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Beggs: Wholesale Market Becoming More Consistent - Auto Remarketing
Sharing what Black Book editors observed for themselves in the lanes or what the commentary survey personnel reported back to the home office, Ricky Beggs indicated that dealer sentiment is becoming more consistent about how wholesale conditions are nowadays.
In his latest video blog, “Beggs on the Used Car Market,” the Black Book managing editor described how the firm handled its information-gathering processes after Memorial Day weekend.
“What a week we just had, as we took a little time to honor our military friends and then had to dig a little deeper to make sure we were reporting the complete market,” Beggs began. “The editorial team stepped up this past week with focused analysis after each one attended at least one physical auction and watching several more online.
“As we received the reports from our survey personnel all across the country there were many comments similar to the previous few weeks,” he continued. “It is consistent that the market is still not overly aggressive in trying to buy additional or fresh inventory.
“It’s also clear that much of what is available on the dealer consigned lanes could be from slightly aged inventory that was previously acquired when we were at or near the peak of the market, thus leading to a few more no sales this week or maybe even a winkled brow if it did sell,” Beggs went on to say. “It doesn’t hurt too long, but as we overheard one dealer say, he at least turned his offerings into cash. That’s the beauty of the auction industry.”
Beyond the dealer commentary, Black Book found that its wholesale price data is shedding light on a market that’s becoming more consistent, too.
Editors determined the number of necessary adjustments that were increases remained in the low 30-percent level for the third consecutive week. That stretch comes after an 11-week run where Black Book’s increasing adjustments fell between 42 percent and 69 percent.
And the average change for those positive adjustments — $78 to be exact — turned out to be the lowest increasing figure since the week ending Nov. 18.
“This represents another sign of a slightly softening market,” Beggs pointed out.
“Over the past week or so I have talked with quite a few automotive journalists, all asking about the softening of the market and the reasons behind this changing trend,” he continued. “It seems that the price of gas and diesel at the pump always came up in these conversations.”
Black Book noted gas ticked another 4.5 cents lower last week to an average of $3.67 per gallon, what the firm said is the lowest level since Feb. 20. Beggs contends the cost at the pump is why prices within all 10 car segments have now softened for three weeks in a row.
Last week, car prices dipped by an average $31 or 0.2 percent — a figure editors said was consistent with the previous two weeks. The four segments with the greatest percent decline for the week at 0.6 percent and 0.5 percent were also the most fuel-efficient models overall.
Looking over at trucks, the prices for these units dropped by same amount on average for the second straight week. On average, Black Book determined trucks dipped by $29.
Prices for only one truck segment climbed week-over-week, compact SUVs, which rose by $9. Black Book noted this is the only truck segment that has increased each of the past three weeks.
YouTube Shopping Channel Tells Stories About Their Products To Capture Male Buyers - PSFK
In preparation for the release of our upcoming Future Of Retail report, PSFK reached out and spoke to Yazid Aksas of Sharpmen- an E-retailer that has built an online shopping channel that features narrative-based YouTube videos around the products it curates as a way to capture the attention of its male-only audience. SharpmenTV showcases one-to-two-minute videos featuring information about the products across a wide swath of categories, including fashion, art and food. In the near future, Sharpmen plans to display personalized landing pages for each consumer based on the preferences he stated in his profile after signing up. For example, a wine lover will see videos reflecting their interests, while an outdoor enthusiast may enjoy features based on those expressed preferences. All information is presented through videos and through using both flash sales and “pop-up shops” formats, Sharpman offers additional product information to aid in connecting shoppers with the products they purchase. We spoke to Yazid Askas, to get his thoughts.
Tell us a little about Sharpmen. How does the service work? Can you tell us about SharpmenTV and share a little about the idea driving the concept?
Sharpmen is the first online shopping channel for men. We present brands and products through videos and you can buy what you are watching. The concept came from my own frustration: while I was browsing TV channels I kept on landing on those shopping channels that had nothing to offer to a guy like me. Then I realized this was a great opportunity to create something fully dedicated to men’s lifestyle and that would cover everything they need in their busy lives, from fashion to wine. Since men statistically traffic Youtube frequently, we are focusing all our marketing on it via SharpmenTV, our Youtube channel, which act as a source of traffic and enables people to discover what we are offering. I really think Youtube is the next big thing in eCommerce.
