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2003, May

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article:- What's a Good Click Rate for a Banner Ad?
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Captain Feary's contracts always included the splash penalty clause - in which marketing consultants agreed to walk the plank if their brilliant ideas didn't work.
Arun Taneja forms Analyst/Consultancy Group

Hopkinton, MA - May 27, 2003 - Arun Taneja is pleased to announce the formation of the Taneja Group - a Technology Analyst/Consultancy group focused on storage and storage-centric server technologies. The group is formed to provide analyst and consulting services to IT shops in mid-size and large enterprises, technology vendors and VCs targeting storage and server technology areas.

The group is founded by Arun Taneja, a seasoned marketing and technology veteran with 25 years of experience in developing and marketing computer technologies. He was most recently a Senior Analyst at the Enterprise Storage Group where he specialized in many of the technologies mentioned above. He has held a variety of executive management positions in marketing and engineering with companies such as IBM, Sun Microsystems, Data General, Vixel and Andataco. He writes extensively about the storage industry and speaks frequently at the industry tradeshows.

The Taneja Group is founded on the basis that there is a need in the industry for an analyst firm that conducts an in-depth analysis of companies, technologies and the market invests resources and time in understanding the real needs of end users delivers the information in a responsible fashion, without exaggeration and hype so that its clients can make intelligent decisions, grounded in reality uses experienced industry professionals that have "been there, done that" rather than theoretical analysts, and has demonstrated integrity in dealings over the years, understands the needs of the vendors, VCs, end users and institutional investors alike is willing to bet its reputation on the work it performs ...Taneja Group profile

Editor's comments:- over 20,000 readers / year visit our storage market research & analyst directory page, so there's a clear need for analysts who can cut through the fog surrounding new technologies and where they fit in, or don't.

Is Your Company Below the Visibility Horizon?

Editor:- May 27, 2003 - a new article on MarketingViews defines a worrying problem for web marketers - being just below the threshold of visibility to your target market. Companies with this problem don't survive long.

Federal IT Security Spending to Reach $6 Billion

Reston, VA - May 22, 2003 - Federal government spending on information technology security products and services will increase at a compound annual growth rate of 7% from $4.2 billion in fiscal year 2003 to nearly $6 billion in fiscal year 2008 according to a report released by INPUT.

"In the two years following the terrorist attacks on September 11, 2001, the federal IT security market experienced spending increases of over 200%. After this explosive growth, we are now seeing budget increases return to more normal levels," says Payton Smith, Manager of Federal Market Analysis at INPUT. Smith adds, "However, federal agencies still face substantial challenges implementing infrastructure protection and security plans, so reliance on the vendor community for support in this area will remain high."

According to the report, strong oversight from Congress and the U.S. Office of Management and Budget (OMB) are the primary drivers of agency investments in IT security products and services.

"Annual security reviews by OMB and Congress are showing some progress among federal agencies, but they still reveal significant short-comings in terms of risk assessment, security planning and certification," says Smith. The report also states that the Department of Homeland Security (DHS) is serving as a coordination point for government-wide security initiatives. The DHS Directorate for Information Analysis and Infrastructure Protection is the new home for several of the most important security organizations in government. Smith adds, "Despite the Department of Homeland Security's new leadership position in government-wide information security activities, responsibility for securing specific agency systems will still reside squarely on the agencies themselves." ...INPUT profile

Online Sales Soared 48 Percent In 2002, According To Latest Shop.org/Forrester Study

Washington, DC - May 15, 2003 - In a mostly disappointing year for the retail industry, there appears to be one bright spot: online retail. According to The State of Retailing Online 6.0, a Shop.org annual study conducted by Forrester Research of more than 130 retailers, online retail sales soared to $76 billion in 2002, up 48% over the prior year. Shop.org is the online retailing division of the National Retail Federation (NRF).

In addition to growth in revenue, the latest figures from the study show that US online retailers are continuing their march to profitability. Last year, 70% of retailers reported positive operating margins, compared with 56% in 2001. Collectively, retailers broke even in sales last year, up from a loss of 6% in 2001.

Last year, 32% of computer hardware and software was sold online. ...Forrester Research profile

PressReleaseNetwork.com Launches Global PR Agencies Directory

JERSEY CITY, NJ - May 14, 2003 - Press Release Network, the global news distribution and online media monitoring service have launched a global PR Agencies directory on the internet. The directory contains comprehensive information on over 2,000 PR agencies in 66 countries. The directory can be ordered online for US$ 299. Subsequent annual updates are free. Visitors to the Press Release Network site can perform 'Agency search' operation on sample information of 1,600 agencies.

