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2002, June

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Americans More Comfortable Buying Online Compared to the Rest of the World, According to Taylor Nelson Sofres Interactive

HORSHAM, Pa. - June 27, 2002 - The United States continues to be the global leader of online purchasing and spending, according to Taylor Nelson Sofres (TNS) Interactive's third annual Global e-commerce Report (GeR) released on June 26, 2002. Across 37 counties participating in the survey, the average percent of Internet users who made online purchases is 15%. In comparison, the percent of online purchasers in the U.S. is 32%. Additionally, in terms of online spending, the worldwide median average spent during the past 4 weeks was $99 (100 Euros), while in the United States it is $162 (164 Euros). Korea, Germany, Norway and Great Britain follow the United States in online purchasing.

Although e-commerce is strong in the U.S., it has not reached its highest level. Potential for continued growth here is evident. More Internet users indicated they would buy online this year (29%) versus 2001 (23%). However, what continues to deter buying over the Internet is the issue of security. Forty percent of Americans do not feel comfortable providing their credit card information online, and 30 % of Internet users across the 37 countries interviewed feel the same.

"Getting Americans to feel secure is a challenging task for e-tailers. Since consumers started to buy online they have expressed their concerns about providing their credit card and personal information over the Internet, yet there has been little improvement in addressing those needs," says Brenda McFarland, Executive Vice President of TNS Interactive. "In order for this industry to continue to grow, businesses will need to develop security measures beyond what is currently available."

The Global e-Commerce Report also concludes that a direct correlation exists between Internet penetration and e-commerce. In countries where Internet usage has become firmly established over a long period of time, e-commerce is more developed. Therefore, the expectation is that other countries will eventually catch up to U.S. e-commerce levels. ...view the or download the report

Doubleclick Marketing Spending Index Survey Shows Marketers to be Cautiously Optimistic for 2002

New York, NY - June 26, 2002 - DoubleClick Inc. today released the results of its Marketing Spending Index, the first of a bi-annual survey designed to track trends and acceptance of both offline and online marketing tools. The study of nearly 200 marketing professionals in the U.S. shows marketers to be cautiously optimistic about the growth of their media budgets for the remainder of 2002. The study also reveals that websites have already become a critical sales channel, and a larger proportion of respondents expect web sales to increase over the next 12 months than any other sales channel.

While 23% of respondents expect 2002 marketing budgets to decline from 2001 levels, 27% expect them to stay the same and 50% expect them to increase.

Email budgets, in particular, are expected to increase, with 61% of respondents expecting their email marketing budgets to grow over the next twelve months. Relative to other forms of marketing, email (+17%) and online marketing (+9%), along with direct response TV (+18%) and channel marketing (+15%) are expected to see increases in budget in 2002. Traditional media including TV (-1%) print (-1.4%) and radio (-2.3%) are expected to see a small decrease in relative spending, while telemarketing (-7%), direct mail (-7%) and catalog marketing (-13%) are expected to see the largest relative decline. Online advertising was cited as the third most commonly used form of advertising (54%) behind print (86%) and direct mail (58%), and slightly ahead of TV (53%), radio (47%) and email (44%).

The relative growth in online and email marketing within the marketing mix suggests an increased confidence among marketers in these marketing channels. The growth in the share of the marketing mix also reflects the increased sophistication in online and email creative, optimization and targeting, the growing number of studies that demonstrate the effectiveness of online and email marketing, and the growing audience that is reached by marketing online and by email.

According to the survey, websites account for 12% of respondents' sales, the third largest revenue source behind retail (30%) and a direct sales force (28%). Additional sales channels include resellers (11%), telephone (9%) and catalogs (7%). In addition, three quarters of respondents (74%) expect revenue generated online to further increase during the next 12 months. ...DoubleClick

INT Media Group Announces Plans to Acquire Jupiter Research and Events Business from Jupiter Media Metrix

NEW YORK, NY - June 21, 2002 - INT Media Group, Inc. announced that it has signed a definitive agreement to acquire the assets of the Jupiter Research and Events businesses from Jupiter Media Metrix, Inc. for $250,000 and the assumption of certain liabilities. The transaction is expected to close by July 31, 2002 and is subject to customary closing conditions, including the approval of Jupiter Media Metrix, Inc.'s stockholders. Effective immediately, INT Media Group, Inc. will assume responsibility for operating the Jupiter Research and Events businesses.

