NORMBONDMARKETS.COM

AT&T to pay Muslim woman $5 Million in harassment case

normbond — Sun, 06 May 2012 13:12:12 +0000

KANSAS CITY, Mo. — A former Kansas City woman who converted to Islam in 2005 said she was harassed for years at AT&T, and that the abuse boiled over in 2008 when her boss snatched her head scarf and exposed her hair — considered “a private part” for Muslim women.

Susann Bashir sued, and this week a Jackson County jury awarded her $5 million in punitive damages against Southwestern Bell/AT&T, where she worked as a fiber optics network builder for more than 10 years.

AT&T said Friday that it disagrees with the verdict and plans to appeal. AT&T is a “nationally recognized leader in workforce diversity and inclusion,” a spokesman said.

It’s not been a banner year for AT&T in regards to diversity. Earlier this year The Department of Justice announced a lawsuit against AT&T, charging that the telecom giant looked the other way while Nigerian scam artists exploited its call-assist service for the hearing impaired — and then turned around and billed the FCC for the calls.

The amount Bashir stands to receive will be much less than $5 million, however, because Missouri law caps such awards at five times the actual damage amount plus attorney fees.

The jury awarded Bashir $120,000 in lost wages and other actual damages. Attorney fees will be determined later by the judge, said Amy Coopman, Bashir’s lawyer.

Thursday’s overall award appears to be the largest jury verdict for a workplace religious discrimination case in Missouri history, Coopman said.

The Kansas City Star reported that Bashir was living in North Kansas City in 2005 when she converted to Islam. According to court documents, that’s when her troubles at AT&T began. Just months before she converted, she had been commended in the company newsletter for doing good work, she said.

In court documents, Bashir said her work environment became hostile when co-workers made harassing comments about her religion and referred to her hijab as “that thing on her head.”

“I was shocked. I thought, ‘What is going on?’ ” she said during an interview at her lawyer’s Kansas City office. “Nobody ever cared what I wore before. Nobody ever cared what religion I was before.”

Bible verses were left on her desk. Co-workers asked if she was going to blow up the building and called her a “towelhead” and a terrorist.

Bashir said she called an employee help line in March 2005 and asked that sensitivity training be provided for her co-workers.

“It was a worthless call,” she said. “Nothing ever changed.”

She said the incident was hard on her mentally and physically and tore her family apart. She is going through a divorce, and in October she and her daughter moved to Anchorage, Alaska, where she works as an apartment manager.

“I have mixed feelings,” Bashir said. “I’m happy not to be reporting to that management structure. But it’s hard in this economy to find a job with that level of compensation. I didn’t want to lose my job, because I felt I was doing good work.”

Tupac Sales Boosted by Coachella Hologram

normbond — Sun, 29 Apr 2012 10:23:48 +0000

The late rapper’s 1998 album “Greatest Hits” returns to the Billboard 200 for the first time since 2000, jumping ahead 571 percent.

News of the late Tupac Shakur’s virtual appearance on the first Sunday (April 15) of the annual Coachella Festival has spurred a re-entry for his Greatest Hits album on the Billboard 200 chart and a jump on the Social 50 for his onstage duet partner, Snoop Dogg.

Tupac’s 1998 album Greatest Hits returns to the Billboard 200 for the first time since 2000, as it jumps back in at No. 129 with 4,000 copies sold according to Nielsen SoundScan (a gain of 571 percent over the previous week). The MC’s other albums also saw gains, including All Eyez On Me (2,000; up 95 percent) and Me Against the World (1,000; up 53 percent). (watch the video below)

Tupac Hologram At Coachella

Dr. Dre thanked the companies AV Concepts and Digital Domain who made his “dream come to life.” The professional showman ended the 54-second video interview by explaining the rigorous demands of live performance. “Now I gotta get my ass on stage and rock this motherf—er,” he said

Marketing Art and Culture in India

normbond — Mon, 16 Apr 2012 12:24:14 +0000

I had the opportunity to visit Royal Arts & Crafts, one of the leading manufacturers and exporters of handicraft products in Udaipur during my visit to India. Immediately upon entering, we were offered the chance to see all the activities going on in the studio, including observing the process by which the paintings are made on silk, paper, canvas, marble and wood.