Are there any notable figures or statistics around customer engagement and usage?
We launched a week ago and we already have 6,000 views and 1500 Youtube subscribers without anybody knowing we even exist. So it’s kind of shocking for us. It just tells us that men respond really well to Youtube as a way to discover cool products.
We have noticed that curated shopping experiences are being built which take into consideration your likes and those of your friends. These services often help simplify the process of shopping online by building a user-centric experience centered on expressed preferences or those of likeminded individuals, often aiding in the discovery of new products. Do you see this trend manifesting on a wider scale? How so?
I think you can only see more of it in the future and the reason is simple: there is just so much out there, so many brands, so many products, it’s overwhelming, and next thing you know you end up spending 2 hours finding a tie, while if I present you 5 styles that I believe make sense for you, you will act right away and convert more easily. We are moving from a wide inventory play for big retailers, to a personalization play where less is better. The wide usage of Facebook Connect is probably going to help a lot to scale that seamlessly.
Can you tell us a little about the decision to display personalized home pages for each consumer based on the preferences profile he fills out when signing up? Why is this level of personalization important?
I think it’s very important to personalize your offering in order to save time to our customers. There is only one thing you can not buy in this world, it’s time and people are very sensitive to that. So personalization is key: We want your experience to be different from that of your neighbor because you are different from him. Your style might be very casual and you may like the outdoors a lot, while the next guy is the opposite. We should show you first what you care about. It’s good for you, and it’s good for us because you will convert better.
What are the opportunities for retailers partnering with Sharpmen?
We are very excited by the wide range of partnerships we can set up for Sharpmen. Whether that’s with cool brands that make sense for our audience, and we’ve signed 150 of those so far, media properties that want to push their eCommerce revenues or retailers who want to add a curated video commerce component to their offering.
Check out an example of one of Sharpmen’s YouTube videos below.
Thanks Yazid!
The Talent Shopping Network Launches “Promotion by Contest” Free Marketing Platform - PRLog (free press release)
TTSN’s “Promotion by Contest” program allows businesses to create talent contests that double as viral marketing and advertising tools, while providing opportunities for talented individuals who enter the contests.
The Promotion by Contest tool is offered free to organizations interested in learning more about how promotion by contest translates to increased web traffic, brand awareness and profits. Participating organizations manage the contest process from start to finish online, using TTSN’s state-of-the-
Each business runs its contests entirely from its own website. Voters invited through contestants’
Each 900W x 320H banner can be customized with the individual promotional message that the sponsor wants to convey. Contestants, their friends and families will view each banner regardless of whether they enter the contest or vote, which means guaranteed exposure for the sponsor’s banner.
Businesses and entertainment industry organizations can post unlimited online contests at no cost; the TTSN contest management system is designed to make the process easy, organized, and efficient to encourage businesses to give it a try. Sponsor businesses can also create a company profile utilizing their logo, promo pictures, audios and commercial videos, and set up live auditions online with up to four contestants at a time through video conferencing. Embedded codes for each contest are created automatically, and can be cut and pasted to promote the contest anywhere – your company website, social networking pages, and online classified ads for instance.
The TTSN platform allows sponsor organizations to manage and view all contestant submissions from one location, contact contestants directly, sort contestants by talent or industry rating (provided by agents), by votes or views, best performances and more. The system eliminates email inundation from thousands of contestants;
“The ’Promotion by Contest’ tool is all about how a business owner or manager can turn talent that auditions for their promotional contests into marketers for their company, “says William Quinones, The Talent Shopping Network founder and president. “Contestants are motivated to win the contest, and since votes determine the winner, contestants happily send their voting page link to all of their email contacts, friends and family on the social networks.
“Before long it’s doubling as viral marketing,” Quinones says. “As friends and family open or click the link to vote, the first thing they will see is the sponsor’s banner advertisement.”
Quinones says that he expects the TTSN audition and contest Management system, the first of its kind for entertainment industry professionals, to transform the way the entertainment industry conducts auditions, casting calls, and contests. At the same time, and in keeping with Quinones’ vision, it will serve as a platform for talented individuals to gain exposure, and serve as a catalyst toward launching careers.
