Susan invites many women who are leaders in their industries, as well as some interesting folks who happen to be men. The quality of the people and their intelligence is quite high – truly folks who have the ability to solve business problems and ask challenging questions (which they did).

I enjoyed seeing Isabel Walcott and Tamar Weinberg (her book, The New Community Rules: Marketing on the Social Web was one of the give-aways at the end of the night. More on that later).

The key to this event every year is the dinner conversation. Susan sets up tables with people that have different backgrounds, and challenges us to have interesting conversations by putting printed questions on the table. One of mine was “What if the US Lead a Green Revolution? What would that look like, and how would what we do today change?” These questions aren’t meant to be solved in the 15 minutes in between courses at dinner. They’re things you ponder, and hopefully get to continue talking about with your tablemates in the future.

Suggestion: Susan, you should have a mailing list or social network based group to continue these discussions. They’re too good to let go. Additionally, the time for each discussion was too short – the event should start earlier and have more What-if conversations.

Two of the folks who asked difficult questions last night were Shelly Palmer and General Martin Dempsey (known also for being probably the only 4 star general that is on Twitter.)

Shelly’s “what if” was along the lines of (sorry I don’t have an exact quote) “What if Intellectual Property rules changed and you no longer owned or had any control over information about you including private medical records and the like?” This generated a very spirited debate at my table, when I said that even though the law may protect some of this information, due to bad data security practices and uninformed consumers so much of our information is already ‘out there.’ We agreed we should all have a right to privacy, and I hope some of my table mates will take action on things like your medicare card number being your social security number (As a retiree you probably carry the medicare card everywhere – what happens if it is lost or stolen?)

General Dempsey gave us another one to ponder. Again, not an exact quote: “What if military power and national security wasn’t just about throw weight and how much army force one could respond with but also how flexible, resilient and smart our population is. What if we could bring the best of military, business, and academic knowledge to our population?” This one had me thinking all night long. This is to me the opposite of “No Child Left Behind.” It’s more like “All Children Taught to be their Best.” It includes realizing the value of education, and also acknowledging that it’s time to take it out of an industrial model of everyone learns the same thing the same way. I could go on and editorialize, but I will just acknowledge that this was a huge and thought provoking idea that is going to keep me thinking for a while.

I hope some of the folks from the event want to continue these conversations, as they have some of the connections, power and influence to make change in the world.

Finally, to blogger disclosure. We got some gift bags, filled with things from WF360’s sponsors, including the aforementioned book, an RCA Small Wonder Camera courtesy of Ameriprise, some Christian Dior cosmetics (given to my wife), and a Build-A-Bear. The dinners are openly acknowledged as “Brandversations(tm)” by WF360 and my review acknowledges that I was treated to dinner and given these gifts, but they are not, in my opinion, influencing my review of the event.  

I was interviewed by Scott Parent of MediaTrust’s Relevantly Speaking program about my views on building online community. This interview was in High def, so it may look funny on this blog page.

From Jennifer Kushell of Your Success Network, comes a fun article and video from Huffington post called
What People Were Packing at BlogWorld Expo ‘09 (Technology, You Dirty Buggers!) all about the different tech we blogger types include in our packing for a show.

Then there were the hard core journalists and bloggers like Howard Greenstein from Inc.com , and Don Lemon, social media savoir from CNN who, god bless him, spent an exhausting day working the expo to promote a big breakthrough Twitter campaign called #beatcancer, which is a new model for charities to leverage social media to raise money. (Click here to learn more.)

Admittedly, I’m not as “hard core” as CNN anchor Don Lemon, but I think I did ok so far as tech was concerned.

Hope you enjoy these videos.

(*Disclosure, I was a guest of the show’s agency, Porter Novelli, for whom I consult, but I paid my own airfare and expenses for the week. I was also covering this for my Inc.com Startup Toolkit column).

I ran into Lauren Solomon of LS Image Associates, whom I worked with several years ago, and haven’t seen in good while. She introduce me to Elyissia Wassung of 2 Chicks with Chocolate.

We went inside, and here are my live blogging notes (excuse typos and partial sentences – this is raw note-taking).

Street Smarts Live – an Inc. Magazine Event:
The Knack, How Street Smart Entrepreneurs Learn to Handle Whatever Comes Up, by Norm Brodsky and Bo Burlingham.