According to Sharad Agarwal, CEO of PRN, "The PR Agencies directory is a useful resource for organizations that use the reach of the internet to expand their business globally. This directory is the first of its kind and has been compiled in association with several PR related associations and publications worldwide." ...Press Release Network

See also:- Marketing Agencies which are Proven to be Effective at High Tech PR

Gartner Says Worldwide Fibre Channel SAN Market Grew 3% in 2002

STAMFORD, Conn. - May 14, 2003 - Worldwide Fibre Channel SAN components hardware revenue totaled $1.47 billion in 2002, a 3% increase from 2001 hardware revenue of $1.43 billion, according to Gartner, Inc.

"While the Fibre Channel industry experienced slower growth than in previous years, any increase is a show of strength in what was another difficult year for storage products and companies," said James Opfer, research vice president for Gartner's storage research group. "In 2002, the market continued to experience extraordinary market consolidation as the four leading vendors increased their revenue share to 85% of the market total."

Brocade continued to maintain the No. 1 position in Fibre Channel component hardware revenue with its 2002 market share of 34% up from 32% in 2001. Emulex reclaimed the No. 2 position with a 23% revenue increase. QLogic showed the strongest growth in 2002 as its revenue increased 24%.

The worldwide Fibre Channel switching products hardware market revenue reached $847 million in 2002, up 6% from 2001 as the market made a transition to 2 Gbps products. Brocade remained the dominant supplier, accounting for 59% of revenue. McDATA represented 30% of revenue while QLogic remained the No. 3 vendor with 5% of the market Worldwide Fibre Channel HBAs totaled $570 million in 2002, an increase of 1% from 2001. Emulex was the clear leader with 48% of the market, followed by QLogic with 32% market share. Hewlett-Packard, supplying products for internal use, was the No. 3 vendor. ...Gartner profile

Editor's comments:- the SAN market did well to get any revenue increase at all during a year when many analysts were saying that it would be overtaken soon by NAS. Vendors like Spectra Logic have recently demonstrated that for backup applications iSCSI offers nearly the same end to end performance as fibre-channel SAN but at much lower cost. As second generation iSCSI products start appearing on the shores this summer the NAS surf will pick up speed. Fibre-channel will continue to be used, but SAN installations will increasingly be viewed as islands surrounded by a sea of NAS, and it's unlikely that the SAN market will ever again see more than single digit growth.

See also:- SAN, NAS, iSCSI

CopywriterWorld.com Helps You Find Copywriters for Your Next Brochure etc

Editor:- May 7, 2003 - CopywriterWorld.com was established last week as a web site which helps marketers get quotes for specific copywriting projects. They currently have 254 registered writers, waiting to bid on projects. The stated business model is that writers pay the intermediary site 10% for business which they get, and project initiators pay a $5 fee when they select a writer. An extract from their launch press release is below...

Hiring writers who know their stuff is never easy. Many don't know where to start looking. Even then, how do you make a judgement on their quality. And you'll never know if you've been overcharged. Or if they can meet THEIR promises on meeting your deadlines.

Wouldn't it be nice if you could have writers bid for your project? Writers with good track records, experience, and professionalism? That's what people at CopywriterWorld thought so too.

According its founder Victor Voo, "The idea for CopywriterWorld came from our own frustrations when looking for a writer for our corporate website. We took a long hard look at the problem and figured that many others had the same problems as we had. We think it's a win-win situation for everyone... the project owners and the writers."

Here, you will never have to pay more than market rates for crisp, quality writing. It's not surprising to get a dozen bids for your project posting. And you can expect top-notch quality. CopywriterWorld's rating system keeps writers on their toes. None can afford to get a bad rating from a client if they want to be in this for the long term. There are no membership fees, no monthly fees, no posting fees at CopywriterWorld, making it very accessible for small business owners and project managers....CopywriterWorld.com

Making Web Advertisements Work - new article on Alertbox

May 5, 2003 - a new article publsihed today on Alertbox gives practical advice about how to make web advertising work. "Web users are highly goal-driven, and ads that interfere with their goals will be ignored. To succeed, ads must work with the medium, as well as with the user's aims and mindset." ...Useit.com/alertbox

Editor's comments:- for many years, the author of these Alertbox articles, Jakob Nielsen, has been saying that web advertising doesn't work. Then in an April 2003 article he conceded that "new" plain text classified ads probably do work. We've been selling the "new" style of classified ads since 1996 and they work very well for our advertisers. It's nice to see that even web marketing gurus can admit they were wrong.

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Other news on this page

Arun Taneja forms Analyst/Consultancy Group

Is Your Company Below the Visibility Horizon?

