13 August 2009

This company, JacobJordyn, is unique to say the least. It seems that its goal is to change the parameters of online advertising. The question is, can their business model be sustainable in the future?

The usual online advertising models include Cost-per-Click (CPC) and Cost-per-Measurement (CPM). Many feel as though both models are in the class of “Rolling the Dice,” and the advertisers goal is to hope they hit something. However, JacobJordyn promotes EXCLUSIVE online ad placement. With their EXCLUSIVE model this company has basically taken newspaper advertising characteristics and moved it to the World Wide Web.

The SPEC’s would admit that the EXCLUSIVE model would provide any advertiser with the greatest opportunity in reaching potential consumers and customers. A no-brainer. Our concern is whether their “low-cost” DMA ad-placement model is economically sustainable.

What JacobJordyn does (according to their Twitter site and their posting at badservicezipcodes.com) is charge $10 per DMA (their are currently 210 US DMA’s, or Designated Market Areas). The price is low, but it would provide a tremendous benefit to advertisers (once again), especially small business. If JacobJordyn has limited expenses, then the $10 DMA monthly cost may last into the future. If they are able to generate a lot of BUZZ with this ad model, then of course they will be able to raise the cost in the future. That is the huge question that needs to be answered. Otherwise, their ad model is definitely courageous, viral, SPECULATIVE, innovative, etc…….

It would amaze us if this company, although an ad-services company, starts to eat into the online ad market share of either Google (Symbol: GOOG), Microsoft (Symbol: MSFT), or Yahoo (Symbol: YHOO).

The SPECS’s will definitely keep this start-up under the radar.

Current Offerings:

$10/DMA/month

EXCLUSIVE ad-placement

1st placement free (30days)

Up-to-2 ads running simultaneously

advertising@jacobjordyn.com

1-888-229-5198

29 July 2009

Software-as-a Service (SaaS) is becoming a very popular medium and platform. Saas eliminates the need for loading (EXPENSIVE) software disks and DVD’s into computers in order to receive the latest tech innovations (Microsoft Office suite, etc…).

The SERVER. With SaaS, transactions are conducted within the net, or rather on a 3rd party’s (or the Host site) web server. This way, the user eliminates the need to purchase expensive e-Data storage materials while having the benefit of knowing their data is accessible 24 hours/day (As long as there is an Internet connection).

With SaaS, we believe major software applications that are available through “download”, while being hosted on the server of the software producer. Any data entered into these applications will be safeguarded as well. Companies using SaaS and some variations include Amazon.com (Symbol: AMZN) and Salesforce.com (Symbol: CRM).

What affect will SaaS have on XEROX (Symbol: XRX)? Detrimental. With SaaS, there may be no future need for Printing and Processing Paper. Both are the mainstay of Xerox’s revenues. We believe the company’s revenues will continue to fall, unless they adopt some form of SaaS integrate with their current product offerings.

Tell us what you think?

12 July 2009

The Business World constantly wonders if, how, and when “Social Media” networks will become “Profitably Monetized”.  Facebook and Twitter are the two main culprits of conversation.

Facebook generates revenue from advertising. There is some speculation as whether the company is profitable however. Twitter has millions and millions of users. But, Twitter generates no revenue whatsoever. Twitter runs solely off of Venture Capital money.

Both platforms have created what the SPEC’s call a SECONDARY MARKET ECONOMY, whose sole purpose is to provide products and services which are utilized by users and members of both mediums.

Facebook users have a choice of various “Applications” to use when visiting the website. These applications are developed by companies not affiliated by Facebook. The fee for developing Facebook Applications range from $900 to over $10,000. Many applications contain revenue models (Advertising, Product sales), separate from the Facebook ad platform. A few Facebook Application developer companies include but are not limited to:

Multi Programming Solutions, LTD 

Zynga

The Twitter business model has created companies whom design the popular and Viral “backgrounds” seen on so many Twitter company pages. It is argued that a nice looking Twitter background will generate more followers than that of the “plain look.” A Twitter background developer include:

TwitterBackgrounds.com

These companies are just a few of those who currently exist. As the popularity of Twitter and Facebook grows globally day-by-day, many more innovative companies providing products and services for these platforms will appear as well.

