News broke late tonight (Saturday) that Steve Ballmer (CEO) from Microsoft sent a letter to Jerry Yang (CEO) of Yahoo saying the deal is off.

OMG - the deal is off. What about the hostile takeover Ballmer guaranteed if Yang would NOT agree to the proposed Microsoft Acquisition?

Let me remind Jerry - Yahoo (YHOO) was trading at about $19 when Steve came in and offered $31 per share.

I can’t tell you how upset I was that I didn’t buy a few thousand shares of YHOO before the very aggressive MSFT offer was made public. No worries Jerry and Steve - I got in on GOOG at the IPO price…sold it and then bought in again and again and sold all the way from $125 to $600 (BTW - sold what I had left around $600 and never looked back).

OK. YHOO at $19. Ballmer makes bid with a price tag of $31. YHOO trumpets to nearly $30.

Think about this for a second.

YHOO responded as if the rise in share price (NOTE: YHOO climbed over 50% in value the next trading day) had something to do with the actual quality of the YHOO business. Guess what - it didn’t!

Now what.

Ballmer has officially pulled the deal from the table.

Yahoooooooooooooooooooo - I’m glad I dind’t buy the stock because Monday morning is not going to be pretty.

My heart goes out to my friends at Yahoo, including employees and shareholders.

What’s next?

Will Yahoo as a company rebound?

Absolutely not. At least not alone.

Can Yahoo realistically compete with Google in the search space? No.

Can Microsoft realistically compete with Google in the search space? No.

Can the combined MSFT / YHOO compete with Google? Hmmmmmmmmmmmmm. Not likely.

So what happens next?

My guess is that Google waits for Yahoo’s stock price to go into the teens and they make their own bid for YHOO….

Then, MSFT comes back in and makes another offer.

GOOG and MSFT battle it out and MSFT ends up the winner at $38 per share.

Note that if you are following the details of the story in the popular media YHOO would have done the deal already if MSFT would have ponied up $37.

If my theory is correct Yang will be celebrated as a hero to YHOO shareholders.

If my theory is incorrect Yang is absolutely screwed.

UPDATE: Michael Arrington over at TechCrunch is predicting a “Black Monday” for YHOO tomorrow referring to the likelihood (see above) that YHOO is going to tank when the markets open tomorrow. Another interesting part of his post was that he suggests YHOO may be moving as quickly as possible to make an announcement about a pay-per-click syndication deal (i.e. YHOO syndicate GOOG) with GOOG.

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By now you’ve likely heard that Google announced that they intend to sell the search division of Performics. In addition to the proposed sale of the SEM division of Performics Google also announced that 300 employees from parent company DoubleClick will be laid off and that the other 1/2 of Performics (the Affiliate Network) will be integrated into Google.

I’m not entirely sure how Google intends to integrate the Performics Affiliate Marketing business into “existing Google operations,” but it’s my guess that there is major disappointment from many Performics clients who were sold on a “full-service,” “integrated” (i.e. search / affiliate) online marketing service that Performics will no longer be able to deliver.

Some of you will remember that I predicted right after the initial announcement of the Google / DoubleClick acquisition, that Google would likely dissolve or sell Performics.

Aside from the disappointment that is likely being registered by existing Performics clients, another potential outcome from Google’s announcement is that ValueClick (VCLK, parent company of affiliate network Commission Junction) becomes the likely suitor (acquirer) of the SEM division of Performics. In fact, according to ClickZ ValueClick has already expressed an interest in acquiring Performics.

To me it would make sense for VCLK to make this acquisition, especially because (no surprise here) I believe a full-service, integrated approach to online marketing is the most efficent approach - the full-service model is what we’ve pioneered and have been providing to clients at Pepperjam for years. In fact, aside from Performics and without the acquistion of Performics by Commission Junction, Pepperjam is the only other major full-service, integrated online marketing agency with an affiliate network option. I like how this sounds, but knowing CJ as well as I do, this is not likely to last long.

Think about it. In light of the recent fallout between Pepperjam and Commission because we launched a competing affiliate network technology, I don’t think CJ is gonna want Pepperjam to be the only real alternative (i.e. full service model with a network) to Performics. I imagine the stage would be set for some fierce competition between Commission Junction and Pepperjam if indeed ValueClick purchases Performics.

Either way, it’s my guess that Pepperjam stands to benefit significantly from the break-up of Performics since currently we remain the last man standing.

