Posts Tagged ‘trust’

What to Think About When Your Business Starts to Think Globally

Ecommerce…by definition it’s easily accessible by almost anyone.  With no geographic boundaries that restrict a shopper’s interest your product or service, once you start selling online, you technically have an international business.  But what should you keep in mind when you do start actively reaching out to international customers?  First, you must be able to speak with an outrageous french accent.  No wait, that’s if you’re searching for the Holy Grail.  Here are a list of some things to think about:

1.  Will you sell to any potential buyer, no matter the destination?  Sounds like an odd question, but there are a list of countries that have a significantly higher  rate of shopper fraud.  In a not-so-recent article from PraticalEcommerce, a few online sellers were featured and they decided not to sell or ship to any orders from Venezuela, Indonesia or Nigeria due to the increased risk of fraud.  Also, if you’re a U.S. based business, don’t forget about the list of countries identified by the Treasury Department that U.S. businesses are prohibited from doing business with (e.g. Cuba and Iran).

2.  How will you deal with language issues?  I’ve heard that not everyone speaks and reads English fluently.  If this is correct, you’re likely going to have to have your marketing site (and application) translated into different languages.  In addition, if you offer customer service, you’ll need to have the ability to handl non-English support calls.

3.  Are you selling technology?  If you’re offering a service, like encryption software, and you’re a U.S. based business, you’ll also need to be aware of limitations placed on U.S. exports…as Uncle Sam doesn’t like providing certain technologies to companies or individuals outside of the U.S.  It seems like a lot of regulation, but the Small Business Administration provides many export centers to give small and medium sized businesses free counsel.  Here’s a link to find a center near you.

4.  How about your trademark and/or brand name?  What works in your home country may not work in others.  You may want to make sure that your business or product names don’t infringe someone else’s trademark in the other country(ies) that you’re focusing on.  You’ll also want to make sure your product or brand name makes sense.  A famous example of this is the Chevy Nova.  Great product name for the U.S., not so great when they marketed that car in Mexico — as “No va” means “no go” in Spanish.

Got some other advice on selling internationally?  Please feel free to share.

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Posts Tagged ‘trust’

Will Entrepreneurs and Pizza Palors Save the U.S. Economy?

Financial markets have melted down, real estate industry has a faint heart beat, and Corporate America has been laying off people by hundreds of thousands each month.  People are concerned about job security and not spending any more on expensive trips or dinners.  Not an ideal recipe for an economy or starting a business.  Or is it? 

There is a saying that you should “never underestimate the US consumer” — that is especially true for consumption of food.  More specifically, it is true for consumption of pizza.  Pizza is on my mind for two reasons.  First, we are in full swing of the football season and it seems that every weekend I’m eating pizza and watching football each Sunday. Quick tangent — I’m loving the new Domino’s Pizza.  Throw in some Chicken Kickers with ESPN, and you’ve got a great little Sunday. 

The second reason for my focus on pizza is an article that I stumbled across in the USA Today.  It discusses the rise of entrepreneurs in the form of franchisee owners, with a particular focus on CiCis Pizza franchises.  I did a little research and found that in this recession, Dominos continues to grow (just an fyi, my hope is to praise Dominos enough to get some free pizza out of this blog posting).  The pizza business has only flurished in this environment.  There is also a profile in the WSJ this past week on California Pizza Kitchen — with their founders leaving the law as defense attorneys to create a pizza chain concept. 

As the numbers are showing, Americans love pizza.  It’s cheap and tasty, it’s also relatively easy to start a pizza shop.  Take these facts and couple it with all the successful individuals looking to start a business, and we may be facing a marinara-led growth out of this recession.  Or at least a free pizza coupon for me due to my sucking up to Dominos.

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Posts Tagged ‘trust’

What's the Final Verdict for 2009 Holiday Onlines Sales? You May Have Sold More, But Did you Make More This Year.

By all accounts, the 2009 holiday sales numbers seem pretty strong.  In a recent post, TechCrunch highlighted that the recent comScore assessment of online sales this year.  It touted that the revenue was up,  compared to the 2008 holiday season, 5%.  As we have alluded to in earlier posts, it not necessarily an indication of overall health of the economy, as that growth is likely coming at the expense of Bricks and Mortar shopping.  In addition to a growing acceptance of eCommerce versus fighting the crowds at the mall, 2009 included another wildcard that likely built up the number — the massive snow storm that plagued the East Coast for most of the holiday season. 

