Archive for October, 2010
Thursday, October 28th, 2010
 ATLANTA – Endgame Systems, which sells cybersecurity services, has raised a $29 million first round from Bessemer Ventures, Columbia Capital, Kleiner Perkins Caufield & Byers(KPCB), and TechOperators. David Cowan of Bessemer Venture Partners and Arun Gupta of Columbia Capital join the board.
With the funding, the company has launched its ipTrust cloud-based botnet and malwre detection service. It says ipTrust distills hundreds of terabytes of security events into usable intelligence and information, helping companies quickly assess the security of their systems without depending on access to internal network traffic, or requiring any hardware or software installation.
Tracking botnets across the Internet is an ambitious undertaking,” saidDavid Cowan, a partner of Bessemer and the co-founder of VeriSign. “Based on their experience leading ISS X-Force, the preeminent security research group in the industry for many years, this is probably the one team in the world that can pull it off.”
Tracking botnets across the Internet is an ambitious undertaking,” said David Cowan, a partner of Bessemer and the co-founder of VeriSign. “Based on their experience leading ISS X-Force, the preeminent security research group in the industry for many years, this is probably the one team in the world that can pull it off.”
There should be a considerable market for this. Over 280,000 organizations and more than 250 million IP addresses have been infected with botnets, worms, viruses and other malware threats. The most dangerous of these infections are designed to harvest a network for malicious use, or to access private data. While attacks are becoming smarter every day, so are tools that organizations can use to protect themselves.
We’re glad to see a number of Southeast companies taking innovative approaches to battling malware and botnets. They’re a scourge that can affect us all.
Tags: Atlanta, Bessemer Ventures, botnet, cloud computing, Colubia Capital, Endgame Systems, financing, ipTrust, KPCB, malware, Security, TechOperators
Posted in Georgia, Internet/New Media, IT, Money, Security | Comments Off
Thursday, October 28th, 2010
 GAITHERSBURG, MD – GlycoMimetics, a company developing drugs to fight inflammation, cancer and infection is apparently looking for the $11 million or so it has yet to raise from a $50 million round of equity and securities launched in 2009, according to an amended filing with the US Securities and Exchange Commission. The company raised $38.9 million of the round from 15 investors in 2009.
Investors include New Enterprise Associates, The Novartis Venture Fund, Anthem Capital, Genzyme Ventures, Alliance Technology Ventures, PTV Sciences, and the state of Maryland. The company previously raised about $25 million. New Enterprise led the rounds.
The company focuses glycobiology, the study of the structure, biosynthesis, and biology of saccharides (sugar chains or glycans) that are essential components of life. Glycobiology is involved in inflammation, cancer and infectious diseases. The company’s lead compound, an anti-inflammatory agent, recently completed Phase I clinical trials.
To contact TJS editor/writer Allan Maurer: Allan at TechJournalSouth dot com.
Tags: cancer, financing, Gaithersburg, Glycobiology, Glycomimetics, inflammation, Maryland, surgars
Posted in Biotech, Maryland, Money, Potomac | Comments Off
Wednesday, October 27th, 2010
 CHAPEL HILL, NC – A new program at the University of North Carolina at Chapel Hill will provide business and technical expertise to UNC startup companies. The Innovation Fellowship Program will help launch and grow early stage university startups as well as build entrepreneurial talent for the Research Triangle Park region by funding two-year Innovation Fellows to work with fledgling companies.
Carolina was one of three universities designated by the Ewing Marion Kauffman Foundation today as “Kauffman Commercialization Leaders.” The award recognizes UNC, Carnegie Mellon University and the University of Missouri System for their creative approaches to help to accelerate the process of bringing student and faculty innovations to market.
The Kauffman Foundation is awarding each university a $100,000 grant for their selected programs or initiatives.
“These universities exhibit a strong commitment to bringing the innovations developed on campuses into the commercial marketplace, which benefits society and ultimately enhances economic growth,” said Carl J. Schramm, Kauffman Foundation president and chief executive officer. “We are very pleased to recognize and support their efforts.”
Additional funding
Additional funding came from UNC’s Translational and Clinical Sciences (TrACS) Institute, one of 55 medical research institutions working together as a national consortium to improve the way biomedical research is conducted across the country. Carolina KickStart, a core program of TraCS that fosters the building and launching of UNC startups, will administer the program.
