit: “The result of either option is getting your company’s address, map, phone number and other data in front of Facebook’s massive user network and giving them a way to share the information with friends.”

His tips for Facebook ads:

• Be as specific as possible with your keywords and demographic selections
• Use compelling images, titles and copy in your ads
• Make your ads as interactive and engaging as you can
• Frequently update and refresh the images and copy for better results
• Be vigilant about testing your ads and monitoring the results
• Bid high to get your ads approved faster by Facebook
• Start with CPC ads if you have a very small budget, otherwise CPM is the better bet
• Use Facebook Ads Manager, which can be downloaded and installed on Firefox

However, it’s important to take precautions – there are two dangers to Facebook marketing:

1. Facebook tends to supersede the importance of your Web site in the minds of cyber citizens.
2. The most successful companies achieving success on Facebook have done it by slashing prices and offering coupons.

For more on this angle, see this column: Aside from Privacy, Security Issues — Facebook is a Threat 2 Ways.

But always remember what drives cyber citizens to your Facebook page and Web site — broadcast advertising and strong PR – the ultimate keys to your marketing mix. To target credit-worthy or high net-worth customers, broadcast news is your best bet.

So, harness the power of Facebook, but don’t let it make your Web site irrelevant. You want to dialogue with consumers on your own turf. Use these measures and you’ll be a winner in Facebook’s invasion of Google’s Turf.

From the Coach’s Corner, in view of the news reports that burglars have used Facebook to target victims, syndicated columnist Kathy Kristof provides these privacy tips:  6 Things You Should Never Reveal on Facebook.

5 Strategies to Sell More from Your Web Site

 

As countless would-be entrepreneurs have learned, Internet sales can be challenging. To paraphrase a line from the movie, “Field of Dreams,” it’s not always true that if you build it, they will come. There are many salient elements to keep in mind.

Naturally, you need to attract visitors, convert them into customers, continually study your site’s visitors’ data, and keep fine-tuning your approach.

A call-to-action strategy only works if you’re building relationships. Understand y0ur customers. Predictive analysis is a fairly recent buzz word, it’s a science but it basically involves understanding trends and human nature, and getting more from your data.

Oh, and remember this about human nature and quality relationships: Unsolicited e-mails or spam is annoying.

Here are five strategies:

Quality referral system. Make sure you’re easily found on the Internet and have a dominant presence. That means a quality referral system using every facet available from Facebook to press releases and key word selection. Participate in newsgroups and social-networking discussion groups, but use a soft sell approach and ask open-ended questions to establish a dialogue.

Don’t neglect your offline appearance. It must be synergized and consistent with what you’re saying online.

Conversion rates. Have you been frustrated by lack of success in your conversion rates? Even when shoppers enter your shopping cart, are you experiencing a significant double-digit frustration rate – shoppers leaving without buying? You’re not alone.

Many consumers shop online to save money. If your visitors don’t sense you’re offering savings and unique value, they will go to other sites and do more comparison shopping. That means you need to use more effective sales jargon and be clearer about your customers are getting and paying. I would stop short of offering a lowest-price guarantee.

Eighteen percent of the population will only buy the cheapest price not matter what else you provide. They make the worst customers by wasting your time complaining and returning products. They’re never satisfied unless you will sell at the cheapest price. It’s hard for most businesses to succeed as low-price leaders. History shows most low-price leaders don’t last in the marketplace.

Coupons and merchandising. Remember customers want to buy. They don’t want you sell “to them” or “at them.” They want to feel special. That means creating a happy buying environment. So exclusive deals and LTOs – limited time offers with coupons – will improve your sales potential. Consumers are turning more to the Internet for coupons than the Sunday newspaper. But again, remember the dangers in constantly selling on low-price.

Be defensive-minded. Businesses lose revenue when they offer deals to prospects but neglect offering the same deals to their current customers.

Trust. Consumers will spend more money with companies they trust. Obviously, consumers are increasingly risk-averse. You must take every precaution for security and present an appearance of security.

For the majority of consumers, 82 percent, here are five motivating perceptions – what they think about your spokesperson, image of your company and site, the product utility, convenience and price.

That means you need a site that downloads quickly, is professional-looking, and functions well. And your online reputation must be excellent. Guard against unfavorable reviews and blogs.

Speed of response to e-mail queries is also important. It demonstrates efficiency.

Site coding. Your site must have clean code and be well-written. It must be easy-to-maneuver and logically structured.  There are countless tips site coding on the Internet. But some of the sources do not provide the correct advice. If you’re reading this paragraph, the odds are that you are not an expert. You need to find an authoritative, credible expert to write it for you.

