SuperMedia News

Google Releases Penguin 2.0 Update to Their Search Algorithm

Marion Jacobson — Thu, 23 May 2013 19:54:24 +0000

Google rolled out their latest major update to their search algorithm, dubbed Penguin 2.0, on Wednesday, May 22. Google's head of Web Spam, Matt Cutts, reported that about 2.3% of English-US queries are affected enough for a regular Google user to notice. The algorithm change was also rolled out for other languages worldwide. The latest update is actually the fourth Penguin-related change that Google has done but since this represents an update to the algorithm and not just a data refresh, they coined it 2.0. Google has published a detailed explanation of what the differences are between an algorithm update, a data refresh, and an index update, for those who are interested. Google has stated that their purpose in updating their search algorithm is to eliminate web spam - or low value web pages - from showing up in search results. The general public is invited to report spam sites to Google, using a special report form. They'll check out any spam sites that are submitted. Cutts also released a video explaining the changes that SEO professionals and webmasters can expect in the next few months.

Expand Brand Reach through Facebook

Jim Shannon — Wed, 22 May 2013 16:10:26 +0000

According to a study by eMarketer, Facebook and Google+ are the top two social media resources accessed by consumers. Facebook held the top spot with 51% of Internet users logging into the site, while Google+ was at about half of that with 26%. The study also indicated that Facebook should hit the 60% mark by year’s end. Laptop and desktop computers are not the only ways consumers are visiting these sites, either. The study reported that “Growth in social network usage came especially from the mobile phone and tablet…” and “…Facebook saw the biggest jumps…increasing by 47% on both PC and mobile, and nearly doubling on the tablet. Messaging friends on a one-on-one basis via Facebook also grew substantially on mobile phones and tablets." Smartphone, tablet, and other mobile device use is opening new marketing avenues for businesses. Data from the study showed that users tended to follow a group or like a page that was created by a brand. This, along with the messaging trend, implies that significant brand promotion opportunities await those who recognize the impact that social media has for reaching new customers. The study also shows that while putting marketing efforts into Facebook campaigns will reach an increasingly larger audience, having a presence on other social media sites, such as Google+, can also play a role in expanding the potential customer base. Reference: Mielach, David. “Facebook Users Warming to Brand Engagement” Business News Daily, May 15, 2013.

What’s Trending? Made in the USA

Cynthia Diaz-Shephard — Tue, 21 May 2013 14:00:29 +0000

The hottest trends are out for 2013 and they offer important insights into how small business may best tap into consumer behaviors.