Federal IT Security Spending to Reach $6 Billion

Online Sales Soared 48% in 2002, According to Latest Shop.org/Forrester Study

PressReleaseNetwork.com Launches Global PR Agencies Directory

Gartner Says Worldwide Fibre Channel SAN Market Grew 3% in 2002

CopywriterWorld.com Helps You Find Copywriters for Your Next Brochure etc

Making Web Advertisements Work - new article on Alertbox

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When Cheaperbyte's sales manager said "Accelerate your storage sales", he knew just the right way to do it.

Nibble:- No silver bullets for slaying storage demons

W
henever I used to watch the first series of Buffy the Vampire Slayer, I was impressed and intrigued by the impressive array of weapons which the Scoobies used to take out of Giles' armory. Not just sharpened stakes, but axes, knives, crossbows, swords and crucifixes too - an impressive range of symbolic medieval ironmongery. Not so often silver bullets because silver bullets kill werewolves, and these were rarely a problem in Sunnydale.

Yet despite being well stocked with slayer cutlery, and extensive training, sometimes our heroes had to use tactics other than heart staking or decapitation to save the world once more from the armageddon.

I imagine that Giles, who had an extensive library on demons, could be a difficult customer when approached by a wannabe demon weapons sales person. The conversation might go something like this...

"The Demon Slayer 4 is the latest and greatest weapon made by Demon Death Corp. Incorporating the latest technology and feedback from out focus groups it kills all demons and other nasty things at close and medium range. It's clockwork powered, requires no batteries, is portable and can be operated by someone no stronger than a teenage girl. The product is kept continuously up to date by downloading the latest adjustment settings from our web site."

"Give me a demonstration" says Giles. The salesperson from Demon Death Corp complies by dialing up a holographic demon which is quickly despatched into electron dust.

"Tell you what" says Giles, not very convinced. "If you can survive one night on patrol in Sunnydale, armed with nothing more than the Demon Slayer 4, I'll buy three of them."

The salesperson is no fool. The Demon Slayer 4 is much improved compared to the Mark 3 model, but given a choice between losing your commission or losing your soul, it's better to find more gullible customers elsewhere.

And this is where I get back to the storage market...

Nobody is going to offer your organization a cast iron guarantee that they can keep your data available no matter what. And I mean a guarantee which includes reimbursing you for loss of profits and other consequential losses which occur when their product fails to work, even when the storage demon is one which was not specified in the contract. Fire flood, and having a haunted server are not valid getout clauses.

Here are just a few examples of what can go wrong.

Your disk to disk backup system replicates your data in real-time across all your sites... What could go wrong? - Due to a programming error by your storage administrator who was testing a new hardware upgrade the live data and backed up data got deleted by accident. (We're going to run an article soon about what happened to one company when this happened to their Sun server in real life. None of their software or hardware suppliers were able to help them.)

Your web based backup system has been so reliable and convenient in recent years that you decided not to upgrade your tape libraries. Instead the web backup has become your primary form of data protection. What could go wrong? - On Monday morning you need to recover data on a server in one of your factories which was stolen at the weekend. But you keep getting error messages. Eventually you ring the online backup company. Or try too. Later that day after a lot of phone calls and web research you learn that they went bust last week. The press was warning about it, but you never saw those headlines. Their equipment has already been boxed up and bought by a reputable broker who diligently wiped the disks and tapes clean.

Your accounting records are archived according to the latest standards on optical media which is guaranteed to last 30 years and could even last longer. The network attached jukebox is so convenient that you decided to stop paying for the storage and testing of the reel to reel tape backups which the new system replaced... What could go wrong? - A fire in the nearby stationery cupboard spread to your computer room. The servers are being replaced tomorrow, and you've got an offsite daily tape backup for your live data, but your archived optical data is black sticky globules.

Your tape backup, set up by your predecessor works like a dream. Because your company has downsized to less than half the size it used to be, the original system still has plenty of capacity. Every day for the last few years you've been getting reassuring reports which confirm that the backups, have been going OK. Every day you do an incremental backup (which take 45 minutes) which you take home for safe keeping, and every Friday you do a full backup and rotate the tapes to make sure that you always have at least two sets of workable backups. What could go wrong? - The marketing director calls. Your new company catalog got trashed by a virus. Not to worry you've got the backup tape from yesterday. That's when you discover that the backup software parameters were set up long before your company bought the tools and workstations it uses to compile the catalog, and the data has never actually been backed up at all. The only reason you didn't discover this before was because the users were making unofficial backups of their individual work and they didn't bother you if minor things went wrong. Now something major has gone wrong they've contacted you. But you don't have a solution.

The lesson from this story is the following...

Like the Demon Slayer 4, all backup technologies are merely simple tools designed to solve one problem well. Sometimes they can be adapted to solve more than one problem. But when you meet the backup storage demon one dark night on patrol be sure you've got more than just a pointy stick and a clove of garlic in your pocket because you can't be sure that the demon's going to be a vampire.

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