Consulting

Consumers are now living in an interesting era: the process of change from the sales and advertisement based internet business to efficient data supply and elimination of information bottlenecking brings on a tremendous development of e-commerce and mobilization of capital. Since the new internet market brings new economics, new market structures, new industry structures, and new company structures, the profile of the customers has also changed. The customer has evolved from “solution demander” to “value demander,” and from “clients” to “business partners.” 451 Degrees is proactively focused on nurturing and further establishing relationships with multiple digital contents, companies, institutions, individuals, and customers as its prospective business partners.

451 Degrees offers the expertise a high-technology social networking internet company needs to develop new products and continually shifting new market segments. 451 Degrees’ products and services are easily maneuvered to serve such dynamic market demands with little or no transition costs.

Competitive Comparison

The most significant competition is no advertising at all - companies opting for other forms of advertisement. Currently most companies devote a small portion of their total media marketing budget to online advertising. 451 Degrees key advantage lies within the growth of this media-spending trend. Companies will be spending larger portions of their marketing budgets on internet advertising and anyone who does not do the same will inevitably see a drop in their marketing response. 451 Degrees plans to take advantage of the increase in internet media spending by capturing clients who are new or would not normally spend as much in internet advertising. Additionally, 451 Degrees will court potential clients and track their plans to increase budgeting for Internet advertising so 451 Degrees can provide them with the most effective and affordable solution.

Large established Internet social networks: Facebook, Twitter, MySpace, Bebo, Friendster, Orkut etc. These social networks have already created global communities based on a very vague and general identity, which is exactly where their weaknesses reside. 451 Degrees will attract users in search of more identifiable networks by offering strata of interest rather than an abundance of indistinguishable users. For your consideration, when Facebook first jumped into the social network scene, it drew in users faster than any network before it, but why? Facebook began as a network exclusively for college and university students and it was exactly that identity that made it so attractive. Since Facebook has opened up its user base to anyone, registration growth rates and traffic growth have slowed down to staggering rates and diluted the once preppy identity down to an alternative version of MySpace. It is this attenuation of individuality that has disillusioned its members into joining other networks. According to Maha Ibrahim (Partner Canaan Partners, venture capital),”The term ‘social network’ makes little sense if we leave out the objects that mediate the ties between people .” Ms. Ibrahim also explains that by focusing on these objects, an identity is created that maintains its members and prevents them from jumping to other online networks. 451 Degrees has a very explicit and clearly pronounced identity that will not only attract users but will retain them at minimal cost.

Target Market Segment Strategy

An additional benefit of the target segment that 451 Degrees will market to is the ability to utilize viral marketing. Through a combination of word of mouth marketing and astroturfing , 451 Degrees will utilize existing and pre-existing networks to build the brand equity of 451 Degrees.

Traditional Advertising: Currently the 451 Degrees brand is on NBC Television On Air as well as On Line. It is also seen on 944.com and 451 Degrees has a monthly full-page advertisement reaching 35,000 subscribers a month within San Diego. These same relationships and marketing strategies will be put in place in the cities 451 Degrees expands into with these same anchor tenant partners.

Diversify Networks: Content distribution is key. Setting up channels within other web sites will give 451 Degrees a powerful advantage over other Internet Video and community web sites. Franchising applications to the strongest Regional Players within this demographic for their own web sites will gain added visibility and recognition for 451 Degrees. The goal is to be in up to 20 other regional web sites per market under co-branded pieces. Each web site spends its own time and efforts marketing to their audience and 451 will benefit from this exposure.

Develop Contact Spheres: Contact Spheres are businesses that are symbiotic and noncompetitive. Determine what business and which professionals can be included and begin further developing relationships with them. The relationship that is currently in place with 944 Magazine is a perfect example of the success that 451 will continue to capture. 944 and 451 are entering into a Co-ompetion, Cooperating to Compete, against the other elements of Media that may be looking to overcome their market share. It is recognizing these symbiotic relationships that will continue to make 451 a leader in this genre and market segment.

Farming not hunting: Cultivate relationships with the aim of people to get to know you. It's not what you know, or who you know, it's how well you know them that counts.

Astroturfing: Utilize the Internet (Blogs, Other Social Networks, News Letters etc.) and alternative media outlets to generate “offbeat” coverage of 451 Degrees. In the past 4 months 451 Degrees has been mentioned within the pages of 944 Magazine as a company to be watched and followed. This is a perfect springboard for 451 Degrees to then begin to advertise to this audience that is their core. 451 Degrees has also been contacted to do a follow up article regarding the partnership with NBC Television and 944 for their readers to understand the partnership and its value. This is scheduled to run in 944 magazine in April or May 2007.

SEO: 451 Degrees has been working in Search Engine Optimization since 1996. It is a skill that takes time to understand. It also takes managed expectations for all involved. Our goal is to make sure your budgets are matched and traffic exceeds your expectation.

Regional Events: 451 Degrees will be a part of high profile Regional Events that directly reach their core audience. In September of 2006, 451 Degrees was selected as the Video production company for the Las Vegas Music Conference (LVMC). LVMC was a 5-day event that featured many of the top DJ’s in the world performing in Las Vegas at the Hard Rock Hotel’s nightclub, Body English as well as within The Joint. Simultaneously there were events being hosted at three top clubs within Las Vegas. This event attracted thousands of people. 451 Degrees will continue to be a part of these larger events and be the primary Video Production partner to those promoting and hosting the events. This grass roots involvement will help to foster credibility within all elements of this culture that could not be achieved any other way.

Everyday there are hundreds of websites popping up emulating the likes of You Tube. They simply provide a forum for browsers to post random videos all the while trying to avoid litigation for copyright infringement and gain advertising revenue. In controlling the content 451 Degrees drops into our site it avoids the draining legal costs, outfits clients with exactly the target market they are seeking, and supplies our users with the content they are expecting.