Our sales rep, Vikrum, took his time, and displayed expert product knowledge. As a global marketer, I asked about the shop’s online presence. He shared that that company had a website and also communicates via e-mail. I also learned that they have a very strong offline marketing network and supply channel. They represent over 300 artists, working together, to collectively provide inventory to Royal Arts & Crafts, which then markets and distributes the products globally.

Linda, The Skin Diva, International Spa Trainer spoke of her great buys uncovered during our visit in the video.

I was duly impressed and even enjoyed a cold India beer, Kingfisher on the premises. We agreed to work together to cross market and promote. So I quickly pulled out my Handycam and shot a brief video which I promised to upload to YouTube. This type of real-time collaboration shows the opportunities available by connecting offline traditional marketers with online marketing professionals.

Let me know what you think and how you’re integrating your offline, online and global marketing efforts.

DOJ sues Apple over price-fixing scheme

normbond — Wed, 11 Apr 2012 23:33:21 +0000

By David Goldman @CNNMoneyTech April 11, 2012: 3:17 PM ET

NEW YORK (CNNMoney) — The U.S. Department of Justice on Wednesday brought a lawsuit against Apple and several publishing companies over a scheme to fix e-book prices.

The suit stems from the 2010 release of the iPad, when Apple (AAPL, Fortune 500) reached an agreement with five publishers to release books on its then-new iBookstore. The DOJ said Apple colluded to raise the price of e-books with CBS’s (CBS, Fortune 500) Simon & Schuster, News Corp.’s (NWS) HarperCollins, Hachette Book Group, Pearson’s (PSO) Penguin unit and Macmillan.

European authorities are also probing Apple and the publishers for similar antitrust violations. Attorneys general for Connecticut and Texas led a handful of other states in separate litigation against the companies as well.

Before the release of the iPad, Amazon’s (AMZN, Fortune 500) Kindle was the preeminent e-book reader on the market. Amazon forced publishers to sell most books at $9.99 — a price that came in below the cost of the books.

According to the DOJ, booksellers were unnerved by the discounted e-book price structure Amazon launched in 2007. The publishers went to Apple in late 2009 to find a way to force Amazon to raise its prices. The iPad proved to be the perfect tool to accomplish that.

The alleged conspiracy placed many books at so-called “agency pricing,” putting them on the market for about $12.99 and giving Apple a 30% cut. About three days later, Amazon allowed publishers to set their own prices, resulting in higher prices on the Kindle as well.

“This action drove up e-book prices virtually overnight,” said Sharis Pozen, head of the DOJ’s antitrust division, at a news conference. “Let me be clear: When companies enter agreements that prevent price competition, that is illegal.”

The Justice Department settled with three of the publishers — HarperCollins, Simon & Schuster and Hachette — requiring them to grant retailers like Amazon and Barnes & Noble (BKS, Fortune 500) the freedom to reduce prices.

The publishers will also be forced to tear up their current agreements with Apple and other e-book publishers and negotiate new, fair, and legal agreements.

“The settlement will begin to undo harm and restore price-competition,” Pozen added. “It will result in lower e-book prices and provide a more open and fair marketplace.”

The DOJ said it would “vigorously” pursue its claims against Apple, Pearson and Macmillan, which opted not to settle.

The states’ attorneys general reached a separate settlement with the three publishers, two of which agreed to pay restitution of $51 million to affected e-book customers in the participating states. Simon & Schuster did not agree to pay restitution, and the states continue to negotiate with that publisher.

The DOJ pointed to Steve Jobs’ biography to argue Apple knew that the scheme would result in higher costs for consumers and would remove pricing competition from Amazon.

“We’ll go to [an] agency model where you set the price, and we get our 30%, and, yes, the customer pays a little more, but that’s what you want anyway,” biographer Walter Isaacson quoted Steve Jobs as saying.

“This took place at the highest levels of these companies,” Pozen argued. “Executives knew full-well what they were doing.”

As a result, e-book customers have paid between $2 and $3 more per book, amounting to upwards of $100 million dollars more than they otherwise would have, the DOJ alleged.

Apple and the publishers declined to comment.

Amazon still has regular skirmishes with publishers over rates it considers too high. In February, the company yanked distributor IPG’s digital books from its Kindle store after a dispute over terms of their contract.

Apple’s new iPad up close

Amazon, too, has come under fire for dancing on the legal lines around e-book pricing.

