The Milgram Experiment in Crony CEO Capitalism, the Commonalities Between Enron and SuperMedia

September 11, 2010

Stop the Stock Scam by Crony Executives at SuperMedia and Verizon

In the early 1960’s Stanley Milgram, a scientist, wanted to uncover what kind of common characteristics existed in evil people. So he set up an experiment with an actor playing an experimental subject and a real experimental test subject. The real subject would ask a question to the subject (the actor) and then if the subject got the question wrong the real test subject would shock the actor with an “electric charge”, so long as the scientist, an authority,would reassure the test subject that what he/she was doing was the right thing. The electric charge was not real, the actor would scream out in pain as the test subject would increase intensity. Approx 50% of the test subjects tested would continue the shock treatment on the subject to the point of death.

This experiment is a classic example of what is wrong with evil corporations and crony executive leaderships. Test subjects or loyal sycophants will do anything, as long as they have the encouragement of the superior or authority figure.

For 10 years I was a participant in an industry that had an Enron style corporate culture. Regardless of what happened to clients, shareholders, and employees not in management, executives would continue to demand people stay the course. Executives, like Scott Klein the CEO of SuperMedia, had zero investment in the company. Employees who understand the business were told to “shut-up” and agree, accept, and fulfill the changes the new CEO was making. Regardless whether or not these changes are in the best interest of shareholders, employees, or the future of the organization.

Being a corporate leader requires the utmost ethical conscience, honesty, and fraud prevention and corporate crime policing.  Whistleblowers are to be respected and given a podium to speak from.

When the SEC began investigating Enron, Ken Lay reaffirmed traders and other employees that he and the company were frauded by “Andy” Fastow, yet the companies auditor Arthur Anderson was busy shredding evidence of wrongdoing. Ken Lay the Enron CEO shifted all responsibility to Andy, traders, the Government, and anyone else besides the executive leadership.

Jeffrey Skilling told employees to “invest your 401k” into Enron stock while he committed fraud. Skilling himself moved his money out of the stock. His Milgram Experiment was to keep influencing employees that what they were doing was right. Keep selling. Employees had faith in leadership. Leadership does not “fall on a knife” when corruption is discovered. When Scott Klein from Idearc met with employees, while being aware of his bankruptcy plans for the company, he assured employees and investors that the spin-off debt and stock arrangements were “strong.”

In Dallas, at a Fuller Drive meeting, Scott Klein the new CEO of Idearc Media reassured employees that the company was financially sound and had cash on the balance sheet few companies had. Instead of going into detail about the companies longterm plans, Scott Klein proceeded to pander to employees his “7 keys to success,”” a presentation better suited to High School kids.

Atleast, we now know how Mr. DeKlein likes his cocktails.

During the rise and fall of Enron, employees and investors were scammed for more than 20 billion. Just the same, Verizon scammed investors with Idearc stock, as well as FairPoint Communications and Hawaiian Telecom spin-offs. The fraud committed by Verizon, Idearc Executives, and SuperMedia’s CEO Scott Klein will be uncovered just like Enron in years to come.

I respect those who blow the whistle to protect the innocent. Those who are not in leadership or positions of influence. I respect the honest worker who gets up, turns on the pot of coffee and heads to work to do good. I respect the Good Guys, not those that put on a super cape and claim “Good Guy” status.

It is wrong to tell investors you have challenges with receivables yet turn around and increase the credit limitations to clients. It is wrong to tell investors good news while hiding the bad. This is manipulation and dishonest.

Milgram’s experiment emphasizes that leadership is ultimately responsible for corporate culture.

Leadership doesn’t get the axe. Take a look at the 545 folks who run this country. Do they get fired? They work for us voters, yet we can’t seem to fire them and they just blame the bad decisions on co-workers or subordinates.

It’s time to put your big boy britches on fellas. Grab your whistles, proxy statements and voting cards….. Make a CHANGE. It is in your hands. When people are crying out in pain, will you continue shocking them? Do you want the blood of the innocent on your hands? What will you do? I suggest it is time to grab and axe and start hacking away at the leadership team. Time for them to get fired!

(btw, I wonder why would an executive commit suicide? Enron’s executives did after the Justice Department began inquiring about illegal activities. Thousands of people faced with crimes go to prison or face social scrutiny, so why are white collar criminals so spineless that they become suicidal?)