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Hello again pepperjamBLOG readers! It’s me, Kat, director of online media planning and management here at Pepperjam. As one of my several resolutions for 2008 (others include not falling asleep on the couch, going to the gym, and drinking more water), I have challenged myself to become a more active PPJ blogger. Ok let’s not lie – Kris Jones (our CEO) urged my participation – but I’m more than happy to oblige. Media really took off in 2007, transforming the internet space with video, social media, and open source ads. And 2008 is predicted to outpace ‘07 by double digits. According to a TNS Media Intelligence report, Online ad spending is likely to rise 14% this year – making it the only media outlet hitting double digit growth in ‘08 (outpacing TV, Radio, newspaper and outdoor).

So it really begs the question: what is your online marketing strategy for ‘08? Banners, expandables, pre-roll, video, social media, contextual ads, behavioral targeting, retargeting, email? The possibilities on the internet are endless! Why try to hash through all the ins and outs of media yourself? (trust me – it would take a very, very long time…) Let the media buying professionals here at pepperjamMEDIA do it for you. We have the experience, the knowledge and the technology to make any campaign successful. I know, I know - this is sounding a lot like an ad for teamMEDIA isn’t? Well it certainly is not meant to be. Think of it more as a plug for teamMedia….my baby here at Pepperjam. With Media exploding the way it is, can you really blame me for wanting to share all the new types of ad placements and technologies that exist out there? I think not!

Speaking of technology – did any of you read the Media Post Article Monday about DoubleClick’s DFA Spotlight technology?? Well if not, you can find it here. If you recall, pepperjam and DoubleClick partnered up last year to create one of the biggest powerhouses in online marketing. We have used this technology with some of the largest advertisers out there – Nordstrom and Old Spice – and have had tremendous successes with their rich media campaigns. If you are an advertiser with Rich Media ads – you need not look any further for an agency to negotiate media buys on your behalf. Allow pepperjam to place your media buy and utilize DFA’s cutting edge technology to optimize your rich media campaigns. With DFA’s Spotlight tool we will not only be able to calculate how many times your ad was served and clicked on, but we will also be able to measure conversion rates for various actions taken within rich media ads, including rollovers, ad expansions, multiple click-throughs and video plays. Accountability is key – we want our advertisers to be able to create the most effective ad campaigns out there, and with the help of Spotlight, that’s exactly what pepperjamMEDIA can help you do.

So come on… give pepperjamMEDIA a try. You know you want to.

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Joel Comm is the mastermind behind the internet’s first ever reality show - The Next Internet Millionaire.

For those of you who don’t know Joel, he is a very smart entrepreneur and marketer - he’s always planning for the next big thing….the next big idea.

While you might think that the Next Internet Millionaire was Joel’s biggest project of 2007 he’d probably tell you it wasn’t.

Why?

Because he believes his biggest idea (no offense to the show, which was a tremendous hit!!!) is the launch of “the Secret Classroom,” which includes over 24 hours of educational footage from the “teachers’ behind the Next Internet Millionaire show.

The Next Internet Millionaire teachers included Mark Joyner, Armand Morin, Jeff Walker, Marlon Sanders, Brad Fallon, Michael Koenigs, Kristopher Jones (that’s me), Dave Taylor, Perry Marshall, Mike Filsaime, Rich Schefren, and Ray Edwards.

Here’s what Joel told me about “the Scret Classroom”:

“During the course of taping NIM each teacher spent about two hours each day TEACHING, and there was no pitching. Pure content.

Our contestants heads were exploding with information, as you might imagine.

In each episode, the audience only sees a few minutes of the teaching, and they are asking for more.

So we’re going to give it to them.

“The Secret Classroom” is a 12 DVD set with accompanying workbook, providing ALL the teaching that the contestants got.

And there is more.. .of course!

We are also including the entire show, all 13 episodes, of The Next Internet Millionaire, on DVD. Many people have watching online, but even more want to be able to watch in glorious DVD resolution on their television set. This will finally give them the opportunity to do so.

The DVD set will also include a behind-the-scenes documentary and outtakes from the show. It’s going to be an incredible set that we’re very proud of. ”

Well, that’s Joel’s take on “the Secret Classroom.”

Here’s mine.

The Secret Classroom will be a great learning tool for you regardless of your expertise level. The teachers included on the show were chosen selectively to provide a broad expertise across multiple forms of business and online marketing. Whether you want to refine your skills on making a kick-ass sales pitch, want to turn your affiliate business into a 100+ person fast growing full-service company like I did, or you want to promote your product or service via viral marketing and video blogging, The Secret Classroom is likely to help.

While I’m not sure I believe him (hahaha) Joel is claiming that he will only sell a limited number of copies of the Secret Classroom. Regardless, the launch doesn’t occur until December 5th, 2007….so I’m giving you an exclusive head’s up so that you can place your name on the list if you want to learn more.

To learn more about The Secret Classroom - CLICK HERE!

