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An independent study conducted by the Threewide Corporation, revealed that the real estate search engine, Trulia has topped their charts as a real estate lead generator as well as visitors sent to listing broker and agent sites through the Threewide ListHub service.  Threewide’s ListHub works in concert with MLS’s various franchises and brokerages as well as core real estate technologies to bring real estate companies a single dashboard for controlling their online marketing strategy. Threewide analyzed the traffic sent to clients from their syndication feeds to get results for this study.

The study analyzed approximately 600,000 listings sent from MLSs and brokers to 17 of the largest real estate sites including Yahoo! Real Estate, Frontdoor, Zillow and Cyberhomes to name a few. Below are some highlights from the survey findings:

• Trulia generated the most leads in this period with almost 12,500 - over 30% of all client leads generated through the 17 real estate sites
• The second closest company had just over 15% of all leads and the 3^rd just over 12%, with the top 5 making up almost 80% of all leads sent to brokers and agents
• Trulia had the highest percentage of visitors sent to ListHub’s broker and agent clients with over 35% of all home buyers/sellers sent to ListHub clients
• Over 8,000 listings received at least 1 lead from a consumer coming directly from Trulia, with the nearest company sending traffic resulting in leads for a little over 3,600 listings

“Trulia has delivered an incredible number of potential homebuyers to our broker/agent customers because they are consistently among the top consumer traffic generators in the ListHub network,” said Mark Wise, COO and Co-Founder of Threewide. “As a result of this traffic, we are also seeing more and more MLSs sending all of their listings to Trulia helping their broker/agent customers sell their listings in today’s market. We are very excited to see all of our customers realizing the importance of working with Trulia within the ListHub Network.”

According to the findings of a recent consumer sentiment study, performed by L.E.K. Consulting, show that consumers are planning dramatic shifts in their personal spending through the end of the year and into 2009. These anticipated shifts in spending vary by category, but the changes appear to be more lasting than in previous downturns.

L.E.K.’s research confirms that people:

• feel their personal financial situation has worsened dramatically,
• are determined to get their financial house back in order, and
• have made specific plans to alter their buying habits to achieve that goal.

Personal Savings vs. Personal Consumption

Until the recent disruptions, consumers believed that they were accumulating wealth in real estate and the stock market—and this persuaded them to save very little and spend a lot. As a result, over the past six decades, personal savings declined significantly, while personal consumption rates continued to increase.

This consumer research suggests strongly that at least in the near term, both of these trend lines will reverse direction, perhaps dramatically. An end to “easy credit” will certainly have an impact, but there appears to be an even broader psychological shift at work. Savings will increase and consumption will decline commensurately.

“This trend represents a startling reversal, with huge implications for the economy,” said Andrew Rees, L.E.K. Vice President and co-author of the study. “If consumers do indeed move the savings rate back to the average over the past 20 years—around 7 percent—that will take between $115 billion and $120 billion out of the consumer economy on a quarterly basis.” He added, “In the short term, our research suggests they’ll probably do more than that. For instance, if they save at a rate of 10 percent, which has historic precedent, it could take as much as $200 billion out of the economy each quarter. The implications for the retail industry are enormous.”

To put that number in perspective, the entire consumer-stimulus tax package enacted last spring totalled less than $150 billion.

Discretionary vs. Non-Discretionary Expenditures across Retail Categories

The study findings further revealed how consumers rated various categories of expenditures from “least discretionary” to “most discretionary.” Staple goods such as groceries, household cleaning supplies, and health products were rated least discretionary, while items such as jewelry, sporting equipment, and home décor accessories were rated most discretionary.

In analyzing these consumer choices, Dan McKone, L.E.K. Vice President, and co-author of the study noted, “Not too many surprises here for most retailers and brand managers. But digging down deeper, our research reveals a host of interesting choices that consumers are now making about their purchases. For example, although “Cosmetics” and “Intimates” rank fairly close together—that is, on the lower end of the discretionary-spending scale—it turns out that consumers intend to cut their spending on cosmetics by less than 10 percent, but are prepared to cut their spending on intimates by between 10 and 20 percent: i.e., twice as much. Therefore, consumers may define cosmetics as “discretionary,” but they’re not yet prepared to give them up.”

