Derrick Rose Injury Delivers Blow To Olympic Hopes For Adidas

http://www.forbes.com/sites/kurtbadenhausen/2012/04/29/derrick-rose-injury-delivers-blow-to-olympic-hopes-for-adidas/

 Every four years the world’s greatest athletes gather to compete in the Summer Olympics. This year’s event in London will feature stars in track and field, soccer, tennis and more. The Olympic competition extends outside the playing arena to the shoe and apparel market where Nike and Adidas compete for their own kind of gold on the backs of the athletes each company endorses. 

The ultimate rock stars of the London Games are expected to be the U.S. men’s basketball team, which will feature Nike athletes LeBron James, Kobe Bryant and Kevin Durant. Adidas was banking on Chicago Bulls point guard Derrick Rose to be its Olympic basketball stud, but a torn ACL in today’s playoff game against the Philadelphia 76ers will shelve Rose for the Olympics. This comes on the heels of another Adidas athlete, Dwight Howard, getting knocked off the U.S. team after back surgery in April. Chauncey Billups, also with Adidas, will miss the Games after tearing his Achilles tendon in February.

The Rose injury is a crippling blow for Adidas. Major sporting events like the Olympics and World Cup are prime opportunities for Nike and Adidas to showcase their talent. The German apparel company made Rose its marquee athlete in February when it signed the 2011 NBA MVP to a 13-year worth $185 million that could net Rose more than $200 million after royalty payments. The deal kicks off with the 2012-13 NBA season.

Adidas badly lags Nike in the U.S. basketball shoe market with only 4.5% of the U.S. market in March. Nike has a stranglehold in the U.S. with 91% of the market including the 58% share of the Jordan brand, which is owned by Nike. Adidas is hoping Rose can be a transcendent athlete for the brand as Michael Jordan was for Nike.

Adidas will have to sell a lot more of Rose’s signature sneaker for the deal to make sense from economic standpoint. Wholesale sales of Rose’s shoe were $25 million in 2011 in the U.S. compared to $40 million for Bryant’s shoe and $90 million for James’ Nike kicks. Everybody is looking up at Jordan though where wholesale sales were $1 billion last year.

Does Rose just represent the basketball shoes or the brand as a whole?  Do you think it was worth the $200 million for them to sign Rose?

In response to Christine Sullivan
If you were a business owner would you look to advertise your business online? What benefits do you see from online advertising?

There are many businesses that have been around for years and years, and get advertised pretty much solely from word of mouth.  The owners have a basic business plan, that just works.  These businesses have been successful for many years, and will be for another many.

Most businesses today though, have a huge need to get their name out.  Billboards can work, TV ads can work, but they all are expensive and it is tough to narrow down the target market.  The internet however is a different story.  People voluntarily give their information about all of their demographics.  This is an advertiser's fairy tale, as they can cater to a very small group of potential customers.  

The next trend is advertising on mobile phones.  There are some discrepancies on how to do it though, as the screens are so small one can't view an ad and text at the same time.  

How do you think this issue will be solved?  When do you expect the mobile phone advertisements to skyrocket?  Or do you believe it has already happened, or there isn't much potential in it?

In Response to Lyndzi
Can you think of a store that has drawn you in because of a pleasant ambient scent? What do you think the target market of that store consists of?


There are many stores that do this.  In a male's point of view, a nice scent still isn't going to get them to buy clothes they don't want or need.  At the same time, if we walk past a food place that smells very appealing we are much more likely to stop in.  Subway pumps the fresh bread smell into the store and outside onto the street to remind potential customers that they bake their own bread in each store and the bread is fresh.  
Another example of this are the waffle cabins that are now located at many ski slopes.  There is a machine that is very similar to a fog machine that pumps a syrup smell that reminds you of a home cooked meal into the air.  
This aroma spreads quite far and makes people realize how hungry they have become since they started skiing. Skiers also have more money so they have more disposable income and are therefore more likely to make an impulse buy which is what these companies try to get the consumer to do with the aromas.  
Do you feel more likely to buy from a retail store that smells different?  Can you walk by a food place that smells good without looking at the menu?