No one is going to argue that 5% growth isn’t great — most companies, in this economic environment, would love to have that type of growth.  But a valuable lesson that I learned in business school — it’s pretty complicated concept — the bottom line is a better indicator of business health than the top line.  So, though revenue may be up, what’s the profitability look like for the 2009 holiday shopping season?  Were shoppers buying low margin items with that cost a lot to resell?  It seems that may be the case.  According to comScore, this holiday shopping season saw a lot of high price ticket items (with not a lot of room for mark-up) that were the big sellers this year.  In fact, consumer electronics saw a 20% increase in sales this year, with jewelry and watches also as strong items.

So the question I pose to all online sellers is this — did your profitability rise at the same rate as your revenue this season?

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Posts Tagged ‘trust’

2009 Blog Recap: My Favorite Postings of the Year

It’s the end of the year…a time for reflection and evaluation.  In this spirit, a few of us are going to highlight some of our favorite postings from the year.  Here are my favorite five postings we’ve done (I promise they won’t just be the ones I wrote):

1.  2009 Trends in ECommerce— Typical Raj posting, very informative and a great list of tools available for ecommerce businesses.

2.  Diary of a Tech Start Up: Idea to Soft Launch — Ok.  This is my post, but I like it because it starts our Diary series and it summarizes two years of our company.

3.  Making the Grade — Kristen’s first post and a really detailed view of what KikScore’s algorithm looks at when sizing up a business.

4.  A Few Good Blogs Part 1— A great list of blogs relating to ecommerce and small business.

5.  Brett Favre and Business — Despite the December let down, a got to love a post dedicated to the Minnesota Vikings’ quarterback.

That’s my list.  Feel free to let us know if you agree/disagree.

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Happy Holiday? Do You Take Time Off From Your Business?

This week, my parents are doing something that they never do…travel to my house for the holidays. As far as I can recall, I have always traveled back home (balmy Minnesota) to see them. This has been true for the past 15 years. This year, we convinced them to come out.

Why the drought of visits. Is it because they don’t like me? Of course not. Why? Did you hear something? No the real reason is because 25 years ago, my Dad quit his corporate job to start his own business. He doesn’t have a lot of help running the business, so almost every holiday season, he didn’t have time to get away. As he would say, “the longer I’m away, the more work I have waiting for me when I return.”  The Wall Street Journal just touched on the same issue, giving a guide to small business owners on “How to Take a Vacation“. The advice is solid (the best has to be “Accept the Fact that You’ll Lose Money”).

Since we all have day jobs, and our nights and weekends are dedicated to KikScore, I’m getting a sense that it may be quite sometime before I start doing a lot of personal travel during the holiday season.  Just as sure as I’m going bald like my Dad, I’m inheriting his work schedule.  And I’m not alone (with regard to the work schedule…I mean I’m also not alone on being bald).  Simply searching “Small Business Vacation 2009” reveals a wide variety of blog postings about small business owners talking about the difficulty in taking time off.  Here’s a good one from Newsweek.

So, are you taking time off this holiday?  Any plans for a 2010 get-away?  Can I go with you?

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Posts Tagged ‘trust’

Customer Reviews and Blogs: Do They Matter?

There are a lot of websites and blogs that track the good and bad customer experiences with online sites and service providers.  The general notion is that these past experiences will help predict what future experiences will be.  The concept makes a lot of sense, but it presumes a few things to be true.  I just finished reading SuperFreakonomics, so I think I’m more than qualified to address these issues in a rigorous manner (did I mention that I am a scientist?  Yep, I graduated with a degree in political science, so you’re in good hands):

Sample Issues: The review sites and blogs are very much slanted towards those actually inclined to share their experiences, and those who actually know how to share them.   There is a large bloc of people not interested in telling the world about how they were ripped off by an unknown online seller (it’s called “loss avoidance” and most of us engage in it at some point…see I told you I was a scientist).  The sample of these comments are further vexed by the fact that some people don’t know how to voice their opinions (or which sites to do it with) — so the sample will likely skew towards more positive and be made by those familiar with technology/online industries.