Jupiter Research, founded in 1986, is a leading international research organization specializing in Internet related market research in 17 business areas and 9 vertical markets. Jupiter analysts are widely quoted in the trade and financial press and Jupiter seminars and events are well known for attracting industry leaders and professional attendees.

"We are ecstatic to be able to acquire one of the great world brands in market research," stated Alan M. Meckler, Chairman and CEO of INT Media Group. "We look forward to working with the Jupiter team to make INT Media Group the dominant content, event and research company in the Internet and IT arenas. Jupiter Research and Events will now have, for the first time, a marketing advantage that none of their competitors can claim: the advantage of online marketing to INT Media Group's network of 22 million worldwide unique business users that are associated with Internet and IT business issues. Jupiter offerings will be totally integrated within our network as well as our 175 e-mail newsletters with nearly 5 million subscribers and our 45 annual seminars and trade shows." ...Jupiter Media Metrix

Editor's comments:- INT Media (which changed its name from Internet.com) suffered significant revenue declines as a result of the advertising recession. But over a year ago they started to diversify into selling market research and running events to provide a complementary revenue stream. This acquisition follows on logically from that strategy.

Mass Market Web Hosting Report – Now Available From Tier 1 Research

MINNEAPOLIS – June 19, 2002 – Tier 1 Research announces the release of its latest report, titled "Mass Market Hosting", which is an in-depth analysis and forecast on the shared and low-end dedicated web hosting market. Co-authored by Andrew Schroepfer, President and founder of Tier 1 Research, and Joshua Beil, Vice-President of Research and Development, this 44-page report explores the dynamics of mass market hosting by combining interviews with industry leaders, survey data, and leveraging Tier 1 Research's broader sector analysis found in its Internet Infrastructure Bible v2.0 (published in March 2002). The report is segmented into three sections: 1) market overview and industry trends, 2) market forecast, and 3) market share and vendor profiles. Key findings from the report include:
  • In 2002, mass market revenues will rise 11% to $3.4 billion, led by Verio, Interland, and XO with the top 10 providers accounting for just under 20% of the entire market.
  • The mix of revenue in 2002 is 76% from shared hosting, 11% from low-end dedicated hosting, 12% from domain name registration, with the remainder in one-time setup fees.
  • Over 90,000 servers are currently hosting sites in the mass market hosting sector, led by Interland, Rackspace, and Verio.
  • In 2002, the number of entities (firms, organizations, and consumers) using mass market hosting services will grow 23% to nearly 13 million, led by Verio, Interland, and Affinity.
The shared and low-end dedicated hosting sector truly represents the 'mass market' of hosting when it comes to the pure volume of opportunity. By publishing this report, Tier 1 Research is giving its diverse audience of service providers, technology developers, institutional investors and the venture capital community an even more complete picture of the Internet infrastructure sector. The report is available immediately and is priced at $1,500. A sample of the report can be downloaded at ...Tier 1 Research

e-Commerce Has Now Overtaken Fax in the UK as the Best Way to Conduct Business

June 19, 2002 - 75% of companies treat UK businesses as 'second class citizens', potentially costing themselves billions of pounds every year. This was the key finding of the Ironside Order Disorder™ Study which compared business-to-business and business-to-consumer sales ordering inquiries across a variety of sales channels and vertical sectors. Overall, 85% of UK FTSE companies surveyed were guilty of poor customer service and unhelpful ordering procedures.

The Study revealed that e-Commerce has now overtaken fax in the UK as the best way to conduct business. 87% of companies surveyed completely ignored sales inquiries by fax, whereas 57% of companies responded to inquiries by email. Companies that also had online ordering performed significantly better in the study, with the three best-performing companies all offering online services. Fax was the worst performing channel overall, scoring an average of only 5%, on overall efficiency and customer service, whereas the web scored the second-highest overall, with an average of 50% and email came third overall with an average of 26%.