Apple and Amazon both strike deals with publishers that forbid them from offering other retailers’ deeper discounts. Those agreements, dubbed “most-favored nation” clauses, aren’t straight-out illegal under antitrust laws — but they’re also not always legal.

As part of the settlement reached with the three publishers, the companies will also be forced to terminate their most-favored nations contracts with retailers and Apple. They also will not be allowed to negotiate new most-favored nations contracts for five years.

CNNMoney’s Aaron Smith, Julianne Pepitone and CNN Justice Department Producer Terry Frieden contributed to this report.

When To Connect With Your Target

normbond — Tue, 28 Feb 2012 00:45:41 +0000

By Neil Draper

When we build a valuable relationship with our target audience, they go from a one-time customer to a person that repurchases your stuff, gives feedback on what you do, the products and services you sell and they’ll share their experiences with their peers or they’ll vouch for you when something is wrong.

But then we’ll have to build a relationship with them. You do not only build a relationship with what you do, but most importantly why you do it. People will sniff right through your scheme if you are not authentic.

Don’t get me wrong; if you want to sell stuff, and only that.. that’s fine. But be clear about it. That doesn’t mean you can’t use some tactics to get in contact with them. In this article you will find some information about when to post and why…

A day in a life…
In the morning around 07h00 our audience get’s up and prepares for the day, switches on the news, has breakfast and heads out to work or perhaps brings the kids to school. Everything about these mornings of the start of the day is on the go. Work starts around 08h30 and people get behind their desks and PC’s to do the work that is required and around 12h00 they head out to have lunch or have a break from their chores. At 17h00 the bell rings and back home they go. Groceries, dinner, kids, couch…

The life time of a Facebook post
Studies show that the average lifetime of a post is approximately 3 hours. But what is seen with these posts is that the higher the engagement level is, the longer it survives. If your want to check the lifetime of your Facebook post you can check: http://edgerankchecker.com/edgerank/gopro. Keep in mind that your Facebook posts are not mini-banners you serve your audience, but they are a way to supply them with the information they need or a way to have them to interact with one and another. You post them to build a relationship, not just to bullhorn your message out there.

How do we consume information?
Thanks to our smartphones we get to stay connected when we are on the go and it enables us to consume the information we want… however when we are on the go, we do not really need to have a deep interaction with a brand or our peers… theres just not enough time. This does not mean that you do not have to post on your social networks. It does mean the way we interact changes; in stead of taking our time to comment on posts or to race time to share it. We will ‘like’ the post and the lifetime and reach of the post will grow.

When sitting behind our PC are have the time to respond and react, if the content we see is relevant and compelling enough we change from a spectator to a participator, thus reacting on the posts or sharing it to our peers. Our batteries are still charged and it is a welcome switch from being focussed on work the whole day.

At home it is time for relaxation and some quality time with the ones we love. Here we can sit and take in any information we want and thanks to our tablets we can interact with our environment (TV etc). By now most of our batteries are depleted and this is the time for sharing.

Adjust your posts..
Knowing the above it seems logical that we adjust our posts to the routine of our audience and that we set our expectancies for the required response. Also setting KPI’s on interaction levels. In the morning post about what you love in the right context to your business; your fan base will ‘like’ it. Around noon ask your audience a question and they are prone to react, in the evening supply them with some information or an offer that rewards them for being a fan… they will be more likely to share.

Some metrics
thanks to DanZarrella.com

Frequency of posting
From all the community management I have done for my clients, ranging from multi-nationals to FMCGs. They is one thing that it over obvious: limit a maximum of 3 posts a day. I see a huge correlation between the likability of a brand, the interaction levels and the amount of posts. For one people get annoyed if you are spamming their time line and two they go Brand Post blind. Your consumer is not only just following you, they are following several brands; imagine the amount of bla-bla they are getting in their own environment. Where Facebook used to be a social platform, it is now turning into an advertising medium. Nevertheless, consumers are still using it as a Social Network, so again… be remind yourself why you are on a SOCIAL network. If you wish to do three posts, make sure you can give something back to your fans and time your post wisely.

When we give our targets what they need they will inform, inspire and activate each other. How are your posts scheduled in your editorial calendar?

