In my search this morning for replacement razor blade heads I ran into an interesting product bundle at Norelco. They are actually throwing in a car adapter to keep your razor charged or active in the car!! Of course I ordered one right away, even though I don’t have a car. It’s actually the compatible part for my razor so there’s no option on the car adapter, but I suppose it might come in handy one day. I’ve actually shaved on the way to work in previous jobs… when I was driving to work and of course very late. I guess that’s part of the attraction of the electric for some people? Amazing there’s no warning anywhere in sight…
UMD Rentals?
How long before we see UMD titles in Netflix and Blockbuster… or another service designed around games like Gamefly.
It’s a good week to be in the photo business…
Flickr was just sold, and now it’s Snapfish’s turn. Hewlett-Packard today said it has signed a “definitive agreement†to purchase the online photo album and processing company Snapfish, according to the H-P press release. [Reiter’s Camera Phone Report]
The Drugs I Need
via Jaffe Juice… The Drugs I Need an all too real parody of Prescription Drug Advertising. The movie was paid for by the Consumers Union and is designed to get letters written to congress if you choose.
Two New Google Blogs
via TUGW… New CNET Google Blog
And I received an email today announcing a new Google blog called Google Tutor, which seems like a pretty good place to learn about the Google tools and services
AT&T Net phone disappoints
That’s the headline at News.com… and something of an massive understatement when you read the report. Somehow, AT&T CallVantage has only attracted 53,000 customers yet they’ve spent millions of dollars on high powered mass media – remember the TV last fall?
I’m not sure why people are not choosing AT&T over say their cable company or Vonage amongst others, but it’s fascinating.
Missing the Mac Opportunity
Om Malik’s latest in Business 2.0:
But I think these companies are focusing too much on the numbers and missing the more promising opportunity. Why? Because rolling out a product for the Mac platform ensures a certain buzz and élan, which begets more buzz, which begets sales. Let me explain. By some estimates there are 5 million active Mac users. Not a lot, that’s for sure. But among them are most of the influencers — high-profile bloggers, most (if not all) technology journalists, and, of course, the hipsters.
I tend to agree with Om, and not just because I am a Mac user. While the market share is grossly disproportionate, PC users are by no means guaranteed to pay. Mac users on the other hand are seriously loyal to quality products that enable a positive experience.
I think the main issue though with some of the startups Om reflects on is DRM. Windows Media has it, Quicktime does not and the Mac WMP is not as capable in handling DRM – no version 10 yet. Without that safety net it’s going to be tough to push the convergence products like Sling or Orb without the nasty cease and desist or worse lawsuit from the MPAA or RIAA.
Tivo lands Comcast!
Amazing news for Tivo as they fight back up the stock market… Next year will be a big year for Tivo for sure. They’ll have a dual-tuner HDTV cable card box and installs in Comcast’s vast network. If they can successfully embed the service within the existing dual-tuner hardware as this news notes through a software download, it should be a major home run for consumers as well as for both Tivo and Comcast.
NEW YORK (AP) – TiVo Inc. (TIVO), the struggling pioneer of digital video recorders, will make a customized version for Comcast cable subscribers, the two companies announced Tuesday. TiVo’s share price soared.
The move will increase TiVo’s presence in American homes as it faces competition from generic DVRs offered directly by leading cable companies. Comcast Corp. (CMCSA) expects to begin marketing the new DVRs, which will carry the TiVo brand, by mid- to late 2006.
“The strong TiVo brand, the clear track record of customer loyalty it has and its cutting-edge features make this a terrific partnership and exciting new product for Comcast,” Steve Burke, Comcast Cable president, said in a statement.
The deal calls for TiVo to adapt its software to work on Comcast’s existing DVR platform, and it allows TiVo to extend to Comcast subscribers the advertising it sells in the form of interactive video clips that automatically appear in the TiVo menu. [My Way]
AT&T softphone coming soon?
