Vintage Filings Business Blog

By Benjamin Blascoe

We are all aware of unemployment’s cold, dark hand lingering about the television, newspapers and web. It is a debacle that America wasn’t really ready for and aren’t really equipped to resolve.

But  like a phoenix rising out of blood sodden ashes, America’s troubles are also fostering entrepreneurs out of just about anybody with an idea. From a cupcake wheeler-dealer in New York City to an ex-clothing designer turned bicycle-bag aficionado, there are new businesses everyday in these turbulent times.

However, here are a few pointers from Vintage Filings for entrepreneurs. While it may be a good time to start a new business, not all industries are booming.

Taken from an article in Yahoo Small Business

By Kelly K. Spors and Kevin Salwen

Troublesome Businesses

1. Food Service Industry
   1. Restaurants are a very fickle business to run. The profit/loss margin is so fragile, a few too many teenage emplyees’ friends free sodas could make-or-break your monthly earnings. Roughly 65% of restaurants close within the first three years…
2. Sales – Direct Sales/Cold Calling
   1. A one-time limitless bounty of earnings is now reduced to nothing. While cold-calls and other direct sales platforms sometimes work – NO BODY is buying right now. Sorry Avon lady…
3. Online Retail
   1. While it is one of the easiest ways to earn money for yourself, online retail has been surpassed by retailers who hopped on the trend and proves rather difficult to get your information in front of these huge companies. i.e. Zappos, ebay, Overstock…
4. High End Retail
   1. Fortunately or not, it is hip to be ‘cheap’. High-end retail is on its way out, until that economic rainbow comes back for round two.
5. Traffic-based Web sites
   1. Sites rooted in advertising have to worry about how many people see their web site everyday because the amount of people who visit equals the amount of advertising.

Just a few words of advice from Vintage Filings….

If you are planning on starting a new business, these seem to be the cheapest around and they have 24/7 Customer Service. Vcorp Services

By Benjamin Blascoe

I think we were all pretty mesmerized by the movie Minority Report’s depiction of ‘space-age’ computer software – watching the actors move documents by touching the screen and sliding as opposed to an external tool like a mouse and keyboard. Then a few years later, lo-and-behold, the tech gurus of our time made it happen with touch software. Apple hit it big with the iPod and iPhone marketing campaigns and ever since, they have had a seemingly firm grasp on the ‘touch’ realm of technology (although HP and Dell have also developed).

But now that touch software is everywhere we look via our personal devices like phones, mp3 players and now computers, what is next?

According to an article in BusinessWeek by Olga Kharif, tablets are the next step. Basically, a tablet will act much like a laptop computer except with much more versatility and portability. It is the ultimate in personal computing. A one-unit extremely portable device that can do everything but make phone calls – for now…

In the article Kharif says, “There’s no hotter topic [than tablets] in Asia right now,” says Richard Doherty, a director at market researcher Envisioneering Group, who says Apple has developed prototypes of two different tablet machines—one that resembles a large-sized iPod and boasts a 6-inch screen, and another that features a larger display.” Forget the billboards with childish games for the iPod Touch, Apple is going to launch a laptop that looks, acts and thinks with the touch software!

This is going to be larger than Tickle me Elmo!

But Apple is not the only company planning to launch a tablet. Nokia, the world largest manufacturer of cellular telephones is planning to drop a tablet, as well as TechCrunch.

I know what most of you are thinking… Tablets? Those are not new…

History does repeat itself and the tablet is no exception. Microsoft as well as some other tech aficionados have all put out tablets in the past only to be pulled from the shelves. However, never before in history has anyone been as synonymous with style, luxury and comfort as Apple and henceforth, their debut of the tablet will streamline other companies to follow suit.  Kharif says “The addition of new players such as Apple, however, could help make these machines as popular as netbooks, the small and inexpensive laptop computers whose sales are expected to almost double this year, despite the recession.”

As for the price, I am sure we will have to wait and see what the market deems worthy. Assumptions say anywhere from $700 to $2000. But as a business tool, these devices are priceless. Given that Apps for Blackberry and the iPhone are starting to cater to the business realm and that the tablet will be able to use these, the tablet will act much like a portable office giving the user access to anything and everything one could ever need. Apple still has a stranglehold on the creative realm while others tend to lean towards business however, the inception of the tablet could change things… once and for all.