How Street Smart Entrepreneurs Learn to Handle Whatever Comes Up.

Norm: 1st Business  asked How were our sales yesterday didn’t understand that there were more than sales gross margin, profits, etc are important
Cash is the hardest commodity to get, and easiest to spend. Lots of first time entrepreneurs think image type things like stationery is important, decorations, etc. They’ll need to have cash later on, don’t waste on fancy stuff. He always bought furniture at bankruptcy or close-outs.
Logo design did within company  – never outsourced to designers.

Sold recent business for much more than last one because it had better gross margins important to understand.

Norm always learns from mistakes.
Biggest mistakes entrepreneurs make is in planning  don’t just start business do free market research also, other executives in business  not in  your exact field or territory may answer questions for you. Go to sector groups.
Make sure business you are starting fits in with your life/life plan. For example, if you only want to work 3 days a week, don’t start a 24/7 store. His long range plan was to take off 16 weeks a year. It took him 15 years to set the business up that way, but he worked to it.
Make sure you’re capitalized sufficiently to get to level that you don’t need to be borrowing. If business will cost 200k, put 50k in reserve (25%).
Most people are overly optimistic in projections.
Most common problem in running, on going business: people don’t understand gross margins. They’re not making enough in sales. Sell service for 10$, your direct cost is $6, 4$ is your gross profit. $4is used for overhead,   If we hire and pay salesperson 40k a year, we need 100k to hire him or her.

Accounting is Quickbooks good? QB or any accounting system crap in, crap out. If you do it by hand you may understand relationship between numbers more directly.
If you follow numbers by hand, it may show you trends that you might not notice on computer.
Accountants are great historians, but when you get year end or quarterly statements it may be too late. You need understanding quickly.
Q: as business starts, most people micromanage everthing. As business grows, you have to hire others. How to do this best.
A: Important to set culture of the business. Learned he’s a terrible manager liked to be involved in everything. It is hard for entrepreneur to let go and let others do their jobs. Also promote people to peter principle to too high a position. Learned also to hired people for attitude, and can teach them abilities. Try to promote from within. If you hire good in the beginning, you’ll be better later on.
Let people make some of own mistakes.
Eventually let staff lock him out of staff meetings.
Q: When’s the right time to step out of the business?
A: business must be running on own cash flow, and you know that people there can do the job.
Q: Bo there are different stages to this at one time, you backed off from meetings, but you were still involved.
A: He was also making decisions that were in best interest of him, not of the company. He stayed on for a few years when he sold company, and there were challenges.
Q: What happens when you have been running business for years, economy changes, and you have to grow it. The employees aren’t of the ability to grow it?
A: You have to take emotion out of business decisions people work with him or for him but they are not friends, because sometimes you have to make decisions that affect them in a mental or monetary way. If you make decisions about what’s best for company, you may hurt people along the way but the company, if it gets bigger, may be better for everyone. The business comes first.
Q: Did you have investors invest in  your companies?
A: First business funded by lawyers and accountants that financed him. He eventually bought them out (didn’t have a buy out agreement, so there was a dutch auction). He had customers fund cash to fund his buyout. 95% of all companies do <$1M a year in business.
Only 5000 companies do 30m a year or more. Microsofts and HPs are the rarities in business.
Q: How to get away from staff and day-to-day to create systems and processes
A: Believes in critical numbers simple reports, weekly: Sales, margins, new boxes in, etc. and a few more, and via that he can tell how business is going. In fact, staff will tell him how things are going put in notes when things change.
Also, surround yourself with someone who’s great with numbers, and other weak points, but learn to understand it.
Bringing up 2 entrepreneurs now, Brian Kelly, City Beans, and Mike ? West End ? Express
Mike: Wanted to get from $1MM to 10MM a year, Norm told him he couldn’t do it in way he was talking about got him to $3MM, then eventually. They allowed him to do it while taking off weekends, having a life plan. If he had done sales sales sales, he never would have been able to enjoy life.
Brian: Went to Norm, article about shredding business, had a coffee business and was working as fireman, Norm helped him get business started.
Business nightmare starbucks was moving in next door to his store. He had been competing with Dunkin, business was cash-flow positive. He was worried that they’d cluster around him and drive him out of business. Norm helped him look at it a different way – $bucks is big company, what can I do that they do, and how can I make up for the loss of business they’re going to have  what’s the plan? The answer was he had done catering for years they did soup, salad, sandwiches, and did corp catering. Lost 11% but gained it back in catering business.
The important thing is you’re going to have competition, you have to figure out why you’re better than everyone else.
Norm: Dad was door-to-door peddler bought dresses for $4, sold for $8. There are opportunities everywhere.
Customer asked box storage question he did research, found industry prices, and realized he had opportunity to outsell them. Put boxes in his office to start, eventually became largest archival storage company in the country.