Gannett drops in profilts, rev: Strong TV advertising couldn't offset slump in print

http://www.bloomberg.com/news/2012-04-16/gannett-falls-most-in-2-months-as-profit-falls-25-on-ad-revenue.html

Big broadcaster/publisher Gannett saw profit and revenue slide last quarter as stronger TV advertising couldn't offset a slump on the print side early in the year.

Net income fell 24% to $68 million from $90 million, in part on $20 million in restructuring costs. Revenue eased 2.6% to $1.22 billion from $1.25 billion.

Broadcasting revenue of $176 million rose 7.5% on strong advertising demand, the company said Monday, citing higher auto spending, advertising associated with the Super Bowl, and an increase of $3.8 million in political ad demand. Gannett owns 23 stations covering 18.2% of the U.S. market.

Retransmission revenue rose 17% to $22.8 million. Television station digital revenues grew 6.4%.

Based on current trends, Gannett expects the percentage increase in total television revenues for the current second quarter to be in the high single digits compared to the 2011 period.

Broadcast operating income of $72.6 million, was up 14.4%.

In publishing, Gannett owns 82 daily papers led by flagship USA Today. Revenues fell to $874 million from $929 million reflecting soft advertising demand due in part to the tepid pace of the economic recovery. January was particularly weak and although activity improved in February and March it wasn't enough to overcome the slow start to the year, said CEO Gracia Martore.

Advertising revenues totaled $551.4 million compared to $601.7 million in the first quarter of 2011. Advertising revenues in the U.S. were 8.3% lower in the first quarter. At Newsquest, the company's operations in the UK, advertising revenues declined 6% percent, in local currency.

Digital revenues in the segment rose 12.5%.

According to market reports Gannett has had a few bad years now.  Is TV marketing just not as successful as it used to be?  What will be the next latest and greatest marketing scheme on TV?

NFL to Permit Advertising by Casinos During Next Two Seasons

http://www.usatoday.com/sports/football/nfl/story/2012-04-13/casino-advertising/54251646/1

The National Football League will allow teams to accept advertising from casinos during the next two years.

A memo sent to all 32 teams yesterday said franchises could sell ads in game-day programs, on club-controlled radio and in stadiums. The casinos must be in a team’s market. Under the altered policy, advertisers can’t take bets on any sports other than horse and dog racing.

“We remain steadfast in our opposition to the proliferation of gambling on NFL games,” Brian McCarthy, a spokesman for the NFL, said in an e-mail last night. “There is a distinction between accepting advertising in a limited fashion and gambling on the outcome of our games.”

Other state-licensed gambling establishments will also be able to buy ads, the memo said. Players, coaches and other team and league employees are not allowed to appear in any of the ads or endorse the entities or their products.

Teams are already able to sell ads to horse and dog-racing tracks, municipal lotteries and off-track betting organizations that don’t take wagers on sporting events.

Is this “splitting hairs”?  If gambling is allowed to be advertised should it not be endorsed by the league?

In Response to Rebecca's Post

If this trend continues, what kinds of things will you do in order to cut back on the money you spend weekly on gas? Do you think that people will change their lifestyles to save money?

Gas prices were at record highs around 2005 until 2007.  During this time period automakers realized people's demands are changing.  The trend which used to be SUVs and Minivans, was starting to change.  People wanted smaller more affordable cars that were more fuel efficient.  The auto industry responded in two different and unique approaches.  The foreign manufacturers listened to the wants and needs of the customers.  Toyota created the Prius, Honda created smaller more efficient cars, even the luxury cars such as BMW, added turbos and cut down on the actual size of the engines.  

The American manufacturers on the other hand, tried to push their cars onto the consumers.  This proved to be devastating causing General Motors to declare for bankruptcy, Chrysler nearly went out of business, and Ford nearly going under as well.  After this scare, they responded in a huge way. They created some of the best alternatives out there.  The Chevy Volt is truly revolutionary, and is now a company other competitors are trying to catch up to.  

Although consumers changed some, people still drive by themselves, public transportation budgets are still being cut.  

What is the price of fuel that would really create a change in the "American way"?  Is it $7 a gallon?  $10? $20?  There will be a point in which people will look to carpooling and public transportation again as most other countries in the world do.  Do you see American's having to face that fact in the near future?

In response to Joe's Post-
Do you think Billboard Marketing should be a top choice for marketers to use?