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You are the company you keep, SEC investigating SuperMedia and Paulson Hedge Fund relationship

May 3, 2010

They always say, “You are the company you keep.” When Scott Klein started working on preparing to wipe away Verizon debt and rob shareholders of retirements and bondholders from coupon payments for holding the bonds, who else did he choose other than John Paulson’s questionable hedge fund. The same hedge fund that helped bundle packages of investments, and then shorted them while declaring them good securities.

Is Paulson also a Yellow Crook?

Paulson bought 45% of SuperMedia common stock at $17.00 per share. But if you recall they had an initial offer of $13.00 per share. Paulson raised his bid just enough to cover the other bidder on the company. I don’t recall who made the initial offer. Needless to say at around $44-$46.– per share, Paulson could sell all shares of the company and make a substantial gain.

This poses a question, was Paulson the hedge fund that was NAKED SHORT SELLING IDEARC STOCK? Just like in other cases, did he jump back in to double dip again?

What do you think?

It is bonus time once again for YellowCrook Scott Klein

April 7, 2010

SuperMedia CEO Pay up Millions while company struggles.

SuperMedia CEO Pay up 30% while company struggles to evolve.

SuperMedia’s Employee Union Members and Non-Union Members want to ask other Yellow Pages Industry Executives if they believe that formerly Idearc Media, the spun off and quickly bankrupt yellow pages publisher of the Verizon Yellow Pages, now called SuperMedia, CEO Scott Klein is fit for his job and whether he has earned his million dollar per year CEO Salary, recent 2 million dollar bonus, recent 9 million dollar longterm stock incentive and 1 million dollar short term stock incentive that he gets to keep once the company is purchased in a deal he struck behind closed doors with Hedge Fund Company Paulson?
SuperMedia purchases Beach Boys for YPA

To SuperMedia Mr. Tom Rogers….  do you have a clue how angry the sales force of the company is? They are scared and angry. Many have been with the company for 20 years and some in the local advertising industry even longer. Since the days of Bell Atlantic and Nynex. You are the CEO of Tivo. You must be paying attention to Google TV, the iPad, Local Search Verticals like Zillow who now offer rental information, and many other great ideas? Why is SuperMedia only selling products that need unmeasurable research from industry sponsored firms like YPA and the Burke study? Do you honestly think the company can afford to pay debt obligations paying sales reps for fraud? Why does Klein continue to manipulate the companies pay plan while planning golden parachute escape with a simple “Change in Control?”

Local Search is not product it is service. Yellow Pages is still used heavily in rural areas and many suburban areas. Do you think the SuperGuarantee subscriptions and impact is sufficient to sustain the company into the future? Why have all of Scott Klein’s internet directors left the company. They do not want to work for him.

If this was not a deal struck in the dark, why have other executives in both local search or yellow pages not follow suit? Why has the man Paulson put on the companies Board of Directors not spoken up? Oh, that is because it is not just the CEO who is raiding the coffers… it happens to be the companies Executives and the board of directors also gets a nice bonus in the process.

I say employees show concern at the next board meeting. I look forward to meeting you there. As a shareholder of the company I am asking other shareholders to voice concerns. If you knew of the corporate frauds of Enron, Bernard Madoff, Acorn, or Countrywide Mortgage ahead of time would you speak up?

Join the conversation at



Change in Directors or Principal Officers

Item 5.02 Departure of Directors or Certain Officers;
Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.

On March 30, 2010, the Human Resources Committee of the Board of Directors of SuperMedia Inc. (the “Company”) established the performance objectives and other terms of the Company’s 2010 Short Term Incentive Plan (the “2010 STI Plan”) pursuant to the Company’s 2009 Long Term Incentive Plan. The 2010 STI Plan provides for a payment of incentive compensation to each of the Company’s executive officers and to other eligible employees. These incentive compensation payments are determined by the Company’s achievement of specified performance metrics for 2010, based on: (i) EBITDA (earnings before interest, taxes, depreciation, and amortization), which comprises 70% of the total performance opportunity; and (ii) total published revenue, which comprises 30% of the total performance opportunity.

Each of the performance objectives will have a threshold, target, and maximum level of payment opportunity. Achievement of 100% of the performance metrics will result in award payouts equal to the target awards. At 90% achievement for EBITDA and 92% achievement for total published revenue, which are the minimum thresholds for award payouts, award payouts will be equal to 25% of the target awards. At 120% achievement for EBITDA and 110% achievement for total published revenue, which are the maximums, award payouts will be equal to 200% of the target awards. If achieved, awards will be paid in cash during the first quarter of 2011.