And keep your site fresh without abandoning your central look or theme to promote consumer familiarity and to build a foundation for long-term relationships.

From the Coach’s Corner, for more on social networking and ecommerce, see: Surprise? Facebook and Twitter Increase Odds for Sales.

Good News for Advertisers Targeting Online TV Viewers

 

April 1,2010

Every now and then, one of my pleasures is watching online television, especially the nostalgic black and white versions of the Perry Mason TV series. It was a wildly popular, revolutionary CBS program based on the books by Erle Stanley Gardner.

Now, it’s fun to see how southern California looked in the late 1950s to 1960s – the buildings, streets and, of course, the cars. One of my favorite cars was Perry Mason’s 1958 Cadillac convertible.             

As an elementary school-age youngster, it was great delectation to watch the Saturday night drama as we enjoyed Raymond Burr et al as we munched on popcorn or roasted peanuts. And it was my first inkling that I would later enjoy critical thinking and thought processes. As a gauche pre-teen, I liked to brag: “Hey, I wrote the script.”

More often than not, I could predict who the villain would turn out to be — by simply paying attention to the actors throughout the program. Then, I compared them in the closing minutes with the actors shown sitting in the courtroom watching DA Hamilton Burger duke it out with Perry Mason. You see, the criminal usually turned out to be the person who was not shown in the scenes just prior to Perry Mason’s miraculous courtroom revelation. I kept my secret of how I predicted success from my family for years until they no longer cared.

I assume the series is now a popular online CBS offering. Decades later, I’ve also discovered I’m not alone in my baby-boomer acceptance of commercials in the online programs, according to a research firm, comScore.

Consider comScore’s press release headline: “Viewers Indicate Higher Tolerance for Advertising Messaging while Watching Online TV Episodes.”

Really? So even in this age of instant gratification in which consumers expect fast, free products and services, there’s acceptance of the concept that online TV has to be somehow financed. Either we pay for the program or we watch the inserted commercials.

“As cross-platform TV viewing becomes more widely adopted, it is important to understand the driving forces behind this shift in consumer behavior if we are to effectively monetize this emerging medium,” says Tania Yuki of comScore.

“While some analysts have suggested that the shift to online video reflects a consumer desire to view fewer ads, our research suggests that in many cases online TV viewers actually have a higher tolerance for advertising messages than they are currently receiving,” she explains. “This finding, of course, suggests there’s advertising revenue being left on the table and that media companies have not yet extracted full value out of the online medium.”

Respondents included a cross-section:

• Viewers of TV only – 65 percent
• Viewers of TV and online – 29 percent
• Viewers of online only – 6 percent

Ms. Yuki concludes viewers of online TV programs would tolerate commercials.

The norm is four commercials minutes an hour, but she says the data shows they would accept six to seven minutes per hour.

What are the motivations for online TV viewing?

• 74 percent indicated convenience for their schedule.
• 70 percent cited the convenience of being able to stop and play the programs.
• 67 percent enjoyed the luxury of fewer commercials than TV.

To read more of the data, see the press release.

From the Coach’s Corner, here are some late-breaking major developments:

• A published report details how some big players are banding together over the issue of online privacy in an article entitled, Coalition: New Laws Needed to Curb Government Access to Private Data.
• Many technology professionals face a major problem created by the Washington State Leglislature — Is it Fair to Put a Tax on Software? Check out Chris Pirillo’s interview with Ken Myer on the Software Tax in this video.
• For more on this software tax issue, see this Op Ed column.
• Tell the State of Washington: No new software tax!

Achieving Strong Results on Google Now Easier with Social Networking

 

As a business-coaching columnist, I enjoy doing a lot of reading. My email is filled with tons of material every day on topics ranging from finance to technology. Sometimes, it’s hard to stay abreast of it, but it’s enjoyable.

One of my favorites to at least scan is Website Magazine. They are up-to-date on their information.

An article on how to succeed on Google by Dante Monteverde, known as the SEO Corner Columnist, is really informative and reassuring to Web site entrepreneurs.

Most Web site owners have had to work hard at mastering Google in organic search or search engine optimization (SEO). That’s true for me. Compared to Bing, Google has been quirky to say the least.

But with social media optimization (SMO), it’s getting a lot easier on Google. It’s easier on Bing and the others because of SMO.

If you’re a little late to the party, this means Google’s blended search process includes social content with the organic elements, such as images, news and videos. That’s a much easier process for most of us.

Here’s the link to the article: SEO for Google Social Search.