“These fellowships help fill a significant talent gap for early stage companies commercializing important technologies,” said Judith Cone, special assistant for entrepreneurship and innovation to UNC Chancellor Holden Thorp. “This program is just one part of the effort to help UNC become one of the most innovative and entrepreneurial campuses in the nation.”
First fellow named
The first Innovation Fellow is John Strenkowski, a UNC alumnus and recent Harvard Business School graduate. “John has a passion for startups and is ideally suited to work with these early-stage companies,” said Don Rose, director of Carolina KickStart. “He will be an important catalyst to get these companies launched and in a position for success.”
The program targets young entrepreneurial talent. Certain Innovation Fellows will have a business background and will provide important business leadership for the startups: developing the business strategy, negotiating a license to the technology and securing startup capital. Other Innovation Fellows will bring technical expertise to the startup.
Because having a good working knowledge of the fledgling technology is important, the source of the technical fellows will be recently graduated doctoral students and postdoctoral researchers working in the lab where the technology originated. The fellowship will support transition to the startup as they provide technology development and scientific leadership: securing Small Business Innovation Research funding, creating a product development plan and designing and testing prototypes.
Hatteras Venture Partners to provide seed capital
To further enhance the program, venture capital firms will invest in the companies with an Innovation Fellow. Hatteras Venture Partners, a venture capital firm based in Research Triangle Park with a focus on biopharmaceuticals, medical devices, diagnostics and related opportunities in human medicine, has agreed to provide seed capital to a fellow-led UNC startup.
“Successful startups need three things: good ideas, talented individuals and capital. UNC has brought the first two together and our hope is that our investment will increase the likelihood of success for these startups,” said Clay Thorp, managing partner at Hatteras.
“We sincerely hope others will join us in providing seed capital for these companies and new ideas. The Innovation Fellows effort is an excellent opportunity to drive innovation and develop the region’s entrepreneurial leaders of tomorrow.”
The Innovation Fellowship Program supports one of the five major recommendations in the Innovate@Carolina Roadmap, to “translate important new ideas more expediently and at an increased volume into innovations that improve society.” The Innovate@Carolina initiative also calls for an expansion of the KickStart program campus-wide.
Tags: Clay Thorp, Hatteras Venture Partners, Innovation Fellowship Program, John Strenkowski, Kauffman Foundation, UNC Chapel Hill
Posted in Carolinas, Money, North Carolina, University Tech | Comments Off
Wednesday, October 27th, 2010
 Bob Keane COLUMBIA, SC – Robert “Bob” Keane has been named president and CEO of Spirit Telecom and CEO of PalmettoNet. Keane brings more than 25 years of experience in the telecommunications industry to the two firms, both headquartered in Columbia, SC.
Keane spent 18 years with AT&T in telecom equipment sales, business development, product management and access management and provided leadership in the development of local Internet, cable and access services. In 1997, he was named vice president of AT&T’s local services with responsibility for strategic and fundamental planning in support of business, consumer and Internet business units, which included the integration of Teleport Communications Group (TCG) into AT&T.
In 1999, he joined Comcast and formed Comcast Business Communications the following year. As president and CEO, he had full financial and operating responsibility for the development of a subsidiary to provide fiber-based services to small and medium business. In 2002, he joined Cavalier Telephone as its president and COO, overseeing the day-to-day operations of a regional CLEC operating in five states and an inter-city long haul optical network providing services in 15 states. Most recently he served as president and CEO of Arena Racing.
Spirit Telecom is owned by independent telephone companies and cooperatives of South Carolina and provides voice, data and Internet services to customers in North and South Carolina and 20 other states.
PalmettoNet is the largest provider of digital fiber optic networks in the Carolinas. A carrier’s carrier with more than 3,100 fiber route miles, PalmettoNet leases capacity to prominent telecommunications carriers who provide interstate, intrastate and interchange service.
Tags: Bob Keane named CEO, Columbia, Palmett.net, SC, Spirit Telecom
Posted in Carolinas, People, South Carolina, Telecommunications | Comments Off
Wednesday, October 27th, 2010
 Jean Kelley By Jean Kelley
No matter what your profession or level in your company, at some point you’re going to have to initiate a “difficult conversation” with a boss, co-worker, or colleague. This conversation could be between you and one person, or it could be between you and an entire group of people. It’s a conversation where each party has an opinion and a perspective, and they’re all very different.