I am excited to see how other companies such as Dell, HP, Compaq and Microsoft respond. What do you think, will the tablet revolutionize or flop? Join the discussion…

By Benjamin Blascoe

I don’t think there is a more iconic American meal than a burger. It calls to all walks of life ranging from the classic American Beef burger to buffalo burgers, tuna burgers, edamame burgers, vegetable burgers, vegan burgers or pretty much any other substance one can mold into a ball. And for that particular reason, the burger has existed in the hearts and minds of Americans since its debated inception in the 19^th century.

So what better icon for the food service industry to bank on than the burger. And all over the United States, restaurant owners and chefs are stepping their burgers up a notch – creating heated rivalries and very lucrative viral marketing plans.

A few days back, I was ironically eating a delicious cheeseburger and reading an article in the LA Weekly titled Burger Wars in LA. It all started with Chef Eric Greenspan of The Foundry literally hammering a challenge on the door of Father’s Office – the undisputed best burger in Los Angeles. Greenspan issued a challenge, burger-against-burger, and the buzz has been crazy ever since. Although the battle does not have a set date, Greenspan is in a battle every night with hungry Angelinos trying to get a crack at the burger that could take down an empire.

Although he didn’t mean for this to happen, what Greenspan did was create a wonderful viral marketing ploy for his restaurant. Using the iconic staple of American gluttony, he did what every marketer in the entire world tries to achieve – enough underground buzz that word-of-mouth drives business through the roof. Accidental, yes, but also genius.

And Greenspan is not the only one trying to coral this recent downturn in the Food Service industry…

BusinessWeek.com also recently posted an article about the revolution of the hamburger. Highlighting last season’s Top Chef finalist and chef-owner of Flip in Atlanta, Richard Blais, this article shows how Blais used the American staple to essentially launch a burger rampage throughout the south. By offering a great burger at a small price, he has been able to entertain people and wallets during these times of recession.

Even celebrity-chef Bobby Flay of the Food Network is launching a chain of burger-restaurants!

So what does this mean for hamburgers? Basically nothing, besides the fact that they are delicious. But on a marketing note, the way these chefs are using such a classic staple of American cuisine – reformatted for the times – is definitely a case study for marketing geniuses to consider. I do not believe that Greenspan or Flay are sitting in a board room discussing the potential of the burger, but what I do think is that they thought long and hard about keeping culture and American cuisine in the forefront, despite economic shortcomings.

From a business perspective, marketers need to consider the priorities of their clients and then fuel and model their various campaigns that way. These chefs are taking something that they know will sell and making it eligible for every socio-economic class and cultural flavoring. From the business end, we need to consider not only continuing old business but also driving new business. So the burger, with its heritage rooted in us all has the ability to be reformatted in new and exciting ways. And as history has proven, so does business.

What are you doing that is new and exciting? How is your company grappling the times? What’s your burger?

By Benjamin Blascoe

Today CNN.com posted the 2009 list of the top 100 fastest growing companies in the world. In the past many greats have made the list, typically including a vast array of different markets and products reflecting the trends of the consumer-manufacturer relationship. However, this year list seems to be a bit homogenous in the top quarter and offers some new and interesting statistics for companies –most of which are not American companies.

Some of the results are not surprising as technology companies grace the top 5. In today’s world almost everything is centered on technology – from the “chip” manufacturer to the service provider. However, what is unique about this year’s list is the types of technology. For example, cellular designer and wireless communications company Research in Motion (RIM) is considered the fastest growing company in the world. Not surprising either considering that their product the Blackberry Curve is one of the top grossing products of this year. However, these findings are strange because you would think that the designer would easily be trumped by the manufacturer but the numbers prove differently. RIM also boast countless other products, each one of them being some how related to different popular wireless service mechanisms.

Also gracing the list are copious amounts of Chinese internet and online-gaming companies. Such companies as Sohu.com, which own a popular search engine and Changyou gaming site, is indispensable to the daily life of millions of Chinese, providing a network of web properties and community based/web 2.0 products which offer a broad array of choices regarding information, entertainment and communication. As China’s economy continues to boom, this company and many others are only expected to rise. Another Chinese cash-cow is Shanda Interactive Entertainment. Since its launch in 1999, Shanda Interactive Entertainment reportedly has 460 million registered accounts.

Strangely enough, there are also two Fertilizer companies gracing the top 10. As natural gas prices drop, so did the production cost for making nitrogen fertilizers. Two companies in particular cashed in on this fortunate price reduction and have grown their company exponentially. CF Industries Holdings and Potash Corporation of Saskatchewan, both yield roughly 40% growth since last year. Even though these companies are utilizing a different niche in the market, it is still a bit surprising to see energy companies gracing the top 10 in this day and age.

