VOIP – phone panacea?

eBay has just bought Skype, one of the most exciting companies on the tech landscape at the moment. While here in New Zealand, the local phone monopoly has announced it is replacing its network with a VOIP (Voice over Internet Protocol) one.

I am a great fan of Skype and it’s ability to provide free toll calls to anyone else with Skype anywhere in the world. However, if the Telco’s are getting in on the act, does this mean that Skype and the like are going to be squeezed out?

With Telecom NZ making $800M in profits each year and going to a platform (coasting $1.4 Billion) that is currently free, where is their revenue going to come from?

I cannot see Telecom allowing any other VOIP system work with their network to allow them to charge for something that is currently free. Sure there will be some differences, but in the time it takes them to roll out this new network, the VOIP market will have matured and become quite common.

I wait with some trepidation as to how Telecom play this one.

Till next time


Pay per Click – Part 2

Alot has happened since the last post here. However a couple of my new clients have embarked on the Google Adwords road and the initial response is interesting and a little disappointing.

As a bit of history, one of my clients was happily paying $20 per day @ 9 cents per click to send loads of visitors his way. Since the changes to adwords, his visits has slowed incredibly, with his old setup only costing him $7 for the whole month, but bringing him many fewer visitors.

Seeintg this I have been a little more cautious in promoting Adwords.

With these new customers, they are interested in generating visitors while their new website finds itself in the Organic listings (unpaid, sorted by relevance). Adwords gives them this, but now seemingly at a much greater cost.

I’ll give you some figures in the next installment



Pay per Click – What has happened?

This is the first in an expected series of posts that will chronicle the fortunes of Google Adwords. We have promoted Adwords as an excellent way to get business for your company at a relatively low cost. Recent changes to the way Google has implemented Adwords means that those low cost ads are now definately not low cost.

10-12 clicks per day has now become 3-4 due to the increased minimum click charge Google has implemented.

Will this last? I for one hope not, as for small business, it is a kick in the teeth. You now need a substantial budget to make the campaigns work.

As I mentioned, I will be following this up with a regular feature as to how these changes have effected small advertisers.

Till next time