So what makes these conversations so difficult? Often, they are emotionally charged conversations, and as such, people have a tendency to get hooked by their emotions and to react rather than respond. Or it’s a conversation where someone feels verbally attacked and the person’s fight or flight response kicks in, which escalates the conversation and makes it difficult immediately.
Some examples of difficult conversations include:
- Talking to a co-worker about a problem he or she has that is impacting your work
- Giving the boss feedback when the boss is doing something you don’t like or that’s de-motivating you
- Critiquing a colleague at work
- Talking to a team member who is not keeping up their end of the bargain
- Confronting a co-worker or colleague about blatantly “bad” behavior, such as stealing sales or discrimination
- Pointing out someone’s shortcomings that are affecting the project or team
The list is virtually endless.
Regardless of the topic or circumstances, these conversations are hard to initiate, especially when the stakes are high or you’re confronting someone you genuinely like. But the conversation must take place if you want to achieve any sort of happiness and satisfaction at work.
Unfortunately, most people avoid these conversations completely. They tell themselves that the situation will improve or the other person will change his or her behaviors, but that simply doesn’t happen.
Other times people face the prospect of a difficult conversation head on, but then approach it the wrong way, making the situation escalate to a standoff. A better option is to learn the skills needed to have these difficult conversations and then facilitate the dialogue with grace and tact.
Realize that having these conversations is indeed your job. It’s not your boss’s responsibility to intervene and solve all your problems. That’s called triangulation. If you constantly go to your boss to smooth over your problems and professional relationships, you’ll never be viewed as a leader in your company.
Additionally, by your boss having the conversation for you, the situation will usually get worse. So go to your boss for help with the skills needed to have a difficult conversation, but then you have to engage in the conversation on your own. Always remember that if there’s something bugging you at work, it’s your problem…so take care of it.
Easing the Stress
Chances are that a difficult conversation is looming in your future. To make the most of it and to ensure it goes as smoothly as possible, keep the following suggestions in mind.
Decide to do it.
Having the difficult conversation is for you, not for the other person. You initiate it so you can lighten your own load and ease your mind or frustrations. Yes, you know that the other person might get defensive, but that’s okay. You have something to say, so you must say it.
Unfortunately, when a situation arises, people tend to fall into one of two categories: silence or violence (verbal). Most people become silent. They understate the problem, avoid it, or make excuses for it so they don’t have to address it. Other people come from an angry place and become controlling, coercing, and blaming.
But to be successful in business and in life, you have to acknowledge that it’s time to have a difficult conversation with someone…and then commit to doing it. No backing out, no making excuses, and no yelling. So make the decision and stick with it.
Prepare.
This is no time to “wing it” or talk “off the cuff.” This is an important conversation, and as such, you need to prepare for it. Before you approach the person, pre-script what you want to say. When thinking about what to say, most people have a tendency to speak from their head rather than from their heart. To avoid this, start with your motives. Why are you really having this conversation? If you’re not beginning the conversation with the right motive, it won’t go well.
Remember that the only person you can truly prod is you. Therefore, you have to speak from the heart and know what you want from the conversation. Chances are you want a win-win solution that makes the situation better. So be clear about what that solution looks like. As you do this, don’t forget that if you play a part in the situation too, state your part in both the problem and the resolution.
Finally, if possible, bounce your conversation script off a trusted colleague. To keep anonymity, you don’t have to say the person’s name, or you can choose someone who doesn’t know the person. Either way, get this outsider’s feedback to make sure you’re not sounding defensive, accusatory, or unprofessional.
Make an appointment.
Whatever you do, don’t approach the person “out of the blue” and begin the conversation. That’s called an ambush. Rather, talk with the person and ask for him or her to meet you for lunch or coffee. If the person is in another geographic location and scheduling a face-to-face meeting is impossible, then schedule a phone call with the person. Face-to-face or voice-to-voice are the only options. This is not a conversation you can have in an email exchange, an instant message thread, or a Facebook wall post.
When doing the conversation face-to-face, meet over lunch or coffee rather than in someone’s office. Not only is a public location neutral territory, but it’s also conducive to a more intimate conversation where you can read each other’s intentions, energy, and motives. When doing a voice-to-voice conversation via phone, try to schedule it as early in the morning as possible when both parties are fresh and haven’t been bombarded with the day’s stressors yet.
Speak from the heart.