From the Coach’s Corner, are you or anybody you know thinking about entrepreneurship?

If so, the long road to becoming a good entrepreneur is a difficult undertaking.

To see if you’re cut out to be your own boss, take an aptitude-entrepreneurial test. 

P.S. If you’re a regular use of this Web site, you might have noticed this column is much shorter than usual…I’m taking a partial day off. We’ll chat with you soon.

Tech Drama: How Microsoft-Yahoo Can Beat Google

 

Pick any high drama you want. But the desperate high-stakes competition of Microsoft and Yahoo vs. Google certainly has more drama than some other events preoccupying Americans. For countless stakeholders – from investors to technology employees – the nail-biting is as intense as it is for sports fans seeking respite from the weak economy in rooting for their favorite teams in the World Series or Super Bowl.

A lot of commerce is at stake: The future of the three companies, more than $22 billion in advertising, financial success for advertising companies and their employees in a tepid economy, as well as the efficacy for 180 million daily Internet users.

The 10-year Internet marketing deal – Microsoft’s Bing will power Yahoo’s searches and Yahoo will sell advertising for both companies – awaits regulators’ approval. And Google has been trying to crush the deal.

I’ll explain the merger delay a little later in this column.

Meantime, intense work is being performed by engineers from Redmond, WA near Seattle to the Silicon Valley in the southern part of the San Francisco Bay Area.

Does search giant Google feel the threat of competition?  Yes, however, no one probably feels sorry for Google because it’s under attack by Microsoft and Yahoo.

Aside from the fortunes of the three companies, it’s worth noting the winner in this passionate competition will be Internet users thanks to major innovations in online searches.

Who would have anticipated that Twitter, which rose to prominence as a social networking site, would be courted by Microsoft’s Bing and Google. Just hours after Bing announced its deal to search postings on Twitter, Google followed suit.

In music, Yahoo reminded us it has shown audio-file links with Rhapsody since 2008 – just after Google announced users can easily find links to their preferred songs on Lala or MySpace.

Even with the proposed merger, Yahoo has been working on its search engine. Yahoo is allowing users to bundle searches from their preferred bevy of publishers. Yahoo also features a search pad so users can see their search history.

Google is constantly fine-tuning, such as its real-time search feature, moving its advertising closer to content results and enlarging the size of its search box. With its revenue down in text and display ads, Google is constantly updating its approach to appease publishers that have also felt the financial squeeze. (Disclosure: The Biz Coach site uses Google AdSense., but it is proving to be unsatisfactory)

According to comScore at the start of Q4 in 2009, Google had a 64.9 percent market share in search compared to Yahoo’s 18.8 percent and 9.4 percent on the Microsoft sites.

Despite all the hoopla over Google, advertisers would be well-advised to consider the time-spent user data from The Nielsen Company also during Sept.

Nielsen confirms Google is number one in total searches with an average user time-spent of one hour fifty-three minutes. But Yahoo users stay about 50 percent longer – three hours nine minutes. Users on MSN/WindowsLive/Bing spend two hours one minute. Obviously, a longer time-spent viewing on Yahoo by users means advertisers have a better shot of  their messages being seen.

My sense is that Yahoo’s success in time-spent users’ data has to do with its terrific content in finance.

With video watching up 25 percent in Sept. 2009, Nielsen says Google maintains a huge lead. YouTube had 106 million viewers.

It’s interesting to note the change in online searching and the expectations of consumers. In 1999, Nielsen reported there were119 million U.S. users and the Internet began attracting more women. At first, mostly men used the Internet.

No longer are users content just to find a Web site; they’re looking for more specific information, and they want it to be comprehensive, more appealing visually and lightning-fast. Go to any search engine and you will notice more images in addition to information, not just blue links.

The Microsoft-Yahoo merger is in a sense a surprise. Microsoft isn’t known for major alliances. And it remains to be seen if the merger will yield a productive return because of corporate cultural and technological questions. True, a merger would probably give Microsoft a bigger standing in the Silicon Valley, and momentum in Internet search expertise.

What now?

The merger ostensibly displeases the brain trust at Google, who is reportedly trying to stop it – How Google Is Trying To Hold Up The Microsoft-Yahoo Deal (GOOG, YHOO, MSFT).

Size matters in the advertising world and Internet advertising growth is the most prolific in history – even more so than television’s legendary track record. Clearly, Microsoft has ratcheted up its online search capabilities with Bing’s execution and monetization to attract consumers. But that’s expected given Microsoft’s acumen in monetization.