Why 2012 will be cybercrime’s ‘hell year’

normbond — Sun, 26 Feb 2012 21:59:24 +0000

By Neal Ungerleider , FastCompany.com

For online security professionals, 2012 is turning out to be a banner year. Prominent hacks are taking place nearly every week. Credit card fraud and piracy on the Internet are booming. Hacktivist attacks against government computers and private companies are occurring almost daily. Big-name government agencies and businesses everywhere are shelling out for security assistance … but for everyday Internet users, it’s a giant headache with unclear risks.

The one thing no one is really able to explain is why cybercrime’s booming. According to a recent Norton study, cybercrime cost the global economy (in both direct damage and lost productivity time) $388 billion in 2011 — significantly more than the global black market for marijuana, cocaine and heroin combined. Officials at the Department of Homeland Security have reported exponentially increasing demand for cybercrime assistance—something confirmed by this reporter in anecdotal discussions with online security experts.

Every single expert has a different theory. Some say it’s due to a global economy that’s putting programmers out of work and turning them rogue. Others say it’s the easy availability of computers in poor regions of the world where job prospects are few. Then others say it’s simply that scripts and DDoS attacks have democratized cybercrime.

DDoS attacks — and their first cousins, botnets — are one of the biggest culprits. Most DDoS attacks are amazingly simplistic; they are denial-of-service attacks frequently made via software that requires no programming or IT knowledge. Botnets are impromptu networks of Internet-connected computers turned rogue via malware. Once a computer is compromised, they can be used for everything from financial fraud to knocking websites offline. Reached by email, Carl Herberger ofthe security firm Radware put much of the blame on hacktivists such as Anonymous.

“The motive for attacks has changed and this new motive brought with it new tools and attack techniques,” Herberger tells Fast Company. “These new motives — frequently called ‘Hacktivism’ — are in a new category which will go down in the record books as one of the most active periods of cyberattacks in the history of information security. Given the current efficacy of ideologically based multi-vulnerability attacks such as WikiLeaks revenge attacks of 2010 and the Sony attacks of 2011, we believe this will only serve to encourage even more actors to enter the picture and spawn a vicious cycle of future malicious activity.”

While the idea that politicized groups such as Anonymous are malicious and/or criminals is controversial, many security experts agree with Herberger. At the recent Kaspersky Lab Cyber Conference in Cancun, CEO Eugene Kaspersky compared hacktivists to radicals who plant car bombs and commit arsons in the name of ideology. Similar alarms were raised in an end-of-year letter from risk management firm Stroz Friedberg, which largely conflated hacktivism with threats like state-sponsored data theft and zero-day exploits.

As for state-sponsored data theft, the New York Times just reported on the lengths to which American companies go to avoid Chinese cyber-espionage. American businesspeople, consultants and politicians working in China avoid bringing their work computers into the country and use throwaway mobile phones — to name the most common tricks — in order to avoid the loss of business secrets to state-sponsored corporate spies. While China is the most blatant nation-state to engage in spying on foreign businesses for the benefit of homegrown companies, it isn’t uncommon. Russia, France, Israel, Taiwan and others have also been alleged to engage in the process.

The use of malware and worms is continuing unabated. While they remain common, little innovation has made it into the mass criminal market — the truly unique manifestations are only isolated creations of genius rogue programmers. But … the last major threat of 2012 is cyberwarfare. Anonymous has successfully transformed from their humble prankster beginnings at 4chan into an international movement. Other organizations such as LulzSec — and a host of others — are successfully coming up with cutting-edge prank attacks on high-profile targets. Non-state actors such as Anonymous will increasingly see their methods used by nation-states and sympathetic patriots. Ongoing saber rattling between Britain and Argentina, friction between Russia and neighboring ex-Soviet states, war clouds over Israel and Iran, and the migration of foreign volunteers to Syria will all contribute to fertile grounds for cyberwarfare. The question now isn’t if we journalists are going to be writing about it — it’s when.

For more stories like this, follow @fastcompany on Twitter. Email Neal Ungerleider, the author of this article, here or find him on Twitter and Google+.

Apple tops list of the most profitable stores in America

normbond — Sun, 26 Feb 2012 21:45:00 +0000

By Brian Zajac, 24/7 Wall St.

The past few years have been challenging for the retailing industry, and there are signs that 2012 will be no different. One key metric used to judge the health of a store is annual sales per square foot. Research company RetailSails recently ranked U.S. stores based on this metric.