I feel billboards have been gradually declining.  Yes they are a great way to get many people to see certain advertisements, but it is impossible to appeal to a unique crowd.  People of all demographics drive on streets so it isn't like Facebook or other avenues that are able to have more specialized ads to hopefully appeal to the potential customer more.  Many years ago Vermont outlawed billboards, and it is illegal for there to be a billboard in the entire state.  New Hampshire is considering passing a law similar to this as well.  Not only are the billboards a detraction from the state's natural beauty but they are a distraction to drivers driving down the highway as well.

Although billboards are still a very viable option to get your name out, it is quite expensive and may not be the best choice.  As time progresses the alternatives will continue to improve whereas billboards don't have much more they can do.  Hopefully billboards will become a thing of the past, and make our nation's highways look a tad bit nicer.  

Do you agree billboards are "ugly"?  Do you think the pros outweigh the cons?

Marketing Crashes Fenway Park's 100th Birthday Party

http://www.fastcompany.com/1829675/fenway-park-turns-100-has-marketing-trumped-its-charm

For generations of baseball fans, Fenway has been baseball Mecca. You don’t just watch a baseball game there, you experience it, with sights, sounds and smells unlike any other sporting venue. Fenway Park turns 100 on April 20, and if you haven’t heard about it yet, you will. Sports Illustrated and USA Today have published special editions. PBS is airing a National Geographic-produced documentary. A Green Monster-green coffee table book just hit the shelves. An official website chronicles Fenway’s history. And that’s just the start.

The Red Sox marketing machine is cranking out a season’s worth of promos, events, and extravaganzas as part of the “Fenway Park 100” campaign. The Boston Pops have even recorded “Fanfare to Fenway,” a musical tribute as well.

 “Our goal is to differentiate the ballpark from all others in sports. We believe Fenway...is an iconic facility that transcends sports,” Red Sox senior vice president of Marketing and Brand Development Adam Grossman said during a talk to the Ad Club of Boston on March 27.

Do you think Fenway has gone too far?  Are they balancing the amount of money they want to make with advertising correctly?  

In Repsonse to Lyndzi

Do you think companies in a consumer market spend more money on marketing than companies in a business market?

Companies in the consumer market spend their marketing money differently than those in the business market.  

Companies in the consumer market do more advertising.  They run commercials, post signs, try to get people involved on social network sites.  They make huge storefront signs and spend a ton of money trying to get their name out.  

Companies that sell business to business do less of that.  They spend more time doing trade shows to get their name out originally.  Then after that, they have a sales team, that are normally salaried or get a nice commission that are in charge of getting a few businesses to buy from them.  They take them out to lunch, they go golfing, they do a plethora of different activities to try and get that one order that is worth a ton of money.  

Neither method is cheap ad campaigns are extremely expensive, whereas wining and dining with potential clients isn't exactly a cheap date either.  

Both sides need to make sure they are spending their money efficiently and in the best possible manner.  Each side has its own challenges.  

Which part of the business would you like to be in?  Would you prefer to work with many customers or a select few?

Adobe Digital Marketing Suite Tackles Big Data with Predictive Marketing

http://www.marketwatch.com/story/adobe-digital-marketing-suite-tackles-big-data-with-predictive-marketing-2012-03-21

 Adobe announced new predictive marketing capabilities within the Adobe Digital Marketing Suite, reducing the complexity of uncovering hidden behavioral patterns in big data.  These advancements will help marketers more quickly sort through an increasing amount of data to find the most impactful insights as well as leverage vast amounts of historical data to predict future results.  Adobe is putting predictive analytics and more intelligent, forward-looking decision-making into the hands of digital marketers.

More specifically consumers can-

·         Change key metrics in various what-if scenarios to see how those changes will potentially impact business outcomes, such as orders and revenue

·         Forecast campaign results across search, social and display, and develop optimized media mix models, generating higher returns on multi-channel advertising initiatives

·         Identify leading indicators that point to upcoming risks and anomalies and adjust marketing strategies before a problem occurs or to take advantage of an opportunity

·         Identify interactions (leaving a comment, reviewing a product, etc.) with the highest probability to convert

·         Move from testing content to prescribing content based on what the predictive model predicts will be best

This is all able to be accomplished due to the sheer number of servers located worldwide.  There are over 23,500 servers that record over 5 trillion transactions annually and store 27 petabytes of data. 