SIPthat.com reports on the alleged pending AT&T Softphone. I hope they actually offer it as a value-add rather paid add-on as Vonage currently does. Ideally you’d be able to utilize the softphone as an extension on your existing account. We’ll hopefully see soon …
Adventures in Skype
Stuart Henshall is on the bleeding edge of the Skype curve but his usage and observations are certain to pass on quickly to a more mass oriented market. He’s lucky enough to be using SkypeIn (in early beta on Windows) as well as SkypeOut (available to all now) and sums up the experience pretty simply:
….when call quality all the time is better than the PSTN, it is simply dead.
VOIP is here to stay. It’s only a matter of time until the costs of competing force all voice to go this way. Vonage, ATT, Time Warner and Cablevision are pushing it as broadband phone service, while the Skype P2P model takes it a to another level. Now that they are beginning to rollout a more complete product with a static number and voicemail, the market is going to get an even more serious boost.
Keep watching the Skype Journal for more interesting developments. I’ll be especially interested to learn what happens as Stuart’s daughter pulls her friends in through IM to Call usage. I personally like the integrated IM as well… though I am not a teen or tween for that matter.
‘The Knot TV’
This is a cool move and one I have a feeling will do quite well. Wedding planning women (primary audience) are known to be somewhat compulsive in their quest for information. The Knot already has a great target group and they can easily market this to members within likely Comcast neighborhoods. Even if this is primarily advertorial (ala Scripps TV), I think it could do very well if done right.
Last year The Knot inked a video-on-demand deal with Comcast, now the wedding website announces it’s launching a 24/7 online video stream. [Lost Remote]
Comcast – Ads on Demand?
Even as a free channel, I just can’t see this being all that popular. The only time people actually look forward to commercials is during the Superbowl. I’d like to see more creative ways to integrate messaging within content – either as a story component (though perhaps less crass than the Apprentice) or product placement (Alias and 24 are good examples).
Digital cable subscribers in the Baltimore area will soon be able to watch commercials when they want, as Comcast Corp. will launch the area’s first advertising-on-demand service during the second quarter this year.
Baltimore will be just the second market to receive the offer, after Comcast’s hometown market of Philadelphia. Digital cable subscribers who, for instance, are hunting for a new car can get more product information from this longer format ad versus a 30-second commercial.
Otherwise, advertisers may miss out on key consumers who want their product but are not watching television when an ad airs, Comcast officials say.
Marketing experts say the move heralds a new era in television advertising, which is feeling the squeeze from digital video recorders and even Comcast’s own video-on-demand service, which allow consumers to bypass commercials.
Executives at Comcast Spotlight, the firm’s advertising sales division, will pitch the service to 30 firms over the next three weeks. These include local, regional and national advertisers who want to reach Baltimore consumers, said Jeff Basler, director of sales at Comcast Spotlight. [bizjournals.com]
Sex Sells…
This is a great execution from SFR… a bit too much for the nipple-gate sensitive US, but still funny. Keep the personal, personal.
Failures of Technology Marketing, Opportunity for Apple
Michael Gartenberg sums up a few thoughts I’ve also had over the past few years. While Tivo is cool it’s far from a success. Microsoft Media Center is very cool, but also still a niche product. Apple has the brand, the product design and software know-how to design and deliver a mass-oriented living room grand slam. Until they do though there will continue to be a variety of options that get close, but involve a fair degree of user involvement and wife frustration.
One of the themes I keep coming back to is the failure of tech companies to market well to mainstream audiences. There’s been a loss of the ability to appeal to both passengers and sailors. Some folks are doing this well and reaping success. Don’t believe me? How many flash based MP3 players are folks willing to wait 4-8 weeks to purchase? How many TiVos (or any DVR for that matter) were sold over the last seven years? (our research says it’s about a 4% install base) See my point?
If Apple believed that consumers are interested in consuming digital content (as opposed to creating movies and music) other than music (and they are), I believe they could be dominant. Not strong. Not a player amongst many. Dominant. It’s a good thing for Microsoft and others that Steve Jobs doesn’t believe in a 10′ UI for PCs, or that consumers are interested in recording TV shows or movies on a personal computer (for TV playback) or in mobile video. [Michael Gartenberg]
AT&T Beats Vonage to SOHO
Andy notes AT&T’s push into SOHO with CallVantage…
AT&T Begins Marketing VoIP to the SOHO Community
The SOHO market represents a very large, and really untapped marketplace for VoIP. While I half expected Vonage to come out with an offering, it seems that AT&T beat them to the punch.
