Showing posts with label business. Show all posts
Showing posts with label business. Show all posts

April 02, 2021

OK. I'm back. Sort of...

... so get over with it. Not sure how long this'll last, but I plan on sharing some stuff and this seemed the best place for it. Though nobody will read it anyways, but oh well.

I was never gone in the first place. Just that I felt everything has been said, and there was no need for the blog anymore.  I still log in almost daily into SL, and do more or less what I always did. Enjoy friendships. Love. Do stuff.

A few remarkable things happened. In no particular order.

Gina has returned last year. For good, it seems (knock on wood). You know the kind of person you don't talk to for years, and then meet them again and pick the conversation up right where you left it off? Gina is such a person.

London has gone missing, and then returned - sort of - many years later. There is closure, which is more than I had hoped for.

Ivanova is missing since 9 months by now. I hope she is well. I miss her.

I moved my SL home two or three times since the last post worth of that name here on the blog. The latest version is on a lovely sim I share with Ivanova, Gina, Zippora, Llyria and others. It's a bit like a hippie commune, come to think of it.

Llyria is the most important person in my Second Life (and partly beyond) for almost 5 years now.

I am fully mesh by now - the Logo head was the last piece, complementing the Belleza body.

My two previous businesses - GREENEconcept with Ivanova and Babel Translations - are officially or factually dead. Babel has experienced a rather unexpected revival in an equally unexpected direction, which is mostly the reason for reviving the blog (no worries, it won't become a marketing platform).

That's about it, in a nutshell. If anyone reads this at all, I'd appreciate a small comment.

Bye for now.

February 20, 2010

200,000 Banner Impressions on XStreet SL

My translation agency is recognized as Official SL Solution Provider by Linden Lab since March 2009. During a promotion for solution providers I recently got 200,000 free banner impressions on XStreet SL. This means my banner would be shown 200,000 times - not necessarily to 200,000 different people. Excited about this opportunity I submit my banner and the link to Kimmora Linden, and a little later my banner went live.

One question was where I would like the banner to link? I checked out some banners and saw they mostly link to an XStreet item, some to an external website, and some to a SLURL. I asked on Plurk for feedback on banner ads, and most people reported they never click on banners at all. In the end I decided to link it to one of my free promotional offers on XStreet itself, so I can track if the banner ad made a difference.

I had no idea what to expect, or how long those impressions would last. Two hundred thousand sounded like a large number to me, but I could not estimate what kind of visitor traffic XStreet SL would receive. A banner on XStreet SL changes whenever you come to a new page. So if you look at 3 products, you will see 4 randomly selected banners (including the front page banner).

I was rather surprised how quickly the impressions got used up. Only a few hours after the banner went live, the first 10,000 impressions were gone already. In the end, the 200,000 impressions lasted about 3 days. Of course I was curious to see the results.


The XStreet backend gives a nice realtime overview about the status of a campaign. In the end my banner received 58 clicks - this means out of 200,000 times the graphic was displayed, only 58 people (0.029%) clicked on it. This is somewhat sobering, but then again I offer niche services only suitable for a small fraction of residents.

Of course, those 58 clicks might have resulted in additional exposure and business opportunities. The linked product - my Language Kiosk - is a useful tool and free of charge. Surely those people who clicked my banner should consider my kiosk an interesting thing and "buy" it.


Alas, it does not seem like this. While there is definitely an increased exposure - those 58 clicks really end up on the product page - it does not seem to result in an increased attractivity of the kiosk. The number of purchases stays in the range of sales outside the advertised period.

Conclusions

Without doubt, a timeframe of 3 days is way too short to draw any generally valid conclusions. My product is pretty niche - a service offering rather than a retail product. Nevertheless the pricetag for those 200,000 impressions would be 7,999 L$ - had I actually paid for them I would have been extremely disappointed. To cover a full week I would have needed 500,000 impressions at least, at a whopping 17,499 L$.

  • To get a better impression, a merchant is well advised to do A/B testing with 2-3 different banners. My banner was static - the majority of banners is animated to overcome the "banner blindness" of most shoppers. A proper test would consist of various versions of the banner, animated and static, with different wording as well.
  • One of the biggest problems I see is that the banners are not context sensitive. A merchant books 200k, 500k or 2 million impressions, and the ads get randomly displayed. It would make much more sense to ask for a list of keywords and/or categories, and only show the banners relevant to XStreet products of a certain category or keyword.
  • A by definition intangible and immeasurable effect is exposure. My banner got shown 200,000 times, so a lot of people have supposedly seen it and might remember it in the future.

Still this has been a very interesting experiment, and I thank Linden Lab to give me this opportunity. I would be interested in hearing feedback both from merchants who use banner ads, as well as from shoppers who click or not click on them.

Have you clicked on a banner before? If yes, did you buy the product? If no, why not? Did you buy banner advertising before and where you happy with the results?

I look forward to hear your feedback!

December 08, 2009

Universal giftcards - finally!

Almost a year ago I shared my thoughts on a universal gift card system for Second Life. While in-store gift cards are fine, they limit the choices of the gifted. And simply donating cash, as suggested by commenters, seems a bit "cold" by many.

One of the possible ways I came up with was:
One of the large web portals like XstreetSL or OnRez should issue giftcards that can be used on their web backends or - in case of OnRez - their in-world vendors. Once purchased, the card could be used for any purchase with any of the listed items - the merchants would get L$ put into their accounts after the purchase.
And guess what - exactly this did finally happen!

