diciembre 26, 2004

Malcolm Gladwell has a new book on the way

The author who inspired the current viral marketing/customer evangelism/whatever-else-people-are-calling-it is coming out with a new book: Blink.

Malcolm Gladwell, whose first book The Tipping Point was a surprise bestseller, is now seeking to understand how people make snap judgments.

From a review
Utilizing case studies as diverse as speed dating, pop music, and the shooting of Amadou Diallo, Gladwell reveals that what we think of as decisions made in the blink of an eye are much more complicated than assumed. Drawing on cutting-edge neuroscience and psychology, he shows how the difference between good decision-making and bad has nothing to do with how much information we can process quickly, but on the few particular details on which we focus.
If the book is anything like The Tipping Point, it will be well-written and provoking. Which I think is really all anyone can ask for in a business book.

Blink's release date? January 11th, 2005.

diciembre 25, 2004

I have opened a currency trading account...

and I am not afraid to use it. That is all.

Merry Christmas!

diciembre 24, 2004

Budweiser Select

I've been getting alot of hits for searches Budweiser Select, Bud Select, or other variations on the theme. This means there must be some buzz going around, as I'm not even that high in the search engine rankings.

I'd been travelling for the past few days, so I haven't bought Budweiser Select to try it out. I intend to buy some Bud Select after Christmas and give some sort of review.

In the meantime, if anyone has tried out Budweiser Select, I'm interested in hearing from you. Let me know your thoughts.

diciembre 15, 2004

Budweiser Select and viral marketing

I often cruise down the beer aisle at my local HEB (best supermarket ever!), though I purchase only extremely rarely. [Extremely rarely = whenever a 12pack of Shiner is on sale for $9. And then you make several purchases. -- ed.]

In that last month I've noticed a new, attractively-packaged Anheuser-Busch (A-B) product called "Budweiser Select." I took note of it because I thought A-B might have simply renamed Anheuser World Select, a relatively new premium lager. I've been curious as to whether or not Anheuser World Select would succeed. It's a pilsner, but not a remarkable one, in my opinion. It's also expensive, and I tend to not associate Budweiser with expensive or quality.

So I did some research on this Budweiser Select. It is not Anheuser World Select (which is not on the shelves at my local HEB, indicating to me that it isn't doing spectacularly).

Here's some excerpts from A-B's local paper, St. Louis Post-Dispatch,

Anheuser-Busch Cos. will begin test-marketing Monday a new Budweiser product that has slightly more hops flavor, while offering a lower carbohydrate and calorie content than any product in the Budweiser family, including Bud Light.

Though it has more hops flavor, Budweiser Select remains an American-style lager, said Don Meyer.

With only 99 calories and 3.1 grams of carbohydrates per 12-ounce serving, Budweiser Select will have the lowest carb and calorie count of any Budweiser product.

Budweiser Select is expected to have broad appeal among beer drinkers, though it may be skewed to the white-collar and upscale market given the sophisticated packaging, Meyer said.

"I think it will be equally attractive to males and females, and it also should appeal across the whole age demographics, 21 plus," Meyer said.

The beer will be priced the same as Budweiser and Bud Light.

The seven test-markets are: Austin, Texas; Deptford, N.J., a suburb of Philadelphia; Athens, Ga.; Des Moines, Iowa; Green Bay, Wis.; Sacramento, Calif.; and Nashville, Tenn.

To generate some buzz, A-B weeks ago set up billboards that directed consumers in these test-markets to go to an Internet site. For example, Austin consumers are sent to www.areallygreatnewbeeriscomingtoaustin.com, where they go through a humorous presentation of "great moments in beer history." The teaser ends with Nov. 8 left as the "next great moment."

"We don't reveal it is from (Anheuser-Busch) in this teaser Internet campaign," Meyer said. On Monday, consumers going to this site will be directed to another site, where they can access the brand and retail information, he said.

A-B also will support the product through new local television, cable and print advertising as well as promotions at on-premise locations.

