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For disclosure purposes, I subscribe to every group coupon program that is available in Vancouver. I do this, not because I am cheap, but because I like to keep an eye on what is happening in the group couponing industry.
The business model for group buying should be: volume purchases of goods should allow the manufacturer to produce it more cheaply and then pass those savings onto the consumer.An example of this is books. The book store pays 40% less of the cover price for a book. If the book is $10, the book store pays $6 to the publisher. If a bookstore takes the book as non returnable, they get another 50% off or so.
If the book store is Amazon and they need a million copies of "The Girl with the Dragon Tattoo", they call Penguin and say we want the book for $3 a copy for a million copies. Penguin then talks to their printer and for a million copies they can produce the book for $1 each copy so they say OK. Amazon then sells the book for $6 and everyone is happy, especially the consumer who did not have to pay the $12 cover price.
Groupon and their imitators, tend to offer group buying on services rather than goods. For the most part the coupons are for spas, laser hair removal, restaurants, fitness classes and local attractions. The deal is "on" when enough people have purchased the coupon. The coupon companies take up to 50% of the face value of the coupon.
Groupon says it is "a city guide, a social tool and the best way to experience your city without paying full price." It is unlikely that it matters to either the coupon company or the service provider if the deal sells to one person or to 250 people.
The service provider will not be able to benefit from scale of service as they have not been able to produce their service more cheaply and capitalize on volume. The benefit to the service provider is break even, coupons not being redeemed and advertising exposure to new customers. For many of the service providers it is a money loser.
Let's turn our attention now to you and me - the consumer. If you are savvy enough to have subscribed to Groupon, you have probably signed up for LivingSocial and Grooster and maybe a few others.
At this point however, coupon fatigue is setting in. Another mani/pedi deal? Another Laser Hair removal deal - how hairy do they think we are? More yoga deals in some difficult to get to location? As cheese shop and movie tickets deals get further and further apart, it is likely that we will see people unsubscribing and the sales begin to flatline and then fall off.
Where "service provider" couponing may be this year's big thing and next year's "no thing", group buying is a fantastic opportunity for companies that produce a consumer good.
Let's say you are a bike company like Norco, Brodie, Kona, Rocky Mountain or the always adorable, CCM from Canadian Tire.
You could offer your own group buying product - a 26 inch mountain bike with cromoly this and titanium that - for only $200 if 300 people plunk down their credit cards.
You can source that volume of parts for a much cheaper rate than you would normally get them for this bike that is specifically being made for this group. 4 weeks later you ship out the bikes to the new owners. The new owners got an awesome deal, you sold bikes that only cost you $50 to make for $200, and you did not have to give $100 to a coupon company.
Now that's the way group buying should work! It would be nice to see this alternative approach develop in 2011 and offer real value to both consumers and manufacturer-retailers alike.
Make sure to check out Lisa's last blog post, Retailers and Group Coupons - Should you participate? One Gal's Opinion, for more information on the Group Coupon Phenomenon.
(Above image from: http://www.letsdeal.se/)
We launched our Search Engine Optimization service last month and I wanted to give you a taste of what I learned from our (frankly) brilliant SEO consultants.
There are some fast and easy things you can do that should garner you noticeable improvements in your search engine ranking.
#1 quick win - The Title Tag.
Your website's title tag is the first piece of real estate that Google indexes. If it just says Benson and Sons you've given the engines nothing to work with and unless people already know about you, it doesn't say what you do. But if you say "Benson and Sons -Winnipeg Area Private Investigators and Bail Bondsmen", you've told the search engines where you are and what your business does.
#2 quick win - Words, Words, Words
Google loves words and primarily indexes words. Your landing page should have at least 250 words on it and some of those words must be the key search terms that you want to be found on. So for Benson and Sons I would suggest the landing page have something like this:
"Benson and Sons is a Winnipeg based private investigation firm that also specialized in bail bonding.