The Ironside Order Disorder™ Study was carried out by independent researchers for Ironside Technologies, a global leader in business-to-business e-Commerce solutions for manufacturers and distributors. It surveyed 54 FTSE companies' responses to sales inquiries by letter, fax, telephone, web site and email, and marked them on accuracy, speed, responding to deadline and helpfulness of answer. The Study compared results across six sectors: automotive, food and drink, pharmaceutical/chemical, electronics, IT and retail. 85% of companies rated less than 50% on overall efficiency and customer service in the survey, with the automotive sector performing the worst, rating only 12% on average. ...Ironside

FindaSeminar.com Introduces World's First Pay-Per-Click Events Search Engine

Houston Texas - June 18, 2002 - For the first time ever Event Sponsors and Organizers can take charge of their Events advertising budget and take complete control of their advertising campaign using the new Pay-Per-Click Search Engine offered exclusively by FindaSeminar.com. This First in the industry pay-per click model is a tremendous value for Event Sponsors and organizers wishing to reach interested Event attendees because of the highly focused user interface.

New White-box Research Leads to Change in Size of PC Market, According to IDC

FRAMINGHAM, MA - June 12, 2002 – Understanding the role of white-box PC makers and their contribution to PC shipments has historically been one of the major challenges in tracking the PC market. To address the growing role of these smaller PC makers, IDC launched a global effort to identify a greater number of white-box players around the world and track their business. The results of these efforts are improved data on white-box assemblers around the world and an increase in the size of the worldwide PC market.

"Tracking these non-branded PC assemblers has been difficult because of their small size and focus on niche markets," said Loren Loverde, director of IDC's Worldwide PC Tracker. "Using components to track this market is also difficult because of limited information on shipments between regions, inventory, and components that don't go into new PCs." To improve tracking of the white-box market, IDC combined local surveys and knowledge covering smaller assemblers, component availability, pricing, segment and economic trends, and other local factors with a solid understanding of component supply.
news image - IDC
As a result of this adjustment, PC shipments increased 6.3% worldwide in 2001. ...IDC profile

Dot Hill's SANnet Keeps Ad Agency Creative, Productive

CARLSBAD, Calif. - June 12, 2002- In a partnership with Dutch reseller PDF, Dot Hill Europe B.V. implemented a SAN for advertising agency and J. Walter Thompson affiliate, PPGH. The installation was made in the Apple Macintosh environment, which is widely used by creative entities, such as advertising agencies, worldwide. PPGH/JWT is using its SAN with Appleshare IP, software that provides a powerful yet simple way to communicate and exchange information using file, print, mail and web services, along with Canto Cumulus software that organizes and publishes any digital file such as images, layouts, presentations, video, audio or text. The agency's creative staff continually accesses the image database while developing advertising campaigns for its clients.

"Due to Dot Hill's open systems approach to storage, we have extensive experience implementing SANs in a variety of operating environments, including the Macintosh graphics' platform which is used globally in the advertising industry," said Bert van der Woning, managing director of Dot Hill EMEA (Europe, Middle East, and Asia). "With the help of our long-time partner PDF, we plan to place more emphasis on this sector." ...Dot Hill profile

Form is Not the Same as Function in Web Advertising: what you see isn't what you get

June 11, 2002 - a new article on MarketingViews by Zsolt Kerekes publisher of STORAGEsearch.com explains why visual clues don't help you understand classified web advertising. Company profile pages which look similar on your monitor can have vastly different traffic. The dice are loaded in favor of advertisers, who have much fatter pipes feeding their content.

33 Million Websites Are Dead

NICHOLS HILLS, OK - June 10, 2002 - According to internet industry traffic figures, over 80% of all websites don't receive any measurable visitor traffic. Tim Cohn, the nation's leading authority on Do-It-Yourself Internet Marketing and author of the Do-It-Yourself Internet Marketing Course reveals the top seven reasons why the majority of websites fail and what steps owners can take to bring their websites back to life. Here Are Tim Cohn's Top 7 Reasons Why Websites Fail:
  • Website owners don't target their message to specific audiences.
  • The site's design doesn't incorporate meta tags for search engines to score.
  • Each web page's title doesn't reflect the individual page's content
  • Each page doesn't provide detailed descriptions of the page's theme.
  • The site isn't built with keyword and key phrase search relevancy in mind.
  • Statistics aren't captured to learn why searchers come to the site.
  • The site isn't submitted to the top 18 search engines and directories that produce over 88% of all internet searches.
The Do-It-Yourself Internet Marketing Course ($97 containing six hours of audio tape instruction and an easy to follow workbook) was created to save the average website owner further aggregation, time and money in their quest to move all or parts of their business online.