To boost 'word of mouth,' the brewer will hold Sunday 'bartender balls' at each of the test-markets aimed at introducing the beer to select bartenders, waiters and waitresses.
I'm in Austin, so hence why I've seen the product on the shelves. Here's some thoughts:
1. I didn't see any of these advertisements...or at least don't remember any of them if I saw them. That doesn't bode well.

2. Lowcarb and lowcal publicity. What exactly is their target market? A-B already has Michelob Ultra in the low-carb beers, so I assume they don't want Budweiser Select to compete with that.

They say they want to have "broad appeal" though it "may be skewed to the white-collar and upscale market. . ."

Uh, ok. It doesn't seem to me like their marketers have really figured out a profile of their target customer. They're sending mixed messages. Apparently they aren't targeting light beer drinkers, but every article notes that Bud Select has the lowest calorie and carb content of any A-B beer. So it must've been in their press release.

When people hear lowcarb and lowcal, I think they assume that it lacks taste, because it's a light beer. I certainly do.

3. Packaging. The packaging is great. It's eyecatching, classy, and it looks like a premium beer. It was so good that it made me do this research on the beer.

4. Price. Yet they're pricing Bud Select the same as Budweiser and Bud Light. It's premium packaging, yet BudLight pricing. There's a disconnect there that is confusing to me as a consumer.

5. The product is shelved with all the other Budweiser products, which tend to be on the lower-end of the beer pricing and quality spectrum. My guess is that many premium/microbrew folks don't check this area out unless they want a light beer or something of that nature.

6. I don't think that A-B's Budweiser Select viral marketing campaign will be in any business school case studies in the future. A website that doesn't reveal what the beer is? I don't like that. Also, I went there today and I put in a zip code that I knew wasn't in their target markets. The website froze. They apparently didn't plan for anyone to visit the site from outside their target markets...not a good way to create buzz outside your target markets.

7. I like the "bartender balls." Bartenders have the ability to tell their customers about a great new beer, if they like it. I don't know how standard this is in the industry, but potentially it seems like a good idea. Malcolm Gladwell -- who helped kick off the viral marketing trend -- might call bartenders Mavens of their subject.


I haven't tasted the beer yet and I'm not sure I intend to. It seems to me that there are too many mixed messages. If they were going to choose that packaging, they should've marketed it as more of a premium beer. If they're going to note it's low-carb, low-calorie nature, I think they should market it as a light beer. I think they're already going after the low-carb premium market with Michelob Ultra.

Perhaps it really tastes wonderful -- they seem to think so, since they're marketing it very broadly. But with all the contradictions in packaging, price, and low-carb, low-cal publicity, I don't think this beer will take off.

What I would have done: if they think this beer tastes so great that they're going to market it broadly, then I think they should have done two things differently: raise the price to match the packaging and omit the low-carb information.

diciembre 07, 2004

Lots of unfinished posts as of late...

I've been drafting posts, and then not finishing them. I don't know why.

Tomorrow I'll probably go in and finish most of the old posts.

Today is Pearl Harbor Day, a previous generation's 9/11. Will we meet the challenge as our forefathers did?

diciembre 03, 2004

An idea...

I suppose it would be pretty easy to start a company that did exactly what I described in my bleg yesterday.

As far as I have found, there are no companies that do what I asked about yesterday. Geocities offers free sites, but if you want to host a domain, then you have to pay. Other companies offer free hosting...but there's a catch: you have to pay a high price to register your domain with them.

I don't think it's really in my area of interest, but I think it's a profitable idea. Go buy a cheap server somewhere, write a contract up for your users, sign up for Google adsense, and then place an Adsense bar on each webpage.

Your marginal costs are extremely low -- electricity for the server? -- and thus should be easily covered by Adsense.

It may be a little difficult to find consumers. Free webpages are easy to find, and it's not expensive to host a domain name. Plus, most people who get a domain name are willing to pay the hosting fees.

Hmm. Except bloggers. Bloggers might be an easy way to find folks to sign up for free domain hosting.

noviembre 30, 2004

MSN search

I've been using the beta version of Microsoft's new MSN search.