For more information on The Talent Shopping Network’s Promotion by Contest” tool, visit The Talent Shopping Network's Promotion by Contest web page,..
About The Talent Shopping Network:
The TTSN.co platform is for agents, managers, and anyone in the business of auditioning and finding talent. The Talent Shopping Network's/ audition management system provides industry agents with a state-of-the-
TTSN audition management system was designed to transform the way the entertainment industry conducts auditions and casting calls, without the expense and time sink that defines the traditional casting and management process.
Three years in the making, TTSN.co is the brainchild of William Quinones, a former dancer and later manager of a singing group who experienced firsthand the challenges of breaking into show business and accessing the opportunities that lead to a successful career in the entertainment industry.
With more than 50,000 active auditions on TTSN.co right now, the site provides talent with the ability to download audition scripts directly, video record their audition performance and submit it directly to the hiring agent. The site also offers access to a video voice-over recorder and demo song recording capabilities, and the first 10 auditions through TTSN are free.
Quinones calls TTSN.co an audition networking system for the entertainment industry, geared toward agents who are provided a comprehensive management system for auditioning for talent and networking with other industry insiders.
In addition to the TTSN.co audition/contest management system, agencies are invited to become part of the TTSN.co strategic partnership revenue sharing program, free for one year, and earn additional revenue as a partner by using TheTalentShoppingNetwork.com to conduct auditions and castings, run contests, and perform other functions.
For more information about all The Talent Shopping Network programs and opportunities, or to learn more about the strategic partnership program, visit The Talent Shopping Network (TTSN.co).
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Clearwire inks wholesale deal with MVNO Jolt Mobile - FierceWireless
Clearwire (NASDAQ:CLWR) inked a wholesale mobile WiMAX deal with AT&T Mobility (NYSE:T) MVNO Jolt Mobile.
The deal, which will eventually include Clearwire's TD-LTE service when Clearwire launches that network next year, will enable Jolt Mobile customers to add mobile WiMAX broadband to their plans. Jolt, a subsidiary of Net Inc., offers prepaid service using AT&T's network.
Currently, Jolt's plans range from $40 per month for unlimited voice and texting to $60 per month for unlimited voice, texting and 2 GB of data. A Jolt representative did not immediately respond to a request for comment on how the MVNO will price Clearwire's services.
For Clearwire, the Jolt deal is the latest in a string of arrangements meant to expand its customer base. MVNO H2O Wireless, which also works with AT&T, has been reselling Clearwire's WiMAX service since February. In March Cricket provider Leap Wireless (NASDAQ:LEAP) inked a wholesale deal to use Clearwire's LTE network, which it plans to launch by June 2013. Clearwire is also providing service for Voyager Mobile, a startup MVNO. And FreedomPop is also taking advantage of Clearwire's network for its planned "freemium" mobile data service.
However, Sprint Nextel (NYSE:S), Clearwire's majority owner, remains by far and away Clearwire's largest wholesale customer.
For more:
- see this release
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World's super-wealthy spend their riches on luxury travel adventures - The Guardian
Their wardrobes are packed with haute couture and designer accessories but for the world's super-rich shopping is no longer enough: lavish one-of-a-kind travel adventures are the latest status symbol.
Helicopter skiing in Alaska or a getaway to luxury goods group LVMH's exclusive hideaway in the Maldives are the current trends for the growing number of millionaires, according to a report.
It predicts that, despite the eurozone crisis, spending on luxury goods will hit $1.5tn (£975bn) this year as the wealthy look for novel ways to spend their riches.
The study by Boston Consulting Group (BCG) identifies a shift from "owning a luxury to experiencing a luxury" with bespoke treats now accounting for more than half of the $1.4tn spent on luxury goods and services last year.
Luxury sales have boomed in the last two years as the industry recovered from the hiatus caused by 2008 global financial crisis, which provoked a sharp fall in conspicuous consumption.
The sector has also been buoyed by the growing number of millionaire shoppers in markets such as China and Brazil, who are picking up the slack as consumers in traditionally important luxury markets such as western Europe, Japan and the US continue to spend more cautiously.
"The gap in income inequality is growing, which is unfortunate, but there are more and more millionaires every year," said Jean-Marc Bellaiche, a BCG senior partner who heads the firm's luxury practice.