Q: New entrepreneurs most difficult part is finding sufficient capital. Where is capital most easy to access?
A: Norm: it is A difficult part, always an issue. Most people start with their own, bank accounts, 2nd mortgage on house, go to family and friends or rolodex for money. Some unconventional avenues  – going to potential customers  get them to invest in your company if you’re going to produce service for them. You may have big idea, but start at a smaller level. Get investor to help you do small part, before you go to larger idea.
Brian financed first Coffee business by working 2 or 3 jobs, took money from tax returns, credit cards, built coffee bar himself as carpenter.
Q: You spend time finding the Niche you have to continue to look for ways.
A: Perfect Courier  the only computer you could buy was an IBM32  a big box that could take customer addresses and total a bill. Was trying to get Scalia, McCabe, Slobes as a client. Problem they had was a chargeback to clients they were not getting the data in way that accounting department could use it. He took 1500 tickets, had 20 typists type the bills perfectly  the agency’s accounting department wanted the program he said it was proprietary. He had to have 60 typists until he got the thing programmed 4 months later.
He went from courier to a billing service.
Niche he discovered with storage service he was closer into town than big companies like Iron Mountain he could do faster delivery.
Q: Focus on making sale, getting customer and develop a relationship What’s value of capital vs getting customers?
A: You’re either an onsite or offsite shredder offsite was 750K, onsite cost 250k.  Partnered with someone outside of town. Eventually he doesn’t own a shredder he basically owns customer relationships and partners with everyone.
Q: You’re making money – how to expand correctly
A: Before you start business, you don’t know opportunities stick to One. Once you’re running business you see many opportunities. Once you have cash flow sufficient, you can expand, but also do them one idea/expansion at a time.
Be careful you don’t kill golden goose.
Q: Debt vs equity financing? Challenge of getting rid of equity
A: doesn’t like to give away equity. In beginning, you may not be able to get rid of debts quickly enough.
Q: Finding partners and structure
A: His 2 partners were sweat equity partners, took >20 years for them to get it, with right to buy it out.
Q; In book you talk about compensation of sales people no commission  how do you keep them motivated?
A: Doesn’t believe that only commission motivates people. If you’re not feeling fairly paid, or happy with job, they can find other jobs. They have a culture, and pay sales people fairly, and prosper for bonus, and how company does. Sales people also want consistency  it can be positive for them. Sales people can cover for each other.
Q: Have run by KASS rules up to now, has challenge finding a good lawyer.
A: Rarely gets involved with lawyers both sides walk away a little unhappy is a good settlement. Lawyers shouldn’t make business decisions for you  they’ll tell you about the law.

New York: http://www.new.facebook.com/event.php?eid=25836653564
Houston: http://www.new.facebook.com/event.php?eid=29861742796
Boston: http://www.new.facebook.com/event.php?eid=25563852858
SF: http://www.new.facebook.com/event.php?eid=30530576603
Anchorage: http://www.new.facebook.com/event.php?eid=39410357168

After a great drive out to Eindhoven, (thanks Martin), and some initial networking, I met Tom Paffen and Tom De Bryune who spoke on Venture Capital raising and on “Freaks and Geeks” as the leading indicators of where social media and social networking tech are heading as cultural and technical phenomenon.

The photo set is on Flickr.

Bill and I spoke after the break. Bill did an excellent job talking about the “3 screen world” where TV, Computers and Smart Phones are the locations that people are using when they view and interact with content, all to different extents, of course. I chimed in afterward about how media companies are using Social Web tools to create new kinds of stories (like the Heroes show and related content), and also about how, as seems to come up in conversations a lot lately – destination sites are not the future. Having content everywhere, via syndication, mashup, widgets, and basically where your viewer, user, customer wants it, will be the future. The panel finished with questions and more networking.