Do you think this latest development will help adobe stay competitive in the technology sector?  They have recently done a revamp of their entire company’s leadership, do you think it is betteroff than it used to be? 

In response to Danielle
What do you think of brands advertising on campus, through student ambassadors or sponsored activities? Should colleges allow this sort of thing, or should campuses be kept as ad-free as possible?


Currently the strongest advertising we have on campus is Pepsi.  Their name is plastered all over the place, in the DC, and in the student center.  I feel it is fine.  We are exposed to advertising where ever we go.  By the time a person reaches college they should be able to make educated decisions for themselves and not just take advertisements for granted.  
This summer I was looking for an internship.  I actually walked around the science center and read off each on of the signs that said who the room was sponsored by.  I then wrote down those names, as they were all local companies and looked them up.  Any that interested me, I sent an email to them with my resume.  I ended up getting a very exciting internship this summer due to this method.  I am extremely happy the science center had these signs posted.  
It is one of the first times I have really benefited by advertising, and the company that I was hired with also benefited as they were able to fill a void in their corporation.  
Do the advertisements on campus bother you?  Do you think we should add more to get more funding for the school?

Apple to start quarterly dividend, buybacks

Apple to start quarterly dividend, buybacks

For the past decade, Apple has been one of the top producing stocks.  They aren’t the most innovative company, they aren’t using the most cutting edge technology.  Rather they are taking technology, improving it, and bundling it in a very user friendly package.  This method has made people of all technological abilities grow to appreciate Apple.  They have done such a nice job with it, that they have created almost a cult.  This cult they have created does much of the marketing for the company for free just by word of mouth.  Whenever a new product or version comes out, these people are the first to buy it, before considering whether or not they actually need it.  As a result of this, Apple’s stock has constantly improved.  They follow the trend, that most tech stocks don’t pay a dividend.  This is because they claim they want to invest their funds back into research and development. 

They now have almost 100 Billion in cash and investors want them to do something with that money. Apple will use a small portion of their huge amount of cash in order to buy back some employee stock, to make the rest of the stock more valuable.  They are also going to create a quarterly dividend in which they will pay back to all of their common stock holders. 

Some investors are wondering if this will inhibit their ability to stay as innovative as they have been. 

Should Apple pay a dividend?  What should it be?  Should it have the expectation to increase every year as it does with numerous other companies?  If they have a bad year should they still have to pay a dividend?  

In response to Chris Morin
If you were a hardware store owner would you stock heavily before winter started? Or any season or wait for that season to start before you order huge inventories?

As a small (Or large) business owner sales forecasting is one of the hardest challenges.  Inventory is a hassle, it costs money, takes up space, and doesn't look good on the financial statements.  That being said, when a company orders an extremely large amount of product, they are able to get a better deal than if they only ordered a little bit.  Also the earlier in the season the less demand there will be, therefore it will be cheaper.  

As a business owner, I would consider what the product is, and how much it changes year to year.  In Chris's example snow shovels haven't changed very much year to year.

As a result I would buy a bunch of shovels very early in the season.  If I couldn't sell all of them, I would be able to store them for the next year.  Although it is expensive to store them I could still make money off them next year.  

Many businesses have been accused of raising prices of shovels during snowstorms.  This creates an ethical dilemma.  Although the supply and demand curves warrant the higher prices, should it be allowed?  

Advertising Ethics

Coke and Pepsi'sRecipe Changes Are About Marketing, Not Cancer

Coke and Pepsi are both in the process of changing their soft drinks.  This is all due the possible cancer link in the caramel coloring that they put in their soda.  There has been research shown on mice that 4-methylimidazole has been known to cause cancer.  This has not been proved on humans, and quite frankly if it wasn’t for the state of California we probably wouldn’t have ever heard anything about it.  California has added 4-methylimidazole to their list of carcinogens, or cancer causing items.   As a result all Coke and Pepsi products that are brown in color would have to have a cancer warning label on it to be sold in the State of California. 

Although the American Beverage Association (ABA) stated they can’t find a link between the dye and cancer both Coca-Cola and Pepsi are removing it from their products.  They both claim it isn’t because of the potential of causing cancer, but rather the marketing headache it would wreak if they had to put a cancer warning on something consumers drink.  Remembering back to Coca-Cola’s extremely failed new coke taste last century both companies are promising there won’t be any change in the taste.