Since August already you can buy gift certificates on the new marketplace slapt.me, going from 500 L$ up to 10.000 L$. You can give the card to any person, and the recipient can redeem it on slapt.me where their account get credited with the amount. The caveat is - of course - that not only the recipient of the card needs to have a slapt.me account, but that also the range of products available on the marketplace is still far smaller than XStreet SL. However I am convinced that slapt.me becomes one of the leading alternatives to XStreet SL in due course, so that the range of available products will grow over time.

November 22, 2009

XStreet and me - a personal analysis



I have not yet made my mind up on the upcoming XStreet SL changes. I see where Linden Lab comes from with the announced changes, and I think this is not all bad. I also see where Linden Lab goes to with these changes, and I am not sure whether I like it. I heard many good arguments against the canges from residents and merchants. And I heard many good arguments for the changes, also from residents and merchants. What I am sure of is that the changes were certainly not a majority-wish, as the Lab wants us to believe. At least not a majority in the sense of the majority of people. Maybe a majority wish in terms of amounts sold...

In the process of making up my mind whether I am for or against the changes, I looked at my own XStreet SL listings. This has, in fact, been overdue, so that is a good thing that I now got forced to do it.

Regular Merchandise

The good news is - all of my items sell. Even the most expensive one - Plywood Man - sold 12 times this year, giving me 1508 L$ of revenue. Instead of the 5 L$ commission, there will be another 120 L$ per year to keep this item listed. However if I only sell 2 in the next year, I already make a small profit. Two other items, my Celtic Cross and my Dasher, are also in the "green zone" and will continue to generate a profit, even with the new charges. However the Lab will get 786 L$ share of those items (same amount of sales anticipated), instead of 182 L$ prior to the changes - so 604 L$ more for the Lab.

It gets critical with my 2-prim-couch. This items is based on a 5-prim freebie, which I trimmed down to look exactly the same but save 3 prims to clever prim parameter and texture repeat selection. I set that item at the more nominal price of 5 L$ and since I listed it back in the day 183 people thought these are 5 L$ well spent because it saved them 3 prims. Up to now, Linden Lab got no share of the sales of this couch. In the future they want 3 L$ for each sale and 10 L$ each month, so I need to sell 60 copies in order to break even. Unfortunately it only sold 53 times last year, and since it is not really stylish anymore, I will most likely delist it.

Promotional Items

The next two items are listed for 0 L$ - freebies. Those two items are actually a good example for promotional items as Linden Lab states. I do not give them away for free because I am such a nice person. I give them away for free to raise awareness of my in-world business and find new clients. Up to now, Linden Lab gave me free advertising - now they want me to pay for it. Of course I would have preferred to still have it for free, and I do not really buy the explanation that the running costs are so high. However 1188 L$ per year is easily affordable for my business.

There are two problems however:
  1. Freebie listings will not be searchable anymore and can not be put into suitable categories anymore - they go into a special freebie category. This makes it basically unusable for me. Potential clients find my Language Kiosk in the "Business -> Signs" subcategory. They will certainly not look in a freebie category. And those who will look in a freebie category, are usually not the ones requesting my services. If it is a promotional tool, and if I have to pay 1188 L$ per year to keep it listed, then don't give me a worse service than before!

  2. Even without the first item, I would not keep TWO items listed. Both have basically the same aim and effect, so I would only keep one of those. Sorry, LL, not 2 x 1188 L$ for you.
Another solution would be to set a price for those promotional items. If I set them at 1 L$ I can assign them to whatever subcategory I want. However I would still need to pay 3 L$ commission on them, so I lose 2 L$ per sale. With a projected amount of 200 sales a year the cost would be 12 * 10 L$ monthly fee + 200 * 2 L$ commission after sales = 520 L$ - or almost exactly 50% of the intended cost of a promotional item. Sounds like a no-brainer.

General Considerations

I mentioned in the beginning that I understand where Linden Lab comes from. XStreet SL is like the Wayback Machine for Second Life. There are thousands upon thousands of obscure items. Admittedly there are thousand upon thousand of outdated items like pre-sculpty-age shoes. The fact that listing items without cost was a blessing and a curse. There is a lot of - well - trash on Xstreet. There are countless grossly overpriced items. But also countless very good items, items from philantropes who give them away for free as community service, as well as items from content creators that never bothered with shops and just developed for fun. Many of those merchants have panicked in the meantime and pulled their stuff. Which is an immense loss - even from a istorical point of view.

A second consideration is that Second Life does not have an effective object search! The closest that comes to an object search in SL is in fact XStreet SL, exactly because of what I said in the last passage. To be honest, searching in XStreet is a pain, but at least you can do it.

How would I have done it?

Accepting the assumption that XStreet SL needed changes at all, there still would be things I had made better:
  1. Linden Lab claims that the changes were wanted by the majority of users. There are reports that this is somewhat of a euphemism. Fact is that those changes affect definitely way more merchants than got involved in the process. The proper way would have been to send a survey to all merchants on XStreet SL, and a second survey to all people who made at least one purchase in - say - the last 3 months on XStreet. This would be in my opinion the only way to get qualified feedback.
  2. One approach would have been to automatically disable items that have not sold in a certain amount of time (6 or maybe even 12 months). That way, the "clutter" (as LL calls it) would be gradually removed. Merchants could manually reenable those listings - and maybe this would be a place where a monthly fee would apply.
  3. A better distinction between promotional-freebies and philanthropic-freebies could be found. Someone whose whole XStreet inventory consists of 0 L$ items is certainly not promoting his regular merchandise with them. Someone who has 50 hairstyles on sale, and 50 associated demos is clearly promoting them, but is probably not in a position to pay 4950 L$ for all of them. Why not extend the functionality of XStreet with a "deliver demo" option? Maybe as charged-for option?
My bottom line

From my point of view it is not the end of the world as we know it. I can subscribe to some of the motivation behind it, but I think there would both have been better ways to get a true majority vote, as well as better ways to implement some changes.