Bellaiche said sales of luxury experiences grew 50% faster than demand for physical goods last year. The trend is explained, in part, by demographics – as the consumers who drove the luxury boom in the 1990s start to retire, he said.
"They do not want to own new things, so are the primary customers for experiential luxury offerings," he said. Their options are not limited to exclusive safaris and spas, they can book themselves in for a five-star hospital stay where they will be waited on by a butler and the en suite facilities include a marble bath.
The attitude to luxury is also apparent among their children who, the report says, now want more than the latest designer fashions. "Members of Generation Y tend to define themselves more by what they've done and experienced than by what they own," said Bellaiche.
"They are drawn to instant pleasure and lavish experiences – helicopter snowboarding in Alaska or a weekend shopping spree in Paris."
The shift is evident "even in brand-obsessed China" where personal luxury goods serve as a strong badge of status and success, he added.
The business of providing luxury experiences – from art auctions to exclusive travel packages – is now worth $770bn, according to the study. BCG predicts a 7% increase in luxury spending this year, albeit at a slower rate than the industry has enjoyed in the last two years.
Stock markets around the world have been shaken since April as the eurozone crisis, the faltering US economic recovery and signs of a slowdown in China, have made some analysts take a more cautious view of the outlook for luxury sales.
Recent upsets include last week's decision by luxury jeweller Graff Diamonds to scrap its $1bn Hong Kong flotation after a lacklustre response from investors. Rival jeweller Tiffany, which is considered a key barometer of health for the luxury consumer, did not helped Graff's cause by cutting its sales and profit forecasts in the days leading up to the planned listing.
Despite these fears, BCG says the growth of the middle class in emerging markets such as China, Brazil and Russia will boost the global luxury market. Big cities in the these nations are becoming powerful luxury hubs and their residents are a shopping force abroad, with the group dubbed "international travelling consumers" making their presence felt in the boutiques of shopping destinations such as London and Paris.
Affluent Brazilians, for example, are making an impact far beyond their own shores, bolstering property markets in Florida and buoying luxury retailers in Miami and New York. "If there are [fewer millionaires], and if there is a big slowdown in China or Brazil, this will impact the sector," said Bellaiche. But he added: "The reservoir for growth still exists."
With China on track to become the world's biggest luxury market by 2015, the growing might of its consumers, both at home and abroad, means it is expected to remain a potent force in the luxury goods market.
BCG says that by 2020, 330 Chinese cities will have the same level of disposable income that Shanghai had in 2010. "And Shanghai today is clearly a city of luxury like London or New York," said Bellaiche.
Business confidence dip amid crisis - The Guardian
The Lloyds Bank Wholesale Banking and Markets Business Barometer fell to minus 21% from 26% last month, meaning most respondents are negative on the view of the economy.
The eurozone crisis continued to escalate throughout May as fears grew over the health of the Spanish economy and the possibility of Greece exiting the euro.
Trevor Williams, chief economist at Lloyds Bank Wholesale Banking & Markets, said: "The renewed concern around the eurozone is clearly having an impact on businesses' sentiment towards prospects for the UK economy and, to a lesser extent, to their own prospects."
Companies also became less confident about their own prospects, although the decline was not as severe as the sentiment towards the broader economic outlook.
Businesses' confidence in relation to their own prospects currently stands at 35%, down eight points on April's 43%, Lloyds said, which still remains higher than during the worst of the financial crisis in 2008/09.
The survey data suggest an underlying 0.2% growth in gross domestic product (GDP) between April and June, Lloyds said, but only once the impact of the Diamond Jubilee is taken into account, which is likely to have reduced growth by 0.5 percentage points.
The most notable declines in confidence in May came in the North and Midlands and in the retail and distribution sector.
The deepening troubles in the eurozone have also hit confidence on stock markets.
Debt-ridden Greece, which is in its fifth year of recession, faces a crucial election later this month, which has been branded a referendum on whether it will stay in the eurozone and stomach more painful austerity measures.
Meanwhile, there are fears over the health of Spain's banking sector, after its fourth biggest lender, Bankia, said it needed a 19 billion euro (£15.2 billion) bail-out. In the UK, banking stocks have been among the worst hit.
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