Here We Go: Another Municipal Bankruptcy

Yep.  We know what you will hear on the popular news channels—this is only #4 for the year.  Oh that’s not that bad.  Its certainly not the 100s Meredith Whitney or the popular market site, StockMarketShorts.com—but, as they say, it’s early.  So, what does this mean?  I think its pretty clear—tax revenues and accessible lag the economic cycle.   But, they certainly don’t defy the economic cycle.

So, today, we see the new “record” for a Ch 9 Bankruptcy…the winner is Jefferson Co. Alabama!  But, we would be willing to bet that it wont be the last, and it wont be the biggest for long!

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Cash on white, hold the Greece

Please tell me your kidding?  The market is rallying today on the Greece situation as well as a European rate cut.  Forget the fact that Japan cut rates for over a decade and hasnt been able to fuel growth on the backs of its savers.  And, forget the fact that Greece’s GNP is less than the state of North Carolina.  I suppose it’s a good a reason as any to take the market up today.

But, from our perspective, the market is greatly overvalued and one bad news story from a catastrophy.  Be aware, be careful.

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Not So Fast: Meredith Whitney may yet be right

Meredith Whitney shocked the world  a little over a year ago on CBS’s 60 minutes with her prediction that municipal bonds would default at record levels.   Municipal Bonds are thought of a very safe investment due to the fact most issuers have “taxing powers” that allows the issuer to raise money even in poor economic times.

Last week the popular press including BLOOMBERG, CNBC, and other popular business news media outlets went after Ms. Meredith with a vengence.  They stated that she had lost all credibility because her dire predictions had not come to fruition.  Only a few outlets, such as StockMarketShorts.com and a few others said “hold your horses.”

Today, October 12, 2011, Harrisburg PA declared bankruptcy.  And, while the same popular media outlets that decried Ms. Whitney as wrong earlier in the month are barely acknowledging the event, we think it’s worth taking a deeper look at the situation.  We think this may well signal the beginning of the debt avalanche that Ms. Whitney saw coming.  Be careful and “stay tuned”…is it possible that the town the brought you the last great nuclear disaster on US soil will bring you the next financial one?

 

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Quick Primer: Social Media—Facebook, Twitter, +1 and the rest!

With social media becoming a larger part of our modern marketing vernacular, you must be concerned about you presence on them.  Today, social media is often used as a third party endorsement loop.  Your potential client is likely to go to Google or Bing and do a search.  Today, both Google and Bing are tied into social media—Google with +1; Bing with Facebook.  Your potential client will be able to quickly ascertain which of their contacts/friends “like” (or “+1″) your company.  Accordingly, someone may now head down to #8 on the first page of Google because more of their friends have +1′d it.

So, your internet marketing must contain a Facebook, Google +1, and Twitter plan to be truly effective.  FacebookBroke.com, a publication which exclusive tracks social media, reports that over 25% of all pageviews on the internet now take place on a social media site.  So, with 1 out of every 4 pageviews now on social media sites, your company can not effort to exclude 25% of the entire internet market!

 

 

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Personalities: Todd Hunnicutt, Real Internet Sales, Marketing Director

You may have not heard of  Todd Hunnicutt or the firm he works for, Real Internet Sales.  But, they have heard of you. And, Hunnicutt and his team use complex marketing techniques to insure that you can find their clients.  Several of the top Marketing Firms in the US consult with the folks at Real Internet Sales to insure top site and product placement.

We are all aware of the importance of Search Engines.  And while we generally understand the marketing importance of being on the front page of search engines like GOOGLE, Bing or Yahoo, few people really understand the interaction of all the pieces of the internet puzzle like Hunnicutt and Real Internet Sales.  For instance, do you understand whether its more important to be in a search like “shoes” or “shoes Columbia SC” or “running shoes” or “running shoes Columbia SC”?  Do you understand the difference in audience and, more importantly, do you know which is most likely to produce you a client?  Todd Hunnicutt and Real Internet Sales do!

Combine with all this particular search engine knowledge with something Hunnicutt only refers to as “tangent”  and “multi-layered” internet marketing and it produces “magic” according to Hunnicutt and his clients.  Hunnicutt contends this is more an art than science and few internet marketers and  even fewer clients understand it.  So, FavoriteSun caught up with Hunnicutt for a little Q/A on the Internet, Marketing, and Random thoughts…

 

FavoriteSun: So how long have you been “doing” Internet Marketing?