I will not pull my items from XStreet SL, as it is still the major web platform. I will adjust my inventory to minimize cost and maximize effect - something every sensible merchant should do. Linden Lab will get more money from me - no way around that - but less than they probably thought they'd get.

I definitely got the motivation to seriously consider alternatives - but not to abandon XStreet SL. The alternatives will be used to widen my exposure and give additional revenue.

What is your take on the changes?

March 20, 2009

How to reach a Second Life resident via email and other means

Dublin Post OfficeThere are cases where you want to reach a Second Life resident with means other than offline-IM or notecard. The easiest thing would be to send an email - but what if the resident has the mail address not on their profile? The easiest solution would be asking of course, but if the resident is offline this kind of defeats the case. Here are some suggestions:

  1. From my experience, the majority of residents has email accounts for their avatar on Googlemail/Gmail. Most addresses follow the line of:
    Firstname.Lastname@gmail.com
    FirstnameLastname@gmail.com
    F.Lastname@gmail.com
    FLastname@gmail.com
    Firstname.L@gmail.com
    FirstnameL@gmail.com
    Please note that due to various reasons addresses from certain countries use @googlemail.com - however for receiving email, the @gmail.com works as well.
    Hint courtesy of Quaintly Tuqiri: the dot is optional - GMail is smart enough to deliver mails to addresses with dot even when it was omitted.

  2. While Googlemail is the most common webmail service among residents, other services are popular as well. So check out Yahoo and Hotmail as well. Please note that Yahoo uses country specific domains - you might try Yahoo.de for German residents for example. For French residents wanadoo.fr and for Dutch residents xss4all.nl are good choices too. For the address part, refer to the Google examples.

  3. In case these bounce, you might want to check if the resident has a Flickr account. In that case, you can send them a Flickr Mail. The system will send them a notification to whatever mail address they have escrowed in their account.

  4. You can also check if the resident has a user account in the Xstreet SL Forums or the SLUniverse Forums. For Xstreet SL it is easiest to check with a Google query along the lines of "Firstname Lastname inurl:xstreetsl inurl:Forums". SL Universe has an easily accessible member list. For both forums you need to sign up, but afterwards you can send the members personal messages - they get pinged by whatever email address they have in their account.

  5. You can also check if the resident has an account on Twitter or Plurk and send a message there - however it will be public and limited to 140 characters, but might be enough for initial contact.
As with all communication means, stating your issue in precise and short sentences is a good recommendation. A "hi, does this email address work" will not be appreciated. Instead, make a short text of why you want to contact them, and send it even in danger that it will bounce back.

The photo is the Dublin Post Office - I thought it would fit this article nicely.

March 14, 2009

Pfhorgl Onomatopoeia

I can't really recall when I met Pfhorgl Onomatopoeia - I think it must have been before Midas Financials went down the drain. We certainly had more contact in the wake of this - Pfhorgl organized a group of victims. I lost about 17k in the crash - she only lost a few hundred but out of principle tried to recover them.

Later I signed her up for Babel Translations, and we were in loose contact because she wanted to start a texture business in SL. Her textures were pretty bizarre, but certainly added a uniqueness to SL.

In December I assigned a rather large job to her, and somehow from the beginning it was problematic. She started rather late with it, and we had some annoying IM exchanges. All other translators were long ready, and I reminded her almost daily that I really need the text. At one point she stopped responding. Eventually I had to reassign the job to another translator, and give the client a discount. Pfhorgl did not log in anymore - I assumed she had switched herself invisible and wrote her off as a translator.

About 10 days ago I received an offline IM "Pfhorgl Onomatopoeia has offered you 'Pfhorgl Onomatopoeia' in Second Life. Log in to accept or decline the offer." Of course I wondered what explanation she had for dumping me on the job, so as soon as I could I logged in to retrieve the notecard. An hour later I was finally able to log in, and read the note:
To all Secondlife friends of Pfhorgl Onomatopoeia. Our sister Fabiola, known as Pfhorgl Onomatopoeia in Secondlife, had a traffic accident on past 7 Dezember 2008, she has been in Koma since that date. If you had open business with her, we ask for your understanding. We will close this account until the end of March.
After the initial shock I noticed that the account was still online, so I opened an IM widnow and talked to her brother. It turned out that from a medical point of view, there is almost no hope she will ever wake up again.

I felt bad for having been angry at her, but I had no way of knowing. I wonder if she dreams, and what she dreams.

Goodbye Pfhorgl

March 08, 2009

Client feedback on translation services


The second anniversary of Babel Translations is only 3 months away, and looking back is exciting and also satisfying. Building this business was challenging fun, and getting the brand recognition Babel has today, was hard work - but work that makes me proud.

