
Passengers of Delta Airlines will now have access to location-based deals on the company’s website, powered by daily deal giant LivingSocial. The partnership, announced Friday, gives customers access to deals through the “My Trips” tab. READ MORE


Passengers of Delta Airlines will now have access to location-based deals on the company’s website, powered by daily deal giant LivingSocial. The partnership, announced Friday, gives customers access to deals through the “My Trips” tab. READ MORE

If you’re one of the millions of business travelers who fly the friendly skies, be prepared to use your laptop for a lot more than just playing Windows Solitaire to pass the time. Many domestic airlines — including American, Delta, US Airways, Virgin America, JetBlue Airways, and Air Canada — have begun to offer Wi-Fi on select flights, allowing laptop- or smartphone-toting passengers to wirelessly access the Internet while in their seat. Now you can surf the Web, read e-mail, instant message colleagues, stream media, and downloads files — all that you can do in the office — at 30,000 feet. There have been failed attempts to introduce high-speed Internet access on commercial airlines in the past, such as Connexion by Boeing’s satellite-based technology on Scandinavian Airlines, Lufthansa, China Airlines, Korean Ai,r and Singapore Airlines. But it appears this new round of Wi-Fi service is here to stay. American Airlines, for example, was the first U.S. airline to implement AirCell’s Gogo high-speed broadband connectivity for $12.95 per flight. The service is currently available on American’s Boeing 767-200 aircraft that primarily flies transcontinental routes between New York, Los Angeles, San Francisco, and Miami. Each Gogo session includes full Internet, virtual private network (VPN), and e-mail access. “We understand that broadband connectivity is important to our business customers and others who want to use their PDAs and laptops for real-time, in-flight broadband communications,” said Dan Garton, American’s executive vice president of marketing, in a company statement. “This is part of our continuing effort to enhance the travel experience for our customers and meet their evolving needs.” Pros of in-flight Wi-Fi “Wi-Fi a mile-high is long overdue,” believes Steve Hilton, vice president of enterprise and small and mid-sized business research at the Yankee Group, a Boston, Mass.-based market research firm. “I can’t think of anything more appealing than actually having Internet connectivity while flying rather than sipping a $5 glass of over-oaky domestic Chardonnay.” Hilton says many traveling businesspersons get their best work done on airplanes because of the lack of distractions, so “having an Internet service handy would be valuable.” This is also true for those who prefer “cloud computing,” by working on files remotely, say, in an online-only program like Google Docs & Spreadsheets. Andy Walker, executive producer of Butterscotch.com, a technology-focused video and downloads website, agrees with Hilton on how online access can increase productivity. “Wi-Fi in the sky is great because a flight is often the only real downtime time a busy person gets. Therefore it’s a great opportunity to catch up on e-mail or any other work that requires an Internet connection.” “I have always wanted Wi-Fi en route, so I am very excited about this trend,” adds Walker. Cons of surfing while you fly Similar to what the BlackBerry has done to promote an on-demand 24/7 work culture, the downsides to Internet access on airplanes include that your boss can e-mail you while you’re relaxing between transcontinental meetings, conferences, or trade shows. “So you can’t quite escape work, or the world,” concedes Walker. “There is also something to be said for creating a few hours of, shall I say, dis-connectivity, for your mental health,” he adds. “I always let myself get mesmerized by the bubbles in my soda water on a flight and ponder the universe — the lure of Wi-Fi is going to make that option harder to do given the temptation of being connected again,” says Walker. Security can also be an issue, says Hilton. “That 900 kilometer an hour metal tube in the sky is filled with potential hackers with nothing to do except poke around your files.” “A good firewall and VPN would be a must for me if I’m doing company work on an airplane,” Hilton adds. After the terrorist attacks on Sept. 11, 2001, there have been concerns that online connectivity in the skies is that it could facilitate communication between terrorists who might be planning or coordinating an attack. But that doesn’t seem to have thwarted the roll out of Wi-Fi in the sky. But some privacy concerns remain. What if the passenger besides you wanted to use a webcam to chat with his/her spouse via Skype? Think about it: Do you want to hear (and see) their conversation?