Editor's comment:- it's always going to be true that most web sites get little traffic, and in my view the 2 main choices you have to increase visiters are either to invest more into content, or invest more in advertising. Other tactics can only make a marginal difference.

TeraCloud Adds Storage Veteran to Executive Team as Vice President of Sales

BELLEVUE - June 10, 2002 - TeraCloud Corporation, a leading provider of SRM solutions for mainframe and distributed storage environments, announced today the addition of Thomas Phillips as vice president of sales. This addition to the executive team demonstrates TeraCloud's commitment to extending its business and growing its sales channels. Phillips' appointment comes on the heels of TeraCloud's recently announced $5.5 million first round of funding.

Bringing more than 20 years of industry experience and 10 years of building revenue in enterprise storage companies, Phillips will be responsible for overseeing local, regional and international sales development for TeraCloud, ensuring continued success in attracting and retaining Fortune 1000 customers. During his tenure at Linuxcare Inc., Philips grew revenue from $700,000 to $12 million in one year. As vice president of North American sales at Sterling Software (an SRM company that was acquired by Computer Associates) he quadrupled revenue in five years from $10 million to $48 million. Most recently, Phillips was vice president of sales for InterSAN. ...TeraCloud profile

New Arizona Based MarComs Firm Launches Qwik Words Service & Web Site

PHOENIX, Arizona - June 5, 2002 - Writer/producer Marni Pingree has recently announced the formation of Marni Media in conjunction with the launch of the firm's web site at http://www.marnimedia.com. Marni Media is an online information and creative marketing service for business managers, marketing departments, web design teams and advertising agencies. The firm's services integrate marketing strategy and creativity into written copy, sales presentations, web site design and media management projects.

Founder and principal Marni Pingree said, "Effective marketing communications depends upon team work between marketers, designers and programmers. Artistic expression, slick media production and programming technology should enhance selling the message, not get in the way of messages that sell."

Marni Media publishes the MarCom E-letter with features and interviews from marketing, advertising and media industry leaders. The monthly e-letter is for marketing professionals and business managers who are short on time but interested in finding more efficient ways to use media in complex customer-driven markets. Marnimedia.com introduces a Qwik Words copy writing service for busy marketers and managers who need rapid turn-around for professionally written copy.

Editor's comments:- the Qwik Words service covers 300 words of copy for $75. So all those of you who have been complaining that you can't afford a PR company, take a look at this.

BuildingBrands.com a New Website for Marketing Professionals

HONG KONG - June 4, 2002 - BuildingBrands.com was launched last week by a global team of marketing professionals. The site has been established as a way of sharing many years of experience in building brands that build business.

Site Founder, Colin Bates, ex-Director of Strategic Planning at Grey World Wide said: "This is a great way of sharing what we have learnt about brands and marketing, learning more ourselves, and having a lot of fun at the same time".

The site will grow to cover every aspect of brands and brand building, including: brand strategy, marketing, communications and customer relationship management.

Editor's comments:- the definitions page on BuildingBrands.com is not afraid to tackle basic terms like "Brand", "Marketing" etc which we use and abuse every day.

Aberdeen Sees ASPs Gaining Market Share in the $372 Million Web Analytics Market

BOSTON, MA - June 3, 2002 - In a report released today, Aberdeen Group, a leading market analysis and positioning services firm, states that ASPs significantly increased their Web Analytics market share in 2001, capturing 22% of the sector's revenue, up from 13% the previous year. A Web Analytics system analyzes Web visitors' online behavior, enabling enterprises to optimize their Web site structure and content to improve customer loyalty, increase sales, and decrease support costs.

"In 2001, Web Analytics ASP revenues were up 54% while software suppliers revenue declined by 30%," says report author Guy Creese. "Overall, the Web Analytics market was valued at $372 million, down 7% from 2000's $400 million - although a decrease, a highly respectable showing considering the high-tech downturn of 2001."