I recommend reviewing the top 100 and joining the discussion! How do you feel the market is changing?

By Benjamin Blascoe

Adult reading is down – way down. While there are still copious amounts of adults nestled in their favorite chairs cozying up with a good book, the overall population does not read at the level they once enjoyed. And this startling statistic is very evident to companies like Barnes & Nobles or other major retailers. However, even though readership is down in the elder population there is one guaranteed source of income for booksellers – college book stores.

I remember watching all my summer savings get neatly divided in half as I unwillingly would purchase $400 to $600 in books every semester on top of tuition. It all seemed fine considering I wouldn’t be able to pass courses without them but it did feel a bit like a monopoly.

And that is why Barnes & Nobles has finally merged its two book-glomerates into on undeniable bookselling machine. Barnes & Nobles and Barnes & Nobles College Booksellers have finally merged into one for the first time since 1984.

But here is the catch….

Barnes & Nobles Chairmen Leonard Riggio is the one selling Barnes & Nobles College Booksellers to Barnes & Nobles. When the company split, Riggio still had the rights to use the name, advertising rights and be publicly traded with Barnes & Nobles without actually being a public company. But now that the Fortune 500 Company has finally re-merged and should lead to some nice profit wields in the next quarter considering college is rising day-by-day. While it seems like a devastatingly excruciating conflict of interest, it is finally amending this cumbersome relationship that has been going on for 20+ years.

So we may see some interesting things at our local-chain Barnes & Nobles in the following months – potentially an influx of college literature and scientific texts. As a recent college graduate, I think this is a good move for Barnes & Nobles. Even though I have an issue with conglomerates and monopolies, this company is far from it and it will be nice to have access to a college bookstore anywhere in the country (where there is a B & N).

What are your thoughts? Was this a greedy maneuver for one man’s legacy or a move for simplicity? Or both….

Follow the discussion on twitter

@Vintageben

@VintageAlli

@VintageJaz

@VintageJonny

Is your company in the travel industry?  If so, you will be pleased to hear that the global travel industry is showing signs of tremendous growth despite the International credit crisis.  The National Business Travel Association (NBTA) and Egencia have released a sample of findings from a landmark study that quantifies global business travel spend and projects business travel growth through 2013. Evaluating 72 countries, the study shows that business travel growth patterns vary dramatically across the globe with North America advancing at an average rate of just over 2 percent per year for the last decade, Western Europe growing 4.6 percent annually and Asia Pacific advancing by 7.2 percent annually over the same period. Emerging Europe and the Middle East/Africa region advanced annually by 12.4 percent and 7.7 percent, respectively, from 1998 to 2008.

Kevin Maguire, CCTE, GLP, NBTA President & CEO, said, “This study is the most comprehensive look at the global business travel industry available today. Corporations can leverage this insight to guide their travel programs and preferred supplier market strategies across the globe for many years to come. We look forward to making the full report available in the coming weeks.”

The study predicts that growth of business travel in China and Japan will exceed U.S. growth over the next five years. In addition, developing nations, like India, Vietnam, Iran and Indonesia will experience significant compound annual growth rates over the same timeframe.

“Developing countries are proving to be fertile business-travel areas,” said Rob Greyber, president of Egencia. “Over the next five years, we’ll see countries like India and China grow at rates of 5.3 and 6.5 percent respectively, versus the U.S. projected growth rate of 0.3 percent.”

Global Business Travel Market & Outlook

The study finds that the North America, Western Europe and Asia Pacific regions each represent about 30 percent of the global business travel market (90 percent combined), estimated to total $929 billion in 2008. This figure includes both domestic and outbound international travel. The remaining 10 percent of global activity takes place in Latin America, Emerging Europe and the Middle East and Africa. The United States represents the largest piece of global business travel spend with $261 billion or 28 percent of the world total, followed by China at 10 percent and Japan at 8 percent.

“This study shows that business travel spend has increased by more than 35 percent since 1998, making it an impactful industry in the global economy,” said Kenneth McGill, NBTA Research Consultant and lead analyst on the IHS Global Insight report. “Most of this growth has been due to an expanding global economy and the rising dispersion of business travel activity around the world.”

Despite the United States’ position as the global leader in business travel spend, Asia Pacific is poised for substantial growth over the next five years, while U.S. growth is expected to stagnate. China’s spend, at $93.8 billion in 2008, has tripled over the past 10 years and is expected to lead market growth between 2008 and 2013, followed by Japan and South Korea. Measured in terms of the dollar increase in business travel spending, the United States is expected to be fourth in terms of growth, just behind India.