If you’ve done all the prep work, the conversation itself should flow naturally. Speak from your heart and talk about what you know to be true (the facts), not what you think (your perception of events). After you state the facts, then you can tell the person your take on the situation. Ask the person what he or she thinks happened so you can get their side of the story.
As you speak, avoid the word “you” as much as possible. Instead, focus on “I.” For example, don’t say, “You’re always missing deadlines, and that means all your work falls on other people’s shoulders. This just proves how inconsiderate and lazy you really are.” Instead, say, “When you continually miss deadlines, I have to work late to compensate so I can make my deadline.
When I have to work into the night, I feel very frustrated and taken advantage of.” The second version focuses on how a certain behavior makes you feel rather than being accusatory on the other person. Additionally, be sure that you don’t talk in a parental tone or use authoritarian language, as that will make a tense situation worse.
When the other person talks and you want to ensure understanding, paraphrase what he or she said so you acknowledge the story and validate it. Often you’ll find that the other person did not intend to be hurtful and didn’t know that their actions were causing anyone stress.
Before concluding the conversation, ask for what you want. For example, you could say, “Can we agree that from now on that you’ll meet your deadlines or give me an early heads up?” As you do this final step, keep in mind that you can’t change the other person. The only thing you can do is talk about how you feel about the situation and how their behavior has impacted you. The other person has to decide whether he or she wants to change. You can simply offer the opportunity for change.
A Better Future
These difficult conversations are intimate and transparent. They put you and your feelings out there in a way where you can be seen for who you really are and judged. That’s why they feel so scary to have. But the more prepared you are for the conversation, the better it will go. So don’t harbor feelings of resentment or anger toward others anymore. Decide to engage in a difficult conversation, prepare thoughtfully for it, and then speak from your heart. In the end, you’ll feel better for taking the plunge, and your work life will improve substantially.
Jean Kelley, Industrial Sociologist and founder of Jean Kelley Leadership Consulting, has personally interviewed over 20,000 people. She is the author of “Get A Job; Keep A Job” and “Dear Jean: What They Don’t Teach You at the Water Cooler.” Jean has positioned herself as America’s workplace coach. For more information, please visit www.jeankelley.com.
Tags: 4 steps to making difficult conversations easier, best practices, Jean Kelley
Posted in Business advice, Viewpoint | Comments Off
Wednesday, October 27th, 2010
 By James Z. Daniels
RALEIGH, NC – Engage Andrew Dembecks in conversation and you’ll hear terms like friction pairs, viscosity, carbon foot print, nano compounds, and mileage variables as his enthusiasm for his products shows.
His firm, Fusion-Tech Inc., makes oil based products designed to significantly improve the life of any machinery, even weapons, where wear and tear, by-products of friction, occur. But there is something distinctive about them. They are part of an emerging nanotechnology sector that has gained the attention of scientists, industry leaders, the manufacturing and the healthcare sectors.
Nano compounds make the difference
The oil based products are infused with nano compounds and designed to extend the life of the machinery or equipment. They also have a robust impact on reducing carbon emissions, improving productivity, slowing equipment replacement and allowing for the recapture of capital expenses over a longer time period.
Dembicks is not shy about describing the national impact these products can have on our economy, environment and clients’ financial performance. His vision is to place them in every factory, every trucking company’s fleet, every school system student transportation fleet and every airliner. It’s a tall order but he’s up for the challenge.
Dembick is a mechanical engineer, a graduate of New Jersey Institute of Technology and pursued an MBA from Stevens Institute of Technology, in Hoboken, New Jersey. He went to work for W. R. Grace in the 1960’s, a company very heavily invested in the plastics business.
There, he engineered high density polyethylene used to manufacture such things as the plastic milk bottles and soda bottles. After a three-year period, he left to join a start-up company in New Haven, CT, that designed and built machinery for blow molding plastics.
Creates first and second companies
In 1974 he moved his family from Connecticut to Raleigh and founded Southern Case Corp. and led this enterprise to become the world’s largest manufacturer of tool boxes, carrying cases and specialty luggage.
He sold Southern Case in 1991 and intended to use the proceeds from the sale to retire to Florida which he did. But he described this early retirement as “a disaster.” He packed up the family and returned to Raleigh.
The entrepreneurial urge still had him in its grasp so he founded Andrew’s Tool Works and one of the company’s projects was to manufacture router drill bits for Sears for inclusion in the Craftsman brand. He bought equipment from all over the world to set up the manufacturing processes in Taiwan and began producing the products for Sears. An unintended consequence of this work was that he gained first-hand knowledge of the hard metal business.