Web Analytics: Making Business Sense of Online Behavior, an 150-page Aberdeen research report, defines the business and marketing factors driving the Web Analytics market, forecasts market size, outlines the technological and organizational issues that enterprises must consider when selecting a Web Analytics solution, and profiles 47 solution providers. ...Aberdeen Group profile

today's news etc from MarketingViews
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Other news on this page

Americans More Comfortable Buying Online Compared to the Rest of the World, According to Taylor Nelson Sofres Interactive

Doubleclick Marketing Spending Index Survey Shows Marketers to be Cautiously Optimistic for 2002

INT Media Group Announces Plans to Acquire Jupiter Research and Events Business from Jupiter Media Metrix

Mass Market Web Hosting Report – Now Available From Tier 1 Research

e-Commerce Has Now Overtaken Fax in the UK as the Best Way to Conduct Business

FindaSeminar.com Introduces Worlds First Pay-Per-Click Events Search Engine

New White-box Research Leads to Change in Size of PC Market, According to IDC

Dot Hill's SANnet Keeps Ad Agency Creative, Productive

Form is Not the Same as Function in Web Advertising: what you see isn't what you get

33 Million Websites Are Dead

TeraCloud Adds Storage Veteran to Executive Team as Vice President of Sales

New Arizona Based MarComs Firm Launches Qwik Words Service & Web Site

BuildingBrands.com a New Website for Marketing Professionals

Aberdeen Sees ASPs Gaining Market Share in the $372 Million Web Analytics Market

earlier news (archive)

Fastest growing companies
Squeak! - The fastest growing profitable storage companies in the US - 2002.
For a pro, like Megabyte, picking winners was just a question of pulling the right handles.

Intel Celebrates The Industry's 1 Billionth PC

July 1, 2002 - Intel Corp

When it comes to the PC, science fiction has become science fact. When introduced some 25 years ago, PCs were big and clunky, and performed simple word processing and basic spreadsheet functions. Today, the home PC is a powerful all-in-one digital jukebox, movie studio, photo darkroom and electronic game board. For companies worldwide, the PC has brought unprecedented productivity and efficiency to the way business is done. With a PC connected to the Internet, it's possible for even the smallest company to sell products and provide customer service around the clock and around the globe. In the past two decades, technology innovation and the expansion of the Internet have changed the future of computing - a billion times over.

1 Billion PCs and Counting

Industry analyst firm Gartner Dataquest announced today that the PC industry has shipped the 1 billionth PC. The industry reached this notable milestone in April 2002, roughly 25 years after the debut of the first commercially successful and widely available personal computer, the 1974 Altair powered by the Intel® 8080 chip.

Intel's contribution to the evolution of personal computing began with its 1971 invention of the microprocessor, often referred to as the brain of the PC. From the Intel 8080 chip used in the Altair to the 4.77 MHz Intel® 8088 processor that powered the watershed IBM PC in 1981, this historic path of innovation has brought us today to the era of the Intel® Pentium® 4 processor, the world's fastest processor. PCs based on the Pentium 4 processor at 2.53 GHz deliver higher performance for digital media and enriched multi-tasking user experiences.

Today, PCs are in roughly 60% of U.S. households, followed by 49% in Western Europe and 38% in Asia Pacific. At the end of last year, nearly half a billion people around the world had access to the Internet from their homes. In 2001, more than $615 billion in revenue was generated worldwide from e-Commerce transactions . In its journey to the 1 billion milestone, the PC has profoundly changed the way companies transact business and how people communicate, shop, learn, access information and entertain themselves.

The 1 billionth PC is likely enabling its owner to do a variety of things once thought of as science fiction. Today, people rely on PCs to send e-mail and instant messages, surf the Web, manage a household budget and family calendar, edit home movies and burn them onto DVDs, mix music, create photo albums with narration and mood music, play action-packed games, and engage in a host of other compelling new uses.

Another Billion PCs in Six Years

Gartner Dataquest calculates that the next billion PCs could ship far faster than the ones that came before. In 2008, the PC industry is projected to reach the milestone of 2 billion PCs, with the greatest growth opportunity coming from high-volume emerging markets in places such as China, Latin America and Eastern Europe. ...Intel profile

Editor's comments:-
there's no doubt that the PC, which has brought affordable digital data access to everyone who needs it, has changed the way we work. And PC technology, in DVD players and music players have improved the sound and visual quality of our home entertainment.

But let's not forget the downside...

The hype which led to the dotcom bubble and crash created history's first digitally mastered economic recession.

That the PC is now part of everyday life for most of us is undeniable. It's also inevitable that the amount of storage associated with the 2nd billion PCs will be considerably greater than the first billion. But as processors have become commodities, which any small group of electronic engineers can design to put in a phone or a TV, Intel's continuing dominance in the processor market is less than certain.

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