In the past two days I got some very nice customer feedback, which I would like to share:
"I just wanted to tell you that, since yesterday when I updated the French translations, sales of 2 of my items have shot up."
I got a lot of comments like that over the years, and each time is as wonderful as the first time.
"You are 5% more expensive than competitor, so I had no choice, I cannot trust my translations to the 'cheaper'"
Almost exactly a year ago, the pricing issue came first to my attention. By then, I was known to lose clients because my services were too expensive. But in that case I had almost lost a client because I was too cheap! In the last year I was often tempted to lower prices or offer large discounts. But I did not. We offer quality work and try to give best customer service - and there is a price to be paid for that. Quotes like the above, and clients who come to me after being disappointed with a competitor, show me that there is something to be said for my approach.

I thank all the clients over those 21 months for their trust and their business!

February 03, 2009

Why I became Premium after 27 months in SL

Yeah, that's right, nobody is more surprised than myself. There must be dozens of comments on other blogs where I ranted what a bad deal Premium membership is, that the only halfway visible benefit is to be eligible to buy Mainland parcels and that this is a dubious benefit at best. And that Premium membership is really unattractive and a waste of money. So why did I change my mind?

What changed is my perception. When I ranted about Premium membership, I primarily had the Mainland parcels in mind. Paying almost 120 US$ a year to be able to buy parcels in a constantly changing, ugly neighbourhood seemed like a bad joke to me. But if you change the perspective, things seem more attractive again. In a recent discussion fellow blogger Uccello Poultry suggested to me:
"As for you not having a premium account, I can only encourage to you think about it more seriously. A successful and influential business owner friend of mine had a basic, No Payment Info on File account when another resident (falsely) accused her of stealing his product designs. Her account was canceled without a hearing or any reasonable recourse for appealing. She lost land and property of substantial value."
This made me think, especially since I had similar notions from two other people in a rather short time frame. Like it or not - Linden Lab seems to deal different with Premium and non-Premium members. As a non-Premium member I can't file support tickets, and can't call support. So I started to look at the Premium membership as a sort of insurance.

Another thing that bothered me was that Linden Lab wants hard currency for the Premium membership. All I ever put into SL was 15 EUR - and my personal situation does not allow me to spend the amounts each month some of my friends spend. My friend Rika Watanabe opened my eyes to the possibilities of the LindeX, explaining to me that Linden Lab first charges your US$ balance before they start to charge your credit card. Provided you have enough US$ balance on your account - and this can be filled by selling Linden Dollar on the LindeX - your credit card never gets charged. So I can - with only a little complexity - pay for my Premium with Linden Dollar. With this final piece of information, I sat down and did the math:

26.78 US$ quarterly Premium fees, thanks to Linden Lab's double taxation of European residents, equals 6990 L$ at an exchange rate of 1:261. I could game the LindeX a bit and probably get a better deal like maybe 1:259 but that hardly matters. In those three months I will receive a stipend of 12 * 300 L$ = 3600 L$. This effectively reduces the Premium payment to only 3390 L$. The bottom line is that I will pay 283 L$ per week to become a Premium member and have a direct line to Linden Lab.

Up to now, this only focused on the "insurance aspect". However I am entitled to get a 512 sqm Mainland parcel at no extra cost with my Premium membership. As ugly as Mainland is for the most parts, a Mainland parcel has a few advantages, the major one is that Mainland won't go away. My translation office and the GREENE concept shop are on a beautiful sim, of which I am resident since August 2007. It is owned by a company who has various other sims in SL, and managed by an employee of said company. For all I know, right this second the folks at that company might have a meeting and decide to stop their SL efforts. Or right this second my landlady might get an offer from a different company and leaves her current employer. I might log in tomorrow and the sim is gone. There is no guarantee it won't. However, Mainland will stay. So if nothing else, a Mainland parcel is a pretty secure server location for your SLX, OnRez, Apez and Hippo boxes.

But why stop here? Rika shared a few other interesting facts with me. I can donate my land to group and get a 10% bonus. Ivanova, my partner in GREENE concept, could donate her unused Premium land allotment to group as well, and together we could buy a 1126 sqm parcel with approximately 256 available prims - at no extra cost. This would make for a nice little rent free shop - provided a stable neighbourhood can be found. An additional benefit of group owned land is that it can be in arrears with tier payments for a pretty long time before being reclaimed - a fact that not a lot of people seem to know (and which can change anytime).

Finally I expect Linden Lab to make Premium membership a better deal in the short term future. It has been discussed that Premium members might be preferred access rights during high concurrency. I assume there will be other benefits as well like maybe lower upload fees or more land. I also expect the additional benefits will come with higher Premium fees. And since Premium accounts are known to be grandfathered I might get a better deal by getting in early.

Bottom line is: my perception changed from "why should I pay hard currency to buy an ugly Mainland parcel" to "for 283 L$ / week I get recognized better by Linden Lab, can file tickets and get at minimum a secure server location or even a small shop for free".

Sometimes a change of perspective is a good thing.

December 30, 2008

A case for a universal gift card system in SL

My friend Alicia Chenaux brought up the idea of an atomic-world giftcard system for Second Life:
"You're at the store, you pick up a card because you have a little extra cash since you decided NOT to buy the double fudge brownies, and then whenever you need some $L in here, you punch in the code and there you go. Or your friends/family can buy you a card for holidays or special occasions[...]"
This is similar to two ideas I had in the past:
  1. One of the large web portals like XstreetSL or OnRez should issue giftcards that can be used on their web backends or - in case of OnRez - their in-world vendors. Once purchased, the card could be used for any purchase with any of the listed items - the merchants would get L$ put into their accounts after the purchase.