On the surface the new product offering appears to be very well thought out, and leverages the already existing infrastructure AT&T has for VoIP. [VoIP Watch]
Why not to Pay the Napster Taxman
Pretty interesting analysis on the Napster To Go service – especially interesting after seeing their spots in the superbowl. As someone who digitized his whole collection I can fully relate to this. I still wouldn’t mind topping off the tank though, but I guess I would prefer it come through iTunes so I could continue have a single, simple management system for all of my music.
From where we sit, the math doesn’t break down terribly well in Napster’s favor.
Let’s take a look at consumer A. This consumer goes to Amazon.com and does a search for Creative – one of the Napster supported music device makers – and picks up a 20GB player for $249.99. Let’s assume he keeps the device for three years, paying Napster all the time. That’s $538 for the Napster service, bringing the three-year total to $788.19.
Consumer B types iPod into the Amazon.com search engine and finds a 20GB device for $299. Apple doesn’t offer a subscription service, so this customer has to buy songs at the 99 cent rate or at $9.99 per album. Subtracting the price of the iPod from the $788, consumer B would have $489 left over for music. That’s roughly worth 489 songs or 49 albums.
We posit that during this three-year period both Consumer A and Consumer B will actually end up with close to the same number of songs on their devices. Customers do not, as Napster suggests, pay $10,000 to fill their iPods with 10,000 songs just because the capacity is there. They take their existing music, CDs and MP3s, and put that onto the device first, then later add iTunes songs as they go along. A Napster customer would have a similar mix of old music and new downloads.
The big difference here is that after the three years are up, Consumer B has something to show for his investment. He still owns the music. If the Napster customer stops paying for the service, his music is all gone. He’s paying $179 per year to rent music. This isn’t high quality stuff either. It’s DRM (digital rights management)-laced, low bitrate slop. [The Register]
Superbowl Ad Coup
The Beer wars continue as expected in the Superbowl this year…
I thought it was pretty amazing that Miller not only directly referenced the new Budweiser Select beer, but they did so in an ad that appeared two times before Bud ran their own spot. Not sure how much was luck and how much was paid placement, but it certainly makes you question the Bud product.
Still thinking about the commercials as they roll…
I though the Go Daddy ad was pretty lame. Hot chick, almost reveals breast and obviously not net-literate. I’m sure Go Daddy’s Parsons thought it was great… As someone who was actively involved in that space for quite a few years, in my opinion, it was a waste. I guess they are just trying to bust (pun intended) out of the existing customer / convert customer.
I can’t believe how much money Career Builder is spending… that’s 3 so far a nice 7.2 Million on ads.
I did like the P Diddy Diet Pepsi ad. I also liked their iPod Promotion spots. They continue to be hip without forcing it on you.
An Open Letter to palmOne
Dear palmOne –
Lately a number of us have become increasingly more frustrated with your marketing and communications efforts dealing with the Treo 650 release. I appreciate there are complexities working within carrier restraints based on contractual obligations, but I don’t understand your decisions to simply refuse to communicate directly with your core user base.
There are few devices that have captured attention as much as the release of the upgraded Treo. Many existing users have coveted the device, though few have had success acquiring information about the version of the device they would like to have – let alone the device itself. You seem to have made a considerable effort to attract early adopters to events, even encouraging and tempting them with coupons for discounted new units, yet offering no information in return for collecting our credit card info.
As of this week you had yet to even release the full allotment of Sprint Treo 650’s to Vienna Channels, leaving about 200 people without a new Treo. It’s hard to understand how 200 units hurts the relationship with a carrier when these very customers would be either establishing or extending their existing contracts with Sprint.