Fraud: This is also a concern, and likely why most ratings skew overly positive…online sellers/service providers rate themselves (via fake accounts or their friends).  It’s not “fraud” in the sense of defrauding someone out of their money, but it’s not honest and defeats the purpose of customer reviews.  It’s similar to how I used to inscribe my own yearbook to make it seem like I had more friends.

Low Visibility/Little Negative Impact:  An online seller isn’t likely to promote their customer reviews unless  they are positive, so it takes a consumer extra effort to research the negative reviews.  And once you do come across those reviews, what do they mean?  If you’re about to save 20% on the new plasma t.v., it’s likely that you’ll take your chances — it’s likely the previous customers were just complainers. 

Time for the anecdotal: My wife bought a new light fixture online.  She receives it and finds out it can’t be used in a bathroom because of a potential fire hazard.  The contacts the owner of the site, he tells her “she should be fine putting it in the bathroom”).  After realizing she is not going to be able to return the item, she threatens to “blog about her experience”.  Of course, she has other things to worry about and in time she moves one — no negative review, no blog posting, no negative effect for the online seller.

Of course, we here at KikScore think we’ve solved the issue, but until we’re ubiquitous, we’ll have to determine whether customer reviews are helpful.  What are your thoughts?

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Posts Tagged ‘trust’

Brett Favre and Business

I may be starting something I shouldn’t with this post, as most of us on the KikScore team are ardent professional football fans (except Raj, who likes the Cleveland Browns).  The first 20 minutes of our Monday meetings are consumed with rehashing Sunday games (we get a lot more done during baseball season).  This year my favorite team, the Minnesota Vikings, signed Brett Favre and, in turn, they are having a great season.  So, to the disgust of Mike Collins (my business partner and Green Bay fan), I’m going to write what Business lessons can learn from the Brett Favre acquisition.

Patience:

Everyone assumes that when you come out with a new product or service, it has to have immediate market success, as-is.  But as Nassim Nicholas Taleb makes clear in his book “The Black Swan”, one of the greatest strengths entrepreneurs have is the ability to tinker.  Tinkering with a concept until it suits the market is the whole point of business.  What’s the tie-in to Brett Favre?  Well, his first year in the NFL wasn’t notable.  He was a back-up quarterback for the Atlanta Falcons — and didn’t show any indications of being a future Hall of Famer that he is.  But over time, he changed his work-out methods, how he approached the game and now, at the age of 40, he’s having one of his best years ever (that’s after 20 years of tinkering).

Talent:

Last year, the Vikings had almost every member of the current team.  They lost in the first-round of the playoffs.  Now, who knows how it will end this year, but this year’s team is much different than last year.  The biggest difference is Brett Favre — his experience and talent.  The business lesson is pretty obvious.  You can have all the supporting pieces, but talented leadership (or lack of it) can raise or sink the level of everyone else around him/her.

Brains Over Brawn:

Somewhat related to patience, is the importance of experience/intelligence.  There are a lot of faster, younger players than Brett.  In fact, the Vikings have two younger/faster quarterbacks and they still chose to hire Mr. Favre at $14M/year.  When it comes to business, it may be tempting to promote the new HBS graduate — she knows all the cool Malcom Gladwell terminology and interned at some investment bank (that no longer exists).  But maybe you should look again at the company veteran, the one that knows your product and industry well.

This posting could go on and on…so out of interest of preserving my dignity, I’m going to now end my love-letter to Brett.  Feel free to send any jeers or life-sports lessons.

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Is Cyber Monday the New Black Friday? And Will My Brother Get a New Coat?

An interesting phen0menon occurred during the kickoff of the holiday shopping season (two phenomenons, actually, if you count the fact that I found a sweater that doesn’t make me look fat).  With most of the focus on the bricks-and-mortar retail sales, which appear to be up very modestly, online sales on both “Black Friday” and “Cyber Monday” were very strong.  So there is a big question hanging out there (besides the question if 40 is really the new 30 — man, I hope so) — Is Cyber Monday the new Black Friday?

In terms of raw numbers, of course Cyber Monday hasn’t yet replaced the mall.  But in terms of predictiveness, which is more predictive?  Year over Year, offline sales for Black Friday were up 1.6%, with YOY online sales on Black Friday being up approximately 11%.  Then big event, Cyber Monday, showed a 5% increase from 2008 and is the biggest day of sales since tracking of this hallowed day began five years ago. 