I know the slides and information on the panel, as well as the full video will soon be posted on Efactor.com and I’ll update with a link to that when it’s available.

BTW, Mashable did a brief review of the E.factor here.

Limor: Convergence of Media, content, people (community) sector
All three coming together to create a new level of story, interaction that we haven’t seen.
We’re also going to address the age and gender issues.

Kelly: Excited about the number of women being engaged with the new media
Allison: got into the field because she saw the way her friends were using new forms of communications – was interested in how brands can be involved in a valuable way in young people’s lives. This is an exciting time to get in on the leading edge.
Mindy: Director of Sales and Marketing for WWE.com and marketing solutions for advertisers or sponsors. Also gets to work with product development to drive features to the website. So many assets at her fingers for a global brand. Hosting interactive events, enhances storylines online.
Natali – Hosts “Loaded” on C|Net – was a print journalist and was convinced to try on camera journalism. The linkage between CBS and C|Net – old and new converging.
Romina – Newsmarket – a platforms that advises brands, ngos and government about how to get their messages out effectively. Interactivity and tools for consumers to communicate with brands, and other stakeholders to communicate with each other is exciting.

Limor: What are tools that companies are doing to differentiate and create value for consumers?
Natali: In early part of decade – we saw UGC and user video become more popular. Community was interesting, but ‘just picking your nose on youtube’ isn’t really the valuable stuff.
Bringing professionalism to the internet is important. You can’t make money from your baby dancing to prince on youtube.
Allison: Branded utility – how to provide value to customers – don’t just distract people with a popup. Give them somthing they love. Itunes – organizes and helps facilitate discovery. Nike  – helping people to keep track of workouts.
Twitter Channels – providing info for fans of a brand.
These can enhance rather than distract.
Kelly: Tug of war between traditional content producers and digital team at WE. In development of traditional media – no greenlighting anything that the digital team doesn’t approve. There are new opportunites, creative and branded integration. Just relaunched the site to be a content site, and not a promotional site. Original programming for the web for women in different life stages.
Mindy: WWE is a unique brand. Competition is weaved into story, differently than other sports. They don’t see themselves fitting in other sports generes. They own their own talent, brand, all content.
They’re looking to transform their platform so fans can have similar experience to their live events. Incorporating video, other live stuff. Fan social network. Nearly 40% of the audience for WWE is women.
Limor: What is it about these media that are really engaging women?
Mindy: WWE sports entertainment – competition in story. Women are attracted to story and human condition, men attracted to competition and thrills.
Natali: Majority of audience are men. The bellweather of her reporting is her mom. If mom doesn’t understand it, she’s not explaining it clearly. Aspire (CNET) to be general news place. Have to talk to women culturally and make sense and experiential.
Allison: Mom once called computer an email machine. But now a 10 year old can be the IT director of a house. Teens and 20 somethings are looking for experiences rather than content.
Limor: So content is a step-off point?
ALlison: yes, emergence of newsmasters, people who can boil down streams of info for their friends.

Kelly: Women love weddings, how to put on parties, etc. But women are story-driven. They want true stories, like “Secret Lives of Women.” Women are into emotional connections and transformations – so we’ll be putting out some new shows to transform lives in emotional and even spiritual ways.

Limor: What are most effective digital tools to help that?

Kelly: In terms of develoment process, we get pitches that should go direct to air, but other ideas seem more suited to go to the web first, in a ’snacking’ kind of way. They also have channels for their bridal, stories/secrets blogging, etc.

Mindy: In addition to communication and interactivity, we notice the sense of empowerment for women. We have various talent, male and female, and find that on the web or in TV, or in magazine, when there’s a situation with conflict between a man and a women, the woman will always prevail, and the female and male audience seem to take to it. Encourage the story lines of women to take control of programming, like a woman running the RAW series. Female talent exciting for me, empowering for women.

Limor: International perspective

Romina: Web is a great tool, and segmentation, brands communicating globally via the web. In China, where internet usage has a gender divide, but net allows some anonynimity that allows people to express themselves more. In some countries, women can’t drive but they can use the net to make connections.

Limor: How do men use the net, what’s the difference, from your companies perspective

Romania: Web 1.0 was male and transactional, Web 2.0 is more about relationship building, more apt for women, women like building communities, sharing experiences. Facebook 63% of users are female, also on MySpace. Women use forums and blogs for relationship building, while men use them more transactional.