Four years of a down-turned economy appears to be turning upward, says Business on Main’s Rieva Lesonsky, with the economy beginning to grow, confidence increasing among consumers and small business owners, and solid holiday shopping a sure sign of a surge for start-ups. One major movement is that of “Made in the USA.” There has been a revitalization of the American brand and entrepreneurs and small business are jumping on this in earnest, says Lesonsky pointing to a report by James Fallows, an award-winning journalist writing in The Atlantic. “Manufacturing’s share of the total American economy … went from about 20 percent in the early 1980s to just over 10 percent now … for the first time in decades, I have been hearing upbeat accounts from business officials and entrepreneurs engaged in American manufacturing,” Fallows writes. In another interview in that publication, Harry Moser, who runs the business assessment organization, The Reshoring Initiative, told author Charles Fishman that, “About 60 percent of the companies that off-shored manufacturing didn’t really do the math. They looked only at the labor rate—they didn’t look at the hidden costs.” Fishman reported that Moser feels that some 25 percent of what is made outside of the U.S. “could be more profitably made at home,” according to Lesonsky’s report. So-called “Reshoring,” is making its way into a number of industries, says Mitch Lipka of Reuters. Earlier this year, retail giant, Wal-Mart Stores Inc., announced plans to spend $50 billion over the next decade to broaden “onshore U.S. production in high-potential areas and textiles, furniture and higher-end appliances." The move is significant, says Lipka, for a retailer known for its massive imported goods selections. Technology leviathan, Apple Inc., also announced plans to build some products in its iMac line in the U.S., not China, as have Ford Motor Co., Coleman Co., of Jarden Corp., and Master Lock Co., of Fortune Brands Home & Security Co. The list grows, Lipka notes. Although a patriotic allegiance has prompted many consumers to buy American, business has long been focused on the immediate finances of production. "They run the numbers and say 'We can deliver just as cheaply from a U.S. operation as we can from, say, China.' It has some nice extra benefits," says Dan Seiver, chief economist for Reilly Financial Advisors, a wealth management firm in San Diego, California. "Whatever credit goes with it is fine," Seiver tells Reuters. But off-shoring is no longer offering the same benefits in an economy in which consumers do not want to compromise American jobs for a more-cheaply produced product. That’s changing, too, with manufacturing and shipping costs on the rise in off-shore locations, such as China, Lipka writes. And some experts, Roger Simmermaker, author of "How Americans Can Buy American" among them, believe that products made in the USA are typically of a safer and better quality than products made elsewhere. There are upsides to reshoring, says Lesonsky; some local governments offer incentives to do so. Lipka points out that many see that buying American from U.S.-owned firms boosts the American economy,creates jobs, and brings the final product closer to the consumer and with greater flexibility, customization, and delivery. Whether for patriotism or profits, Made in the USA appears to be a win-win for consumers and manufacturers alike. Sources: Lesonsky, Rieva. MSN Business on Main, "The Hottest Business Trends of 2013." Lipka, Mitch. Reuters, "Made in America Label Stages Comeback in Stores." 5/3/13.

Insights from the State of the Business Owner (SOBO) Report for 2013

Laura Monroe — Mon, 20 May 2013 13:00:39 +0000

The SOBO (State of the Business Owner) report for 2013 has just been released, lending new insight into the general mindset of small and midsized business owners. This report has been commissioned for the second time in two years by EMyth, a 35-year-old business coaching firm, and is aimed specifically at gaining insights into the challenges business owners are facing on a daily basis, and how they are seeking to overcome these issues. Findings from the report include the following:

Successful business owners these days are focusing on profitability rather than revenue. This translates to a greater degree of focus on certain foundations and core systems aimed at building a sound structure designed to support long-term growth. The 9 best practices toward this end include: written values, written vision, business metrics, written marketing plan, ideal customer profile, marketing metrics, role descriptions, revenue plan, and repeat sales plan. The SOBO study found that companies who implemented these best practices had a 59.4 percent greater chance of meeting their profit targets.
Many more business owners are starting their business believing that meaning, freedom, and independence are more important than money. The report actually cites the top 3 reasons for starting a business as such: the chance to follow their personal passions, freedom to pursue new opportunities, and the ability to gain independence from others’ control. Interestingly, on this list money ranked fourth.
Small business owners are beginning to put the recession behind them. This is supported by several metrics captured in the SOBO report. Essentially, 63 percent of respondents think the economy will get better, with over 25 percent more optimistic about revenue growth in 2013. And 60 percent of owners reported increased profits in 2012 versus 2011. In addition, 57 percent gave raises of 2 percent or less in 2012. However, challenges still exist, including inconsistent cash flow (80 percent of respondents say this is a problem) and slow staff growth (with 40 percent citing more revenue growth than staff growth).

More than 1,700 business owners across the globe participated in this survey, with companies ranging from sole proprietorships to midsized businesses with hundreds of employees. References Kouremetis, Dena. “EMyth’s SOBO Report: Debunking the Myths of How Small Businesses Grow and Thrive.” Forbes. 5/16/13. SO/BO. “State of the Business Owner 2013: The Pulse of Small & Midsize Business.” 5/16/13.