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**Update**

In a somewhat disappointing announcement Google has announced Android, which is basically a mobile phone operating system. While this still holds all of the promised features I know myself and probably most of you were looking forward to a new piece of hardware from Google. Regardless Android is an open source operating system. Now whether this excites you or not, is another questions. It should be interesting to see where this takes handsets, perhaps down the road that facebook is currently going? It is definitely going to be a more social phone.

Morning Folks.

Rumor has it that Google is supposed to announce their plans for the Google Phone Today. I will keep this post updated throughout the day as the news happens but here is what we know so far.

Google is planning on giving away its software to handset makers and then letting them promote the openness of it to software developers to create new applicataions.

Sprint Nextel and Verizon Wireless are said to already be working with Google.

The GPhone is said to be free, the service will be paid for by users watching advertisements each time they want to make a call or do a Google search

Is This The Future?

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The waiting is finally over - Episode 7 of the hit internet reality show The Next Internet Millionaire is finally LIVE - I serve as the special guest, which includes me giving the contestants some insight on how to build a successful company, while having a ton of fun in the process.

(UPDATE: SCROLL BELOW FOR CONTESTANT PICS)

The show starts out with Laura Martin facing elimination in the judgment room. After that the contestants went on a hike in the Colorado Rockies and came back to the Next Internet Millionaire complex where I was.

Joel Comm, the host of the show, only told the contestants that a close industry friend of his would be present and that the remainder of day would be spent doing something different and fun.

The theme of the day was how to skillfully build a successful business, while making sure that you (and your employees) have a lot of fun in the process!

I was honored that Joel chose me to address this topic and was equally humbled that he shared with the contestants the fact that Pepperjam is one of the coolest places to work in the entire online marketing industry. With that intro Joel and I had the contestants participate in a series of challenges called “Pepperjam Games.” The idea was to expose the contestants to some of the fun things that members of the Pepperjam Team get to experience on a daily basis working at Pepperjam. Challenges included things like Ping Pong and Nintendo Wii. I also host a Trivia Show toward the end of the Episode where the contestants square off against one another and answer questions about Pepperjam.

The show was an absolute blast and I can’t thank Joel enough. In addition, it was an honor meeting each of the remaining contestants and getting to spend some time with them throughout the day and later in the evening over dinner and drinks. Also - I have to mention that I was extremely impressed with Joel’s entire production team led by Eric Holmlund. The complex where the show was taped was state-of-the-art and on the level of a Hollywood production - the entire team was professional and the level of energy and creativity would make anyone proud to be associated with such an amazing experience.

I consider this show a tribute to the hard work and dedication of the entire Pepperjam Team. The reason why Pepperjam is one of the most talked about companies in online marketing is because we have the most amazing group of people who are super talented and show up to work every day with a level of enthusiasm and commitment that is inspiring.

Here’s the show - Enjoy!

Thor Schrock

Nico Pisani

Jaime Luchuck

Charles Trippy

Alisande Chan

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In case you haven’t heard Facebook is allowing user profiles to be indexed and listed in public search engines. A lot of eyebrows have raised, hairy, unkempt eyebrows, at the prospect of this. They are however giving all of their users a one month period to set their profiles to private if they so wish. it seems Facebook is trying to become the official online White Pages. This idea is innocent enough but what do you think is motivating them to do this? Some would say they are trying to improve their SEO rankings, others propose that they are trying to reach a broader audience.

By searching or “googling” a friends name their Facebook listing may come up. The user who searched for them may not have a Facebook account and decide to sign up to get the rest of the info. Once again this raises the issue of privacy, even users who set their profiles to private will still be listed but with substantially less information than users that don’t. Is it a good move to risk alienating long time users to gain a few more? Only time will tell but it will be interesting to watch.

Also, Martha Stewart has launched a Facebook profile, you can see it here. So for anyone who has ever wanted to poke her, here is your chance. I wonder if hers will be set to private? 

 

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FINALLY!

This is a half hour candid interview with Kris Jones, Michael Jones, Shoemoney and Mediadonis (aka Marcus). It took some video manipulation to cut the thing down to youtube size, but it is done. WOO!

I had the pleasure of interviewing these guys last Friday. This video takes place a day before Kris Jones’ wedding so any reference to “this weekend” really means this past weekend. I wanted to ask them questions ranging from the serious to the insane, so watch as KJones and company answer questions regarding affiliate marketing, favorite food and drink and other very important questions.