Implications for the Retail and Consumer Products Sectors

Ultimately, some retailers and brand managers are simply hoping for the best—i.e., adopting short-term tactical measures and praying for a quick recovery. But all indications are that this recession will be longer and deeper than those in recent memory. And as we all know too well, consumer confidence drives the retail and consumer products sectors—and consumer confidence has fallen to levels not seen in decades.

To help retailers and consumer products players successfully manage through the downturn and be positioned for growth in 2009, Rees and McKone recommend the following:

• Quickly recognize the current slow down in consumer spending is likely to be sustained
• Ensure cost cuts and capacity are consistent with these new revenue realities
• Look for opportunities to enhance strategic position relative to competitors
• Explore incremental opportunities in adjacent segments

Mass layoffs, the stock market collapse and fears of a long recession haven’t put a dent in men’s shopping plans for the holiday season, according to a new survey released today from Break Media, the Internet’s premier entertainment community for men. The independent survey of Break.com users aged 18-34 finds that men will spend aggressively, skip bargains, and flock to stores for video games, computers and clothing in the next month.

“Young men appear to be more afraid of offending their parents, girlfriends, or spouses than of going into even more debt,” said Keith Richman, CEO of Break Media. “Their love affair with the latest smart phone, video games and other gadgets will continue to drive their spend this holiday season.”

What Economic Trouble? Men Want What they Want – and they Want it Now!

• Nearly 40% of men will be buying themselves a gift this holiday season…guys know themselves best!
• More than 70% indicate they will spend the same or more this holiday season.
• Surprisingly, nearly 90% of men say that it will NOT be difficult for them to foot the bill for their holiday shopping this season. A mere 11.5% say they will not be purchasing gifts this year.
• Nearly 70% of men don’t have a budget for shopping this holiday season; almost 40% say they plan to spend $250 or more, with half of those men planning on spending $500 or more.
• More than 60% are not bargain hunters and will pay full price for holiday gifts, rather than waiting for items to go on sale.

What’s Hot, What’s Not

• What do men aged 18-34 want most this holiday season? Video games come in first at 16.3% with clothing/apparel and computers tying for second at 11.9%. Other top gifts men say they can’t live without this holiday include MP3 players, sporting equipment, gaming consoles and new mobile phones.
• Not surprisingly, home furnishings and grooming gifts came in dead last on men’s holiday wish list.
• Over 1/3 of men surveyed think the Apple iPhone is the coolest phone in stores this holiday season, with the Blackberry second in-line at about 20%.
• According to men aged 18-34, the top three “cool” TVs in stores this holiday season include:
  • Sony Bravia 52” 1080p LCD (31%)
  • Sharp Aquos 52” 1080p (21.6%)
  • LG LG70 Series 52” 1080p (18.1%)

Online Shopping Growing, But Men Still Opt to Shop In-Store

• Most men surveyed plan on hitting the pavement this holiday season with over 70% opting to shop in stores versus on the Internet.
• Deloitte’s annual holiday survey found that 21% of consumers plan to shop primarily or entirely online this season, up from 19% last year. Comparatively, for Break’s demographic of males aged 18-34, this figure was even higher at 28%.

Credit Crunch

• Only 25% of men surveyed plan on using credit cards to pay for their holiday gifts this season with the majority relying on cash or debit.

Who Loves You Baby?

• A whopping 88% of respondents plan on buying gifts for their parents this holiday season; siblings are the next in line at 65.9%; girlfriends and friends both come in at about 40%.

Black Friday and Beyond…

• Almost half of men aged 18-34 indicate they like to get their shopping done right after Thanksgiving and in early December. A surprising 20% of men make up the last minute shopping set…better late than never!

What's Your Marketing Risk IQ?

Marketing is a risk intensive endeavor, there is a wide ranging risk vs. reward matrix which can bring even the most innovative experts to their knees. So why am I telling you this? Because strategic marketing is necessary in order to consistently increase sales and revenue.  The following three marketing tools are excellent tools to help you spread the word about your company.

Corporate Blogging

Corporate blogging is a multi-faceted social media marketing outreach tool for your company that produces long term results with minimal risk. You are able to dramatically increase your brand’s online web presence through blog postings and social media syndication. If you are not blogging, make sure you place it as a top priority for your company since it involves minimal risk with a high ceiling for results.