Frankly, I'm impressed. And not just because my own sites do well in the rankings.

I've only been using it fulltime for a few days, but so far it is outdoing google. There are some searches where Google returns better results, and others where MSN returns better results. Considering that MSN Search is still in beta, this is pretty impressive.

If MSN Search returns better results, Google will have to tweak its algorithm. Quite a few of us think Google has gotten lazy about maintaining vigilance of its results' relevance.

noviembre 26, 2004

Bleg

Does anyone know of a company that does free web hosting?

That is, I have a few domain names that I would like to host...but they aren't worth paying $8 or so a month to host.

Popups would be okay, as would banner advertising...as long as it's not ridiculous.

noviembre 24, 2004

New auction site

BusinessPundit writes up Jonathan Ruff's new auction site, Jittery.

How do you compete with eBay? I can't imagine how he thinks he will get the traffic, but good luck to him. He seems to have a number of interesting ideas.

noviembre 23, 2004

Irrational

A friend of mine got married recently. At the reception, I asked him if he'd seen the NBA brawl involving Ron Artest, the Pacers and the Pistons. He said he had, and in fact had stayed up a few extra hours watching replays of the brawl...instead of going to sleep before his wedding day.

I dream of having that sort of customer loyalty.

noviembre 22, 2004

Northwest

The other day I flew Northwest. I was hungry and it was a long flight. They didn't offer me food, but instead offered airplane food for $5.

I probably won't fly Northwest again, unless their price is considerably lower.

noviembre 21, 2004

Travelling again

Nonetheless, I can't believe how little I've blogged in the past couple weeks.

I'll get back on that horse.

noviembre 13, 2004

Memory

I just upgraded my computer's memory by 512 MB for about $100. It's a great decision; I regret not doing it earlier. In fact, I'm likely to upgrade it another 400ish MB (replace the 128 MB card with a 512) in the next year.

I did it through crucial.com, which I highly recommend. Crucial.com is a division of Micron Technology. They make it easy to find the right kind of memory for your computer, which is the hardest part. They offer reasonable prices and free shipping.

Their support was also excellent. Highly recommended.

noviembre 12, 2004

College Homecoming

I went to my college homecoming last weekend. I never thought I would answer the question "what are you doing now?" so many times. That said, I loved it. It was a great opportunity to catch up with people about what they were doing. The question is worth answering because that way others have to answer.

I get alot of ideas out of interactions like that. And some folks offer valuable connections.

noviembre 11, 2004

Important lesson learned from my father

Always have a book with you wherever you go. It's amazing how having an interesting book can make otherwise frustrating waits into an enjoyable time. The 10 minute wait at the dentist's office can be productive if you let it be.

What I'm reading now: Eyewitness to Power by David Gergen. Gergen is a former speechwriter to Nixon who went on to work in the White House for Ford, Reagan and Clinton. He's a very moderate Republican who now teaches in the Harvard Kennedy School of Government. His book is supposed to be about leadership lessons from those four presidents. In other words, it seems like he wrote the book with his classes at the Kennedy School in mind. So now he can make students buy his book, and he can profit from teaching. [This is a personal pet peeve of mine.] The book is much less anecdote-heavy than usual. I'm underwhelmed thus far.

I also got The New New Thing by Michael Lewis of Liar's Poker and Moneyball fame. The Tipping Point by Malcolm Gladwell, which seems to be a highly recommended business book. Netanyahu: The Road to Power, a 1998 biography by Caspit and Kfir (originally written in Hebrew; translated by Cummings).

noviembre 09, 2004

Rocket

I know that this blog focuses mainly on business and related topics. But I still have to brag on my Astros, even if I am the ultimate fair weather fan.

I'll let the article say it all:
At 42, Roger Clemens is the oldest Cy Young winner and an unprecedented seven-time honoree. The right-hander won the award six times in the American League — three with the Boston Red Sox, two with the Toronto Blue Jays and one with the New York Yankees.