The target awards under the 2010 STI Plan for each of the Company’s named executive officers are set forth below:

Named Executive Officer Target Award

Scott W. Klein – Chief Executive Officer $ 1,000,000

Samuel D. Jones – Executive Vice President, Chief Financial
Officer and Treasurer $ 337,500

Frank P. Gatto – Executive Vice President – Operations $ 280,000

Michael D. Pawlowski – Executive Vice President – Sales $ 262,500

DUNS Number 787911986
Doing Business As Verizon Drectories Disposition
Company Type Public – NASDAQ (GM): SPMD
Location Type Headquarters
Year of Founding or Change In Control 2006
Fiscal Year-End December
Sales (mil.) $2,512.0
1-Year Sales Growth (15.5%)
Net Income $8,257.0
1-Year Net Income Growth 4,412.0%
Total Employees 5,500
1-Year Employee Growth (9.8%)
Employees At This Location 10
Scott W. Klein CEO (Mr. Let Me Rob My Way Out The Door)
Frank P. Gatto EVP Operations
Samuel D. (Dee) Jones EVP, CFO, and Treasurer (Mr. Lets Not Tell Investors About Raising Credit Limits and Collections)
Dave O. Bethea EVP Sales (Mr. Drunken Fight Guy)
Sandra L. Henjum EVP Transformation and Marketing (Mrs. Heading Jumping Director)
SuperMedia — then called Idearc — was spun off from Verizon Communications in 2006.
Income Statement
Year Revenue ($ mil.) Net Income ($ mil.) Net Profit Margin ($ mil.) Employees
Dec 2009 2,512.00 8,257.00 328.7% 5,500
Dec 2008 2,973.00 183.00 6.2% 6,100
Dec 2007 3,189.00 429.00 13.5% 7,200
Dec 2006 3,221.00 772.00 24.0% 7,400
Dec 2005 3,374.00 1,025.00 30.4% 7,100
Dec 2004 3,600.00 — — 7,400
Dec 2003 3,675.00 895.00 24.4% —
Dec 2002 3,760.00 1,095.00 29.1% —
Dec 2001 3,831.00 1,203.00 31.4% —
Notice how he is using sales fraud and collections to pump up the numbers for the company?
This one was requested to be removed. I later learned via email that it was true. I was contacted by SuperMedia to remove it. Someone lied to me. Said that they are filing a suit. I have emails that state otherwise.

Company information:
United States

I have read many reviews of SuperMedia/ from many angry customers that feel that have been ripped off,
but have not really read any solid explanations of why Idearc/ is a rip off.

My name is Lisa, I work for the company in Everett, WA and have done the research to know why. It is my hope that by divulging
the truth someone will be able to use the information to take action against this company. I’ve made a lot
of money selling worthless advertising and this is my attempt to make it right.

First off, it’s important to know that SuperMedia/ employs a very specific sales tactic that they
refer to as “Salesology.” This is the very basis of all training and as an employee of the company, if you do
not follow this method, you will be repromanded. Salesology is taught to all employees by Jay Hughes
( Utilizing this sales method, most customers don’t even realize that they just purchased
advertising. Here’s how it works:

1) A Business receives a cold call and they are asked if it’s “a bad time.”
2) Rep tells them that “We have people in your area looking for (fill in blank) in your area, are you
currently taking on more work/new customers?”
3) Then we ask how much more work they can handle and how much they make per job. Multiply the amount of work by
the profit per job and that’s their gap. Let’s say an Electrical Contractor averages $500 per job and can take on
10 more of those per month. “So, if I were able to help you close that $5000 gap per month in your business,
would it be fair to ask for $500 on the back-end in return?”
4) Customer says “of course.”
5) Almost no explanation is given on how we are going to get them this promised work. We get GTI
(General telemarketing international) on the phone who records the customer agreeing to a 12-month
contract. They are told we’re doing this “To enter them into our database.” Most people have no idea
what just happened, but this is 100% legally binding. Our only goal is to get them through GTI.