Apple is at the top of the list with the highest sales per square foot. Perhaps most interesting is the large gap between Apple stores and the rest of the market. Apple stores now average $5,600 per square foot of retail space, nearly double the nearest retailer. However, Apple is a unique case as a leader in technology and innovation, and a company with what may be the strongest brand name in the world.

24/7 Wall St. wanted to see if common features could be found among the retailers that managed to get top dollars per square foot. Branding is perhaps the biggest common factor because it helps drive traffic to the stores. Retail establishments with low foot traffic find it nearly impossible to have strong sales per square foot.

In addition, each retailer on the list could be considered luxury goods sellers, with the exception of GameStop. To GameStop’s advantage, however, gaming DVDs tend to take up less room on a shelf than, say, flat-screen TVs.

It is worth noting that four of the top companies are also featured on RetailSails’ 25 fastest-growing retailer list, on which retailers are ranked based on trailing four quarters sales growth. It could very well be that companies with highly profitable locations have easier access to capital to invest in new locations, which in turn further helps underwrite future growth. If so, high margins beget greater sales, at least for some period. The data from retailers on this list would help support that theory.

For comparison to these six highly successful retailers, Wal-Mart Stores has a gross margin of 25 percent and an average of $414 in sales per square foot. All data on revenue, net income and gross margins are based on trailing 12 months earnings reports.

6. GameStop

Sales per square foot: $1,021
Not on fastest-growing list
Revenue/net income (millions): $9,665 /$403
Gross margin: 27.3 percent
2011 stock price change: 5.5 percent

The world’s largest video game retailer does not have the high growth rates the other retailers on this list have. It does, however, have over 6,600 locations. GameStop has a stronghold on the used game market, which produces much better profit margins than new hardware or software. The company will have to stay focused as increasing competition tries to move in on that segment. Its most powerful competition may not be other video game retailers. More and more games are now directly downloaded to and played on smartphones and tablet PCs.

5. True Religion Apparel

Sales per square foot: $1,096
No. 9 on RetailSails fastest growing list
Revenue/net income (millions): $420/$45
Gross margin: 64.8 percent
2011 stock price change: 55.3 percent

True Religion Apparel has grown from its 2002 founding into a $420 million global company with distribution in 50 countries. The company has grown in a niche market, as its average selling price of jeans in the full price stores reached $260 in the fourth quarter of 2011. True Religion also sells its products through other major retailers, which include department store Neiman Marcus and Nordstrom.

4. Lululemon Athletica

Sales per square foot: $1,800
No. 8 on RetailSails fastest growing list
Revenue/net income (millions): $875 /$165
Gross margin: 57.6 percent
2011 stock price change: 36.3 percent

Another relative newcomer to retailing, Lululemon Athletica is a yoga-inspired athletic apparel company, which shared its first retail space with a yoga studio. The firm was founded in 1998 in the Canadian city of Vancouver. Revenue has soared recently, and doubled between the firm’s fiscal 2009 and fiscal 2011 years. Lululemon recently raised guidance for fourth-quarter sales and earnings. The retailer only has over 150 stores and has opened several a month for the past year, so it is likely to be able to continue to grow.

3. Coach

Sales per square foot: $1,824
Not on RetailSails fastest-growing list
Revenue/net income (millions): $4,481/$951
Gross margin: 72.3 percent
2011 stock price change: 10.4 percent

Best known for its high-end leather handbags, Coach also sells wallets, shoes and novelty accessories. Its primary markets are the U.S. and Japan, which account for almost 90 percent of sales. One of the examples of the international growth of Coach is that it has individual e-commerce sites for 21 different countries.

2. Tiffany

Sales per square foot: $3,085
No. 25 on RetailSails growth rate list
Revenue/net income (millions): $3,557 /$442
Gross margin: 59.2 percent
2011 stock price change: 6.4 percent

Diamonds are small and pricey, so it should come as no surprise to that a luxury jeweler is on a list featuring sales per square feet. Tiffany opened its first store in 1837. The luxury jeweler is well known for its Tiffany Blue color, association with Hollywood films and its flagship Fifth Ave store, which is one of the most expensive locations in the world for a retail store. In contrast to Apple, which is a relatively new retail brand, Tiffany has been in business since 1837.