To simultaneously compare Bing and Google side-by-side: www.bing-vs-google.com.

My sense is that the success of Microsoft and Yahoo Google will depend on user trust, which helps lead to strong brand equity. Trust and brand equity are closely related. In years past, I wrote that Microsoft was faring badly in brand value, according to Forrester – 2005 Technology Brand Scorecard.

In March 2009, CoreBrand’s Brand Power Index – which ranks the top 100 brands in market reputation and awareness – indicated Microsoft’s brand made a small comeback in 2008. But it’s doing much worse than in 2005 – 2008 Corporate Branding Index.

However, BusinessWeek reported in 2009 that Microsoft is doing well on its top 100 brand ranking. Microsoft No. 3 behind Coca-Cola and IBM, respectively. Google is ranked No. 7. Yahoo is not listed.

The jury is still out. It’s all about user trust and other basic elements of brand equity. But to explain all that it entails requires a separate column.

As always – whether it’s the World Series, Super Bowl or business – I tend to root for underdogs. Competition is good. But as the disclaimer in the BusinessWeek ranking states, “Valuations do not represent a guarantee of future performance of the brands or companies.”

From the Coach’s Corner, here are steps to alleviate wireless Internet threats while you’re traveling, courtesy of consultant Jerald Savin at Cambridge Technology Consulting Group, Inc., www.ctcg.com.

He advocates taking charge of your WI-FI connections on Windows XP:

Step 1: Go into Wireless Network Connections from either the tray icon or from Network Connections. In Wireless Network Connections, go into “Change advanced settings.” There are three tabs: General, Wireless Networks and Advanced. Click on “Wireless Networks.” Your first surprise will probably be the number of wireless networks listed under “Preferred Networks.” My guess is that you won’t know half of the networks listed there.

Step 2: Delete the wireless networks you don’t need. Use the “Remove” button below the window listing the Preferred Networks.

Step 3: Change all of the wireless networks to “On Demand.” To do this, highlight the network and click on “Properties.” In “Properties”, go to the third tab, “Connection” and uncheck the box “Connect when this network is in range.” This means that whenever your laptop senses a wireless network, it will prompt you to connect; it won’t automatically connect. (Note: The first tab, “Association”, is where wireless network keys are entered.)

Step 4: Go to the “Advanced” tab and unclick the box “Allow other network users to connect through this computer’s Internet Connection.” This prevents “bridging”, connecting between networks across a computer.

Mr. Savin admits the steps aren’t 100 percent foolproof, but you’ll be headed in the right direction. 

Incidentally, if you’re considering upgrading from XP to Windows 7, he suggests for many people it will be an arduous task. So he advises buying a new preloaded machine instead.

21 Tips on How to Start a Business in a Recession

 

Conventional wisdom probably indicates a recession is not the best time to start a business. But if you have ever dreamed about it, there might be good reasons why the seed to start a business in a recession was planted in your mind.

Good ideas are worth a lot of money, especially in a recession. Many successful companies were launched in economic downturns. They range from General Electric to Hewlett-Packard.

A recession can be a good time if you have a great idea and have entrepreneurial instincts. Entrepreneurial personalities do not let fear run their lives.

Think of fear as an acronym: Frantic effort to avoid responsibility. Entrepreneur-types see a good idea as a responsibility to act. Plus, a recession motivates them to work harder and smarter on developing and executing their ideas.

True, consumer confidence is down, home foreclosures are increasing and the business climate is tepid.

As many companies cut back, new business opportunities appear. But you’ll have to hustle. Successful entrepreneurs do their homework and work as hard as dedicated athletes who train for high performance. Yes, there are numerous pitfalls for startups, and it will probably be the most difficult undertaking of your life.

Here are the 21 tips on how to start a business in a recession:

1. Pick the right niche. You’ll need to enjoy your work and be passionate about it in order to succeed.

2. Take baby steps. Strategize now while working at your present job. Don’t quit or wait for a layoff. If you’re out-of-work, money is problematic but you might not have a choice. Consider all your options.

3. Develop your vision. Write a one-page vision, which explains where you will want to be. Then, consider a business plan for a roadmap. Do your research and become an expert in your industry. Know your competition.

To determine where you are business-wise, conduct a SWOT analysis to assess your strengths, weaknesses, opportunities and threats. Some firms then develop and implement a strategic plan. A business plan is a management tool vis-a-vis a strategic plan, which is a leadership tool.

This also means learning accounting techniques, forecasting your cash flow, and considering buying good bookkeeping software.