New Wave of Entrepreneurial Growth Takes Root in Detroit

Scott Volpe — Fri, 17 May 2013 15:24:48 +0000

No one will ever mistake the aged hull of a city on the shores of Lake Erie for the gleam of the new glass and steel buildings that freckle Silicon Valley. But according to John Yang of NBC News, a wave of new start-ups powered by entrepreneurs who have returned to their childhood roots, and some who never left, is providing Detroit a kernel of Silicon Valley's optimistic vision of the possible. Symbolic of the renewed spark of entrepreneurial spirit are Michigan natives Paul Glomski, Jay Gierak and Nathan Lambert, who are doing their part to reverse the crippling brain-drain that has gripped the Rust Belt as its younger residents have fled for employment in other parts of the country. Glomski, who earned his masters degree at MIT, founded smartphone app developer Detroit Labs, and in less than two years counts General Motors and Domino's Pizza among his clients, and expects to nearly double his workforce to 60 employees by year's end. Glomski told NBC News he may not have had the same success elsewhere. "We're not about the sort of big, fancy announcements about what our start-up's going to do. We just go and make stuff and clients really like that," Glomski said in a story published on NBCNews.com on April 30."We definitely have that Midwest work ethic." Gierak and Lambert, who are Harvard graduates and classmates, decided that a Detroit base would give their business the edge it needed to get off the ground. So they relocated their website offices from San Francisco, and now work near the suburbs in which both grew up. In Detroit, their professional services referral site has much more potential for growth than it did on the West Coast. "Detroit has given us opportunities that San Francisco never really presented," Labent told NBC. "Here we immediately stand out and it's been a lot easier than it would have been." Said Gierak, "There's a ton of talent and there's not a lot of web companies like us competing for their services." Ground zero for the start-up revolution appears to be the 98-year-old Madison Building in downtown Detroit, which now houses more than 24 high-tech start-ups. Seeding for much of this economic activity has come from two major sources, venture capital firms Detroit Venture Partners, and Bedrock Manufacturing. Detroit Venture Partners, which is backed by Quicken Loans founder Dan Gilbert, has already invested some $11 billion in Detroit area enterprises. "The tipping point is here," Jacob Cohen, Detroit Venture Partners vice president, told NBC News. "The entrepreneurs of Michigan are now staying in Detroit and they want to be part of this story." Yang, John. "Entrepreneurs Find Success in Detroit"; NBC News. 4/30/13.

New Data Reveals Growth Plans for Small Businesses

Justin Mack — Thu, 16 May 2013 15:40:46 +0000

New research from Dell and Intel finds that small business owners are refocusing on growth, after years of struggling to survive the economic collapse. In a survey of 941 U.S. companies with one to 99 employees, Dell and Intel found that nearly half of small businesses have plans for growth in the near future. About 38 percent of small businesses are focused on long-term growth. Among the results of the research are a strong indication that technology is key to a businesses' growth. "Small business owners are now more dependent than ever on technology for growth since their customers and employees are so geographically dispersed," said small business consultant Barry Moltz. "This technology challenge is becoming increasingly difficult with customers and employees expecting to be able to access information from anywhere, and on any device." Dell entrepreneur-in-residence Ingrid Vanderveldt adds, "To compete in today's global landscape, they need technology to innovate, but it's not the only thing they need. Turning a great idea into a successful business also requires access to financing, networking, and knowledge." Here are some of the more revealing points from the new research study:

Over 50 percent of domestic small businesses see better growth opportunities in the U.S. than abroad.
About 66 percent of U.S. small businesses do not consider global market access a key to growth.
More than 75 percent of small businesses view access to technology as a key component to growth.
90 percent of respondents believe that their technology needs are being met, but are concerned about lagging behind in the future.
Over 40 percent of small businesses surveyed say their technology needs are becoming increasingly complex.
Over half of small business owners and entrepreneurs are optimistic about 2013, with expectations of better sales and more growth opportunities.

Dell and Intel's research also reveals what startups and small businesses believe are the most important ways the government and big business can aid their growth potential. These include expanding access to capital, improving connections to talent networks, and improving access to technology. Focusing on these efforts will continue to level the playing field and ensure healthy growth, small business owners say. Source: Brooks, Chad. "Small Businesses Shift into Growth Gear." Business News Daily, 5/14/13.