Our certified investigators and bondsmen are discreet and are available 24 hours a day, 7 days a week. Bonds and investigations no longer need to be the embarrassment they once were! You can make inquires by phone, email, online or in person. Our process is simple. Once you contact us we will get back to you within the hour. We will listen to your problem and come up with a solution plan that can be acted upon quickly.
No bond is too high and no investigation too small. Bail for a loved one falsely accused of being the Kissing Bandit? We've got you covered. Would you like us to find out who the real Bandit is? Our state of the art undercover and online sleuthing will complement your solicitors work.
We take all manner of payment for our bond and investigation services - credit card, mortgage lien, high performance vehicles, estate jewelry and the like.
We service Winnipeg and southern Manitoba as well. Call Benson and Sons today. Our satisfied customers all say the same thing "I have never had my bail bond and private investigation needs handled so quickly and efficiently".
Should you need us to work in any other province; we will gladly assist one of our many professional associates in those provinces who are certified bondsmen and investigators. At no time will we hand off the work to another company. Your satisfaction is our only goal."
The key words that they would be found on would be : Winnipeg, bail, bond(s), investigator(s), investigation.
This block of text uses the key words organically. It covered off what we do and our location. Both of these are essential to being found.
Our resident filmmaker Rami, shot to the first page of Google (from page 4) on the term Vancouver Cinematographer by changing his Title tag. It had been Rami Films Personal Portfolio and then became Rami Films Vancouver Cinematographer.
He also made sure that he peppered his blog posts with the two words and then added those posts to his blog roll on his main page at www.ramifilms.com.
Our SEO service consultants can help you figure out which words you should be trying to be found on. They can tell you how to use the description fields for your pages and the alt tags for your pictures.
They'll look at your competition and figure out what you can do to leap over them in the rankings. They'll teach you about links in and links out.
So give us a call today and we'll get you set up with a consultant ASAP. And if you want some snappy copy for your website we can help with that too! Just give us a call.

It's an exciting time over here at Webnames.ca! Understanding your needs is what we've always done best and we developed the Essentials Program based on your feedback about wanting a complete online solution. 


If you missed Malcolm Gladwell's presentation at Vancouver's F5 EXPO on April 7th, here's a chance to participate in a second screening.
Many people disagreed with Gladwell's perspective on social media. His mile wide and inch deep philosophy may be accurate, but he failed to look at the benefits of a mile wide network for business transactions. Stressing the need for deep relationships, Gladwell feels these are essential for revolutions. Are weak ties enough to drive your business forward?
On Thursday, April 29th social media enthusiasts and Gladwell fans will gather at Ceilis Irish Pub for a screening of Malcolm Gladwell's presentation, followed by an interactive debate/discussion on the future of social media and what it means to business.
Here are the event details:
Cost: $20 or $22 at the door. Includes light appies and drink.
When: Thurs April 29th
Where: Ceilis Irish Pub 670 Smithe St. (Granville & Smithe)
Details: http://f5series.f5-expo.com
Can't attend in person? Sign up to watch the debate via live stream from anywhere in the world (and chat with your fellow online attendees). Online version of the event takes place on Mingleverse.com. Register here: http://mingleverse.com/mingles/1172!
A WordPress Newbie Sets up her First WordPress Website!
Here at Webnames, we are bullish for WordPress. We're helping any and all of our customers get their webhosting set up so it can take a Wordpress install.
My personal website was done in WordPress but I had the help of our web designer to get it up. So yesterday I thought I might take a stab at setting up a WordPress site myself and making it rock with cool plugins.
I had Max help me with webhosting database setup and the initial php configuration for WordPress. The webhosting set up was a little tricky and thankfully Max knew all the best practices for the .php edit (to avoid getting hacked). (By the way, Webnames.ca provides free, managed WordPress installs to its webhosting customers.)