1. Apple

Sales per square foot: $5,647
No. 5 on the RetailSails top 25 growth list
Revenue/net income (millions): $127,841 /$32,982
Gross margin: 42.4 percent
2011 stock price change: 25.6 percent

Apple is a relative newcomer to the retail scene, with its first store opening in 2001. The stores, which feature genius bars for providing advice and repairs, have become a mecca for its fans. It is not uncommon to see die-hard fans lining up outside the stores, sometimes for days, before a new product launch. In the latest quarter alone, Apple sold 37 million iPhones through all its sales channels. Broader signs of Apple’s success are that its global revenue rose 73 percent to $46.3 billion, and its $477 billion market capitalization, which is the highest of any public company in the world.

Social Media is a Boon to Startups Who Do It Right

normbond — Fri, 03 Feb 2012 17:47:52 +0000

By MartinZwilling, StartupProfessionals

If your startup can’t be bothered with social media, or has no plan to take advantage of it, then you are definitely at risk these days. But simply jumping in is not enough. Before you start spending money and time being a user, you need to understand how it can help you and your business. Using it randomly or incorrectly is a waste of your precious time.

Sherrie Madia and Paul Borgese have addressed the positives of this challenge in their book, “The Social Media Survival Guide,” on “everything you need to know to grow your business exponentially with social media.” They also identify clearly the five key social media mistakes that I often see, along the following lines:

Diving in without a strategic plan. Don’t start podcasting, blogging, tweeting, “friending” on Facebook, and posting YouTube videos until you know what your messages are, who will manage them, who your audience is, and how they and you are going to benefit from the content and relationship.
Not having a social media policy. Your social media policy needs to outline how team members behave in the online universe during and outside of work. It should include education on style preferences and confidentiality. All messaging coming from employees should be aligned with your company’s values and brand.
Failing to tailor the plan to your target audience. Hone in on sites, tools, and applications your target audience is using. Is your audience out walking in the park without technology or are they technology lovers who never parted with their BlackBerry or iPhone? Research your target market to find out who they are and how to reach them.
Producing weak, unfocused, or unhelpful content. The same messaging rules that apply to classic public relations and branding apply to social media. Create strong, smart, well-thought-out content. Don’t waste their time with self-serving promotion. Give them something they can use – tips, incentives, new ideas, fun, and inspiration.
Allowing your social media efforts to stagnate. Gone are the days when companies could put up a website that sat on the screen like an electronic business card. Social media is about maintaining a dynamic conversation between you and your customers. Done right, it’s not a one-off campaign by a handful of staff; it’s a long-term commitment.

To avoid these mistakes and create compelling and relevant content, you need to focus your startup on the following initiatives:

Develop a social media plan that targets audience and your business objectives.
Combine social media seamlessly within your traditional marketing plan.
Use social media to engage customers in new ways and sharpen your brand.
Find the right people to staff your campaign and curate its content and evolution.
Manage your “e-putation” and avoid the most common mistakes of social media novices.
Measure the effectiveness of your efforts and expenditures – as well as competitors.
Turn your social media efforts into profit, rather than just another expense.

According to the “Small Business Marketing Forecast 2012” from Ad-ology, Social media for small business marketing has reached its tipping point. Just ten percent say they will not use social media in 2012, down from 24 percent for 2011 and 39 percent for 2010. Lead generation continues to be the biggest benefit of social networking for U.S. small businesses. Other popular benefits were keeping up with the industry, monitoring online conversations, and finding vendors/suppliers.

Many companies believe that getting involved in social media is easy. They mistakenly assume that anyone who uses Facebook, YouTube, and Twitter for personal networking can do it for business. But personal versus business use requires two dramatically different skill sets. I recommend that you “test the waters” before you jump, but setting on the sidelines won’t get you there. Use the many resources available, like the Internet and this book, but now is the time to start.

Sponsorship Loses Steam, But Continues To Outpace Ad Growth

normbond — Thu, 12 Jan 2012 16:02:04 +0000

via MediaDailyNews by Joe Mandese

Describing the effect of the global economic crisis on sponsorship spending as a “wet blanket,” GroupM’s IEG unit released results of its annual year-end review and forecast, nonetheless calling for spending on sponsorships to expand 4.1% in 2012 to $18.87 billion in North America. IEG calls that rate of growth underwhelming because it is not as much as the industry had originally projected.

For 2011, the survey estimates that North American sponsorship spending rose 5.5%, down 0.4 points from the 5.9% that was originally expected for last year’s growth.