The GSM version has been a complete disgrace. There are only about 500 people who have ordered either an unlocked or Cingular version of the Treo 650. This is a very low number and one that again could not possibly damage a relationship with a carrier hoping to sell many thousands if not hundreds of thousands of units. Based on some limited quantitative research, these are mainly existing Treo or Palm users looking to upgrade, not new customers. They are also people who attended an event per your invitation and responded to your offer to order a new device at a welcome discount.
The event I attended was in the beginning of October 2004 and since that time there has been zero contact from you. There has only been limited contact from Vienna Channels your fulfillment partner as well putting them in the uncomfortable position of having to direct us to a self-service page which lists the same “no answer” we’ve been hearing all along.
I’ll give you the benefit of the doubt and round the total numbers up to 2000 total Treo 650 units sold directly through the event channel. Not exactly a stellar success in big picture terms is it? Why not embrace these individuals and take advantage of the free press and word or the early adopters would most likely bring based on their own usage. That would certainly increase the visibility far beyond the few total sales generated… Instead you’ve left many of us high and dry.
Recently you invited much if not the same exact group of people to a Highlights event from the fall Road Show and instead of presenting highlights, you chose to represent verbatim the show we had all seen. It was clear from the number of questions (you chose to answer in private no less) that this was not the expected show we had taken the time to view. What is going on inside there? Have you simply given up, or have you just decided that we’ll all just upgrade anyway so why bother? You realize that palm is far from the only choice and devices from other manufacturers exists with and without palm software that can also integrate into our digital lives… Microsoft has been extremely aggressive getting new releases of the OS out on devices with an extended list of partners. Symbian just announced the latest version of their operating system with an array of hardware parters and I have to tell you it sounds great!
By the time you ship the unlocked units “many” of us have ordered, it will be the end of Q1 2005 according to the news you’ve shared with Vienna Channels this week. That’s 5 months after we ordered our new units! I’m sure many companies wish they could secure orders for a future product so far in advance.
In an ideal market, you would embrace and properly communicate with the palm and specifically Treo community. There are quite a few community news and gadget sites, not too mention personal blogs that all receive an enormous volume of traffic and could be a considerable extension to whatever limited marketing you’ve done. BTW — I thought the TV you ran this past year was a waste of effort and money given the cost of media and the lack of targeting in such a channel. That however, is a topic for another conversation….
Give us what we want, palmOne. Ship the GSM and the Sprint Treos today. There is no reason to wait longer and there is certainly no reason to think that less than 2000 units will hurt anything… it’s barely scratching the surface of what I presume are some grand sales goals. Give back to the community that has supported you. We have been waiting.
Yours truly,
Jonathan Greene
Time Warner Cable gets AOL
As noted by Charles Cooper for CNET, it probably is too little too late, but still an amazing detail. I can’t believe they waited this long… oh wait yes I can.
Time Warner Cable finally decided to offer free America Online accounts to its high-speed Internet customers. Considering the resemblance of the company’s sprawling fiefdoms to the Byzantine Empire, the announcement is no inconsiderable achievement. From the outside looking in, it’s yet another indication that management’s no longer clueless about how to exploit its strengths. [CNET]
What’s the right cell phone term length?
I noticed an offer from Treocentral today for a $99 Treo 600 which as you might expect comes with at least one string attached. In order to get the deal, you have to sign up for a new plan with Cingular for 2 years. If you are an existing Cingular customer, you are not welcome to this deal, period You also have to hope that the mail-in rebates get processed appropriately.
I signed up with T-Mobile in November of 2003 and am waiting on my 3rd phone in just over a year of business. I know I am far from the average customer, but what’s the ideal contract length if any? We are so completely accustomed to subsidized hardware in exchange for a contract term, but from what I understand it’s more of a US-centric view. How would you feel buying the Treo 600 today but knowing you are locked in without the ability to upgrade to the 650 at some later point without penalty?
In my case I purchased a phone with plan (SE T610), upgraded to the Treo 600 via Craigslist grey market and am waiting on an unlocked Treo 650 I ordered through a Palm event. I can certainly take the unlocked Treo 650 to any GSM carrier in the world and it will work. Actually my Treo 600 can do the same trick since I unlocked it as well. The thought of being bound is the old way. I can take my number with me when I go somewhere just as easily as my phone.