Download the latest version of WordPress from www.WordPress.org. Edit the wp-config-sample.php (call support for help) and save it as wp-config.php and then FTP the contents of the downloaded WordPress folder up to your new website.
WordPress prompts you for a couple of things like a password and Blog Name and then you're ready to download a theme. I picked the Constructor theme and downloaded it while on my new site. It self installed - so that was easy.
Now I wanted to add my Twitter stream o' consciousness. I chose to "add new" in the plugins menu item and searched for Twitter. A bunch of options came up, I reviewed them and "installed and activated" one of them. I edited it so it used my Twitter account and then I previewed my web site. Nothing. Hmmm.
Now I was reduced to reading the readme for the plugin. Turns out I need to "add the widget to the sidebar". Hmmmm. But I downloaded a plugin. How was I supposed to turn a plugin into a widget? After much Googling and head scratching it turned out that the plugin was already a widget.
So I went into widgets and dragged the Twitter widget into the section called sidebar. I previewed my web site and my twitter feed was there! But it was unattractive. I went back to the well and downloaded a new twitter plugin called Xhanch that also was a widget ( I catch on fast), dragged it into the sidebar, deactivated the old widget/plugin and then I had a much more attractive twitter feed.
With my new love of plugins/widgets I downloaded one for Delicious (smartly called Delicious for WordPress) and it put itself in the middle of my blog. Which was weird. I had to move it to the sidebar and I would really like it to go somewhere else but I don't know where or how to get it there. So I need to work on that bit of it.
I added a page (easy) and then installed my .tel contact info as an iframe. That was easy as it was just a piece of code that was on the Telnic website that I plopped on the new page. It came up perfectly.
Inserting a video seemed like the next cool thing, so I downloaded a non widget plugin called Smart YouTube, and read the readme on how to use it. I found a YouTube video I wanted to embed, followed the instructions and the video popped up like magic. I was totally into the WordPress swing.
Then I couldn't think of anything else to do other than change the colours, which I did and then promptly changed back as my new choices hurt my eyes.
From stem to stern my fiddling around took about an hour and half and I got a tricked out and I must say, somewhat ugly website. But fixing the look will be what the next hour and half will be for!
Resources:
Here are some "Best of WordPress Plugins" lists from 2009 and 2010 that you might want to check out when planning your WordPress Blog or Website:
Business 2.0 - 30+ Must Have WordPress Plugins
Mashable - 20 of the Best SEO Plugins for WordPress
Site Sketch 101 - The 15 Best WordPress Plugins to Use in 2010
I do a lot of research on the trends in Social Media and where its future may lay. Professional marketers bang on and on about how it is time consuming for companies to be involved in social media with no clear return on investment.
Large and small businesses are jumping into social media for more transparency and engagement with their customers but most have no way of justifying the headcount that comes with participating in this sphere.
I don't tweet for work (well not often) but I do have a personal account. Currently I follow 190 people/companies and about 180 follow me. I follow 2 friends and my sister and the rest is made up of other artists, art bloggers, eco nuts, work related people, random people I found to be funny, 3 celebrities, many food columnists and a whack of Vancouver neighbourhood tweeters.
I think of this stream that comes in, as digested news and musings from people I don't know, but over time like and trust as we have similar ideologies.
When I see a post from one of the art bloggers about the gallery openings in town this weekend I think (a) I could go to this one or that one and (b) thank you for taking the time to find out what is happening and sending it off to me so that I did not have to do the painful research myself.
Some of neighbourhood tweeters I follow will alert me to some food event or farmers market or some such. I didn't have to do a thing.
Tonight I am making a grilled cheese sandwich that I found from a link to the Grilled Cheese Academy (www.grilledcheeseacademy.com) that was posted by someone I follow.
I've had people suggest names for a new art co-op I'm starting. I've suggested a hotel in Italy to another. I read tons of the articles that work related people post and always find something relevant that I can apply to my job.