Business Travel by Industry Sector

The study examines the highest growth industries for business travel globally, of which the top five include utilities, food processing and services, real estate, social and personal services, and professional and business services. Over the next five years, sectors that directly benefit from both infrastructure development (utilities, government and communications) and economic stimulus packages (education, construction and real estate) will experience the most significant growth in business travel spend.

The research shows that, globally, businesses spend an average of about 1.1 cents of every sales dollar on business travel, though it varies widely by industry. In the equipment and leasing sector, for example, the measure of travel intensity is more than three times higher at 3.7 cents per dollar, while in the mining sector, business travel measures only fractions of a cent per dollar of revenue.

Reflecting the global recession, nearly every industry foresees a decline in business travel outlays in 2009 from 2008 levels, led by steep drops in the transportation services, paper and paper products, construction, chemicals, communication equipment, and rubber and plastic manufacturing sectors. The only anticipated uptick in spending is expected in education with a 2.2 percent projected rise. However, there has been a downward trend in the amount of travel spending businesses require to support their sale and operational activities, which is a clear indication of the rising productivity of business travel.

“The increase in productivity highlights several major shifts within our industry,” said Greyber. “Stronger travel management and greater efficiency when traveling have both contributed to this change, essentially driving down business travel spend per revenue dollar. This development should be a key consideration in program planning, in addition to overall macroeconomic changes and sector trends.”

By Benjamin Blascoe

I was in San Francisco this past Wednesday at a social media conference put on by Dealmaker Media. The conference was dubbed Strategy Series: Mobile Apps and Twitter, Killer Channels or Just Time Killers – and with good reason. As more and more social media tools become active in digital land, there are more and more distractions. But only if you allow yourself to be distracted….

One of the main talking points of this conference was considering these ‘distractions’ to be beneficial. Social media is like a sporting event where everyone plays, so everything people say, blog, tweet, update, etc. all has a purpose or condition. So why not join the conversation and actively listen, respond and become involved in the various streams that suit your purpose. This way, social media moves away from information and becomes conversation.

Social media has the revolutionary ability to level the playing field – give ‘Joe the Plummer’ as much credibility as a CNN reporter. In the past, the news and information have always been handed down but social media is the first tool that the audience essentially writes for itself. And for that particular reason it is changing the game.

At the conference, Robert Gelick, VP of CBS Mobile, alluded to the fact that he often listens to what people are saying about his competitors as well as his own company. From the ‘life guard chair’ approach Gelick and his team are truly able to best assess the climate around their community using comments made on blogs, tweets and discussions on their various forums.

You may have heard about how Comcast has literally revolutionized their customer service through this methodology…

Even Richard Jalichandra, President and CEO of Technorati, agrees in full. He spoke of the countless individuals who use social media to strictly advertise and promote to the fullest – which in the end only gets them ignored.

And that is what makes social media extremely exciting, because it is changing the game on multiple levels. Although the days of big-billboard advertising are still alive and well, social media has created an environment where flash, smoke and mirrors are not effective. People want to be able to touch the people that affect their lives so being one tweet away from @shaizstern or @richardbranson is a good feeling.

How does your company use social media? How do you use it personally?

Following up on our online networking series of blog posts, I thought this Friday I would share ten practical tips for successful networking.  With the current economic challenges, professionals are taking advantage of this low-cost ways such as networking to build new relationships that can lead to business opportunities.

Business networking’s purpose is to build solid relationships, “which is more than just an exchange of handshakes at events,” according to Jania Bailey, President and COO of FranNet. “The best business relationships are when everyone can exchange ideas, information and support, and possibly allow everyone to learn a new skill.” Here are some tips to maximize your networking efforts:

1. No immediate Gains. The purpose of networking is to build mutually beneficial relationships that will form out of more than one event.

2. Best networking tool: listening! This sounds easy but you really need to listen to the person and really hear how you could help them which will in turn help you.

3. Be yourself. You want to build relationships and a rapport with fellow networkers. They want to meet genuine, trustworthy contacts as much as you do.

4. Size does not matter! Surprisingly enough, small groups will be more likely to send you referrals than larger groups -focus on quality not quantity!

5. Not a contest. Just collecting business cards is not a networking game. You cannot build a relationship by just handing out your business card.

6. Focus on building relationships. Networking is a long term project that can build your list of contacts over time that will last long after the network group.

