Latest briefings
December 08: Thought Leadership - When you need an edge, show your thinking supports your position
Jun 08: New Business Best Practice - The Search For An Objective Understanding
Feb 08: Patterns Emerging
Jan 08: Themes of 2007
  • Pearlfinders US

    Pearlfinders covers the Wall Street Journal, New York Times, and all the essential North American trade press for new business opportunties too.

  • Pearlfinders UK & Europe

    Pearlfinders carefully monitors every story in the financial and essential trade press, then expertly interviews the decision-makers involved to identify new business opportunities.

New Business Briefings

Oct 07: The latest wave of online start-ups require energetic and capable marketing support

10/27/07

Over the past quarter we’ve seen a wave of online startups each determined to crack the US market with enhanced value-experiences for businesses and consumers. As the theme gathers pace, we present you a selection of innovative examples that are driven by technologies or marketing concepts, coupled with viewpoints for agency marketing support gathered from senior decision-makers.

This month, instant-messaging (IM) sites Meebo.com and KoolIM.com unveiled plans to introduce alternatives to chatting online (see Pearlfinders US 10.12.07). Using specialist Internet technology, both allow users to talk from a web page without having to install instant messaging software. They allow people to simultaneously log in to multiple IM accounts and even communicate with users on rival software. Meebo recently raised $13m to gain a stronger footing in the IM marketplace, of which they’ve told us a proportion will being channeled into marketing the website, as well as acquiring more users. The core demographic is both males and females aged between 14 and 25, who enjoy socializing. They also conduct interviews with celebrities and music artists, and have partnerships with companies such as Virgin and Vibe.com. The CMO’s goal is to help Meebo establish relationships within the music industry, which he feels involves building publicity. He told us he’s interested in hearing from consultancy specialists, which can help achieve this. Equally, he’s invited new media / viral marketing experts to bring ideas to the table to support them through the next growth phase. Currently, they work with 340 Communications, buddylube and Pollock Media - delivering business tech PR, music marketing and alternative / new media activity respectively.

Meanwhile, rival KoolIM.com threw down the gauntlet, unveiling plans to compete against the likes of Meebo.com (see US Pearlfinders 10.12.07). Pearlfinders spoke to KoolIM Founder & CEO. In contrast to Meebo’s twenty-something demographic - KoolIM aims at attracting two very separate markets – students and corporate users. As the business grows globally, he told us he aims to capture another audience – those who may not have a computer and can use the service at Internet cafes. In terms of KoolIM’s marketing efforts, most activity has been a mixture of in-house and local support. The site’s user-base has grown significantly in recent months primarily due to word-of-mouth and recommendations. He anticipates a new wave of funding to be in place around six month time, which will be invested in bringing new digital suppliers on board to strengthen the company’s online presence.

The past two months have witnessed the emergence of a new social networking phenomenon – ‘virtual support groups’. With the social networking sector going into overdrive, the marketplace has become utterly saturated by Facebook, MySpace and Beebo, all fighting to gain a wider user-base. However, the surfacing of such sites as DietTV.com and PEERtrainer.com has given the consumer an alternative to face-to-face support groups. More consumers are embracing online resources and advice groups for additional health information. PEERTrainer.com Founder & CEO told Pearlfinders the site offers a support function to users, offering them an online platform to discuss weight-loss, health and lifestyle (see Pearlfinders US 10.10.07). PEERTrainer aims to build a sense of "community" among users, as well as encourage them to engage with others via the site. The site has been growing over recent months, and now has more than one million active users. Its primary demographic (92 per cent of the site is visited by female users) is the middle class, financially independent "Mighty Mom" - average age 32. They told us that there’s a growing niche for sites such as PEERTrainer as “it offers more than social networking”. It’s another level of user value. The business has grown organically via a combination of viral, blog and word-of-mouth. The Founder & CEO was keen to emphasize openness to ideas and suggestions, and is keen to build relationships with consultancies with expertise in raising brand awareness.

In early October, start-up IT firm Anagran unveiled a new form of technology to 'modernize the Internet' (see Pearlfinders US 10.03.07). Anagran’s equipment analyzes web traffic to discern whether it is an email, a movie or phone call and then “carves” the bandwidth needed for the transition. We spoke to the Anagran VP Marketing who explained the technology helps route the Internet - allowing a faster-flowing service. Anagran's technology is aimed at attracting both ISPs and Fortune 500s, including large banking organizations. So far, the key focus has been towards strengthening the brand, and securing a customer base. They feel they will have just 3 to 6 months to do this – and mapping out strategy is key. Therefore Anagran’s focal point has been planning and preparation, but also an objective is the Asian marketplace. All communications and PR for North America are outsourced to a local supplier. Over the coming months however, they told us they plan to grow the brand overseas, and stabilize presence in the digital / tech innovation sphere globally. Ultimately, he’s interested in hearing from PR and communications specialists with existing partners overseas or with international presence. As the business grows, Anagran might require local comms expertise overseas too. B2B marketing is also an area he's interested to explore beyond the US - this hasn't been a priority so far - but is set to change.

In September, DVD Kiosk manufacturer Polar Frog Digital outlined ambitions to strengthen its self-service DVD burning solutions service (see Pearlfinders US 09.28.07). The company makes MediaIgloo kiosks – which allows consumers to download digital copies of films and TV shows to blank DVDs on the spot. We spoke to the Polar Frog Digital CEO, who outlined the company’s business development efforts.  MediaIgloo kiosks are sold to retailers, and more recently airports and military spaces, allowing consumers to pick a film, television show or documentary, which can be directly burnt onto a DVD. Home Depot has recently been trailing MediaIgloos for the past seven months - with all content on the machines marketed to its own clientele (such as DIY content that can be burnt onto DVD). Therefore, marketing is unique and tailored to a particular retailer's demographic, or any location where there's "healthy foot traffic" passing through.

Polar Frog has been building its profile over the past few months. Now however the CEO has parted company with his PR firm and wants to see who and what else is out there. He highlighted the importance of demonstrating a proven ROI – any agency can generate press releases – the aim is to get Polar Frog recognized on a wider scale. They acknowledge that it’s a new marketplace they’re entering, so understanding their proposition and business is crucial with the main goal to increase brand visibility. Any consultancy wishing to get noticed must be savvy and demonstrate previous example of work in a similar field. He doesn’t want to be bombarded with lengthy emails or mindless collateral - he wants you to really think about this.

The incidence of innovative online startups in the US will continue. We suggest you monitor the media closely to take note of the front-runners before imbedded AOR relationships occur. One theme is that there will be opportunities for agencies to support them through the next growth phases – we suggest you prepare generic approaches so you may then quickly and thoroughly tailor them to each individual business and/or model as it emerges.