4. Seek expertise. Read about successful entrepreneurs. Look for a mentor and a qualified sounding board.

Also, contact a Small Business Development Center. The organization has countless offices throughout the country.

Here’s the link: http://www.sba.gov/aboutsba/sbaprograms/sbdc/index.html

5. Get a head start on marketing and selling. Line up customers before you launch. Always remember: Cash flow is paramount.

You might want to read my column, “The Seven Steps to Higher Sales,” http://www.bizcoachinfo.com/archives/27

6. Market and sell every day. Establish a marketing budget and stay with it. Many companies lose market share by cutting advertising and promotion. Implement strong public relations.

Make yourself known to your local public officials and news media. Suggest to reporters that they consider interviewing you when they want an authority in your niche. Look for ways to multiple sales with your customers.

Consider networking with larger companies – many outsource to micro-businesses.

7. Make customer service a priority. When customers take their businesses elsewhere, my research shows 7o percent of the time it is because they feel taken for granted.

Practice great customer service for referrals and repeat business. Survey your customers. When a customer pays you a compliment, ask a question such as this: “What are the names of two people just like you who might appreciate my company’s services.” Be sure to follow-up with the referrals.

If you plan to free-lance or become a consultant, consider my “60 Ground Rules for Effective Client Service,”  http://www.bizcoachinfo.com/archives/106

8. Harness the power of the Internet. Learn blogging and search engine optimization techniques, and how to develop online press releases. A strong Web presence is paramount.

9. Line up your resources. Seek references from trusted associates for a good accountant and lawyer. Plan your policies and procedures. Learn to manage your books.

10. Arrange your financing. You’re unlikely to get a bank loan without a track record. Besides, it’s more economical to use your own resources and start from scratch. Avoid reliance on credit cards and home equity.

If you are seeking investors, consider another column I wrote: “What No One Tells You about Raising Investment Capital” in an interview with leading consultant Joey Tamer: http://www.bizcoachinfo.com/archives/1177

11. Appearances matter. Look professional – pick a good business name, logo, memorable tagline, and a branding-benefit statement that adequately tell your story. That also means quality business cards and stationery, a Web site, and email address using your domain name.

12. Understand legal requirements. That includes business license and taxes at the local, state and IRS. If you’re planning to hire employees, check with your appropriate state agency.

13. Consider buying a micro business. Avoid buying a company that’s losing money unless you’re certain you’ll succeed. Consider proposing owner-financing in a leveraged buyout. But do your due diligence. Walk away from a prospective seller who shows even a hint of bad practices.

14. Develop backup plans for equipment and operations. You’ll never know when bad weather or misfortune will strike. Fortune favors a prepared mind and business.

15. If you plan to hire employees, learn best practices in human resources. Hire the best workers, who demonstrate the 3 A’s – attitude, appearance and ability. (Note a good attitude is most important.)

Motivate them to be productive and to make your business look good in the marketplace.

16. Location. Just as in buying a home, there are key points to remember about where to locate (scroll down to the last paragraph for a link).

17. Keep sources of inspiration handy. Bone up on slogans and quotations to keep you motivated.

18. Community service. In addition to your regular routine of hard work, recreation and exercise, you’ll find it gratifying to devote time, talent and/or money to a worthy cause to lessen the misery in your community.

19. Network and join your local chamber and industry associations. Develop relationships and become a spokesperson for your industry. Become known as the “go-to” person.

And get involved in public policy when events adversely affect your industry. Government agencies are not known for enhancing or even protecting entrepreneurs’ economic and political liberties.

20. Budget time for continuous improvement. It’s vital to regularly reflect on your business and how to evolve in the marketplace. Review your SWOT analysis annually, and fine-tune your planning.

21. Remember to play and rejuvenate your mind. That means you should exercise, engage in your hobbies and do whatever works for you to stay mentally healthy.

Again, if you start a business, it will be the hardest thing you will ever do.

Yes, it’s a lot of footwork. But if you start with these rules, you’ll enjoy a competitive edge.

From the Coach’s Corner, to help you determine your entrepreneurial capabilities, here’s a link to a Small Business Administration site:

http://www.sba.gov/assessmenttool/index.html

For more insights on starting a business, I was honored when New York Times columnist Brent Bowers featured me.

Here are links to the columns:

•  ”Been There… Done That… Here’s How”   http://www.nytimes.com/2008/02/26/business/smallbusiness/26hunt.html? _r=1
•  “Advice on Taking an Entrepreneurial Leap” (including tips on where to locate a business) http://www.nytimes.com/2008/03/26/business/smallbusiness/26hunt.html