With this latest honor, Clemens is the only player to win BBWAA postseason awards with four teams. His eight trophies, including the 1986 AL Most Valuable Player award, are the most for any player or manager. He joins Gaylord Perry, Pedro Martinez and Randy Johnson as Cy Young winners in both leagues.

After pitching for the Yankees in the 2003 World Series, Clemens posted an 18-4 record and 2.98 ERA to help the Astros qualify for the playoffs, resulting in them coming within a victory of reaching the World Series for the first time in franchise history.
Clemens is a hometown Houston boy.

noviembre 08, 2004

Oil prices falling

The Houston economy is still very affected by the price of crude. The price has finally declined below $50 to about $48.

As I love Houston, I do hope that the price of oil stays as a reasonable level long-term. However, sustained short-term oil price plunges create buying opportunities in the real estate market as the economy suffers. I'll be watching the price of oil.

noviembre 07, 2004

Merck

Merck is trading at about $26 or $27. This is about a 75% decrease from the stock's January 2001 high.

Merck obviously has troubles. It faces expensive litigation even if it wins, and possible regulatory review. It has lost the earnings of one of its primary performers. According to rumors, Merck resumes are floating around the industry.

I still haven't done a thorough investigation of how I think the stock should be valued. However, my gut is telling me that the market is overreacting. Traders have a tendency to do this. The PE is 8.5, the dividend yield is almost 6%. Even if the price can only hold steady, 6% yield is pretty good.

noviembre 06, 2004

Product lines for PR

This story makes me laugh:
Jones Soda Co. takes the idea of a liquid diet to a new low. How does Green Bean Casserole Soda strike you? And how about an aggressively buttery-smelling Mashed Potato Soda?

ADVERTISEMENT

Even the creators of the fizzy concoctions at this small Seattle soda company can hardly stomach the stuff. But last year's unexpected success of the Turkey & Gravy Soda means another round of bizarre food-flavored soft drinks.

As an added bonus, they're calorie-free.

This week Jones Soda Co. launches a full meal deal of five Thanksgiving soda flavors, from the bile-colored Green Bean Casserole to the sweet — but slightly sickly — Fruitcake Soda. Last year's Turkey & Gravy is also back on the menu.
I think this is a PR stunt.

Jones is a smart, quirky company. They make "gourmet" sodas, which are generally very tasty. I believe they are from the Northwest, and seem to love that quirky semi-hippie vibe from up there. Their problem isn't so much in keeping customers; it's in getting the distribution that allows them to go after customers. Jones isn't available many places so far, but I'm sure they'd like to build some brand recognition for places that they go in the future.

And look -- they've managed to get very good coverage. Most newspapers have picked up the story!

noviembre 05, 2004

Probably last Vegas post

When you've been to Vegas for the first time, it makes you think. As I wrote yesterday, they turned one simple idea -- legal gambling -- into a huge enterprise. Today Las Vegas is a booming metropolis, but it has no industry. It is mainly populated by the people who work at casinos and the entrepreneurs who offer services to those who work at casinos. Plus some retirees who like warm weather, low cost of living, and gambling.

My guess is that Vegas provides an excellent opportunity for lower middle class of the West to get middle class service jobs. Then they have kids and the kids have the opportunity for social mobility. Given my experience, this seems particularly true for immigrants.

A couple of the suburbs looked pretty cute. I thought Henderson and Boulder City looked like a nice place to live. They were cute, suburban, and not far from some beautiful views. Living in the mountains is fun.

What I wasn't fond of: being a single guy on the street, you get mobbed by people trying to give you cards for hookers. I'm smart enough to not take things from people on the street.

I also had four different occasions on the street late at night of black guys my age walking up to me and saying in a low voice "chronic, man, chronic." Yeah... I've never done drugs and I don't think now is the time to start, buddy.

The glitz was also underwhelming to me, perhaps because I had my expectations raised by so many other people. I have to say though...it's amusing that even the McDonalds and Motel6 have neon flashing signs.