California is making these companies change their product because ti could be unhealthy.  Is it the companies responsibility to be proactive and change their product before there is a huge issue?  What would the damage be financially and psychologically to the companies if their products were proven to help cause cancer?  If it isn’t just an ethical responsibility to change, maybe it is in their best interest financially to try to make their product healthy for the consumers, to avoid issues in the long run.

Restaurant Commercial Breakthrough

Phoenix MarketingInternational Introduces a 24-Hour Advertising Testing Service for Restaurants

Founded in 1999 Phoenix Marketing International is one of the fastest growing marketing research firms in the U.S.  As with all companies they are constantly working to improve their products, and this week, they came through with one of the biggest breakthroughs.  Phoenix Marketing International has created a new product called the AdPi or the Advertising Performance Indicator express scorecard.  This  takes the common knowledge that the faster a company can get their product to production the better. 

The AdPi that Phoenix Marketing has produced is a twenty four hour testing service for restaurant ads.  With this service restaurants can test their ads, or their competitors ads at any time of the day against thousands of people across the entire nation.  This is a breakthrough concept as it used to take days, weeks, and sometimes even month of testing and gathering consumer reviews before they could air an advertisement.  Now the Phoenix Marketing has created this network of individuals that can quickly test the ads, and make sure they are getting their point across and aren’t offensive, it not only saves time but money as well.  This service is available for only $9500 which is much less than it would be if each company had to go out and survey people from across the country. 

There are concerns about how reliable the people in the network are.  All of them are in it for the money, how can we be sure they aren’t just trying to get it over with as quickly as possible?  A new idea like this is always extremely risky, companies spend millions of dollars a year on marketing, and even more if they have to fix their image.  If you were in charge of one of these massive companies, would you risk your company image for the savings this service provides?

John Smith

In Response to Professor Johnson 
Regarding Smith

In tough economic times people at least consider options they wouldn’t normally even dream of, in order to try to preserve what they have.  It is extremely easy for outsiders to sit back and say somebody shouldn’t do something in order to preserve their way of life.  Especially as an American male, there is a lot of pressure for them to be able to bring home the paycheck week in and week out.  That being said, how would you like it if you had your information sold to an advertising company? 

Most of the time this would be illegal anyways as the TOS would clearly state that the participants can’t give or sell their responses or information to anybody other than what was stated.  Even if it wasn’t illegal it was just morally wrong.  This violates the AMA’s three principles and possibly even worse, it ruins the chance of later, legitimate researchers to be able to get information out of these people.

This response seems pretty cut and dry, not many people would say that innocent people should have their information sold, just for the benefit of a select few.  When privacy becomes a potential security threat is another matter.  The TSA in airlines fights this issue every single day.  People want to be safe, but yet don’t want to have to give up any of their rights. 

Where should they draw the line?  If your name is on the no fly list because you are related to somebody should that be disclosed?  Should the TSA be allowed to rifle through all of your personal belongings?  Should they be able to scan your body and put up an exact proportional replica of it on the screen for all of the agents to see?  

In response to Christine
Do you think Comcast will be able to compete against Netflix who already has a solid base of customers?
Is their simple marketing strategy of making their product cost less than Netflix enough to make them successful?

After my recent post about Amazon and Viacom making a deal I couldn't help but post about yet another competitor of Netflix.  Now not one, but two already formidable companies in the technology sector are jumping on board what used to be pretty much a one man show of streaming movies and TV shows.  Hulu is another company that is gaining a large market value in this area as well.  

From a consumer point of view, this can only mean good things.  All of these businesses are completely legitimate and have no legal ramifications to the end user.  Due to the increased competition in order to compete these companies will either A need to have a better price than the others, or B have a better, easier to use, and larger selection than the competitors.  Hulu and Amazon are trying to do a combination of the two.  They are both offering free selections as well as some that are paid.  Comcast is trying to offer the cheapest option while still offering a huge variety.  As of this point, Netflix still has the largest selection as well as the largest consumer base, which unless there is a clearly better alternative will most likely leave what they already have.  

Can you think of any other players that may want to get involved in this still relatively new market?  How will cell phone providers handle this influx of competition?  