This led him to explore and question whether different hard metals might deliver an improved router product.
“Eureka, this is it!”
He committed long hours researching and educating himself on fine grain tungsten carbide, then ceramics and next nano ceramics and in his own words he shouted, “Eureka, this is it. This is the next revolution in metals!”
He readily confesses that he never heard of nano before and is careful to explain that nano suggests a billion. The nano is so small that 80,000 of them can fit on the diameter of a single hair.
What caught Dembicks attention was that the ceramic nano he discovered was so small that it can impregnate steel and in the process of impregnating steel it makes the steel smoother, and harder. Because the ceramic nano is capable of impregnating steel, the friction within an internal combustion engine is significantly reduced. The life of the engine improves remarkably.
More power is produced and the runs longer and more efficiently. Because the surface of the metal is impregnated, there is no place for the hydrocarbon to hide, the fuel burns more efficiently and carbon exhaust is reduced. The environment improves; sulfur and nitrous oxide as well as carbon monoxide are reduced.
The research to establish the validity of this product’s impact on improving engine performance and life were all conducted by the Dembicks team.
“The process was empirical,” he said. It was conducted by establishing a base line using an automobile test engine. The MPG and emissions were measured. Then the engine is treated with the nano compound. Next, the engine was tested against the original reading of the MPG and the emissions particulates and a comparison is determined. These tests established that hydro carbons were reduced by over ninety percent and the oxides between twenty five and forty five percent.
 Boosts fuel efficiency and life of lubricants
Fuel efficiency increased 15 percent and torque was increased approximately 13 percent. Over the course of the tests as the nano infused into the Dembicks’ personal automobiles, they discovered that the life of the lubricants was increased up to 800 percent.
The nano materials are produced in Scandinavia and imported by the Dembicks organization who has secured North American distribution rights. The product has been tested in Europe by TUV, the equivalent of the Underwriter Labs.
As an international service group, they document the safety and quality of new and existing products, systems and services. TÜV Rheinland Group evaluates, tests and certifies the safety and quality of products in virtually all categories: from toys to state-of-the-art computer equipment and heavy industrial machinery – national and international.
TÜV SÜD Automotive GmbH emission test center in Heimsheim, Germany, has validated the performance results according to relevant European emission test regulations. All endurance tests were carried out on the street in a mix of urban, extra-urban and Autobahn-cycles with three different models of their choosing each with different ages of manufacture and registered road miles.
The results, which were significant, showed a reduction in carbon dioxide and an increase in mileage ranging from 4.7 percent to 5.6 percent. This means that on a 12 gallon tank of gas with an average MPG of 15 miles to the gallon, the increase over the consumption of the entire tank of gas would see between 6 to 10 additional miles for each tank of gas.
The company’s current products include Fusion Nannomaxx Drive Train Treatment and Fusion Nanomaxx Diesel Fuel Catalyst/Conditioner.
For Wake County School System whose buses transport students a total of 17,000,000 miles each year, at $2.75 per gallon and 15 miles per gallon of gas, the school system’s budget could be reduced between $147,000 and $175,000 because of the additional miles of between 800,000 and 950,000 miles.
With these real numbers, Dembicks has targeted school fleets across the state for starters and who knows where it will take the Fusion-Tech company.
Tags: Andrew Dembecks, Fusion-Tech, Nanotech, NC, oil-based products infuesed with nanoparticles, Raleigh
Posted in Carolinas, Nanotech, North Carolina | Comments Off
Wednesday, October 27th, 2010
 MORRISVILLE, NC – nContact Surgical, formerly known as Ablatrics Inc., has rasied $13.15 million of a targeted $23.15 million equity raise, according to a regulatory filing. nContact makes medical devices for the endoscopic treatment of heart arrhythmias.
Investors in the company, which raised a $4.4 million mixed securities round in August and a $4.8 million equity round in 2009, include: Hippo Ventures, Raleigh, NC; Intersouth Partners, Durham, NC; Harbgert Management Corp., Birmingham, AL; Village Ventures, Williamstown, MA;’ Tall Oaks Capital, Charlottesville,VA; Massey Burch Capital Corp., of Nashville, TN; and Finistere Ventures, San Francisco.
It raised a total of $24 million in rounds previous to those cited. It disclosed the latest raise in a filing with the US Securities and Exchange Commission.