In the initial training, they state we’re to find the gaps in small to medium sized businesses and help
them grow. The funny thing is that no matter what state their business is in, no matter what they sell, how
much they make per sale…it’s all the same. The soloution to every business is a minimum $500/month program to
meet their objectives. They don’t really encourage anyone to sell over a $500/month plan because that
requires a signed contract in lieu of a GTI recording. If you sell less than $500 you’re scoffed at, even if the
business doesn’t need it.

So, what does a business get for $500/month? We are told to tell businesses that we are selling “SuperLeads.”
However, these are nothing more than clicks with a theoretical conversion rate. Their collateral even shows how
this works. So, for $500 worth of SuperLeads a business will get 125 clicks with the minimum of $4/click (some
categories are more). They state that, on average, for every 5 clicks, a customer will actually make a call
to the business. $500 should then relate to 25 calls in a month. Again, this is how we are trained and this
is what the collateral we can send out states.

If the above actually worked, then it wouldn’t be a bad deal. However, most businesses will not get any calls
for their $500 per month. Why? Most (at least 90%) of these clicks aren’t even from, Google, Yahoo
or anything you’ve ever heard of. They are from obscure partner sites that pull out a single keyword from the
business and get the needed clicks to bill out $500. As an example, let’s say a kitchen contractor installs sinks.
Let’s say someone googles “sink holes.” A few wrong clicks and the contractor is out $4. Again, at least 90%
of these clicks have nothing to do with what a business does. The customer doesn’t have any access to
these click reports, and there are no audits done to ensure it’s actually working at all. The fact is that
most sales are made to oversaturated markets where businesses will not get any return on their
investments. We can sell to the same type of business in the same cities as much as we want and tell everyone
“we have people looking for your services.” In all actuality, gets little traffic, and if a business
gets even one call per month for $500 they are doing better than average.

Next, is there click fraud going on? (i.e. the company clicking on it’s own ads to turn a profit.) I’m not 100%
sure here. We used to be able to see the IP addresses that were clicking on the ads, but not any more.
In the past, I did random sample searches to cross reference the IP addresses by location and a large amount
of the IP addresses were not even in the same state as the busnisses. Many of these IP addresses seemed to
track back to where Idearc has physical offices. I have asked many times if I click on someone’s ad from work, will
they be charged a click and have always been told no. I’m not so sure about that.

We also sell postcard mailers. When these came out I was excited to sell something that actually works. We are
told to tell customers they can expect a 0.5% – 2.0% return of them. I’ve heard of a few businesses getting
work from these, but I also know of businesses that have sent out 10, 000 cards (at $5000) with zero return.
The artwork on these is generally poor, as they have the sales reps do the basic design and ad copy for
them with very little training. It’s mostly a joke to see just how bad they come out. Many contractors have
actually gotten in trouble from the State because License numbers have to be on their ads. This also is not

SuperMedia Complaints – The Truth About SuperMedia

Review all Idearc Media complaints


Posted: 2009-10-21 by IdearcEmployee
The Truth About SuperMedia
Complaint Rating:  75 % with 4 votes

If you witnessed corruption, fraud, and scams in your company, would you report it?

April 2, 2010

If the company you worked for was being driven into the dirt by corrupt co-workers and managers, how would you react?

I have lawyers, investigators, and the media asking for additional proof of fraud. Email me at

I have a fax number and contact at the SEC. You will be protected by the Whistle Blower Act. Now is the time to act if you want new leadership and to protect the reputation of your company. Don’t allow corporate fraud to kill your career!

Share your concerns on the forum.

Scott Klein will be investigated by the SuperMedia Board of Directors

March 16, 2010

Scott Klein - Yellow Crook

“Çhange in Control” is like saying, when I bail off the sinking ship, I get paid in full. He knows he will be gone. I am willing to bet the farm. This plan didn’t happen overnite folks. Have you seen the SEC filing, all of his cronies get paid while bond holders, retirees, shareholders, and employees get crap.

– 11 year olds get suite parties by Executives on the company dime.
– getting rid of honest and ethical Scott Laver, Klein’s only form of Executive competition and potential resistance. Laver should have been the companies CEO.
– Bill Brewer is a Klein puppet if you ask me. Although his ridiculous optimism stinks of Klein style narcissistic tendencies.

Scott Klein is on the Board of Directors as Chairman and not surprisingly he chairs the SuperMedia Human Resource Committee which determines bonuses and pay, so regardless of how or why he deserved it, he paid himself a bonus folks.

