The weekly newsletter for everyone interested in barter--the world's most versatile business tool!
April 16, 2002
Research Says Bartered Joint Ventures
Senior Analyst Daniel O'Brien of Forrester Research says the time has come for local TV to extend their programming and promotion before the opportunities vanish. "Local TV stations are losing news-audience share, ad revenues, and exclusive network content."
O'Brien believes that new FCC ownership regulations will prompt a frenzy of mergers, swaps, and acquisitions over the next three years. So the answer is to reconnect with local news audiences by collaborating with newspapers to cross-promote their headlines, share content liberally, and strive for all-day relevance.
In addition to the print coverage, deals with cable operators are also necessary for stations because of their strong distribution channels. Additionally, the Web provides broadcasters with an unprecedented opportunity to connect with audiences, particularly at work, and to provide new marketing opportunities for local advertisers.
These mutually beneficial
partnerships can be based on barter, and once a joint venture is in
place, competitors are locked out.
Wealth Created In Turbulent Marketplace
Yoram Wind says wealth is created during periods of uncertainty, and making money depends on identifying opportunities in a turbulent marketplace. Wind is a professor of marketing at the Wharton School of Finance.
According to Wind we should think of the world right now as one magnificent fire sale, where there are huge opportunities to buy cheap assets, i.e. technology or talent for very little money. The fundamental challenge is to ask: What do we do, and why do we do it?
Doing something because it worked in the past isn't going to get it for the future. Wind says unlearning is needed today, and the CEO should be the chief unlearning officer!
The key is experimentation,
it allows you to learn really fast. It forces you to continually reexamine
strategy, because you're constantly measuring your experiments. Experiment,
measure, modify, and react...it's a powerful way of learning.
Barter Industry Take Heed
The growing concern about the growth of the commercial barter industry might think a bit about what it takes for growth...ubiquitous marketing efforts for one thing.
Maybe the industry should consider the results of the untiring efforts of the credit-card industry. Despite the economic shock of the September terrorist attacks and the anxiety created by anthrax in the mail, the U.S. credit-card industry stuffed a record five billion solicitations into the nation's mail boxes in 2001, up 43% from the year before!
The response rate
to their solicitations remained the same as in 2000, around 1/2 of 1%
(0.6% to be exact). In short, maybe it's time for our industry to look
at "longer term" investments for obtaining new clients.
Where Are They Now. . .
Karl Stout, past publisher and owner of Air Destinations magazine (Aspen Airways before they became a subsidiary of UAL) has recently moved to Miami. Stout also once had a BXI brokerage in Denver, and offered a lot of great hotel accommodations and restaurants in Aspen--acquired through trades with his magazine. Stout will be coordinating and increasing the trade efforts of BXI members in Southern Florida, according to Larry Whitten, new area sales director.
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And in Winnipeg, Canada, Kurt Refvik has moved on from Don Parks' BarterNet Canada into handling the local franchise for Coffee News. He has 12 franchises, making him the world's largest franchisee. (Coffee News is a paper that is read in restaurants and returned to the stand, it has over 300 franchises in 24 countries worldwide!)
Refvik, along with Cristen Parks often accompanied Don when attending IRTA and NATE conferences. Refvik also wrote an article in BarterNews' issue #51 about the Mid-Continent International Trade Corridor, a conceptual trade and travel route linking the mid-continent regions of Canada, the United States, and Mexico.
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In Seattle, Bob Bagga and Chris Haddawy have joined forces to get back into the business...opening BizXchange. Ably assisting them is Barbara Ryan Galpin, formally with Ubarter. Bagga, co-founder of Barter Business Exchange of Toronto had sold BBE to Steve White of Ubarter.
Haddawy had worked for Steve Goldbloom at Bay Area Barter in San Francisco, then went out on his own to form Barter Business Network of Reno. Subsequently he was part of history when he, along with Ray Bastarache of Barter Network and Susan Groenwald of BarterCorp, sold his exchange in 1999 to Inbar, a privately held company funded by several venture capital firms. The three trade exchanges were subsequently named BarterTrust, later becoming Tradaq.
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Rick Owens Pehnert,
a veteran in the industry who's had both ITEX and BXI brokerages (most
recently BXI of San Francisco which he sold back to BXI Corporate last
year), has now moved to Florida to team up with former BXI-Florida area
director Mike Hoffman in the establishment of Corporate Exchange Corp.
Here And There. . .
We welcome your comments, questions, and observations.
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