Linsanity

Lin's marketing potential

As an avid viewer of sports, and particularly Sports Center, this new guy Jeremy Lin’s name has been mentioned more than just a few times.  A recent Harvard graduate, who was cut from two NBA teams before getting a job as a reserve player on the Knicks has seen his career go in a direction that he couldn’t have imagined in his wildest dreams.  He was so strapped for cash; he was sleeping on his brother’s couch in his apartment in New York City.  He went from a nobody to the talk of the country in three short games.  Creating a spark for a team that seemed to be headed anywhere but in the direction of the playoffs, Jeremy Lin has lead the Knicks to some huge wins against some big teams, including his buzzer beater, three point shot as well as taking down Kobe Bryant and his always formidable Lakers.

Not only has he been a dream come true for sports fans, but marketers are gawking at the opportunities this guy presents as well.  He is the fourth Asian American to play in the NBA, one of the first that can tap into the huge potential of a market in Asia.  Not only is he a huge opportunity for American companies to relate to Asia, but he is also the epitomy of the American dream.  He is a hard worker, underdog and over achiever, something that is exactly what everybody wants to cheer for. 

Ronn Torossian CEO and President of 5W Public Relations claims Lin has more potential than Tiger Woods pre-scandal and even more than Michael Jordan.  Jeremy Lin has sparked interest that the NBA hasn’t had since the lockout and has better ratings than ever.  The only way he will be able to live up to his potential is for him to keep putting up huge numbers. 

Do you think Jeremy Lin will be able to keep his incredible run going or will he join the plethora of other burnouts who seemed to squander their potential?  Most people are rooting for him, from an economical as well as a personal point of view, but let’s see if he can “put out” like we are all beginning to expect him to for the long run. 

In response to Maggie’s post...Do you think our generations and younger generations rely too much on technology?

Times are changing.  In many ways we do rely too much on technology.  For example, many people can't navigate streets they drive nearly every day without a GPS.  This seems like a minor ordeal, but it is a major difficulty.  It is taking the responsibility away from the humans.  Something that is nice sometimes, but we need to still be able to step up to the plate.  There are times when humans shouldn't have to rely on anything else, also if there is ever a technological failure humans need to be able to take things into their own hands, take responsibility solve the issue.  

Technology has also changed us socially.  In college, kids are able to spend more time in their room as they have internet, tv and pretty much anything else they will ever need.  This allows people to be less social, meet less people, and make less connections for the real world.  When one walks down Appian Way, most of the kids are either listening to music or on their cell phone.  I am a victim of this as well.  People aren't enjoying the outdoors and nature for what it is.  Sometimes it is good for people to unplug from everything and just experience the day.  

Technology has been a huge help for me as well.  I have friends all over the world, and as a result of Facebook, I don't need to keep track of their ever changing addresses, phone numbers, and email addresses.  I can communicate with them whenever I please, share pictures and videos as if I was sitting next to them.  

Facebook has its positives and drawbacks, do you think it has been more of a benefit to you or hindrance?

Amazon and Viacom make a deal

Amazon Inks Mega Dealwith Viacom for Instant Streaming Bonanza

The media giant Viacom has partnered up with the internet conglomerate giant Amazon once again.  This time in regards to Amazon’s new streaming service, Amazon Prime.  Viacom and Amazon agreed on a pact that will allow Amazon to stream two thousand additional titles to their collection, from TV stations such as MTV, Nickelodeon, Comedy Central, TV Land, to VH1 and HBO.  This will put their total number of streamable items up to 15,000. 

This is clearly a way to compete against Netflix.  Although Netflix had some problems this year, they tried to split into two separate companies, the streaming part, and the physical dvd section of it as well.  They also struggled with changing up the billing scheme and almost went out of business in the three days they had the new structure enacted.  They have since reverted to their traditional ways that have made them the industry leader in their field. 

Netflix has just surpassed P2P as the highest useage of bandwith in the US.  Amazon has since seen the potential in this market and has been working tirelessly on trying to make their product compete with Netflix.  At $79 a year amazon’s prime is much cheaper than Netflix. 

Due to Netflix’s recent marketing issues, and maybe not being able to relate to the customer as they once did, would you consider putting your money in an alternative such as Amazon’s prime feature?  What margin for error does the customer relations department in Netflix do you think they have?  

