core business

Google Search Satisfaction Lowest on Record Continues Decline

source: http://www.marketingcharts.com/wp/interactive/social-media-sites-search-engines-ranked-by-customer-satisfaction-35239/

ACSI-Customer-Sat-Portals-Search-Engines-2013-v-2012-July2013Overall, the major search engines fared better than the largest social media sites in customer satisfaction, per the ACSI report. But, the trend is moving in the wrong direction for each of the portals and search engines tracked

The bad news continues for Google – which saw declines in customer satisfaction ratings for Google+ and YouTube. Turning to its core business – search – Google experienced a 5-point drop to a score of 77, its lowest since the ACSI began tracking its ratings more than a decade ago.

On a more positive note for Google, it maintained its position as the highest-rated search engine or portal, as Bing also fell 5 points to a rating of 76, Yahoo slipped a couple of points to 76, MSN dropped 4 points to 74, and AOL declined by 3 points to 71. The aggregate of all others plummeted by 10 points, to 70.

The overall rating for portals and search engines – 76 – is the lowest since 2007. Customers were most frustrated by the quality of the ads and page loading speeds, per the study.

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Thursday, July 25th, 2013 news No Comments

drag2share: RTB May Be Killing Display Ad Revenue and Margins

source: http://feedproxy.google.com/~r/businessinsider/~3/NBNs_0GTNK4/programmatic-advertising-kills-hopes-for-growth-at-yahoo-2013-7

marissa mayer is not impressed

All Yahoo CEO Marissa Mayer wanted to talk about yesterday on her Q2 2013 earnings call was the company’s new product portfolio, Tumblr, and how it hoped to grow its audience.

But all the Wall Street analysts wanted to ask her about was the effect of “programmatic” advertising and RTB, which appear to be the culprit of falling ad prices at Yahoo.

Some called it Yahoo’s “ugly” problem.

Revenues declined 1% to $1.07 billion. She also lowered her year-end revenue guidance slightly. Display revenue (ex-traffic acquisition costs) was $423 million, an 11 percent decrease.

“Programmatic” or “RTB” advertising are ads that are bought and sold in super-fast, automated online auctions. They’re designed to find the best ad inventory at the cheapest available price for buyers — and thus have a tendency to drive down prices for publishers like Yahoo.

In fact, some are pinning the blame for Yahoo’s yet-to-materialize turnaround on RTB.

Two analysts asked Mayer about the effect of RTB on Yahoo’s stagnant ad biz. She said, “We can do better in display and this will be a clear focus for the business,” and later added, “Our display business has felt some negative impact, particularly due to the shifts around programmatic buying. We need to do a much bet! ter job here in order to reverse these trends.”

Analysts appear to regard the RTB trend with horror:

Sameet Sinha of B. Riley & Co. told Bloomberg, “We could have another year of absolutely no growth.”

BGC analyst Colin Gillis told Reuters, “This core business is going to be ugly for quite some time before it gets better.”


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Wednesday, July 17th, 2013 news No Comments

Groupon Soars Thanks To A Rumor Google Might Buy It (GRPN, GOOG)

Source: http://www.businessinsider.com/groupon-stock-2012-12

Groupon’s stock was up 23% today.

Bloomberg is reporting there’s speculation that Google might take over Groupon.

Two years ago, Google wanted to buy Groupon for $6 billion, but was rejected. Today, the company is worth $3 billion. While growth has slowed, its core business is bigger. Google might think that it could buy Groupon, shutter the underperforming businesses and fix the flaws. 

Or, this could just be chatter. Bloomberg doesn’t really source where the speculation is coming from.

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Friday, December 7th, 2012 news No Comments

The Owner Of Flash Sales Site Rue La La Is Laying Off A Big Chunk Of Its Staff

Source: http://www.businessinsider.com/the-owner-of-flash-sales-site-rue-la-la-is-losing-up-to-half-its-staff-2012-1


rue la la

UPDATE: Rue La La has reached out to us to update the story with some additional information.

Rue La La just laid off 11 percent of its 500-person staff, according to the company.

The Boston Business Journal first reported the layoffs.

Site owner Retail Convergence is also shutting down SmartBargains.com, a discount shopping site, according to the report.

Some employees were offered other positions in the company, and everyone was offered some kind of severance package, a source close to the company told us.

“It was a mess upstairs. People were crying all over the place,” one unnamed employee told the Boston Business Journal. 

Rue La La operator Retail Convergence raised about $25 million from General Catalyst Partners and Breakaway Partners before being acquired by a company called GSI Commerce for $350 million, reports The Boston Business Journal.

eBay then bought GSI Commerce in 2009, and Rue La La got $500 million in debt and equity financing as part of the deal, according to the report. Retail Convergence, the owner of Rue La La and SmartBargains.com was spun out as part of that deal.

Here’s the full statement from Rue La La:

Since launching in 2008, Rue La La has transformed online shopping and has become a leader in the “private sale” shopping space.  In a continued effort to revolutionize off-price shopping, we have made the strategic decision to double down on our core business.  This heightened focus on our core includes the restructuring of our Rue Local business by outsourcing our sales force and consolidating SmartBargains.com into Rue La La. SmartBargains.com was originally launched 1999.  These moves unfortunately resulted in the elimination of some staff positions.  Rue La La has continued to see dramatic growth with nearly $300MM in sales in 2011 and similar growth planned for 2012 and beyond.

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Thursday, January 12th, 2012 news No Comments

A Really Scary Chart For Yahoo (YHOO)

Source: http://www.businessinsider.com/chart-of-the-day-2011-11

This chart shows why Yahoo quickly needs to figure out a new path for itself.

For all of its success, at its core, Yahoo is still an email business. People use Yahoo email and then from there land on its other properties.

The rise of smartphones and iPads is a problem for Yahoo. On those devices, email is a native application that doesn’t encourage people to checkout Yahoo’s pages.

As you can see in this chart, web-based email usage is cratering for people aged 12-34. Unless Yahoo figures out a way to wean itself from email dependence, it’s going to be in trouble.

What is the future of Yahoo? Our own Nicholas Carlson has a bold idea

chart of the day, web-based email use by age year over year, nov. 18, 2011

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Saturday, November 19th, 2011 news No Comments

Dr. Augustine Fou is Digital Consigliere to marketing executives, advising them on digital strategy and Unified Marketing(tm). Dr Fou has over 17 years of in-the-trenches, hands-on experience, which enables him to provide objective, in-depth assessments of their current marketing programs and recommendations for improving business impact and ROI using digital insights.

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