At the F5 Expo earlier this week, Malcolm Gladwell said "The first and most significant fact about the Internet and all the social media technologies that have been spun out about the Internet, it is an engine of weak social ties and not strong ties." [Read the article] I don't disagree, but when good recommendations come streaming at me in easy to read chunks, then those "weak social ties" become valuable to me by their quality and timeliness.
The upshot of Twitter? "I told two friends, and they told two friends and so on, and so on...."
I like getting recommendations. I like giving recommendations. As a business you should be hoping that someone is recommending you to me or that I am recommending you to them.
Here is a "big picture" look at what happened on the Internet in 2009.
This data was gathered and reported on by the cool folks over at the Pingdom blog, Royal Pingdom. A complete list of the references for this data is available below, so attention stats junkies, get ready to bookmark!
In the words of the people at Pingdom, "prepare for information overload, but in a good way."
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Websites
234 million - The number of websites as of December 2009.
47 million - Added websites in 2009.
Web servers
13.9% - The growth of Apache websites in 2009.
-22.1% - The growth of IIS websites in 2009.
35.0% - The growth of Google GFE websites in 2009.
384.4% - The growth of Nginx websites in 2009.
-72.4% - The growth of Lighttpd websites in 2009.
Domain names (Our personal favourite!)
81.8 million - .COM domain names at the end of 2009.
12.3 million - .NET domain names at the end of 2009.
7.8 million - .ORG domain names at the end of 2009.
76.3 million - The number of country code top-level domains (e.g. .CN, .UK, .DE, etc.).
187 million - The number of domain names across all top-level domains (October 2009).
8% - The increase in domain names since the year before.
Internet users
1.73 billion - Internet users worldwide (September 2009).
18% - Increase in Internet users since the previous year.
738,257,230 - Internet users in Asia.
418,029,796 - Internet users in Europe.
252,908,000 - Internet users in North America.
179,031,479 - Internet users in Latin America / Caribbean.
67,371,700 - Internet users in Africa.
57,425,046 - Internet users in the Middle East.
20,970,490 - Internet users in Oceania / Australia.
Social media
126 million - The number of blogs on the Internet (as tracked by BlogPulse).
84% - Percent of social network sites with more women than men.
27.3 million - Number of tweets on Twitter per day (November, 2009)
57% - Percentage of Twitter's user base located in the United States.
4.25 million - People following @aplusk (Ashton Kutcher, Twitter's most followed user).
350 million - People on Facebook.
50% - Percentage of Facebook users that log in every day.
500,000 - The number of active Facebook applications.
Images
4 billion - Photos hosted by Flickr (October 2009).
2.5 billion - Photos uploaded each month to Facebook.
30 billion - At the current rate, the number of photos uploaded to Facebook per year.
Videos
1 billion - The total number of videos YouTube serves in one day.
12.2 billion - Videos viewed per month on YouTube in the US (November 2009).
924 million - Videos viewed per month on Hulu in the US (November 2009).
182 - The number of online videos the average Internet user watches in a month (USA).
82% - Percentage of Internet users that view videos online (USA).
39.4% - YouTube online video market share (USA).
81.9% - Percentage of embedded videos on blogs that are YouTube videos.
Malicious software
148,000 - New zombie computers created per day (used in botnets for sending spam, etc.)
2.6 million - Amount of malicious code threats at the start of 2009 (viruses, trojans, etc.)
921,143 - The number of new malicious code signatures added by Symantec in Q4 2009.
Data sources:
Website and web server stats from Netcraft.
Domain name stats from Verisign and Webhosting.info.
Internet user stats from Internet World Stats.
Web browser stats from Net Applications.
Email stats from Radicati Group.
Spam stats from McAfee.
Malware stats from Symantec and McAfee.
Online video stats from Comscore, Sysomos and YouTube.
Photo stats from Flickr and Facebook.
Social media stats from BlogPulse; Pingdom (here and here), Twittercounter, Facebook and GigaOm.