In Response to Rachel

But if you look really close and you pause the video, you’ll read that the phone is only free with a purchase of a 2-year contract. Is this false advertising or just really good marketing? Because technically the actual phone will be free on that day but you have to pay at least $100 for the two year agreement.

As an American this is quite frustrating.  Many Americans have signed the dreaded two year contracts that pretty much require us to stay with that company for two years, or pay a huge early cancellation fee.  I for one was not a big fan of it as it doesn't seem fair that one has to commit to something for two years.

During the fall semester I had the opportunity of studying abroad in New Zealand.  When I was over there I realized that none of the Kiwi's or locals had nice phones.  When I asked them about it their response was simple, they didn't want to have to "sign their life away" to a two year commitment.  As a result they would have to pay the full value of their phones, and then they could pay per month with any carrier they desired.

It is a different way of looking at it, we as Americans are seemingly more willing to sacrifice time and a commitment just to have a nicer phone, while the Kiwis wanted to have their freedom.

Many Americans are unaware of the possibility of paying month to month.  They are also less willing to pay more up front even if it would save them in the long run.

As a consumer would you prefer to do it the "American way" or more of the "Kiwi way"?  I know I for one will be considering my options when my two year commitment ends this July.

Super Bowl Ad Reaction

Super Bowl ad fiasco sign of seriously divided nation

On February 5^th the event that gets the highest TV ratings every year is watched by more than just football fans.  Over the years the Super Bowl has evolved into more than just the biggest game of the largest professional sports league in the U.S.  Companies have realized how high the ratings are, and have been willing to spend millions on a thirty second spot to get their name out.  Many of the commercials are designed to be funny, while still getting the potential customers to remember the brand name.  As the quality of the game isn’t always that great, especially if you have been a New England fan in the past few years, the commercials can always be counted on to be memorable.

This year was no exception, the game was a nail biter and came down to the last play, but was still mighty depressing for the Patriots fans.  The commercials on the other hand, were fair. There weren’t any stand out extremely funny but there was one that was extremely memorable.  Just before the second half began Chrysler stepped up to the plate big time.  They put on a commercial starring Clint Eastwood.  This commercial talked about how the American auto industry was on the rebound, Detroit was becoming a boom town again, and “Yeah. It's halftime, America. And our second half is about to begin.”  I personally took it as the second half of the game was about to begin as well as Detroit was only just beginning in their quest of world dominance in the auto industry again. 

When I was reading the news the next day, I learned that many people took it as a political ad.  People argued that it was an ad for Obama, and that he was just beginning improvement for America, something that with “another half” he could accomplish much more.  Karl Rove as well as Rush Limbaugh took it as “offensive”. 

Do you think the ad was an ad for Obama or just for Detroit as well as for America as a whole?  If it was an ad for Obama, should large corporations be able to endorse a candidate like that?  

In Response to Lyndzi's Blog
Do you think Facebook is a good form of marketing for certain businesses?


Many companies don't use Facebook to its potential.  It is nearly free advertising on a site, that over 60% of the users check at least once a month.  With many of those being daily or visiting Facebook multiple times each day.  


As Facebook is a social network, it is used by many as a casual means of communication.  Many people use Facebook as a method to "unwind" or ease stress.  This needs to be taken into consideration when businesses are advertising on the site.  The posts need to be casual enough for viewers to want to read them, or watch the videos, but not so casual that companies lose their reputation as a professional company.  


There are many companies that it may make sense to not have a Facebook as their products or services are too professional for them to say things casually.  Some examples of this may be, lawyers, engineering facilities, and even hospitals have to advertise.  


Facebook has a lot of marketing potential for many businesses, but they need to use some caution before creating a Facebook marketing campaign to see if they are actually going to help their company's image at the time.  


If you were a company, would you prefer to advertise on linked in which is a more professional site or Facebook?  

Facebook IPO

Facebook IPO FilingReveals Its Stunning Size: A Private Jet, $1 Billion In Profits, And More

Facebook is one of the greatest success stories of somebody pursuing the American dream.  Mark Zuckerberg had an idea, one that he thought was good enough to drop out of one of the most respected universities in the world to pursue.  Facebook has since grown from a small start-up tech company that was struggling to raise funds, and operated out of a rental house in California to a tech giant that has over 800 million users worldwide and a net worth of $75 to 100 billion dollars.   Zuckerberg is the youngest person to ever become a billionaire, and is one of the most high profile CEOs of any company in the world. 