Meet The Pepperjam All-Star Team:

For those of you who don’t know the “rules” behind the Meet the Pepperjam Video Series, here they are:

Every Friday Pepperjam will post a new video interview of a member of our staff - everyone will be included - affiliates managers, executives, search-engine marketing managers, directors, software engineers, assistants, online media buyers, and interns. The person being interviewed won’t know he / she has been chosen until about 30 seconds before the interview - this way you’ll get an unrehearsed, real world look at the employee…hopefully, this will make it interesting and non-corporate, which is what we are known and respected for across the internet marketing industry.

Why are we doing this? Well, I am proud of our team and I think you’ll find them as interesting and intelligent as I do. Also, I’m a student of viral video and the social media space and I want to test the waters as it relates to what corporate america is doing (and not doing) to spread buzz and build next generation work places.

Finally, I just thought it would be cool to put some people in front of a video camera that have never done so before, have a little bit of fun, and see if Pepperjam can spread some additional buzz about why we are the leader in online marketing.

FYI - all videos will also be posted to YouTube. If you think what we are doing is outside-the-box and interesting please blog about it and share the story with the world.

Our previous videos include:

Maura Goodwin
Tara Lou
Dean Karasinski
Kim Noler (dated YouTube founder)
Stephanie Yachim
Roxy (Pepperjam’s English Bulldog)
Kris Jones
Katharine Dempsey
Ken Mohn Jr.
Mandy Foley
Tara DeGiusto
Robyn Martin
Kate Sarnak
Aaron Baker
Michelle Foley
Mike Jones
Maggie Oldziejewski
Daehee Park
Leslie Stewart
Trevor Brennan
Brock Siegel
Sarah Hohol
Matt Bradley
Chris Thomas
Nick Jurista
Derek Traver
Amber Sansky

Other fun Pepperjam Vids:
“What would you do for a One Year Supply of Energy Drink”
Naked Crazy Man Video
Pepperjam Adds Ping Pong Table to Pepperplex
Roxy with the Tony Robbins Beach Ball

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Internet Marketing and Google Adsense Expert Joel Comm is in final production of an Apprentice-like Reality Show called - Next Internet Millionaire. Joel is a New York Times best-selling author (Adsense Code), internet guru, and international speaker.

While I’ve spoken at various conferences with Joel over the years it was only recently during Affiliate Summit - Miami that Joel and I had lunch and discussed some of our latest projects.

Joel asked me if I would fly to Loveland, Colorado and shoot an episode of Next Internet Millionaire - his latest venture. Since the production of the show is still underway I’m not at liberty to give specifics about my appearance, although I will say that it was a combo co-host / guest appearance and that it was one of the coolest experiences of my internet marketing life!

The Next Internet Millionaire is the first reality TV show that will be broadcast entirely over the web.

Similar in theme to other reality shows like American Idol and America’s Got Talent there was a multi-week open audition where thousands of contestants submitted videos, which were posted on YouTube for the world to see, about why they thought they should be the next internet millionaire, win $25K cash, and a multi-million dollar marketing partnership with Joel Comm.

After receiving thousands of videos, Joel cut the contestants down to the top 50 and then chose 12 finalists that were flown to Colorado for taping.

During each show, much like Survivor and the Apprentice, contestants compete in various tasks (again, I’m not yet allowed to say much here). However, the show also includes a really brilliant educational component where Joel flies in leading internet marketing experts from around the world to share insights on how to make millions of dollars online. In short, the show is like Apprentice with a hint of Survivor with the goal of finding (or creating) the Next Internet Millionaire.

When I arrived in Colorado I was amazed to find out that Next Internet Millionaire is being taped in an amazing 50,000 square foot warehouse / production studio - honestly, the venue felt like I was on a Hollywood set with multiple cameras shooting in every direction at all times.

For now I’ll say that I’m expecting to be on show seven (7) - this was the last week of production and the first show of the Next Internet Millionaire series will air LIVE around the middle of August 2007 - to learn more visit nextinternetmillionaire.com.

Stay tuned for more info!

Make sure to tune in to the show starting in mid August!

Here is a Preview of The Next Internet Millionaire (crank up the sound):

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Forbes.com broke a story today entitled, “Click Fraud Goes Viral.” The article was written by Andy Greenberg.

The article is based on a recent study by Click Forensics that revealed that the percentage of clicks on online ads that were fraudulent climbed to 15.8% in the second quarter of 2007, an increase of a full percentage point in just three months. And the volume of fraudulent clicks found on online content networks like Google Adsense and Yahoo Publisher Network is more disturbing: 25.6% of those clicks were bogus, compared with 21.9% at the end of last quarter.

I was quoted and Pepperjam was referenced several times in the Forbes article. Check it out HERE.

Thanks to Andy Greenberg for using me once again as an authority in his excellent articles!

Today’s article comes off the heels of an article earlier in the week featuring Pepperjam on CNNMoney.com - that article delt with making money from search arbitrage.

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