Performance Based Marketing

Performance based marketing is an excellent advertising mechanism since there is little to no risk for you as an advertiser. You only pay when you receive an order, lead or visitor.

Public Relations

If you are looking for your company to receive online or offline press exposure, a strong PR push is required. This does have a higher risk compared to performance-based marketing services since the fees are higher and there are no guaranteed results. However the rewards are potentially exponential. Several companies such as Facebook and YouTube built their businesses purely on a solid public relations and press outreach strategy.

In the current economic condition of the nation, it is key to make every penny of your marketing dollar count, so choose wisely.

Is it possible to stay in a business relationship after a lawsuit?  Well, a recent case study would give a resounding yes.  This week, Insituform Technologies announced that it has settled its lawsuit against Per Aarsleff A/S, the Company’s joint venture partner in Germany and the United Kingdom and a former licensee of the Insituform CIPP process in Northern and Eastern Europe, Russia and South Africa, which proceeding was pending in Memphis, Tennessee. In connection with the settlement, Per Aarsleff will pay the Company $8.5 million in a lump sum in the next ten days.

In June 2005, the Company filed a lawsuit in the United States District Court for the Western District of Tennessee against Per Aarsleff A/S and certain of its subsidiaries and affiliates seeking, among other things, monetary damages for the breach by Per Aarsleff of its license and implied license agreements with the Company and for royalties owed by Per Aarsleff under the license and implied license agreements. Per Aarsleff had made counterclaims against the Company in the litigation as well. As a result of the settlement, each side has provided general releases to the other and neither side has admitted liability on any claims in this litigation.

Per Aarsleff remains a 50% partner in the Company’s German joint venture and a 25% partner in the Company’s manufacturing company in Great Britain.

There is a rivalry that many people are not aware about, however it has been going strong for over a decade, and it doesn’t seem to be slowing down anytime soon.  The rivalry is between Silicon Valley (Northern California) and Silicon Alley (NYC).  Both sides position themselves as leaders in the tech sector, however it is my opinion that these two rivals need each other to survive, especially in the current economic climate.

If you are under the preconceived notion that technology is technology regards of where a company is located, you would be wrong.  There are many noticeable differences:

Silicon Valley is made up of young CEO’s walking around wearing flip flops, and talking on their iPhones (please forgive the stereotype, but if you’ve spent time in San Francisco, you will agree that I’m not too far off). Silicon Alley is made up of executives in business attire, who seem to prefer writing down notes with pen and paper (crazy, I know!).

However there is one key differentiation point between the two that makes them partners for life:

• Silicon Valley is heavily focused on Innovation
• Silicon Alley cares primarily about monetization

This is why the two parties need each other.  Silicon Valley entrepreneurs typically launch ad-supported businesses that rely on sponsors and marketing revenue.  And Silicon Alley is home to the world’s largest and most prestigious ad agencies, and these enterprises NEED silicon valley websites and applications in order to distribute their clients’ campaigns.

The further I investigated the two rivals, the more I noticed that their success and survival is determined by how well they work together.  Companies such as Google have made solid attempts to gain these advertising dollars, however no one has truly bridged the gap between the two mindsets.  And it is my opinion that the current recession will force the two parties to begin working together. So the current market correction may prove to establish long term partnerships that otherwise never would have occurred.

Yes, the turbulent times are here. Between the rollercoaster ride stocks are taking, the ever-tightening credit crunch, and a slumping labor market, things are shaky at best. Given the current environment, any business that can’t stay flexible is bound to suffer. While payrolls and employee headcounts continue to shrink, companies are getting more creative as the fight for business intensifies. One way they’re staying competitive is by realizing a flexible workforce with on-demand staffing.

“A flexible workforce in turbulent times is the key to success,” says Outsource Telecom’s CEO, John Lowell. “Companies need to stay small to minimize overhead, but act large to successfully bid on projects they otherwise couldn’t perform on their own.”