On January 28, 2012 Facebook confirmed the rumors that they would be going public by filing a S-1 with the SEC.  This means they are going to have an IPO in order to raise money for the company.  From a marketing standpoint Facebook is an advertisers dream.  Potential customers openly provide age, gender, location, interest, and a plethora of other information to Facebook.  They in turn use this information to create ads that are able to reach exact target groups.  No longer are the days when companies have to worry about who watches what television when, or what groups read each section of the news paper.  When a customer signs on to Facebook, they tell Facebook they are online as well as all of their demographic information.  As time goes on Facebook will further be able to perfect their art of advertising in order to hit even more distinct target groups which will only increase the value of Mark’s company. 

While this seems a win-win for everybody, facebok gets advertising money, and the users get to be able to connect with their friends in a way they haven’t ever done before, it creates a huge privacy issue.  Currently Facebook manages the ads, if Facebook does en d up going public, there is a chance Facebook will start selling the information to ad companies, as they are better at handling target audiences.

Would you read the new privacy policy to see if that is the case?  Should Facebook do this?  If not how can they raise the money needed to keep their company profitable?

In Response to Georgianne L

Is it necessary to craft your resume for each job you apply for, highlighting specific areas instead of others, or will just one resume be sufficient for all the jobs you apply for?

This is an interesting question and when I first thought about it, I figured that of course you would, but when I spent more time developing my response I realized its a little more complex than that.  

First of all it is in good practice to make changes to your resume in order to make it appeal to the specific employer more.  The question is, how much?  

The point of a resume is to show what type of person you are.  Many times we try to make it do more than that, and show how we will fit in to the company.  That is fine as long as it is honest.  Many times people change their resume so much for each company, although it may be truthful it may not be highlighting the characteristics that are most prevalent in the potential employee.  This may seem to be okay for the applicant at the job, but in the long run it just creates headaches for everybody.  

The employers realize they didn't get the same person they hired, and the employee realizes they are being expected to be somebody they aren't.

Sculpting your resume for each particular job is a good idea, just don't change it so much it makes you come across as a completely different person. 

Three P's of Marketing

Post your ideas to the following:   Think of yourself as a "product".  Describe the other 3 P's of the marketing mix -- that is, how will you market yourself to a potential employer. 

Although the unemployment rate has been consistently falling throughout the past few months it is not easier for people to get new jobs.  The average time people are out of work is still above 40 weeks, which is over twice the average of about 15 weeks.  These tough times makes people need to themselves look even more marketable than ever before.
I have been working hard to create relationships with some of my professors, to create connections in the real world.  I also have a resume that can be modified to fit the job I am applying for.  I have many references and a lot of work experience that I can call back on to help me move forward in a positive manner.
Where college kids lack in promotion, we more than make up in our price and place of the four P's.
I as are all college kids, am will to work for less compensation than a person who has been on the workforce for years is willing to.  I am also willing to put in more hours to cement my presence in the workforce as somebody who is hard working, and will be there for years to come.
The last advantage I have, is I am willing to move anywhere.  This is a trait that many people with families are either unwilling or unable to do.  At some point I hope I won't have to constantly move around, but I haven't earned that right yet.
Do you think college students are at an advantage or disadvantage over the other unemployed "established workers" who have been on the force for years?

Differences Between Marketing, Propaganda, and Advertising

Marketing, propaganda, and advertising are similar in many ways, but yet they also differ in ways as well.
They are all similar as they are all trying to introduce a view, or idea on to the person or group of people they are reaching out to.  They are all distributed through similar methods, either the media, internet, or word of mouth.
Marketing is more of an idea and propaganda and advertising sub categories of it.
Propaganda is put on by the government and is normally trying to change somebody from the ground up.  It deals with morals of a person rather than trying to convince somebody to buy or try a product.  Many times propaganda is used in a negative manner, but I believe it could also be used to try to make the world a better place as well.
Advertising is performed by companies, and sometimes government.  The difference between advertising and propaganda is, advertising is only really touching on mental issues and not dealing with or trying to change the way somebody thinks about life as a whole, just about one particular issue.