5 December 2008

These words were spoken by Craig Barrett, Chairman of Intel (Symbol:INTC) the world’s largest chip maker. Mr. Barrett stated this at a Seattle conference discussing the nations education system, it’s problems, and what actions need to be taken in order to prepare our students for the future.

Mr. Barrett also stated that Intel along with Microsoft (Symbol:MSFT) are already finding the talent they need offshore. WOW!!

Wake-Up call people. This is a bold statement, but I believe true nonetheless. I have been watching our largest tech companies over the past 8/9 years (Cisco, Oracle, Dell, etc..), and noticed that they are spending billions in Asia and other emerging nations. Now it is very evident as to why. Cheaper labor plus a willingness to learn the difficult Math and Science disciplines.

LESSON: Tech companies, and the Wal-Mart’s only need enough people in this country employed to purchase their products and keep them profitable. If the BIG “3″ automobile companies go bankrupt, so be it.

As we go through difficult economic times here in the U.S., many of you, especially parents and prospective parents, need to reevaluate the educational goals for your children. Enroll them in schools that provide academic disciplines that have a high probability of providing them with employment opportunities in the future (Foreign Language, all Engineering disciplines, Math, all Science disciplines, Economics), the in-demand areas.

Mr. and Mrs. middle-class, private school is not necessarily the answer. Private School is an investment. If this is the option you choose, make sure the school is not a high paid BABYSITTER. Trust me, some private schools are just that. Class size is but one consideration, but also look at the curriculum and grading scales.

Anyhow, let’s congratulate The Thomas Jefferson High School for Science and Technology, located in Alexandria, VA, for being named as the best public school in the U.S.

15 October 2008

The SPEC’s has just figured out the key to grow the U.S. economy. The U.S. needs to promote Engineering and Science disciplines to our students at a younger age. The promotion needs to be swift, focused, and calculated. And more important than anything else, the promoters need not be “failed lawyers” (We meant to say Politicians). Ironically, one of the SPEC’s happens to be an attorney!

What do they know anyhow. The last time we checked, and correct us if we are wrong, there are no former Medical Doctors, Engineers or Scientists (Any discipline in Engineering and Science)in either Congressional body. There are also no Economists either. Congressmen and women basically listen to whatever the lobbyists tell them, grab a microphone and disperse this information to the American public.

Get back to the fundamentals. Yes, the economy is not doing so well, BUT only in certain sectors (Financial, Retail, Automotive, and Airline industries). TECH, however, is booming.

Most U.S. based tech companies are investing billions of dollars into new Research & Development centers in Asian nations (Which nations also happen to graduate 60% more Science and Engineering degree disciplines than does the U.S.). These companies include Intel (Symbol: INTC), IBM (Symbol: IBM), Cisco Systems (Symbol: CSCO), GOOGLE (Symbol: GOOG) and Microsoft (Symbol: MSFT). When you get the opportunity, go to the website of these companies and look at the number of technical jobs they have available; positions they CANNOT fill because of a lack of qualified candidates.

The balance sheets of these companies are a dream come true to any active investor. Ignore the low stock prices. Stock prices always fluctuate. Plus, these companies would survive if their stock were trading at $1/share. Look at these balance sheet numbers:

Pharmaceutical/Medical Group:

Pfizer (Symbol: PFE$26 billion in cash

Johnson & Johnson (Symbol: JNJ$13 billion in cash

Merck & Co. (Symbol: MRK$9.9 billion in cash

Tech Companies:

eBay (Symbol: EBAY$4 billion in cash, NO DEBT

Google (Symbol: GOOG) $12 billion in cash, NO DEBT

Microsoft (Symbol: MSFT) $21 billion in cash, NO DEBT

Need we say more! Remember, these are not “DOT-COM” companies.

Not that it matters one bit but China will control more than our financial markets in the near future (The People’s Republic of China is one of the largest purchasers of U.S. Treasury Bonds). They have the power to also control a larger portion of the U.S. economy through innovation and production. With the high number of engineers, the number of U.S. patents from Chinese enterprises is sure to increase as well.

Conclusion: Science and Technology education needs to be taken seriously. The popular social networks and electronic products we all love were created by future SCIENTISTS and not solely Entrepreneurial minds.

Free (semi) legal advice