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Usability testing slows down launch but speeds up success

I hate hearing the term “user error”. Good usability testing should eliminate most user error. I am a big proponent of A:B testing with live users. However, often a small usability test can quickly highlight any big problems before you go live so that you are working from a better starting point. Many developers like [...]

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Ad recessions past and present

I posted earlier this week on which online media companies will survive the ad recession. If you have any doubts about the coming dip, check out the following chart showing how advertising growth has dipped in every past recession from Lehman Brothers/Barclay. The light blue line shows advertising growth rates, and it dips every time [...]

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What to do if your users think you’re something that you’re not

I was talking to the founders of Zintin recently about their iPhone app. Although they had initially expected their dominant usecase to be “keep in touch with your friends”, it rapidly became “meet nearby people”. The Zintin team did a great job of rolling with their users and evolving their product development towards the [...]

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Which online media companies will survive the ad recession?

As I have mentioned previously, we are entering an overall advertising recession and even online advertising growth has slowed. Notes the LA Times in August: “Advertisers have pulled back in a pretty meaningful way, and display is feeling the brunt of it,” said Clay Moran, a Stanford Group analyst who recently wrote a research report [...]

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Don’t count on ad targeting to lift CPMs in the near term

The online ad market is not immune to the overall advertising recession, and growth has slowed. Many online media companies and ad networks are counting on targeting to help lift CPMs. But Julie Ruvolo reports from the Adweek conference last week that media buyers are still hesitant about highly targeted ad campaigns: In the traditional media-buying [...]

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What impact will the credit crunch have on venture financing for startups?

An entrepreneur asked me recently if I was concerned about the impact the credit crunch will have on venture financing for startups. I responded: For high quality companies, the short answer is no. The more nuanced answer is that (i) The credit crunch will impact venture debt (already has) so people can’t count on that to [...]

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US teens send 7.5x more text messages than they make calls

Neilsen Mobile recently reported on US 2008 Q2 mobile phone usage. They find that the number of calls made per month averages 204 across all users but does not vary all that much with age between 13-54: On the other hand, as stereotypes would suggest, teens drive by far the highest number of text messages per [...]

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How to take money from children (for your online game or virtual world)

Virtual Worlds News noted last week that: PayByCash announced … that over 50% of its US transactions were coming from its Ultimate Game Card, a prepaid card that supports over 150 virtual worlds and games, like Club Penguin, Nexon America, and IMVU. Previously U.S. consumers favored PayByCash’s direct debit options… I’d guess one explanation for the transition, [...]

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Habbo profitable on $38m of revenue in 2008 H1?

Arctic Startup, quoting an article written in Finnish at Kauppelehti, the leading business magazine in Finland says: The Helsinki based virtual goods operator Sulake saw a profitable first half in 2008. According to Kauppalehti, net profits were around 400 000 euros. The revenues rose approximately 20% to 25,6 million euros for the first 6 months of [...]

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Seven ways to boost your click through rates 25-50%

Marketing Sherpa notes seven design elements to add to your banner ads to increase click through rates from 25-50%:

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Birthday greetings as a proxy for how communication is becoming more public

Last year I noted how the “performance” aspects of social networks was moving more birthday wishes from private communication channels (e.g. email) to public ones (e.g. Facebook wall posts). This year, the trend is even more pronounced if my own experience is any indication. The number of wall posts went up dramatically. FB private messages also [...]

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Social games need endgames

At AGDC last week Bioware’s Damion Schubert spoke about end-game design in MMOs. Massively notes: Endgame gameplay, elder gameplay, is a mandatory and compelling part of the genre’s equation. In fact, in Damion’s opinion complex elder gameplay exemplifies what makes the massive genre what it is… In reality, says Schubert, MMOs are generally really easy to play. [...]

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PCH International Secures $21 Million in Venture Capital Funding from Lightspeed, Norwest Venture Partners and Focus Ventures

CORK, Ireland--(BUSINESS WIRE)--PCH international, a global supply chain services firm, announced today that it has received $21 million in venture funding from Lightspeed Venture Partners,

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MMOG nuggets from Austin GDC

Some interesting tidbits about both free to play and subscription MMOGs coming out of the talks at Austin GDC. Min Kim of Nexon says: Not just a Korean thing: “South Korea is still a big market for us,” Kim admits, “but the split is now 50/50 with overseas markets,” which includes the Asian and U.S. markets. On growth [...]

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What’s the best display ad size for your website?

Many websites default to the 728×90 (leaderboard) ad size when designing their site. This is a reasonably good option as it has the second highest click through rate of the various standard ad units. But it is possible to do better. Marketing Sherpa researched clickthrough rates by ad size (from largest ad unit to [...]