Allison; Businessweek article about social media gender gap. Women active on FB -  relationships yes, but also casual games. Women also about glitter, bling, pimp myspace page, etc.

Limor: Mobile is exciting – it’s another platform – what’s happening?

Allison: Mobile social networking is projected to be huge, but people use their Social Networks as address books – so you’ll want that on the go. If you’re somewhere you’re looking for a place to eat, recommendations, will be popular on mobile.
older women talking more on phone, younger ones texting each other, even when sitting next to each other, ring tones to customize. Women like to turn photos into wallpaper.

Limor: What are recommendations for companies?
Allison: Ask if mobile is right for your company. Are people active mobile users? Make sure campaigns are opt-in! Also make sure mobile is integrated in the marketing mix, that there’s made for mobile content that works. SMS campaigns – cheap and scalable, short codes will be on billboards and everywhere. Can also lead to couponing, etc. But make sure it’s an integrated challenge.

Natali: not everyone needs a mobile strategy – she disagrees. Mobile and Laptop convergence. In 5 years it won’t be it’s own thing. It will all be the same thing. Now you need a scalable mobile strategy, but if you don’t think about a ubiquitous take it anywhere strategy, you may be behind in a few years.

Romania: Key point – brands and companies, need to stop differentiating between traditional and digital media. We’ve had people ask us to help them create a ‘viral video’ which is nonsense. Whatever you do, your stuff needs to fit your whole image.

Continued>…

Mindy: Our demographic is 12-49, so we utilize mobile in 2 ways. From content perspective, a fully operational carrier friendly WAP site, but also from an entertainment standpoint – there is mobile in our story lines. Text in who should participate in a match, which changes story line.

Kelly: Not a lot of mobile at WE, but we’ve had a hard time thinking about how to monetize it.

Mindy: From a business standpoint, mobile can be partnership with our brands, since it is tough to work with carriers. It has been slower than with digital or online but it is evolving.

Allison: In Asia, more are leapfrogging directly to wireless/mobile, without even having computers. WAP and similar is important.

Natali: “THe future belongs to those who take the present for granted” – Clay Shirky. Act as if a tech has always existed. If you can’t, you’ll always be behind.

Q What is tension between online and on-air?

Kelly: We’re still paid on ratings, so there can be an internal divide between on air premieres and online sneak peaks. Also tension between having TV that shows on a particular night, vs having something available for VOD and them not watching and getting ratings.

Q Intrigued by 63% of FB users as being women. Natali – how are you capitalizing on that audience and reaching women?

Natali: We have an FB group, largely attended by men, but way that we promote Loaded and CNET in general is traditional. I’m on Today Show, Fox News, putting our faces out on traditional media and traditional PR will show it to women. Using Twitter and FB, but still largely talking to men.

Q: What are successes and strategies about treating media as an integrated unit, not just traditional and digital

Romania: In terms of integration, at newsmarket we work with brands. In last few years, brands don’t just ask to reach broadcast audience. They know people are accessing content everywhere. GM is integrating traditional, online, making communities, etc.

Allison: Cingular campaign – 3 screen approach. Cultivated artists on MySpace, fans voted as to who would play the prom on One Tree Hill, text to vote, they played the prom in the show.

Limor: What’s lacking for you?
Natali: I don’t want another socialnetwork. I am tired of migrating my friends over. When I was at PC Mag, was always being pitched. We wont’ see in the future the “next FB” but in the web everything will be social and have elements of interacting with others, and we’ll build on it.

Romania: More variety of content targeted at women. NYTimes article on Slumber party confidental? There is a really big opportuity for professional women-focused content.

Mindy: On day to day she focuses on digital, but leverages events, mobile and print. So, she reflects her own lifestyle, she utilizes events, phone, FB to help her network. At end of day, the individual will have to determine how she uses social networking for her own life and how she’ll maintain it.

Kelly: Wants more interesting content for women on the web. Yes, women like shoes and weddings, but women also want to learn, commuinicate and be activists. There’s an opportunity to prove stereotypes wrong. WOmen watch WWE, ICe Road Truckers, etc. Who would have guessed? Also excited about viewer generated content.