It is a fact that even with these “innovative ideas”, SuperMedia is ranked worse in class by all measurements. Very fitting of a CEO who deserves a self rewarding bonus of 2 million. He is also the highest paid CEO in his class from what I understand.

Read the rest of this entry »

The Tenth Amendment is “Anti-Socialist” Folks!

February 22, 2010

Step 1: Do It.

Step 2: Talk About It.


Talk About It. (Change.)

Then Doing It. (But Not the Change we Expected.)

The Tenth Amendment:

The powers not delegated to the United States by the Constitution, nor prohibited by it to the States, are reserved to the States respectively, or to the people.

The Texas Republican Primary is soon and I am anxious to see how it turns out. Politics will soon be hitting folks in Texas about as hard as the Winter Olympics and folks bearing the cold up North.

I agree with Rick. The tenth amendment is being ignored. The federal government is stepping out beyond the Constitution. Health care needs to be at the State and not Federal level. So many things are being targeted for take over by an out of control United States Federal Government who proceeds to grow beyond management.

Imagine the level of service they would be capable of providing if they became smaller units and departments such as the government of the State of Texas. Size is often the issue for organizations. Too many mid level managers… big issues. To few “decision makers” and nothing gets done. Over measure and nothing gets done. Under measure and make poor decisions. When times our changing, our government just like businesses must also change. We must roll with the punches. We must reach out and connect on a closer level. Something you can’t do behind doors and without a transparent form of mass communication and individual discussion. This also applies to self-proclaimed aristocracy type people who think they know what is best and pursue an agenda to quiet the voice of workers, clients, voters, tax payers, and colleagues. Like corporations and policies related to the Freedom of Speech.

Web 3.0 is coming. Obama’s young progressive and liberal supporters were the first to leverage the power of the internet. Tea-party minded folks who are upset with big government are now online. Facebook’s average user is 37 years old.

Just wait.

The Pro-Socialism and Anti-Freedom movement is taking off. Looks like we are going back to the battle front on Government Bail Outs, Take Overs, and Corruption. Social media opens up new forms of transparency. Exciting times indeed.

God Bless the Texas Republic. The roots of our history run deep. We have a common purpose. We have a common culture. We also welcome ideas that help us provide for others. We love our neighbors. On Sundays we bless our families, our schools and teachers, our friends, and our enemies.

I am a young Texas Conservative who always gets excited about discussions regarding the 10th Amendment!

Idearc Corporate Fraud Begins at Sales Culture

December 28, 2009

How quickly times do change.

Kinda crazy, a few years ago when people said the name “Ron Paul,” more times than not,  people probably thought of:

Also crazy is how quickly things can change. The growth of the Tea Party movement signals one of the greatest changes in my life. Not of the personal sort, but from a cultural perspective.  It appears to me, to some extent, that our opinions as consumers , businessmen, parents, teachers, consultants, employees, and citizens have changed towards corporate America, corporate greed. There is a growing movement towards ethical consumerism. Did your corporation donate money to a lobbyist? This might effect your earnings by patriotic American’s who believe in investing in moral and ethical corporations. Not just from the environmental or green sentiment, but also from that of a political sort. Business owners, like everyone else, are also consumers. They choose where they invest advertising dollars.

Who also recieved the email from Google for the $20 Million “Christmas Gift” to Charities?

Unions want to take corporate profits. Wealth redistribution if you asked me. Unions cater to workers, but who really profits in the unions? When a union is no longer non-profit they too become Crony Capitalists.

Aside from the message about “Card Check” at the end, I really believe this video communicates a growing sentiment in America toward Crony Capitalism.

I don’t believe Congress should pass the Employee Free Choice Act, maybe because I am not that big into unions, considering how bad they managed to screw the direction, profits, and innovations of many of America’s best corporations. Many American corporations are misguided my unions. It is often challenging for a business to sustain “LONGTERM” success with union involvement. Such is the case of GM being held back from innovation by its own employee labor union the UAW.  (My mother, TC Adams,  was a union steward in 1997  while working at the GTE Phone Mart in Garland Tx prior to joining GTE Yellow Pages as a sales consultant. ) GTE, then Verizon, then  Idearc, and now SuperMedia has a challenge working with the CWA Union. At Verizon/Idearc, reps in non-union states are compensated less for advertising sales than those in union organized territories. Cutting into corporate profits? Sure. Offering the company guidance from collecting information directly from clients and media consultants then sharing it  with the companies executives and so called product managers to guide the direction of the organization? Heck No!

