Updated: 3/17/06; 10:49:14 PM.
Gary Mintchell's Feed Forward
Manufacturing and Leadership.
        

Thursday, June 9, 2005

Do you RSS?

I noticed yesterday that Infoworld, a magazine I've read for over 15 years--in fact I used to advertise in it in those years I backslid into marketing--has developed a new RSS format. David Winer, RSS guru, podcaster, and media curmudgeon, voices his opinion. He doesn't like the ad. The new format has one thing I don't mind, and that is that the entire article comes within the feed. Most of the time you get a link and about 50 words of an article. Then you click and go to the site to read. This saves time plus I seldom stay on the site, but click back to my new aggregator. The ad could be a bit much, though.

However I find his second point quite interesting from the point of view of a trade journalist. That is, he calls Infoworld's articles an "ad." Therefore adding an add in the RSS feed is an "ad within an ad." There are trade publications in manufacturing (my specialty) that are known to write articles about products--essentially ads. In a former life I ran into a reader at a trade show who told me that my publication at that time (different one from now) was like reading a catalog. I worked hard both there and at Automation World to overcome that comment. PC and IT magazines, though, are still heavily into product descriptions and product reviews. I read those magazines, but not for that. More for columnists pointing out trends and shortcomings and for practical advice.

Here's Dave's comments:

A picture named dp.gifToday I unsubbed from a feed because its ads were too big in relation to the value of the content. I found as I scroll through the new stuff, Infoworld's new format got me to stop and look, and and then I'd quickly see it was an ad. I know that eventually I'd tune it out, but then I'd miss illustrations that weren't ads. So this is where my line is, at least for Infoworld. Goodbye old friend. (Irony: The articles in Infoworld are pretty much ads too. So it's ads in ads. What a business model. They managed to forget the user, completely.) [Scripting News]
2:35:01 PM    comment []


Feature/Price Balance Called Crucial in Instruments Market

Here is a report from analyst firm Frost & Sullivan regarding the process analytical instruments market. I find the recommendations doubly interesting. First, if suppliers wish to add profits they must innovate (my comment: Duh), and second, communications and data handling technologies are the areas where innovation is needed. Read on.

Demand for new equipment in developing regions allows manufacturers of process analytical instruments to sustain revenues despite stagnating need from North America, Europe, and Japan.

A new analysis from Frost & Sullivan entitled "World Process Analytical Instruments Market," reveals that revenue in this market totaled $2.28 billion in 2004. Analysts project it to reach $3.07 billion in 2011.

The report analyzes key market dynamics and trends that influence demand for process analytical instruments such as chromatographs, spectrometer, gas analyzers and liquid analyzers. It also includes revenue forecasts, demand analysis and strategic recommendations that assist service providers in capturing market share.

"Rapidly developing markets are showing excellent growth rates both in number of units sold and market revenue, but higher profit margins, which vendors expect from mature markets, are hard to come by," explains Frost & Sullivan Research Analyst T.V. Navin Kumar. "The prime reason being that emerging markets take time to adopt high-end products."

At the same time, end-users in developed countries demand cheaper products with more product features and benefits. In order to maintain profit margins, vendors need to offer product variants and services at different price levels to fit the individual needs of the developing and developed markets.

In the current market scenario, the customers are demanding cheaper instruments with integrated solutions capable of communicating with other process analyzers. Such advancements in technology would not only increase profit margins but also stimulate demand in mature markets.

Since fundamental design of the instruments remains more or less the same, a good strategy for differentiation, would be to focus on associated electronics and communication aspects of the process analyzers concludes the report.

"Value engineering and varying the product designs right at the production stage are going to be crucial for augmenting revenues," says Navin Kumar.

Introduction of software and digital communications into the instruments, add-on features such as inter-connectivity with other process analyzers, and operability with handheld devices and laptops are gaining in significance.

In an effort to incorporate such advanced capabilities and expand product portfolio, analytical instrument manufacturers are increasingly acquiring smaller companies with specialized capabilities. For example, companies with limited experience in data management will benefit from acquiring data management firms.

Apart from technically superior products, an efficient distribution channel could allow vendors to gain an edge over competing brands and make a positive impact across new and emerging applications in the biotechnology, chemicals, and gas refining industries.

"More concerted efforts are essential to retain customers through adequate training in terms of problem solving and customer support," observes Navin Kumar. "Interactive training procedures, for example, would increase customer awareness regarding product features and also help in improving brand image."

Going forward, an appropriate blend of advanced product features, excellent customer support and service strategy, and competitive pricing will be critical to succeed in the process analytical instruments market.
9:16:19 AM    comment []


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