One company I’ve found that can help out with this is Outsource Telecom, who has been able to provide on-demand staffing to companies across the nation who, in times like this, rely on adaptation to survive. “It’s too risky, expensive, and time-consuming to hire and train full-time employees,” Lowell explains, “and companies know this.” In a project-based business environment, flexible staffing allows you to bid almost any project, whether they need ten people, 100 people, or anywhere in between. Even as a sole proprietor, you will have the staff to get the job done.

As companies further tighten their belts and trim costs, the necessity of specialized labor becomes clear. Having a field staff of five to ten installers isn’t enough to win large projects and compete successfully in this market. Of course, the paradox here is that most can’t afford a full staff of specialized labor. So how do you scale up for a large project without permanently committing to high fixed payroll costs?

“That’s easy,” according to Lowell, “…a specialized niche staffing firm like us allows you to beef up when you need to… And when you need them is when you have several projects, which in turn, is when you’re making money. When the jobs are over we take the crew back and they are gone. We tell our clients to stay small but act large!”

The more you read the news, the more sense on-demand staffing makes. Budget cuts? Check. Reduced payroll? Check. Reduced workforce? Check. The ability to successfully bid on virtually any project? Check.

We asked Lowell where he saw this industry during the recession: “It will absolutely take off…as companies realize they can be a 50 employee company with the payroll and an overhead of five.”

Amidst overall economic mayhem, the advertising industry is undergoing a massive shake-up. Shrinking traditional media budgets appear to be making way for an increase in online marketing dollars, as Internet advertising is a potent alternative for advertisers seeking clear, measurable return on their ad spend. The influx of dollars and advertisers brings great opportunity to Web sites, but also exacerbates a long-standing problem for top-tier publishers: the risk of inappropriate ads showing up amidst their high-end content. the Rubicon Project, an online advertising technology company, has created the industry’s first comprehensive solution to stop unwanted (e.g. those that contain adult content or promote competitive brands) ads in their tracks – protecting Web publishers and preventing inventory loss for ad networks at a crucial time for the industry.

the Rubicon Project’s Ad Quality Protection Program combines proprietary data-driven technology and unparalleled round-the-clock account support to provide publishers with a deep and proactive security layer that prevents undesirable ads from making it onto websites and in front of consumer eyes. For publishers, the Rubicon Project acts as an extension of an in-house ad-operations team, constantly ensuring ad quality standards aren’t compromised. Specific highlights of the Ad Quality Protection Program include:

• helix, a patent-pending artificial intelligence technology that auto-detects and flags inappropriate ads based on image content. Algorithmically driven, helix becomes smarter with every image it processes;
• Proactive screening of all publishers’ networks to ensure ad quality standards are upheld;
• Pausing of any offending ad tags until the problem is resolved. To date, 20,000 ad creatives have been frozen that, unchecked, would have been viewed by consumers as many as 40 million times;
• Ad Tag Screener, which allows publishers to directly pause offending network tags any time, day or night;
• Certification of every ad network to ensure compliance with each site’s ad quality standards before providing access to premium publishers;
• Pre-screening of all campaigns before they go live, as well as ongoing review of all advertising creatives to ensure ad quality standards are upheld;
• Dedicated account management team committed to meeting publisher’s business goals providing 24/7 operations support.

the Rubicon Project estimates that the absence of an across-the-board solution to filter unwanted ads can put up to 30% of publishers’ ad revenue at risk. The impact of unwanted ads damages a publisher’s brand value and reputation on multiple fronts by creating a negative user experience and driving away site visitors and the revenue they bring; de-valuing ad rates, which handicaps a sales team’s ability to sell at rate card prices; and alienating premium advertisers whose quality creative can be degraded by placement next to an offending ad.

“As a premium publisher that needs to maintain tight control over inventory running through ad networks, being able to manage the context of ads that appear on my site through ad networks is crucial,” said Andreas Droste, VP Sales & Marketing, Salon.com. “Working with the Rubicon Project has been a relief. We no longer worry about ad quality affecting our brand or rates, spend hours managing the filtering of new ads or deal with the stress of policing ad networks. We feel safe knowing the Rubicon Project is taking care of it for us and is maximizing revenue without sacrificing any of our standards.”

Ad networks also benefit from the Ad Quality Protection Program. Working with the Rubicon Project prevents them from unintentionally serving undesirable ads, which is often grounds for immediate termination by publisher clients representing crucial revenue and quality inventory.