  2. Content creators should join forces and create a giftcard system that would work across shops/brands. An extension to Escort DeFarge's TMC storecard system comes to mind. Basically this would mean I could take a storecard from Insolence and use it at Truth. Of course the financial transactions behind the scenes would require quite some thought.
I gave out a few of giftcards for Christmas, and even though I got positive feedback I always was in doubt if the card for a specific store was the right one for the recipient (for example if a single woman would really enjoy an Insolence storecard with noone to show her lingerie off to).

A universal gift card system, or at least one supported by major content creators, would be a significant enhancement. Of course there are issues to consider:
  • Acceptance
    There needs to be a critical mass of shops to accept the system. In case of XstreetSL or OnRez, the individual merchants would not need to do anything while at the same time providing a really large base. In case of a content-creator developed system it would not be good if only 2 shops accept it. Again an extension to TMC would be my preference.

  • Security
    The questions is not IF, but WHEN there will be attempts to hack such a system. So there need to be tight security mechanisms, but not as tight as make the system unusable. For a web-based system, entering a simple code seems most appealing, but might be subject to brute force attacks. An in-world system might be less in danger.

  • Trust
    Gift certificates I saw (and used) so far ranged from 200 L$ to 2000 L$. Newcomers trying to establish a giftcard system might hit reluctance based on trust, especially for higher values. Again, established players will have an advantage here.
I see large potential in a system like this, and the first to come out with one will have a large advantage on the market. I look forward to it.

December 23, 2008

Nominated again

Official results are not published yet, but from inofficial sources I know that I did not make it into the top 3. Saffia Widdershins of Prim Perfect reached a well deserved 2nd place, the winner's name I have not heard before (which does not mean she has not deserved it).

A few minutes ago I learned that I got nominated for yet another award - the prestigous Vain Readers' Choice Awards 2008 in the category "Social Butterfly". I'm not exactly sure what that means, especially since I am not a party animal hopping from place to place.

There are a lot of great people and brands nominated too, I am especially pleased about the following nominations:
  • Best new designer: Skinkie Winkler
  • Best jewelry: ~flirt~
  • Best furniture design: GREENE concept
Update: I just learned that I came in a "close 4th" in the Entrepreneur of the Year 2008 awards - with the most votes for a male contestant.

December 19, 2008

Peer group pressure, social obligations and the loss of innocence

A few days ago, Eshi Otawara did a large event revealing her latest fashion line. I met Eshi once or twice, IMed with her a few times more. We are loosely connected through groups we are both members in and by joint friends - I was sympathetic to her cause and hardship she experienced since her husband passed away. I once outbid her at an auction. She once gave me a preview version of a shirt she designed, and I gifted her with some GREENE concept furniture. I quite like her as a genuine and creative person. In short, paying her the honors by visiting her show would be the natural thing to do, and in fact a few people asked whether I go - assuming I would.

I did not. I felt paying Eshi the honors would be overshadowed of this being a "who is who in SL" event. It got even explicitly mentioned to me that this would be a good opportunity to "be seen". I had a lot of things on my mind - my first life is challenging as ever, my second life a bit overshadowed too. And I just was not in the mood to attend a social event, to maintain relationships, to network. Instead I sat in my SL office and brooded, was in bad mood, felt compelled, even obliged to attend this event. Eventually, I got saved by a friend who needed a guinea pig to test a new product, and I had a fun hour with her, and later two fun hours with Trin and Aimee.

Fun. It's rare in SL these days. It feels as if my SLife is as full with obligations as my first life. Mostly business obligations, followed by social obligations. They consume my time, they consume my attention, they consume my mood. When was the last time I met someone new? When was the last time I went exploring? When was the last time I made a new friend? When was the last time I helped a newbie? When was the last time I got involved in a new project? When was the last time I went to a club, a concert?

The other day, out of a whim, I rezzed a rarely used business alt. I wanted to check a few things out, but wanted to avoid group IM's and a few notecards waiting for me. Suddenly I found myself in a rather busy place, with a group of new residents, and before long, I showed a few newbies the ropes and had some real fun and interesting talk with them. Of course they all offered friendship, and I felt bad for removing them secretly again as I wanted to keep the alt clean. The bottom line, however, is that I felt free and unburdened for the first time in weeks if not months. And for a split second, it seemed an appealing idea to have Peter Stindberg commit SLuicide, and to start over new, rediscover the magic new.

I wonder where and when my SLife has lost its innocence? And I wonder how I can get the fun and the magic back.

December 02, 2008

Nominated as Entrepreneur of the year - please vote

To my huge surprise I got nominated as "SL Entrepreneur of the Year 2008" by the SL business publication "SL Entrepreneuer Magazine". I am very thrilled about this - Babel Translations has been a challenging project for the last 18 months but one which fills me with pride and satisfaction.

If you are so inclined, you can vote for me on this website. The competition is fierce as there are some great names on that list, so many thanks to all of you who cast their vote for me. In any case, being nominated is a great award already.

November 18, 2008

Two essential HUD's for shopping in SL

Within the course of a few days I came across two HUD's that will have quite an impact on shopping in SL. Funny enough the first of them, CAMsync, is almost exactly what I brainstormed about myself a few weeks ago. The other one, Treasure Hunt Radar, is certainly controversial.

CAMsync, by Lalwende Leakey, 390 L$
I am a walking-shopper. When I enter a shop I like to stroll around, walk to each display and look. Most of my friends are camming-shoppers. They root themselves somewhere in the entrance of the shop and cam around to look at the displays. Typical conversations go like this:
Them: Do you see the one with white?
Me: Which one?
Them: Over there, next to the one in yellow.
Me: On the floor we are on?
Them: Dunno, but there is a blue next to it.

