sales

Gartner: Global mobile-phone sales up

In spite of the economic slowdown, worldwide mobile-phone sales rose nearly 12 percent in the second quarter of 2008 from the same period in 2007, market research firm Gartner said Thursday.

Growth was driven largely by the Asia-Pacific region, in which sales grew 20.5 percent from the second quarter of 2007, and the Middle East and Africa, where handset sales increased 18 percent.

In the United States and Canada, 6.5 percent year-over-year growth was driven largely by sales of replacement handsets, as new subscribers only trickled in, Gartner said. (Fellow research firm NPD Group, by contrast, reported earlier this month … Read more

Newegg reverses practice of charging New York sales tax

Online electronics retailer Newegg has stopped charging sales tax to its New York customers, according to a posting on the Consumerist.com.

The move by Newegg reverses action the online retailer took in June, in which it began to charge applicable sales tax for all shipments to New York, following passage of a new state law that required certain companies to charge sales tax on shipments to New York state.

Effective August 21, however, Newegg discontinued the practice and is leaving it up to New York residents to pay that sales tax themselves. That policy basically returns the responsibility of … Read more

Alltel debuts new ad with 'sales guys' babies

We all love Chad, don't we? You know Chad: the good-looking, unassuming guy who's taller than his rivals, but not too tall as to intimidate shorter guys, with the square jaw and fauxhawk (are those still in play?), who's so nice and just sincerely wants everyone to be able to share their wireless plans? As long as the plan is from Alltel Wireless Network, that is.

Well, haven't you always wondered what it would be like if we saw those guys as kids? No? Me neither. That's not stopping Alltel from releasing a new spot … Read more

HP keeps social tools behind closed doors

I sat in on a group breakfast with HP Labs' Bernardo Huberman last week. He's the director of the Social Computing Lab. The press function was called so HP could tell us how the company is using modern social-networking tools to enhance its business.

Modern tools, that is, for 2005.

While Huberman has done innovative research showing how novelty and popularity interact on social sites (PDF) such as Digg and Facebook, the impact of this research on HP is notably old-fashioned.

First, we learned, HP uses algorithms derived from its research to juggle the product offerings presented to buyers … Read more

Study uncovers best practices for SaaS (and open-source) sales operations

I'm in the middle of a fascinating study by Robert Breza of RBC Capital Markets entitled "On Demand Evolution, Volume II: Insights and Best Practices at Leading On Demand (SaaS) Providers." The research details the characteristics and best practices of successful sales operations and R&D at SaaS companies. I share some of its central findings because many of the same principles apply to open source, as both leverage subscription-based business models.

Just as barriers to open-source adoption continue to go down, so, too, do barriers to SaaS adoption. Indeed, some of the same factors may be driving increased acceptance of subscription-based software purchases. Forty-four percent of RBC's survey respondents indicated "no major concerns with SaaS adoption," which is up from 35 percent in a similar survey from Q1 2008.

But someone still needs to sell these products/services. One suggestion from the report is that subscription-based vendors should segment "hunters" (new license salespeople that are paid a higher commission) and "farmers" (renewals and upsell salespeople, generally paid a lower commission) early in the company's growth. Such vendors should also focus more on the long-term value of a customer, not the short-term initial contract payout:

The company is more concerned with farming the customer than they are with negotiating that initial contract. An effective and "sticky" product coupled with an efficient sales model should be able to drive customer retention above 90% while revenue retention is at or above 100%. (10)

Many of these companies (Omniture is a prime example) opted to start with "mid-grade" salespeople early on (Think: inside sales), later moving to "high-grade" sales people once the market opportunity was better defined. The idea is to start with more junior, hungry salespeople to prove out the market, and then bring in more expensive headcount to "reap" in the market once it has been established.… Read more

Gateway ends direct PC sales

Gateway.com no longer sells Gateway PCs.

The company announced Friday that channel partners and retail outlets, both online and brick-and-mortar, are the only way to get the Gateway brand now. In a statement, company officials said it was to fit Gateway into parent company Acer's model, which has always been heavily dependent on indirect sales.

Gateway was one of the original success stories when it came to selling PCs directly to consumers, though its business model underwent several significant makeovers before it was eventually acquired by Acer in August.

Heavy reliance on direct PC sales has fallen out … Read more

The 404 137: Where Justin will not be censored

Big Daddy Wilson can't make it on the show today, so we scoured the office and found his lovechild with MTI, CNET Account Coordinator Eddie Nguyen. He joins us for another wild show- this time, we address the not-so-recent trend of DVD piracy, the George Dubya Bush Sewage Plant (GDBSP), and Google's plan to redirect socially inept nerds. Most importantly, we expose a CON ARTIST within The 404 family. Seriously, we're fuming. EPISODE 137 Download today's podcast

Founder makes largest Dell insider purchase

Dell shares rose as high as 4.5 percent Wednesday, following reports that founder Michael Dell acquired nearly $100 million in shares in the computer maker.

Dell climbed as high as $23.18 a share in intraday trading, before closing out the session at $22.70 a share, up 2.34 percent.

Dell's founder, according to a report in MarketWatch, purchased 4.5 million shares between June 27 and July 1 at an average price of $22.14 a share.

Dell's buying spree comes after the company reported respectable first-quarter results, which came off a challenging 2007 when … Read more

Apple's iTunes hits 5 billion mark

The path to world domination is paved in round numbers, especially big ones like this: 5 billion.

That's the number of songs that have been purchased and downloaded from the iTunes Store, Apple said Thursday. (Actually, for the record, the press release says "over 5 billion.")

That shouldn't be surprising, of course. Apple's iTunes store has long overshadowed the rest of the music download scene. Rivals have launched many an assault, but even e-commerce competitors as savvy as Amazon.com still face quite an uphill battle--sales of songs at 9-month-old AmazonMP3, the No. 2 … Read more