Posts Tagged ‘economy’

Marketers cut social media presence when they need it most

Wednesday, May 20th, 2009

By Robert Lockard

I have discussed the growth of ecommerce many times in the eHarbor Blog. You can find lots of information on marketers joining ecommerce in my blog entries, “Bucking recession, ecommerce keeps growing” and “Strong sales attract retailers to ecommerce.” I will continue my streak by talking about ecommerce, though in a slightly different way.

Scissors cutting ethernet cable

The main reason companies keep moving into ecommerce is the revenue growth this industry is experiencing each year. During this recession, consumers have cut back on most spending, but they continue to spend more online, making it a popular alternative for businesses to thrive in hard times.

However, according to an article in B to B, a magazine for online marketers, companies are starting to spend less money advertising their services and brands in social networks, such as MySpace, Facebook and Twitter. The article I am referring to is entitled, “Social network ad spending projected to contract this year.”

The growth of advertisement spending on social-media sites has slowed in recent years, from a 129-percent increase in 2007 to 33 percent in 2008, and now an estimated 3-percent loss in 2009. To put it in real numbers, $1.18 billion was spent on social-media advertising in 2008.

Social media is an excellent way for businesses to interact with customers and even gain new ones, so it makes sense for them to jump into this arena. Maybe with all of the cuts businesses are making to compensate for the decline in consumer demand for many products, social media just doesn’t seem as important at the moment.

Ironically, it seems like social-media spending is one of the best investments a business can make, especially in a struggling economy. Consumers are shifting their time and money online, making social networks popular places to reach them. Companies that shy away from social media might be shooting themselves in the foot.

I discussed social media’s many strengths and weaknesses in my blog post, “Facebook’s growing pains could transform social media.” There are plenty of reasons to stay connected with your customers online. Keep trying and stay positive!

The photo of the scissors cutting an ethernet cable is from Flickr, and it is the copyright of nrkbeta.

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Posted in Ecommerce, eHarbor | 4 Comments »

Strong sales attract retailers to ecommerce

Friday, May 8th, 2009

By Robert Lockard

Let’s face it, consumers have cut back tremendously on their spending. Profits are down for many companies, and it doesn’t look like things are improving swiftly.

Water drop flips imageUnemployment is expected to keep increasing, even after the overall economy improves. We shouldn’t expect people to make a whole lot of purchases when they’re not sure if they’ll have enough income to pay for them.

Now is a good time to change our thinking on how to market to our customers.

I read an article on ZDNet, entitled “Forrester: e-commerce ‘better suited to withstand economic downturn’,” which gives some exciting information about the growth in the ecommerce industry, thanks, in part, to the economic downturn.

Ecommerce is a less-expensive way to do business because it doesn’t involve most of the usual costs of doing business in a mall or other shopping center. Plus, it’s cheaper to advertise online than in traditional media, as newspapers have painfully learned.

Most of their online spending is on email campaigns. Social media is also becoming a popular avenue for businesses, although search engine optimization is another way to reach targeted audiences. We had a seven-part series on search engine optimization that might be helpful in successfully implementing it on your website.

This topic is building on ideas I introduced back in March when I wrote back-to-back blog entries on the ecommerce industry: one about how retailers are investing in ecommerce and Web advertising, and the other on how consumers are spending more online.

In the second blog post, I pointed out that ecommerce sales will likely dip slightly in 2009 before increasing again in 2010. However, in the ZDNet article, the author says they might grow by 11 percent to $156.1 billion. Whichever study you look at, it appears ecommerce is outperforming nearly every other retail industry.

Profit attracts competition, so be mindful of how you enter into this market. Be sure to put your best foot forward by using eHarbor, Inc.’s affiliates to guide you through your website design and other important steps.

The photo of the water drop is from Flickr, and it is the copyright of Gaetan Lee.

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Posted in Ecommerce | 3 Comments »

Does Internet’s rise mean news media’s demise?

Tuesday, April 14th, 2009

By Robert Lockard

The Internet has changed the way we do a lot of things. Ecommerce is changing the way we shop for goods and services. Online marketing is proving more popular to advertisers than other forms of media, especially in the current recession.

Old Dallas Times Herald sign

For better or worse, the Internet is changing the news media, as well.