It drives me CRAZY! Enter CAMsync - this clever HUD consist of a Master and a Slave HUD. You give the Slave to a friend and both HUD's will synchronize. And then your friend sees exactly the same thing you see as well. And with a click on the Master or Slave button you can swap control over the camera. The synchronization of the cameras can be stopped anytime and works within the whole sim - the avatars can be as far away as possible.
The HUD costs 390 L$ - an extensive feature description and a SLURL to the shop can be found here. Also on XStreetSL.

Treasure Hunt Radar, by Rika Watanabe, 99 L$
My girlfriend Skinkie introduced me to the suspense of treasure hunts, and since we are together I must have participated in countless hunts. Skinkie is a very skilled hunter, but even though I find the odd item, I am rather hopeless in this. Still I enjoy doing hunts, and seeing new shops and content creators, and more often then not I use the opportunity to buy items.

For the unskilled hunter like myself, Rika Watanabe has developed the Treasure Hunt HUD. You need to find at least one treasure yourself, then you feed the HUD with the name of the treasure. From then on, you simply stroll through the shop and look around, and whenever a treasure comes within scanning range, the HUD will make a sound and list the treasure in its hovertext. A simple click on the "Zoom" icon, and your camera is conveniently zoomed onto the object. More information can be found here. Also on XStreetSL.

A lot of people - among them Skinkie as well - may see this as cheating. Admittedly, it makes finding treasures very easy. While certainly a lot of people will use a HUD like this (and "object finders" are as old as hunts are) to drop in, grab the treasures and leave again, people like myself will see it as a welcome help, so I can focus more on the shop itself, and the merchandise offered while casually collecting the treasures. Or find those blasted last 3 treasures I did not find the regular way. Then again there are many content creators who set their hunt items on sale for 1 L$ and get a significant revenue from them. In those cases, the HUD actually helps increase their revenue. It all boils down to the individual user. If you are inclined to spend money, you will do so with or without HUD. If you are not inclined to, you will not - regardless if you use the HUD or not.

October 25, 2008

Seduce me to spend more!

The other day a rather well known SL designer released some new female fashion items, and within hours I read excited reports from friends and acquaintances. I sent my girlfriend Skinkie a photo and as expected she fell in love with the creations as well, so we TPed to the shop. There, we found 10 color variations in exceptional quality at the steep but justified price of 400 L$ each. A lot of the designer's items are available as fat packs, but this one was not. As I did in the past I IMed the designer and asked if a fat pack are available, but she was not online. We spent half an hour in the shop, and after trying on the demos we settled for 4 of the 10 packs which were the ones we both liked best. There were another 4 packs we both kind of liked, but did not see as "essential".


Today, I received this offline IM:

[1:44] Wellknown Designer: hi peter, sorry - i spend too much time on each color to justify discounted fatpacks


This left me confused. Already now, I have spent 1600 L$ on her creations, and I made it clear that I was willing to spend more than that. All versions together would have been at 4000 L$. Had she had a fatpack for 3200 L$ (10 for the price of 8) or even 3600 L$ (10 for the price of 9) I would have most likely bought it. So the lack of a fatpack "cost" this designer 1600 L$ or even 2000 L$ of additional revenue.

I asked for some mindshare among the folks on Plurk, and the majority agrees on my assessment. Especially since the tedious process of boxing up the items has been done already, offering a fatpack is not a lot of extra work. I realize that I am in a privileged position to be able to afford the prices mentioned - some commenters on Plurk said they would have to carefully chose one or two items maximum. On the other hand, being involved on the sales side of ~flirt~ fine prim jewellery showed me that while the large majority of customers buy one ore two items, there are still a surprisingly high number of people who buy fatpacks with a 3000 L$ pricetag.

  • As a content creator I think you are well advised to address all kinds of potential customers: the ones on a budget with good and affordable single items, as well as the ones who are willing to spend more with attractive bundle options.
  • There is such a thing like the "upper class of shoppers" in SL, who is prepared to spend large sums of money. Designers should make it as easy for them as possible the spend it.


I will not stop to shop at this designer's outlet since she offers quality and I know her for quite a while. But she could have 2000 L$ more in her account by now, which ultimately some other designer will benefit from.

July 03, 2008

Visit the Rezzable sims as long as they are still there


Two days ago, RightAsRain Rimbaud of UK based Rezzable announced something that should have sent shock waves through the SL blogs, but surprisingly has only been picked up by one major blog so far: paid admission to the Black Swan sim.

With immediate effect, you have to buy (and wear) a device for 199 L$ in order to visit Black Swan. The device allows permanent access to the sim - if you don't wear it, sentry drones hovering around Black Swan will eject you. RightAsRain said paid admission in Black Swan is a test run and might be implemented in other Rezzable sims, and in fact the drones hovering above the sims are a familiar sight for visitors of sims like Surfline.

The 199 L$ are not a large sum of money for me, and certainly money well spent to see the truly magnificent creations of Black Swan. For Surfline, on the other hand, while being one of my favorite places, I would not spend the money. And also not for Crimson Shadow which - apart from being a stunning build - is predominantly a shop.

What strikes me as odd - and concerns me to a degree - is that this move on behalf of Rezzable has DESPERATION written all over it.