Dex Media’s Richard Wall Named “One to Watch” by CIO Magazine

Marion Jacobson — Wed, 15 May 2013 15:40:49 +0000

DALLAS – Richard Wall, vice president for Enterprise Application Engineering at Dex Media, Inc., was named “One to Watch” by CIO magazine. The CIO Executive Council's annual Ones to Watch award identifies the rising stars in IT. To be honored, these future CIOs must have demonstrated leadership, driven innovation and delivered value to their business. Wall has led organizations within IT at many companies and has experience across several disciplines including architecture, development, production support, and quality assurance. He is responsible for application development and maintenance activities at Dex Media, including all applications supporting Lead to Cash processes, mobile and online applications and websites representing Superpages.com, search platforms and traffic distribution integration to search partners, customer portal, and Business Intelligence Systems (BIS) applications. Wall also leads the Quality Assurance, Database Administration, and Production support organizations for Dex Media. In addition to directing the activities of 150 IT resources, he also manages the activities of two primary IT outsource vendors. Michael Dunn, Dex Media’s chief technology officer, said “I have witnessed Richard’s growth and results managing teams through difficult and extreme change, including large implementations or company acquisitions. At SuperMedia, he took over a large development organization - including development, testing, and production support - that was operating under different processes and leadership. He was able to communicate the level of performance, standards, customer-focus, agility, and flexibility he was looking for and successfully implement it. He is definitely a future CIO to watch.”

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About Dex Media Dex Media (NASDAQ: DXM) provides local, social and mobile marketing solutions to businesses in communities across the U.S. under the Dex One and SuperMedia brands. The company's widely used consumer services include the Dex Knows.com® and Superpages.com® online and mobile search portals and applications and local print directories. For more information, visit www.DexMedia.com.

Survey: Mobile Marketing Moving Ahead of Location-Based for Small Businesses

Jim Shannon — Wed, 15 May 2013 15:07:41 +0000

Based on the responses to surveys conducted by the Constant Contact Small Biz Council, better than 95 percent of small business owners said they are using mobile technology and social media outlets for marketing purposes. In contrast, less than twenty percent indicated that they use location-based marketing services and strategies. Mobile marketing is becoming the dominant strategy when it comes to marketing as sixty-six percent of the respondents said they are using mobile solutions (optimized web sites and text message marketing) or Smartphones, tablets, and other mobile devices. This shift in marketing strategies and approaches, from location-based to mobile, is an indication that business owners understand the value of mobile marketing and are embracing it. According to Joel Hughes, the senior vice-president of strategy and development at Constant Contact, “It’s encouraging that a majority of small businesses recognize that their customers are relying more than ever on their mobile devices to find information, look for deals and even to make purchases.” He goes on to say, “…it’s not surprising that they’re leading with two areas where they have a solid track record of success with customer engagement: social media and email." Business owners are also beginning to use mobile devices as part of their daily operations, including point-of-sale and business management solutions. However, about a third of those business owners who participated in the survey said they do not use social media because there is not yet a demand from their customer base, but may begin using these services if the demand arises. Additionally, a small number of business owners indicated they do not use mobile technology because they do not have the time to spare to learn how to use and deploy it. Reference: Mielach, David “Small Business Favors Social Media over Location Marketing,” BusinessNews Daily. May 7, 2013.