(American Greed is a great show btw!)

I’ve always felt that I was paid too much  money just to sell Yellow Pages Advertising. Sell an ad. Move on to the next sell. Sell another. Do some paperwork. Move on the next yellow page ad sale. Man! When I was 20 years old I made over $100,000 selling Yellow Pages for Verizon! (And this was without selling “Fake Yellow Pages Ads to Fill a Phone Book.”) I think that was one of the years I earned one of my numerous Verizon Yellow Page Sales President’s Awards from Kathy Harless, the companies CEO. It was a great career. Up until I started becoming tenured in my job and craving to learn more and more about internet marketing.

Once I quickly recognized that the folks actually doing the work, managing the Google Adwords Campaigns and building the websites, got paid significantly less than those that made the big “SELLS,” it only took me a few years to really grasp what a lack of value Verizon Yellow Pages was really offering for online advertising. That’s when I began studying advanced Search Engine Optimization and Internet advertising methods and strategies.

The corporate sales culture had its flaws, but it was nothing like the direction that Idearc Media is headed, with leadership from Idearc CEO Scott Klein and his circle of crony executives.  As if corporate fraud of the personal sort from executives was not bad enough, they also don’t take accountability for the direction of the company. Ask anyone who heard quarterly earnings calls over the past few years.

If folks knew better they would be looking into Kathy Harless and her dream team of women who apparently thought it was wise to spin the company off with such a debt burden. Idearc paid the price to become a self sustaining organization. Verizon sapped the company dry of cash. Huge profits from Verizon Yellow Pages advertising sales went to fund FIOS and Verizon Wireless ventures. You would want to look into the corporate responsibility as well of Ivan Seidenburg and Verizon directors for FairPoint Communications, Hawaiian Telecom, and Idearc Media’s bankruptcies.

“Audit the Fed!”

If you haven’t been following Ron Paul’s latest movement.

After spending 9 years and 3 months in the Corporate jungle of Yellow Pages Sales from the age of 19 to 28, I want to scream out at the top of my lungs

“Audit Idearc!”

“Audit SuperMedia!”

Let’s look at just one thing that needs auditing in Idearc’s Corporate Sales Culture:

How much do Hispanic Reps in Texas earn vs non hispanic reps.Why do Hispanic Reps get paid higher commissions? Why did Hispanic Reps have lower quotas and earn more money since Verizon/Idearc began publishing Spanish Yellow Pages?

“Sell 4 different geography Solutions/SuperDirect mail drops of Spring vs selling 4 seasonal SuperDirect Mail drops of a single geography deck to keep from being charged back and losing commissions, when the clients doesn’t pay. Then disconnect the pre-paid cell phone that you are having someone answer. “

If this is the kind of advice,  Idearc local sales managers and sales reps believe will contribute to the success of the organization, may Idearc not go bankrupt but cease to exist. Idearc rewards sales. Even sales to illegal immigrants who want to start a business and have zero credit or identification. All you need is an address, business name, and a cell phone.

Quiere empezar un negocio?

Idearc does not reward taking care of the client.They do not reward media consultants for expertise beyond getting a signature on a contract to obligate a client for 12 months worth of billing, regardless of Idearc’s contribution to the success and outcome of the client. Idearc’s sales culture, unlike America’s Small Business Advertising Agencies such as this one,  do not reward results. Idearc does not reward sales based on retention or even receivables. The problem with corporate advertising sales is it is just too much about sales and not enough about advertising.

Audit Idearc’s local postcard sales have been made by hispanic reps in El Paso, Texas, and other hispanic markets. How many of the numbers in the advertisements are disconnected or ring to some newly formed paving, carpentry, locksmith, or painting company?

The Spanish phone books are a JOKE. The rates are a joke. The distribution is a joke. The profit margin is a joke. The entire thing stinks.

I don’t want a Spanish phone book at my house. (I need to remind myself to give Tim O’hare, the Mayor of Farmer’s Branch a call about Spanish phone book littering and see if the city councel can put something together to end this sort of environmental waste — I also recall Idearc changing the book’s name during O’Hare’s nationally recognized push to end the Farmers Branch sanctuary city policies towards illegal immigration.) If saturation distribution wasn’t a big enough issue, we get a few english and now spanish books! Apparently Idearc has had run overs, because they sent me two December publications of the Idearc Spanish Yellow Pages.