I still remember the early days of Rezzable. Beautiful sims started to appear, and its creators hid under a veil of secrecy. Residents speculated about the purpose, while enjoying the barely-seen-before wonders. Slowly, the veil got lifted, but still there was no apparent business model recognizable. The most likely explanation was that they were building an impressive showcase in order to acquire corporate clients for custom built sims. Well, maybe I have lived under an SL rock, but no corporate account brought in-world by Rezzable comes to mind. In fact, RightAsRain Rimaud even explicitly named L'Oreal as a corporate account that pulled out from sponsoring Rezzable.

Yes, after a certain time, we saw a little commerce going on on Rezzable sims. Some clothing on Surfline and Crimson Shadow, or the availability to purchase statues and miniatures of exhibits. Certainly nothing to sustain Rezzable as a company. And now the admittance fee to Black Swan. So let's do the math. Rezzable has at least 25 sims. Even after the reduced pricing of late, this will amount to some 7500 US$ on island tier alone. Per month. Throw in staff and office locations in RL, to end up with a very significant monthly cost - and no apparent business model to generate revenue.

Enter the admittance fee. Traffic in SL is an issue on its own, so let's just speculate. I think it is safe to assume that Black Swan attracts 100 visitors a day, which makes 700 per week or 2800 for the month (let's disregard repeat visitors for the moment). Those 2800 visitors multiplied by 199 L$ for the admission fee leaves Rezzable with a comfortable 1500 US$ revenue, enough to pay the tier of 6 sims. But there is a flaw in the calculation. Several flaws indeed. Flaw number one is repeat visitors. I personally was probably 10 times or more on Black Swan, and a lot of my friends visited multiple times as well. For the sake of this example let's assume 10% repeat visitors. Then there is a lot of people who can simply not afford the 199 L$ admittance. Half a year ago, I would have thought it over several times before spending that money. So let's assume 1/3 of people who CAN'T pay the fee. And certainly a number of people who have the standpoint that sims in SL should be free and therefore refuse to pay the cover charge. Let's assume another third of those. That leaves us with 30 paying new visitors a day or 450 US$ a month - which barely covers the tier for 2 sims. If however my assumption of 100 visitors a day was wrong, and it would only be 50, then the admission fee would exactly cover the tier for the Black Swan sim itself. Nothing I would call a sustainable business model.

My personal interpretation of this move is: desperation. Maybe their venture capital has run out, and the corporate contracts they were working on pulled the plug. Yet they have a lot of monthly cost, so some of that needs to get covered no matter what. An admission fee is one option for that, and even though I personally think it is the wrong answer, I wish them luck with it. SL would be less beautiful without the Rezzable sims.

In the end it boils down to the question whether SL can be profitable at all. Yes, we all know about profitable SL enterprises. My own company, Babel Translations, is very profitable - but only within the SL economy itself. Others, like escorts or clothing designers, generate RL profits - but only as 1- or 2-men shows. I personally think that SL can not be profitable if you have a company behind it, with RL wages and other RL costs. I wish Rezzable would prove me wrong, I really do. But I doubt it. So my advice is to go and visit all the Rezzable sims, as long as they are still there. Because the sims will be the first that gets shut down should the money run out.

June 28, 2008

One year Babel Translations - growing of a virtual business

A year ago I danced in one of my favorite SL hangouts in the Dublin sim and met SL oldie Brooke Fairplay. We chatted about SL now and then, how it had changed, and about her business in SL. When she learned that I am not an English native speaker, she casually mentioned that she thought of targeting an international audience as well but somehow never got around to do it. The discussion followed me for a few days. I realized that with my background in marketing and foreign communications - and applied business English for almost 30 years now - I could offer translations and sales-driven text creation as a service to the SL community. This was the moment Babel Translations was born.

My first office

Since I had not a lot of L$ back then, I set myself both a financial and time limit. I saved 2000 L$ aside, looked for office space. My first office was at 50L$/week, and I placed a classified for another 50L$/week. On day one I got my first client - the landlord of the office tower - and by the end of the trial period I had translation jobs for 4000 L$ and a revenue of 500 L$. "That goes rather well", I thought, and continued with Babel Translations.

By that time I was primarily offering English/German at a price of 2 L$ / word, but soon requests for other languages came. I recruited French and Italian translators, soon Danish and Swedish followed. I charged 3 L$ for those languages, but kept English/German for a long time at the lower level as I was making these translations myself. In August 2007 I acquired my first reference customer. Blaze Columbia of Blaze Fashions not only insisted on paying the double rate, she also gave me some valuable business tips, like implementing a minimum fee for jobs. Back then I was in awe of what I considered "large" amounts of money, so I did not follow her advice of establishing 500 L$ as minimum fee, but instead chose 250 L$. I was reluctant to mention this limit to the first clients, but none of them objected. So up to date 250 L$ stayed the minimum amount for translation jobs.

Also in August, I managed to acquire the first large translation job worth 9500 L$. I still can remember my accelerated pulse as the client paid the 50% advance payment. It was the single largest sum of L$ I ever got until then. The client turned out to be a repeat account, returning each month with multiple translation jobs. Also in August I moved into my current office at Beachwood, something I never regretted so far as this estate is run perfectly well by landlady Kitty Umarov.

September marked the month where I got first asked to deliver a complete concept. Finally I could apply another of my RL skills, and developed a shop concept, along with English and German press releases, advertising texts and notecards. December on the other hand was a comparatively bad month, with "only" 13 translation jobs, but at the same time the month with the most beautiful job ever. Usually SL businesses asked for translations, but this time a private citizen asked for a translation. He is French, his girlfriend German - they only communicate in English, but he wanted to have one if his favorite love songs translated into German for her. Despite Decembers bad results, I was happy I could pay a bonus to all translators at the end of the year.