It’s generally a good sign when a company attracts backing from both East and West Coast venture firms.VCs like medical device firms because the need for their products is frequently obvious and acute and they bring them to market much faster than pharmaceutical companies can get drugs approved.
The Morrisville, NC-based company was founded in 2005 to develop and investigate medical devices for the minimally invasive treatment of heart arrhythmias.
Its Numeris Coagulation System with VisiTrax integrates suction, perfusion, and RF energy to create visible, non-conductive, bi-atrial, epicardial lesions on a beating heart. The tethered device is used in open chest concomitant procedures (see photo).
nContact has initiated clinical studies for the treatment of AF in both open and closed chest procedures. It is currently enrolling patients in a series of clinical trials to evaluate the use of its system for the treatment of atrial fibrillation.
To contact TechJournal South Editor & Writer Allan Maurer: Allan at TechJournalSouth dot com.
Tags: AL, Birmingham, Charlottesville, Durham, Finistere Ventures, heart arrhythmias, Hippo Ventures, Intersouth Partners, Massey Burch Capital, Medical Device, Morrisville, Nashville, NC, nContact, San Francisco, Tall Oaks Capital, TN, VA
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Wednesday, October 27th, 2010
 HICKORY, NC -DC-based private equity firm The Carlyle Group has agreed to acquire Hickory, NC-based ComScope, (NYSE: CTV) which makes infrastructure products for wireless carriers, in a deal worth $3.9 billion that will take the company private.
The Carlyle Group will pay $31.50 a share for CommScope, a 36 percent premium over its closing price Friday.
Cam Dyer, a Carlyle principal, said, “With strong leadership and clear secular growth drivers, CommScope’s long-term prospects are excellent. Carlyle will support CommScope’s continued investment in next generation solutions, more integrated product and service offerings, and superior customer service levels.”
CommScope’s current executive team is expected to continue leading the company, Carlyle said.
The transaction is expected to close in the first quarter of 2011. It requires CommScope stockholder approval, although the company board unanimously approved the deal.
Tags: Acquisitions, CommScope, telecom, The Carlyle Group, wireless carriers
Posted in Acquisitions, Carolinas, Hardware, North Carolina, Telecommunications | Comments Off
Wednesday, October 27th, 2010
 CARY, NC – Despite its vast potential, many companies have yet to capitalize on social media’s ability to not only listen to customers, but analyze conversations and turn the information into bottom-line benefit. Many organizations cling to old paradigms, using social media for one-way flow of marketing messages, instead of capitalizing on the opportunity to monitor, analyze, and participate in millions of conversations among consumers.
A survey of 2100 companies, sponsored by business analytics leader SAS, revealed:
- 75 percent of companies surveyed did not know where their most valuable customers were talking about them.
- 31 percent do not measure effectiveness of social media.
- Only 23 percent use social media analytic tools.
- A mere 7 percent are integrating social media into marketing activities
Overall, companies continue to search for ways to gauge and demonstrate social media’s contribution to the bottom line.
Using, but not exploiting
More than half the companies that responded are using social media. But only one quarter know where their most valuable customers are “talking” about them. Even fewer are applying social media analytic tools. Almost none have attempted customer sentiment analysis. Just 7 percent are trying to integrate social media into overall marketing strategy, such as campaign management, retail analytics, CRM and business intelligence.
“Companies are missing the chance to effectively market products and manage their reputations,” said leading author and analytics expert Tom Davenport. “They don’t know who’s talking about their brands, products or services, let alone the positive and negative sentiments. They can’t judge the influence of someone praising or criticizing them, nor can they test brand messages, videos, etc. In short, they’re missing marketing opportunities.”
Perception vs. proof among users
Many organizations seem more focused on “making noise” than understanding and participating in ongoing conversations about them. Half the companies using social media see increasing awareness of the organization and its products and services as the major benefit. Yet only a quarter thinks it’s working – a perception possibly constrained by the low use of analytic tools. Another 30 percent look to increase traffic to their websites, but, only 29 percent report collecting and tracking customer reviews online. It is striking that more accountable benefits are far lower down the list.
While 23 percent agreed social media helped them monitor what was being said, few described measuring the frequency of discussion about the organization as a current benefit. Only 18 percent could identify positive and negative comments.