It’s not easy being in the news business. They work hard to analyze stories and write up accurate and up-to-date information, only to have their work quickly summarized and modified for blogs, sometimes with little credit to the original author. There are even a few bloggers who point out all of the misspellings and bad grammar in otherwise good articles.

Often, bloggers practice fair use of copyrighted content by using only a small portion of an article and building their own ideas off of it. I did that with the story on consumers touching products.

Whenever I include an image, which is the property of someone else, I make sure to give credit where credit is due. You might notice my attribution at the bottom of almost every blog entry. I’ve done that from the very beginning.

We appear to be in an age when people like to think of information as free. That can be a good thing, but it can also lead to a lack of credible information in the long term, as news writers lose incentives to generate well-researched stories in the first place.

What inspired me to write about this topic is an article in Ars Technica, called “The newspaper industry’s attack on Google misses the point.” Fascinating read, by the way. I recommend it.

I thought this was an important topic to spend time discussing here in the eHarbor Blog. I hope to keep share more positive stories soon on eHarbor, Inc. and its affiliates: Magellan Commerce, Real Estate Promoter and Submit Solution.

The photo of the dilapidated Dallas Times Herald sign is from Flickr, and it is the copyright of adonis paul hunter / ahptical.

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Posted in Ecommerce, Media | 6 Comments »

Good news: Ecommerce to grow through 2013

Wednesday, March 25th, 2009

By Robert Lockard

Going along with my last eHarbor blog entry on the increase in spending on search engine optimization, this blog entry is on the positive future of the ecommerce industry.

Dog squished into car seat

According to an article from eMarketer, entitled “eMarketer Revises E-Commerce Forecast,” total sales of products online in the United States, excluding travel, totaled $133.6 billion in 2008. That was a 4.6-percent increase from 2007, despite the economic downturn plaguing most industries.

In 2009, when most people are worried about serious contractions because of low demand from consumers, ecommerce sales are expected to hold steady, dipping just 0.4 percent to $133.1 billion.

Even better, total ecommerce spending will grow about 10 percent or more from 2010 to 2013, possibly reaching $203.5 billion in 2013. That is definitely worth celebrating.

As more companies jump into the world of SEO and strive to position themselves online, the ecommerce industry is going to keep expanding. Plus, with consumers looking for deals and convenience in a tight marketplace, many are turning to online sources for goods they used to purchase at malls or regular retail stores.

This is a great time to jump online. I recommend checking out eHarbor, Inc.’s affiliates for help in designing and optimizing your website. These affiliates include: Submit Solution, Magellan Commerce and Real Estate Promoter.

The photo of the dog in the car seat is from Flickr and it is the copyright of exfordy.

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Posted in Ecommerce, SEO, eHarbor | 9 Comments »

Bucking recession, ecommerce keeps growing

Monday, March 23rd, 2009

By Robert Lockard

Great news! The ecommerce industry isn’t showing any signs of slowing down. It’s actually growing in strength, despite the recession. What a pleasant surprise!

Surprised kittens

According to an article in Practical Ecommerce, entitled “Chart of the Week: Search Engine Marketing to Increase,” marketers in the United States are expected to spend $14.1 billion on search engine marketing in 2009. That’s a 16-percent increase from 2008’s $12.2 billion. If it continues to grow at this rate, the amount spent on search engine marketing in the United States could reach $23 billion in 2013.

Search engine marketing is made up of paid-search advertising, contextual advertising, paid inclusion, and search engine optimization. We just finished a series on SEO strategies. I recommend reading those blog entries, if you’d like more information.

You might remember my blog entry on the success of eHarbor, Inc. not long ago. I’m pleased to note this is not just an isolated incident, but an industry-wide one. As the economy sours, businesses are turning more to the Internet for new customers, and getting high placement on search engines, like Google, MSN and Yahoo, is a great way to get their attention.

Be sure to check out eHarbor, Inc.’s affiliates for help in designing and optimizing your websites. These affiliates include: Submit Solution, Magellan Commerce and Real Estate Promoter.

The photo of the surprised kittens is from Flickr and it is the copyright of telachhe.

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Posted in Ecommerce, SEO, eHarbor | 12 Comments »