Idearc’s corporate fraud began when Scott Klein, the companies newly found CEO, incentivized by a $3.2 million home in Highland Park began lying to investors and employees about the state of Idearc’s business and the decline of yellow pages usage and receivables.  I still think Idearc / Super Media’s next CEO or group of executives needs to have experience with “carrying the bag” before they being hired.  I am anxious to see if he actually manages to reform the organization beyond his intense loquacious lip service work.

Most Yellow Pages advertising sales reps are greedy and unrealistic. I would say many of them are dumb, but I might lose a few friends. Seriously, how much is there to understand about an ad in a phone book. They might want to consider automating the process of purchasing yellow pages ads and transition the companies sales focus to more of a marketing/branding and promotion focused business model.

Well, time to get back to work. It takes a serious amount of energy and effort to start a business. Not as easy as buying an ad in the phone book.

I asked my future “local internet advertising boutique business partner” and chief web developer Jeff Swope what he felt makes he and I different from Idearc. (He has had the pleasure of getting an ear full of my soap box grandstanding over the years.)

His response:

We sell advertising, but advertising sales is not what we do. We are a small web Dallas area marketing boutique. We care about the success of our clients. We call our clients weekly and daily with innovative ideas. We believe that local advertising is as much about brand appearance as it is reputation and ethics. We are accountable. We are responsive.

I want to add:  We teach. My passion is to teach others what I know. I enjoy teaching my clients as well as learning from them.

What makes you the best in town is not just being the best but sharing what you know and being willing to spend the time effort and energy to learn more. I don’t have to the the authority for search engine optimization for all American Small Businesses. I just the SEO authority for my clients in Dallas-Fort Worth. My client who is a transmission shop doesn’t need to become the authority on Google for transmission repair in the United States, but just Garland, Plano, Lewisville and Dallas Tx.

Others in this organization might add that we don’t chase clients with contracts or big attorneys. When you have an issue, it is not softened by 4 mid-level managers before it gets to the desk of the CEO. In most cases you deal directly with the CEO. We have a team of pay-per-click campaign managers who don’t own the campaign after it is built. We build it for the client. We have content writers and web developers who utilize the latest innovations in Web 2.0 and content distribution. We don’t own the content or the site we build for the client. They do. If they cease doing business with our firm for any reason we can recommend another agency through the Dallas Fort Worth Search Engine Marketers Association. Benefit to the client is that most experienced developers can work with our existing efforts due to the capabilities of an open-source content management system like Joomla, WordPress, or Drupal.

Obamacare Hazardous to America’s Health — David Limbaugh —

December 22, 2009

Time for real change in Washington and in corporate offices everywhere!

Obamacare Hazardous to America’s Health — David Limbaugh —

Crony Politicians needing to be paid off for votes. Crony Executives looking to use power and influence to get a leg up.’t you folks getting tired of all this? Wall Street and Capital Hill need to realize that Main Street Americans are tired of the bullshit!

The commonalities between Yellow Pages – A Prescription for the Future and the solutions to our Health care problem are very intriguing.

Senators on Capital Hill will do whatever it takes to shove health care “reform” (real health care reform fixes the insurance system and price of health care, such as fee for service costs etc, as well as builds health care awareness focus) which to me is another pay off. Instead of the banks, it is the insurance companies and doctors associations.

“Reforming” healthcare is one thing… paying off fellow Democrats simply to get the necessary votes to allow for debate is scandalous:

Staffers on Capitol Hill were calling it the Louisiana Purchase.

On the eve of Saturday’s showdown in the Senate over health-care reform, Democratic leaders still hadn’t secured the support of Sen. Mary Landrieu (D-La.), one of the 60 votes needed to keep the legislation alive. The wavering lawmaker was offered a sweetener: at least $100 million in extra federal money for her home state.

And so it came to pass that Landrieu walked onto the Senate floor midafternoon Saturday to announce her aye vote — and to trumpet the financial “fix” she had arranged for Louisiana. “I am not going to be defensive,” she declared. “And it’s not a $100 million fix. It’s a $300 million fix.”

Even when she finally announced her support, at 2:30 in the afternoon, Lincoln made clear that she still planned to hold out for many more concessions in the debate that will consume the next month. “My decision to vote on the motion to proceed is not my last, nor only, chance to have an impact on health-care reform,” she announced.