Allison: From personal perspective wants seamlessness between her phone and PC, but there are too many platforms, wants integration. OpenID and similar. Want all the Social networks to allow movement of content from one to the other.

as tv viewers shift to online, can you make up revenue from TV online?
For Natali: as shift occurs, what do you need to do at CNET to keep user experience positive without overwhelming them with ads

Kelly: KEy to monetizing is sponsorship and intelligent integration into programming that doesn’t turn people off. Other fragmentation…

Natali: there’s more space – banners, and commercial between videos. Diggnation  advertise everwhere. Other networks have endorsements within the content that can blur the lines between paid advertising and programming that she doesn’t like.

Limor: Next 5 years:

Kelly: People will be watching TV on their computers. Will be itneresting to see ad sales model. More interaction in communities, people putting out own content, having more impact and input as what they want to see as viewers.

Allison: More integrated campaigns that will allow mobile, trad, ditigal, more integrated and cohesive. Watching video on cell as well as online.

Mindy: Agrees with the others, traditional giving up reins to digital. TV may be convergence of all your devices. Curious how UGC will blur lines of professional journalism. Also about blogging. This Old House called readers together to submit stories and photos, and published a magazine – Your Old House – user generated issue.

Natali: The most successful tech will be ones that are transparent. Email and text everywhere – just part of our lives. So, wont’ be distinction between tv on computer, on mobile, in home. Things that we want to happen will be easy and we’ll take it for granted.

Romina: IN future more women CEOs.

Also keeping my attention:

• Yao, David and the Hatchery team are putting on a “Hatch Match” event in conjunction with Pace University SCI2 Incubator, June 4th at 6pm. I’ve had high quality interactions at previous Hatchery events, and I’m sure the networking and discussion will be equally good or better. The Pace University facility is also a really great one.
• Tuesday June 3rd, Bill Sobel’s NYMIEG gropu presents a breakfast event, “Shifting the Paradigm: Young Women with Cool Jobs Making a Difference in Digital Media and beyond.” I’m already signed up to go, and I hear it’s selling out. Register here.

I’ll embed them in the page shortly, but for now, You can find them below, and look at all my other slides, at http://www.slideshare.net/howardgr

| View | Upload your own

Howard: Did you have to raise capital to run the event?

Stephanie: The company isn’t incorporated, so from a legal perspective I’m doing this event under my own name. In Switzerland that’s how it works. I’m looking into the incorporation, but I want to make sure the first event is successful before I do the administrative work to set up the company. There was no initial capital. The event should be self-financing, with attendee payments and sponsorship paying for it. That’s why I have some aggressive early bird pricing.

Howard: Are you paying yourself?

Stephanie: My objective is to pay myself, but the first ambition is that the event doesn’t lose any money. Hopefully I’ll make enough profit to pay myself.

Howard: Did you take time to budget the event?

Stephanie: Yes, I have spreadsheets but I was a bit naive about cash flow when I started. You can do a what’s coming in, what’s coming out, and hope the total of revenue is greater than expense. Or you can add a time component to the budget and you have a week-by-week vision of what’s coming in and what’s going out, to ensure that by, say, week 5, you’ll have enough money in the bank or incoming to be able to pay out at the end of week 5. This was something I hadn’t though about previously.

Howard: So you figured out from this you wouldn’t need to take a loan or any additional capital for your event? : Well done for your first event.

Stephanie: I hope it works out like I hope.

Howard: Tell me about the big event?

Stephanie: It’s an event about freelancing. Lots of people start freelancing because they know how to do something and get paid for it, but you have to fix your rates, find clients, deal with accounting and paperwork, etc. So we’re taking a day to talk about all these issues. I have a number of speakers who are going to explore these topics in depth. I’m expecting 150 people, on the 16th of May in Lausanne, Switzerland, just next to Geneva, and the web site is http://www.going-solo.net/
It’s more intended for the freelancers in the web and related industries, from Europe, but all are welcome. As it’s a one-day event, we are also looking to organize a “bar-camp-type event” on the next day so people will feel comfortable coming and then spending the weekend. (A camp is an un-conference where anyone can present or attend, done in a space like a university, with rooms, WiFi, and a big board where people write the topics being discussed attendees know what’s going on and where to go.) I hope the one day event plus the camp will bring people in.

Howard: Thank you for your time and for sharing your business start with everyone.