The Benefits Loom Large
Looking to the future, 36 percent of companies surveyed plan to conduct customer sentiment analysis in the next two to three years. Some 33 percent are planning social monitoring solutions, 27 percent want predictive analytics and 26 percent will measure the impact of online conversations. Many hope to integrate social media monitoring with other marketing solutions, to understand not just what is being said, but who is saying it and its impact.
In July 2010 Harvard Business Review Analytic Services surveyed 2100 Harvard Business Review magazine and e-newsletter subscribers via an online survey. In addition, 12 in-depth qualitative interviews were conducted with subscribers via phone. The full report, “More Than Talk: The Search for Impact and Analytics of Social Media Use” is available on the SAS website.
Today’s announcement came at a Premier Business Leader event in Las Vegas, a business conference presented by SAS that brings together more than 600 attendees from the public and private sectors to share ideas on critical business issues.
Tags: Cary, Las Veges, NC, SAS, social media, survey
Posted in Carolinas, Internet/New Media, IT, North Carolina, Studies, surveys, reports | 1 Comment »
Tuesday, October 26th, 2010
 Patrick Bultema, CEO, CodeBaby By Allan Maurer
COLORADO SPRINGS, CO – The online world has not changed all that much since its inception. It is mostly read, click, read, click, or see a big shiny object, click. Unfortunately for those who want a consumer to do something, whether that is to surrender information, look at a product offer or buy something, the dispassionate read/click model does not work so well.
When Patrick Bultema, CEO of CodeBaby, comes to Tech Media’s Internet Summit Nov. 17-18 at the Raleigh, NC, convention center, he plans to tell the expected crowd of around 1,000 about a different way to engage an Internet users attention that is much more successful in driving action.
Based on neuroscience, which has shown people tend to make decisions based as much on their “emotional intelligence” as through raw information, CodeBaby has had considerable success with its approach to getting Internet users to ACT.
“So much of the Net is click and read,” Bultema tells us, “that if all you present is information, it’s hard to get people to take action or make buying decisions. Buying is emotionally charged.”
Getting people to do something
In any online presentation aimed at getting people to do something, whether to put an item in a cart, provide information, or actually buy something, most web sites still ask people to do something about as emotionally negative as possible: fill in a form.Yuk.
“At moments of truth,” says Bultema, “You need to create an emotionally intelligent experience.” Instead, many sites just make their click here buttons “Bigger and oranger.”
CodeBaby instead creates a more emotionally engaging experience with animated characters who talk to users at key moments, their conversations aimed at reproducing what a sales rep would ideally say if talking to the potential customer.
Making online interactions more human
“We’re seeking to change that interaction to a more human way of going about it using these fully animated characters. We know the quality of interaction between human and digital characters from the gaming space. We’re seeking to create this conversational style that is personally engaging and leads to action, to give up information for a lead, put an item in a cart, cross buy another item. It’s all about driving conversion behaviors.”
CodeBaby creates carefully crafted conversations at those key points Bulema calls moments of truth.
With a client such as NetNanny, a company selling Internet filtering software to protect children from the back alleys of the web, for instance, CodeBaby first “Builds a sense of reassurance and rapport, addressing fears consumers may have as parents to emotionally engage them while making sure they know they can trust the site with personal information that will not be used elsewhere.
When NetNanny sells without a CodeBaby, it gets about 19 percent of visitors to sign up for a free trial. With a CodeBaby, it soars to 56 percent, a 300 percent increase.
“We’re consistently seeing results like that,” says Butema.
The company sells its software on a subscriptions basis and even though it is customized for each user, “It’s very quick to get up,” he says.
The company, while focused on certain obvious verticals such as ecommerce, particularly in areas that are emotionally charged, such as health, wellness, beauty, personal improvment, personal finances, entertainment, leisure and sports, has also found success in less obvious areas.
Oh No, someone stold my bike
Many metropolitan police departments, for instance, want people to fill out routine crime reports online, especially in these resource constrained times. But, Bultema notes, victims of a crime are often feeling frustrated, violated, and angry. That makes it difficult for them to dispassionately fill out an online report.
With a CodeBaby there, letting them know the police will put the report through immediately and give it the attention it deserves increases the likelihood someone will fill out the online report by a whopping 400 percent.
At the Internet Summit, Bultema plans to show such things as a demonstration of online eye-tracking that shows “How frenetic most of us are online,” among other exhibits backing up his ideas.
“I think the future of the web is going to be a lot less of read and click and more humanized,” says Bultema.
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