So what gives? Are we going to have a flat or booming holiday season?  While the numbers cited above are interesting, there is only one way to handle this type of question in the blog world…anecdotal information!  My brother was in town and, according to my wife, his winter coat was from the 1980s.  While retro is good, you actually have to buy new clothes that look old…it just doesn’t work holding onto your old stuff. 

We hit the malls and it was busy, but according to the Nordstrom and Macy’s sales staff, the Black Friday crowd was similar to a normal Saturday crowd.  There’s not a lot of inventory for winter wear, so we head to REI.  We find the coat, but Dang! it’s pricey.  Being good shoppers, we use the time to find a jacket type my brother likes and my wife barely approves (he’s now moved up to the late 1990s). 

We then go home and hit the online sites for deals.  We find the coat on a great site, BackCountry.com, get 25% off with free shipping (you should check out their blog).  So the offline retail stores acted as a very expensive closet that then benefited the online site.  So, according to my exhaustive research, I think the initial numbers are misleading, and we will have a surprisingly good holiday season.

What are you seeing out there?  Also, is it time for you to update your winter wear?

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Posts Tagged ‘trust’

Small Biz Thankful List

In honor of the day, we are doing our KikScore Small Business Thankful List.  These companies, tools and sites have been helpful for us or other start-up businesses we work with.  Clearly this isn’t an exhaustive list (and feel free to add your own in the comments).  So, in the spirit of Thanksgiving, we here at KikScore are thankful for:

1.  MyBusinessAssistant.com — helping out small businesses manage their, well, their business — via their virtual assistant service

2.  Shustir.com — creating a unique online marketplace and community for new and small businesses.

3.  Design2Print — did a great job on our marketing gear.

4.  Freeconference.com — Free and Conference, need I say more.

5.  WordPress — allowing small business to create an inexpensive way to spread the word.

6.  Twitter/Facebook — I’ll start talking about it soon enough, but social media has been wonderful for KikScore and Small Business in general.

7.  YouTube — allowing Small Biz to create and distribute their own commercials without buying a slew of server space.

8.  Google — providing research resources that 20 years ago would have cost thousands of dollars.

9.  iPhone — providing Small Biz a reasonable excuse for dropping calls (and it’s a pretty handy tool).

10.  oDesk — providing some relief to our development team, with providing a marketplace for Tech contractors.

11.  Minnesota Vikings — because Small Businesses love a winner (okay, i’m throwing that in there to see if anyone is actually reading this).

12.  MicroSoft BizSpark — providing KikScore and a lot of startups, a lot of free software (we really like groove…check it out)

Here’s hoping you’re having a great holiday…we’re most thankful for our readers and customers.

Team KikScore

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Posts Tagged ‘trust’

When to Shut Up About Your Small Business

This post may seem a bit counter-intuitive, since we’ve been evangelizing about the need to promote your business on social media.  We’ve talked about how this blog, and our tweets, and facebook have led to good things for KikScore.  But there are times when you should stop sharing.

Keeping Your Competitive Advantage:  No matter what business you have, there are certain things that you do, or mistakes that you have learned from, that your competitors would love to know.  When we thought up the KikScore service, we took the time, prior to launching, to file a couple of patents.  But patents don’t completely protect your business.  To file a patent, you must disclose exactly what your competitive advantage is — prior to knowing if you’ll get the patent granted. That’s why Coke has never filed a patent on its secret formula…because they’d have to disclose the exact formula.  Same thing goes for your business.  If you do something better than your competitors, it’s a valuable trade secret.  And it’s not just your competitors you have to worry about…you also have to worry about people interested in investing in your business.  This article describes a recent example of a potential investor that, after learning about a business, deciding to forego the investment and just start a similar business.

Going From Enthusiasm to Annoyance:  We’re all excited about our businesses.  And we love to talk about to our family, friends, followers on Twitter, the guy at the bus-stop, and the deranged homeless man asking for money.  Generally, our enthusiasm is viewed in  a positive light.  But what is the fine line between our enthusiasm and becoming a spammer?  The other night, I was having dinner with friends and letting them know how easy it is to automate updates on my facebook page.  My good friend than said “If you go overboard, I’ll do what I’ve done with my other friends and just turn off your updates.”  I realized that I’ve got to make sure not to abuse my friends and over-promote our business, as it will hurt my brand and I will start losing friends.

Feel free to share other instances when you shouldn’t over-share about your business.

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