In January I took my associate Tina Lynch aboard. Not only did she work on French translations, but she also replaced my notecard-based bookkeeping with a sophisticated spreadsheet based on Google docs. Under her lead we refined the spreadsheet over the next month, and now it is an invaluable tool of keeping track of jobs, degree of completion, distribution of jobs among translators and calculating revenues and fees.

The most "odd" feeling decision took place in February: I almost completely stopped doing translations myself, since it became too time consuming. I started to focus completely on marketing and sales now, and in consequence had to recruit people for English/German. As a consequence I had to raise the price for those languages to 3 L$ / word as well.

In May, Babel Translation took over the competing agency "2nd Tongue Translation". For a couple of months we have silently cooperated already, granting 2nd Tongue a bulk buying rate for the languages they did not offer themselves. As 2nd Tongue's manager had to reduce her SL involvement, Babel Translations stepped in and integrated 2nd Tongue's business into our own.

Today, Babel Translations is the premiere translation and copywriting/text creation agency in SL. With a 3-figure number of jobs and a 6-figure amount of translation fees in recent months, our 50 translators provide the finest and most professional translation services in SL. We cover almost 20 languages, and each language is at least covered by 2, typically 5 translators. The translators themselves are in most cases RL translators, or have a similar qualification in language teaching, journalism or other text creation parts. Even though Babel Translations is a virtual company, we praise ourselves with having the highest standards and providing the best possible service to SL companies.

The past 12 months with Babel Translations where very challenging, but also provided a lot of fun and satisfaction nevertheless. I want to take this opportunity to thank all my clients who put their trust into Babel, as well as all my translators for their exceptional work and loyalty. My special thank goes to Tina, with whom Babel would not be where it is today.

Thanks a lot - I am looking forward to the next 12 months!

June 13, 2008

Going green(e)


Some 3 months ago I founded my second SL business with my friend Ivanova. GREENE concept started to bring highest quality low-prim furniture to Second Life. Unlike Babel Translations, which sort of just "happened", GREENE concept was meticulously planned from scratch. Both Ivanova and myself made a capital investment, and the last three months we worked a lot and developed concepts, plans, designed furniture, created textures and poses. All this is documented on the GREENE concept blog - and today, finally, we went live!

GREENE concept furniture is now available in-world, as well as on OnRez and SL Exchange!

Enjoy!

June 03, 2008

All's well that ends well

I had a long talk with a certain person I had a business dispute with this afternoon, and another long talk with his associate. In fact we should have had that talk many weeks ago, but the issue became emotional on both sides. The person in question made a remarkable turn, which I honor greatly. His associate did only now hear of the whole matter as RL issues were predominant.

We acknowledged each others position, and reached an amicable agreement on the open payment. I received a satisfactory amount of money. However, since I never was after the money, but more after the acknowledgement that my claims were justified, I donated 4/5 of the amount to the independent SL publication REZ magazine.

Both asked me of course to take down the blogposts. I even got offered money as compensation for my time doing so. I declined and made it clear - and I repeat this publicly - that I refuse any payment for taking down or changing the blogposts. I preferred for a while to simply anonymize the blogposts, but then again I was so glad that this annoying issue got finally resolved, with all parties standing behind the compromise, that I decided to take the posts down completely.

In fact, we even restored trust and business attitude to such a degree that I got assigned the task to finish the project as initially discussed. I am very glad about the whole turn of events. Better reaching this point late, than never. My grudge is completely gone, and I will deliver results of best possible quality.

May 14, 2008

Outstanding customer service

Two days ago I visited a new shop with my friend Ivanova, and we saw a dress that very much fitted her style. Since I was in the mood, I wanted to send it to her as a gift. I payed the vendor and I got the folder with the outfit a few moments later, and immediately sent it to my friend. However, despite the gown being no-copy/trans, Ivanova only received the folder with just a landmark in it. And in my inventory, there is also still the folder with just the landmark in it. Neither in my nor in her diretory did the full outfit appear again since then (we waited a bit due to the recent asset server issues).

I looked up the creator, and despite her having a non-refund notice in her profile, I wrote a polite notecard, described what happened and put in my transaction history.
"I am afraid that Linden Lab "ate" the outfit. I know that I am at a weak position here, so I would like to appeal at your customer service heart and ask if you see any option how you could help me. Sorry for bothering you, and I hope you are willing to be cooperative."
I could see she was online since the notecard got immediately accepted. A few minutes later, she dropped a folder with the outfit on me.

[2:06] Peter Stindberg: Thank you very much! That is most kind of you, and not very common among other designers. If you agree I will mention it on my blog.
[2:07] xxxx: *smiles* probably not the best idea :/ as *laughs* people WILL take advantage. But I operate under the idea that a happy customer is worth more than $1.75 *smiles*
[2:08] Peter Stindberg: Then please accept my thanks again.

Abiding to her wish I will neither name her nor her shop, still I'm impressed and want to point this out as an example of outstanding customer service!

May 09, 2008

Interactive Simulated Genital Arousal System

I was talking with a client today, who wanted feedback on some names he has chosen for his products. He's a scripter, a technical type of person, so he prefers technical, descriptive name. Though I have a technical background as well, my marketing-half tends more towards "catchy" names.

Trying to bring my point across, I told him that one of SL's top selling products would probably never had that success, had its creators chosen to call it "Interactive Simulated Genital Arousal System". Instead, they came up with the name "Xcite!", which is a marvel of marketing communication.