Posts Tagged ‘Economy’

Bernanke or Cutts — Who Holds the Keys?

Wednesday, July 15th, 2009

Ben Bernanke (Federal Reserve Chairman) currently holds the key to influence the supply of money, but Matt Cutts (Google) is teaching us how to get more of it online.

Ben Bernanke

Ben Bernanke A few of us middle-aged marketers can still remember Black Monday, the stock market crash that occurred shortly after Ronald Reagan appointed Alan Greenspan Chairman of the Federal Reserve in 1987. Many more of us can remember the boom that occurred a decade later, followed by the Y2K burst in March 2000. Despite the ups and downs of this bipolar economic era, the perceived powers of Alan Greenspan led many to believe he held the keys to recovery and recession.

Not much changed with this perception when Ben Bernanke succeeded Greenspan in February 2006 as the Fed's Chairman. Last year he was ranked the fourth most powerful man in the world by Newsweek. However, President Barack Obama may be positioning Lawrence Summers, Director of the National Economic Council to succeed Bernanke when his term ends in January as the Obama Administration's initiative for change is driving a diversification of power and demand for innovation.

It is obvious from recent failures that changing the federal funds rate to influence the money supply is only one of many options to affect the U.S. economy. However, this is an essential key to managing and stabilizing our economy — and Bernanke holds the keys.

Matt Cutts

Matt Cutts Who would have thunk it? The day has come when a software engineer from Google has more business followers than the Fed's Chairman — well, at least those with a web marketing focus. Matt Cutts currently heads up the Webspam team at Google, but he is most recognized for helping marketers improve their PageRank and visibility in search results. Unlike the economics of interest rate decisions, search engine optimization (SEO) is something ever business owner actually has some control over. Here's the catch — it's not easy and it takes time. 

Google's PageRank algorithm is complex and its details have not been disclosed. Therefore, many marketers are looking to Matt Cutts for advice on how to improve their PageRank and ranking on the search engine results page (SERP). If your business isn't getting noticed for the right categories online, then you are not prepared for the next generation of marketing. Depending on the level of competition you are dealling with, it could take a very long time to achieve your objectives. SEO experts like David Viney believe that Google will penalize web sites for obtaining too many referring links to quickly, due to the nature of how those inbound links may have been acquired.

With nearly six billion active Google searches in May 2009 alone (according to Nielsen), it is pretty clear that Cutts holds the keys to mastering the free market economy online. If you are a list manager or list owner and have not yet embraced SEO for your business, then you may want to get started now by learning the SEO language from our marketing glossary and putting your mailing list titles on a search engine optimized platform.

McKinsey: Don’t cut IT in tough times!

Friday, November 14th, 2008

Managing IT in a downturn: beyond cost cutting The economy is in terrible shape. Most companies are looking to all departments to cut costs to stay viable. McKinsey & Company recently published a somewhat counter-intuitive study, Managing IT in a downturn: beyond cost cutting, that says you may want to spare the IT budget. In fact, it illustrates how targeted IT investments can increase profits in the short term and set the stage for long-term growth. In this article, McKinsey says:

“Except in the most dire circumstances, turning off technology investments during a downturn is counterproductive. When business picks up, you may lack critical capabilities. Besides, many technology investments can improve profitability in the short to medium term.”

One of the concrete examples they provide is in improving employee productivity:

“Another critical goal during a downturn is getting more ‘bang for the buck’ from employees — for example, by increasing a company’s operating scale, making processes more efficient to reduce rework, and stepping up efforts to automate manual procedures. IT is essential to all these efforts.”

See the full article here.

But what if there’s no cash to make an investment? You will want to keep your up-front capital expenditures to a minimum and retain maximum flexibility. Let someone else make the capital expenditures for you (hardware, software, software development, data center, etc.). Then buy this software as a service. Or, better yet, get it for free.

NextMark is committed to helping you get through these tough times and to come out of it stronger than ever. Despite the rough economy, we are ramping up our research and development investments on your behalf. How can we help you?