7. Follow up! You need to follow up with contacts soon after the event. This is when you can meet with the person to really find out what they need and how you can help them.

8. Ask open-ended questions. Make sure to ask questions that cannot be answered with just one word and questions that allow longer explanations.

9. Be a good networker. Share referrals and ideas with people. Sometimes you will need to be the first one to get the ball rolling.

10. Secret formula: listen and follow up. These two tips were previously mentioned but collectively are key to successful networking.

This week, on this business blog, we’re going to be focusing on the importance of online business networking (both in principle along with practical websites that you may or may not have heard of).  Much like Alice at the beginning of the classic children’s book, Internet users have felt stymied for too long: while online choices appear limitless, the path toward enchantment seems oddly blocked.

“MySpace, Facebook, and eBay are all worthy, even revolutionary, advances, but these closed communities are hardly the intuitive platforms the Web has promised for so long,” says Gary K. Kimmons, creator of award-winning learning software technology. “The next iteration of the Internet promises to focus on personalization, on platforms that thoroughly integrate commerce, work, and play, and lead the user to solutions they didn’t know existed.”

Mr. Kimmons is also the CEO of eDOORWAYS, a new business-to-consumer social network website that integrates search technologies to help solve lifestyle problems for consumers and drive traffic to goods and service providers. The platform is unique in that it delivers a real-time collaborative problem-solving venue with capabilities for instantaneously sourcing correct information, products, services, and solutions.

Here’s how it works: say you’re a homeowner living in a 907 area code and your hot water goes out. Rather than reach for the Yellow Pages, or engage in Google searches that yield thousands of geographically worthless results, instead you enter the “SOLVE” doorway with your query. Instantly you are put in contact with local vendors that appear onscreen simultaneously and bid for your business. Or, more industrious users might choose the “LEARN” doorway, which will teach you, step-by-step, how to install the hot water heater yourself, tailoring the process to your particular skill set.

Have you taken advantage of the power of Twitter yet for your company? (Make sure to foll us on Twitter here: http://twitter.com/vfilings) It seems like everyone, especially in the media, is answering that question in 140 characters or less with a “tweet” and letting their “followers” know what they are up to each hour of the day. But is Twitter something that is in its infancy, something that is just a media darling or has it already experienced its fifteen minutes of fame?

Opinion of Twitter

Just under half of advertisers (45%) say that Twitter is something is in its infancy and its use will grow exponentially over the next few years, while one in five (21%) believe Twitter will not move into the mainstream and is something mostly young people and the media will use. Just under one in five advertisers (17%) believe Twitter is already over and it’s time to find the next best thing while 17% of advertisers say they don’t know enough about Twitter to have an opinion on it.

Among consumers it is a different story altogether, as over two-thirds (69%) say they do not know enough about Twitter to have an opinion about it. Just over one in ten say it is just at its infancy (12%), 12% also say it is just something that young people and the media will use and 8% of consumers say it is already over and it’s time to find the next best thing.

As might be expected, there is also an age divide on opinions of Twitter. Younger advertisers are more likely to have an opinion on Twitter than their older counterparts (only 11% of 18-39 year olds do not know enough about Twitter to have an opinion compared to 20% of advertisers 40-49 years old and 21% of advertisers 50 and older). Among consumers, the same applies and only half (55%) of adults, 18-34 years old say they don’t know enough to have an opinion, compared to 80% of those 55 and older.

Effectiveness of Twitter

Among those who have an opinion regarding Twitter, feelings about the effectiveness of it for promoting products and ideas are lukewarm among both consumers and advertisers. Among advertisers, just 8% say Twitter is very effective for promoting products and ideas while half (50%) say it is somewhat effective. One-third (34%) of advertisers say it is not that effective and 8% believe it is not at all effective for promoting products and ideas. Among consumers, 8% also say it is very effective for promoting ideas and products and 42% believe it is just somewhat effective. Three in ten (31%) consumers say Twitter is not that effective and 19% feel it is not at all effective for promoting products and ideas.

Although those of us who watch cable newscasts can’t help but notice their proclivity to invite us to follow the show or host on Twitter, it does not seem as though Twitter has made it mainstream yet, let alone to its edge. While advertisers and marketers expect Twitter to grow, its effectiveness as a marketing tool will most likely hinge on consumer education: consumers need to learn more about what it is, why they should pay attention to it, and why they should “tweet.” It is the advertisers and marketers who should play the lead role in promoting consumer education if they truly want to move Twitter beyond infancy and into its “tween years.”