“Corporate marketers appear to be holding off on bigger votes of confidence pending the outcome of solutions to national debt problems and the U.S. presidential election,” the research and publishing firm said, adding that the “global spending picture is slightly brighter” than in North America.

IEG estimated that spending in emerging markets such as Brazil and India are offsetting tighter markets in Europe, and projected that global spending grew 5.1% to $48.60 billion in 2011, just below IEG’s original forecast of 5.2%.

For 2012, worldwide spending is projected to expand 4.9% to $51.00 billion.

On the bright side, sponsorship spending in North America will expand slightly faster than “traditional advertising,” according to estimates from GroupM’s media spending forecasts.

Among North American sponsorship categories, IEG projects that sports and entertainment has and will continue to grow faster than other forms of event sponsorship, noting that this “is typical when marketers turn conservative during economic turmoil.”

For 2012, IEG said “risk-averse sponsors” are likely to be drawn to “packages that bundle media exposure and offer activation platforms including retail, digital and on-site marketing.“

Sports sponsorship spending grew 6.2% in 2011, and is projected to expand 4.6% percent in 2011 — making it the fastest-growing sector, just ahead of entertainment.

Entertainment, which includes concert tours, theme parks, and branded entertainment sponsorships, grew 6.0% in 2011 and is projected to expand 4.0% in 2012.

“Overall, the sports sector will account for 69% of North American sponsorship spending this year, a one point increase from 2011,” the IEG report estimates. “The festivals, fairs and annual events sector will see its share of spending dip from five to four percent in 2012, while all other sectors retain the same share they had in 2011.”

7 signs you’re not ready for entrepreneurship

normbond — Thu, 12 Jan 2012 14:48:00 +0000

via CBS Money Watch By Jeff Haden

Say you’ve read the books, taken heed of the cautionary tales, filled out some standard checklists, and had many long conversations with friends and family. You’ve done your homework and feel owning your own business is right for you.

That’s great, but let’s be sure. If you recognize yourself in any of the following, reconsider before taking the entrepreneurial plunge:

You spend a lot of time personalizing your office. Sure, you dreamed of a bigger office; you’re proud of your bigger office; you deserved that bigger office; and naturally you want it to reflect your personality. But say you plan to open a restaurant; since diners will never see your office. the only thing it should reflect is “cheap.” Money should never be spent on anything that won’t touch the customer. You will be too busy chasing customers to worry about whether your office befits your stature or aligns with your personality.

You manage your fantasy teams at work. When revenues and profits are a distant dream, trash-talking the other owners in your fantasy league the last thing you’ll have time for. Starting a business is overwhelming. Exit your fantasy leagues now. Spend that time thinking about how you’ll make profits.

You never empty your own trash. “Someone” takes care of that, you say? Your job is to focus on more important tasks? Not anymore. Entrepreneurs wear every hat. Besides, efficiency is everything: No movement should be wasted, no time savings are too small, and no expenses too minor to eliminate. If doing whatever needs to be done isn’t something that comes naturally, stay where you are.

You are sure you could be a lot more productive if you only had a new (insert hot new tech tool). Think about the last computer, smart phone, software, etc. you purchased. Did it really make you more efficient? Can you quantify the gains? Or was it just fun to have? In your own business you’ll be lucky to get the “must have” stuff. Even if you have the funds, “nice to have” is money wasted.

You can’t get over the fact your department got shorted during the last budget cycle. Unless a VC comes calling or your dad funds your start-up, you won’t really have a budget. Money spent doesn’t come from an invisible corporate pot. It comes from your pocket. If you hate struggling with limited resources, hate seeing your great initiatives unjustly compromised by budgetary concerns and can’t wait until you’re in charge … when you find out how limited resources are in a start-up, you’ll hate running your own business.

You passionately discuss work-life balance issues. I feel the concept of work-life balance is an artificial construct, but let’s pretend one does exist. If you think a lot about the conflict between work and life and you feel work is winning the battle, just wait until you start a business. Work will eat life for breakfast.

You sometimes say, “Wait, I’ve paid my dues.” When you run your own business, you pay your dues every day. (The same should be true if you work for someone else: The only real measure of your value is the tangible contribution you make, each and every day.) Today, tomorrow, the next day: You earn the right to stay in business. No one cares about your experience or years of hard work. Dues are paid in revenue.