“Ad quality is the #1 risk top-tier web publishers face. Our goal is to help publishers protect their brand and make sure the user experience isn’t sacrificed or violated by providing technology and service that directly addresses and solves top concerns of ad quality,” said Frank Addante, CEO and co-founder of the Rubicon Project. “We aim to improve the efficiencies between ad networks and publishers to create a more harmonious and lucrative online advertising industry, especially in these trying economic times. No one else is providing the same level of support and innovation for publishers when it comes to ad quality.”

We have talked extensively on this blog about how important it is to incorporate your business, and how the best option for many small businesses is to become an LLC or Limited Liability Corporation.  However in this post I want to go into detail on the practical advantages for LLCs.

Check-the-box taxation

An LLC can elect to be taxed as a sole proprietor, partnership, S corporation or C corporation, providing much flexibility.

Limited liability

Meaning that the owners of the LLC, called “members,” are protected from some liability for acts and debts of the LLC, but are still responsible for any debts beyond the fiscal capacity of the entity.

Some of the other advantages include:

• Much less administrative paperwork and record keeping than a corporation.
• Pass-through taxation (i.e., no double taxation), unless the LLC elects to be taxed as a C corporation.
• Using default tax classification, profits are taxed personally at the member level, not at the LLC level.
• LLCs in most states are treated as entities separate from their members, whereas in other jurisdictions case law has developed deciding LLCs are not considered to have separate juridical standing from their members (see recent D.C. decisions).
• LLCs in some states can be set up with just one natural person involved.
• Membership interests of LLCs can be assigned, and the economic benefits of those interests can be separated and assigned, providing the assignee with the economic benefits of distributions of profits/losses (like a partnership), without transferring the title to the membership interest (see, for example, the Virginia and Delaware LLC Acts).
• Unless the LLC has chosen to be taxed as a corporation, income of the LLC generally retains its character, for instance as capital gains or as foreign sourced income, in the hands of the members

Constellation Energy, The Murphy Firm and the Law Offices of Peter Angelos today announced that the parties have reached a settlement agreement regarding a class action lawsuit filed by residents in Gambrills, Md. who alleged they were damaged by the use of coal ash to reclaim a sand and gravel quarry in Anne Arundel County. The settlement is subject to approval by the Circuit Court for Baltimore City.

The settlement provides for:

• The connection of 84 households, previously supplied by private wells, to public water;
• The establishment of two trust funds to compensate affected property owners and provide site enhancements in the neighborhood;
• The remediation and restoration of the former quarry site; and
• The commitment to cease future deliveries of new coal ash to the quarry.

The costs and benefits of these expenditures and improvements currently are estimated to be $45 million.

“The settlement in this case marks a milestone in Maryland environmental and legal history. When we filed this case we challenged Constellation Energy to step up to the plate. With this settlement they have done just that - enhancing and preserving the quality of life of this entire community,” said Hassan Murphy, managing partner of The Murphy Firm. “This settlement comes at the end of a legal process characterized by long, hard fought, but good faith negotiations. The settlement serves the plaintiffs’ personal and economic rights and provides for their future safety as well as long term restitution. The Murphy Firm along with The Angelos Firm is honored to have played a decisive role in bringing about a speedy, equitable solution to a significant problem which presaged potential long term, dangers to both the environment and human well-being. We appreciate Constellation and its legal team for their commitment to working out a solution which best serves all parties - sooner than later.”

”We are pleased to have reached a settlement which we believe is beneficial for the residents and the community,” said John Long, president of Constellation Power Generation, a subsidiary of Constellation Energy. “We view this as a constructive solution that resolves all outstanding issues and affirms Constellation Energy’s commitment to the environment and the communities in which we operate.”

From 1995 to 2006, Constellation Energy placed coal ash at the Waugh Chapel and Turner gravel quarries under an agreement with site operator BBSS Inc. The placement of coal ash at the site was permitted by the Maryland Department of the Environment in order to reclaim excavated portions of the site for future development. The coal ash, which is the residue that remains after coal is burned from coal-fired plants, originated from Constellation Energy’s H.A. Wagner and Brandon Shores power plants in Anne Arundel County. More information about coal ash is available at www.communityashupdate.com