“My vote today,” she said in a soft Southern accent that masked the hard politics at play, “should in no way be construed by the supporters of this current framework as an indication of how I might vote as this debate comes to an end.” Among the concessions she’ll seek: more tax credits for small business and a removal of the version of the “public option” now in the bill.

Democrats have shown they don’t care what they do to this country fiscally.  The $787 billion “stimulus” ($1.24 trillion with interest figured in) not to mention the nearly $1 trillion cost to “reform” and all of the additional costs that will hit individuals and businesses will result in less money in the pockets of taxpayers, less hiring by employees, and lower wages as companies seek to try and maintain some profits in our new Democratically managed economy.

Witness the recent statement by Emerson Electronics’ CEO regarding how Obama is treating American businesses:

One of the country’s most important industrial companies says the United States is not a good place to manufacture and it will continue moving its assets offshore.

The federal government is “doing everything in [its] manpower [and] capability to destroy U.S. manufacturing,” says David Farr, chairman and CEO of Emerson Electric Co., in a presentation at the Baird 2009 Industrial Conference in Chicago Ill., on Nov. 11. In comments reported by Bloomberg, Farr added that companies will continue adding jobs in China and India because they are “places where people want the products and where the governments welcome you to actually do something. I am not going to hire anybody in the United States. I’m moving. They are doing everything possible to destroy jobs.”

Expect this trend to continue as Democrats push for a more government managed economy.  The result is going to be rationed care, higher taxes, lower quality healthcare, higher unemployment, and more payoffs as we have already seen simply to buy votes.

The generational theft that the Democrats are perpetrating is criminal.

Meanwhile, Yellow Pages publishers want to shove phone books on you whether you want them or not. Then they hold the local government accountable for paying to remove the waste. I think they need to get your permission to send you a book. No OPT OUT… now that you are not regulated to send us one (the phone companies have said they don’t feel getting a book is now necessary) distribution needs to become an OPT IN based system.

The first yellow pages to announce that they are going green and creating a subscription based model will earn the respect of business owners everywhere and show that they want real change.

Prescription for the future

Clearly the advertising spend for SMBs is changing. This August, for the first time, the number of SMBs using the Internet to advertise (77%) was higher than the number of SMBs using traditional advertising (69%). However, the full weight and enormity of this has not yet been felt, as a disproportionate number of dollars were still attributed to traditional advertising. That, however, is about to change. In fact, Internet advertising, currently the third largest spend, is expected to surpass the newspaper spend before 2013 – newspapers being the biggest advertising spend overall today. Unless newspapers react with products other than print, we think this day will come as early as 2011 or 2012.

Much of this shift is happening as SMBs shift their advertising spend from traditional media  to their own online presences, pure-play verticals and Google Adwords. The YP industry is in a truly unique position to take advantage of this opportunity and potentially even grow their share of SMB advertising spend.

A successful future for YP will include evolutionary changes such as transitioning online to IYP, embracing transparency, pay-for-performance, user-generated content, publishing cycle changes, pricing model changes, and sales process changes. However, revolutionary change will need to be embraced to truly seize the opportunity. The YP industry will need to think back to their origins and rediscover the essence of what made them the most valuable source of advertising to their customers. Before the Internet the Yellow pages were:

  1. The most trusted and complete source of business information.
  2. A business model that was incontrovertibly the best ROI available.
  3. The most convenient, fastest way to engage local businesses.

Here is our prescription for how Yellow Pages can attain the above:

  1. Become the most trusted source by providing Social Context to consumers visiting the directory.
  2. Become the most complete and richest source of business listings by allowing all businesses to provide complete and rich data and participate in the online directory for free.
  3. Provide an incontrovertible ROI by embracing a new advertising model in which advertisers set their own advertising fee and only pay based on a successful transaction, and use this model to leverage the advertisers’ spend on their existing web presence.
  4. Become the most convenient, fastest way to engage local businesses by providing consumers with an interactive system to communicate with advertisers on a one-to-many basis.

We would be remiss if we did not tell you that we have developed the set of tools that can help YP companies do exactly what we’ve described.

Using our platform, the Yellow Pages can once again attain this position of advertising dominance. Yellow Page companies have both the sales force and the means to take advantage of the shift of advertising dollars from traditional print to online models.

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