How Two Entrepreneurs Turned Dreams into New Businesses

Cynthia Diaz-Shephard — Tue, 14 May 2013 13:00:30 +0000

A former regional vice president at UnitedHealth Networks, Jill Foucré, took a cooking class and it changed her life. "I kept thinking about what a happy place it was and how I could have a place like it," Foucré says. A corporate reorganization eliminated her job a few years later. She opted to turn down a new position and walked away with a nice severance package. "That gave me the chance to try my own business," she says. Foucré promised her husband, Bob, that she'd have a realistic business plan within six months. Selena Einwechter was the victim of a corporate reorganization in 2007 when she was working as a deputy director at GTECH. When she learned change was coming, she made plans, saved money, attended trade conferences, wrote a business plan, worked as an inn sitter, spoke to friends about investing in her business idea, and enlisted a real estate agent to find a location. "I thought I'd have more security if I built the inn while employed," she says. When her company handed her a seven-month severance package, she accelerated her search and secured a six-acre spot. The most recent The Small Business Poll, conducted by National Federation of Independent Business (NFIB) revealed some key issues important to small business. The Growth – External Factors report found that, in the face of a changing economy, small business had a desire to grow, but modestly and in absolute terms. Concerns over weak sales, an uncertain economy, securing appropriate staff, and locating either strong management or an advisory team were of key concerns to small business. Most of the small business owners surveyed also reported feeling that lagging market demand impeded their growth plan and they responded by changing their marketing plan by introducing a new product, service, or process that had recently been created, modified, or refined. Most small businesses who viewed a lack of funding as an impediment said they planned, when and as able, to internally generate cash flows, seeing this as a key source of internal financing. Foucré took a long love of cooking and turned that into a career, using what she had learned in the corporate world to make her plan work. Marcel’s Culinary Experience opened September 2011 and uses a website, social media, and community involvement. The cooking school made $1.1 million in sales last year. Einwechter long dreamed of owning a B&B and, when her circumstances began to change, she shifted her focus, conducted robust research and, after being turned down by three banks, secured financing from a local institution with an innkeeper on its board. Bed & Breakfast on Tiffany Hill opened for business in June 2009 and has seen increasing revenue ever since. Einwechter maximizes word of mouth, keeps her B&B listed in area directories, and stocks local tourism centers with her advertising. Since opening, she has turned profits into additional suites. In both cases, internally generated cash flows built on a business idea and helped solidify strong business plans. And, in both cases, the business owners secured their internal investments, investors, and key advisors during their planning and early stages. Both women have made key advisors a part of their business. Sources: Hyatt, Josh. CNN Money/Money Magazine; "The Recipe for a Million-Dollar Cooking School." 4/30/13. Hyatt, Josh. CNN Money/Money Magazine; "Suite Dreams: Opening A Bed and Breakfast." 12/5/12. National Federation of Independent Business. The National Small Business Poll; "Growth – External Factors" report. 11/22/11.

Online Small Businesses are Concerned About Proposed Tax Bill

Laura Monroe — Mon, 13 May 2013 14:00:03 +0000

A law is currently before Congress called the Marketplace Fairness Act that would effectively establish an Internet sales tax that would require online retailers and small businesses to start collecting sales tax upfront. In addition, these companies would be forced to differentiate between the different tax rates of various states and send those payments to local governments across the country. The law would apply to those online sellers that have a total annual sales of at least $1 million. Many small online retailers are responding to this concerning the costs that complying with this type of tax would incur. Many small business owners feel that the logistics of this could be a potential nightmare. With only 4 states that don’t collect sales tax, this means that owners would not only have to track the taxes but cut quarterly checks to 46 states. One small business owner, Jim Krauss of Garage Flooring in Grand Junction, Colorado, estimates that if the law passes, he will have to update his accounting software, hire a computer programmer to update his virtual shopping cart system, and then use precious resources to keep up with the inevitable stream of paperwork that all these taxes entail, not to mention the additional staff required to manage the operation. According to Krauss’s estimates, the initial investment itself could cost him around $40,000. While the bill does make some accommodations for small business owners, such as a provision that says that states must provide tax free software, most online retailers doubt that the software will be compatible with the various digital shopping carts out there. This might especially be an issue for those companies that use proprietary software that’s been specifically customized for their company. In addition, the bill provides protection from audits if the online retailers use the free government software that’s been provided. But this will not be beneficial to those business that don’t believe they’ll be able to use the software due to compatibility issues. Proponents of the bill assert that the required tax will level the playing field between brick and mortar stores and online retailers. But many small business owners and small business supporters are worried that, despite the provisions that have been written in, many smaller online shops won’t be able to bear the cost of compliance. According to a study by Amazon, there are around 7,500 business that would be affected by this law. Reference: Pagliery, Jose. “Online Retailers Call Internet Sales Tax a ‘Nightmare.’” CNNMoney. 5/8/13.