 

Hunnicutt: My first job out of college in 1986 was in marketing for a major regional bank.  I have been “doing” internet marketing about 10  years now.  With the “bubble burst” of the late 90s, I became involved in the internet and, quite frankly, I have never been able to leave it.  Everyday it changes and its continuously like a game to figure out everyday.   It’s exciting and scary—at the same time!

 

FavoriteSun: Does everyone need to use the internet to market?

 

Hunnicutt: No, I don’t think so.  But, frankly, most of us do.  For that guy or gal that has all the business they need or want, they do not need to use the internet.  But, most of us need additional business and it’s very hard to find a business that doesn’t fit well to the internet.  Even very specialized businesses with very few clients often find there are huge benefits to “marketing” on the internet.  The way they “market” may be different but most still need to market.

 

FavoriteSun: Sounds a little cryptic.  What do you mean “the way they market”?

 

Hunnicutt: Well, for example, we have a client that develops $100+ million projects.  These projects are mostly for people like the Department of Defense or other US Agencies or large municipalities.  The fact is that there is no point in conventional internet marketing in a situation like this.  We aren’t going to try to get them “top placement” on Google for “DOD project developer”, etc…because quite honestly, that is not the way their clients look for them anyway.  So, everyone’s marketing plan is unique to their unique business and that is Real Internet Sales “unique” contribution—we listen.  Once we understood this clients unique circumstance, we designed a unique program that has worked exceedingly well for them.

 

FavoriteSun: So is there no “standard” for a marketing plan on the internet?

 

Hunnicutt: For whom?  I mean I am not trying to be flippant or cute here, but that is a universal problem sometimes with clients.  They expect some sort of “universal” solution that we walk in and pull out of a “internet kit.”  And, by the way, that’s not the clients fault.  The fault is with the internet marketing companies that buy spots on tv or pay-per-click ads on Google or Domain sites with claims like “have a website tonight for $39.00″  It cheapens the industry and what we do.  Honestly, most people need help with understanding the process of marketing—defining what they want to say and what makes them different—add to this, with the internet, a certain technical writing skill that is necessary to insure certain key words, meta tags, etc…are mentioned and are repetitive.  We provide that.  We get to know the client and understand what their product is and what their message is.

 

FavoriteSun: So how long does it take and how much money does it take to do a comprehensive plan?

 

Hunnicutt: The market is efficient which is short hand for “the cost is fairly inexpensive.”  For most businesses, a marketing plan is around $1000-1500 which represents, or should represent several hours of talk time with the client.  Your internet marketer should be able to explain your product and, more importantly, what makes you unique almost as well as you can.  If they can’t, keep hunting.  As far as the site itself, most sites can be constructed for $1000-2000 now as far as basic sites go.  You should look for a firm that also provides the ongoing services of SEO (Search Engine Optimization) as well as monthly maintenance and email services.  You need to insure all these services work in concert so it’s easier to have one firm to yell at if they don’t!

 

FavoriteSun: Do you think internet marketing will be as important in the future?

 

Hunnicutt: With about 30% of the world’s population currently using the internet and a recent study of College freshman saying they would rather have the internet than a date or a car, what do you think?  Yep!

 

FavoriteSun: Thanks Todd!  And, good luck in the future though I suspect you wont need it.

 

Todd Hunnicutt is the Marketing Director for Real Internet Sales.  He can be reached at todd@realinternetsales.com.

 

 

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BUSINESS: Are You Kidding?

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OK.  The market rips higher today on the fact that the French and Germans stated this weekend they would bail out the banking system in the Euro-zone.  So, let me get this strait, the Banks which are in trouble largely from investing in Euro Sovereign Bonds (read that, “Government” Debt) will be saved by the Government bailing them out (maybe with the money the banks invested?).  The fact is the Government will now look at putting a great deal more money in the banks than the banks gave them.  What???

 

Here’s the FAVORITESUN’s take!  There is NO MONEY in the Euro-zone.  There will be no real bail out.  This is a three card monty game of epic proportion.  Don’t get caught.  Don’t buy into some fantasy that the “its going to be ok.”  It’s not.  It really is different this time.  And, by the way, there is no money in the US either.

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