As buyers, we are all too familiar with those little shopping cart icons on our favorite shopping sites. But, not all shopping carts are the same. It may seem that way for the person making the purchase. For the company on the other end of the transaction, the story is much different. When a customer makes a credit card purchase in a bricks and mortar store, he or she swipes their card to initiate a secure electronic transaction. This is called a point of sale system. In the online world, a payment gateway is the equivalent of that. The solutions available to facilitate those transactions range from one-click simplicity to the Byzantine. It all depends less on the payment gateway itself and more on which gatekeeper (merchant account provider) is chosen. Types of merchant account providers “For any small business starting up, the easiest way to go is PayPal. They’ve been around a long time and most likely your customers already have a PayPal account, which is a huge advantage.” says Michael Miller, author of Choosing an Online Payment Service: Google Checkout vs. PayPal (Pearson Education, 2007). Turn key solutions like PayPal or Google Checkout may seem like the obvious choice for the new online seller. But there’s another alternative: dealing directly with a credit card processor. Most credit card processing companies typically offer bundled in services like back end integration with your website and the shopping cart navigation. However, the costs charged back to the merchant can vary wildly; sometimes cheaper than the turn key providers, sometimes much more. Brenda Mize, owner of Beacon’s Glow, an online collectibles store and her newer ecommerce venture, The Toy Bench, skipped right over turn key merchant account services like PayPal and Google Checkout and started out with a credit card processor. In the five years that she’s been in business, she’s never looked back. “We’ve never had one bad transaction. Our Web designer picked out the credit card processor, who waived all the up front fees. Customer service has been great. We’ve even been able to negotiate lower percentage rates. We never even considered PayPal. Their fees were astronomical when we started,” says Mize. Miller would consider Mize an exception to the rule who cautions smaller businesses, especially those just starting out, to avoid credit card processors. “It’s very complex. With a credit card processor, fees can vary. Make sure you shop around,” says Miller. Clearly opinions are divided when it comes to weighing all options. Here’s a look at some of the more popular solutions and the advantages and disadvantages therein. Turn key merchant account providers PayPal charges 2.9 percent of the sale price, plus 30 cents per transaction. It used to be much higher in their earlier days. PayPal has more than 60 million customers worldwide, operating in 190 countries. A major part of its customer base comes from its parent company, eBay. However, it’s not just the merchant account provider of choice for small businesses. Delta Airlines, CompUSA, and Overstock.com are just some of the large companies that use PayPal. “Five years ago, there was a stigma that PayPal didn’t look professional. Now it’s so popular, it’s ubiquitous,” says Miller. Advantages: PayPal can be as simple as embedding one click from your site to theirs to complete the sale. However, it’s scaleable too. Merchants can integrate the entire shopping cart process within their own site. It only takes about a week to set up an account and get it up and running. Disadvantages: Although distribution of funds back to the merchant is immediate, it is also manual. Meaning, it doesn’t happen until the merchant clears his account. PayPal then takes its cut and transfers the rest to the merchant. Miller cautions businesses to clear their accounts on a daily basis. “PayPal, especially, is very consumer friendly. So, if there’s a dispute, they tend to take the customer’s side. It doesn’t happen often, but PayPal has been known to freeze accounts until a dispute is resolved and that means everything in the account. You don’t want to risk money from other sales getting tied up in the event of a customer dispute,” warns Miller. Google Checkout charges 2 percent of the sale, plus 20 cents per transaction. It’s a much younger service than PayPal, less than two years old and only been operating abroad for about a year. Because it’s Google, one can expect its growth to make quick gains on Pay Pal’s market share. Advantages: “Google Checkout is pretty much the same system as PayPal,” says Miller. However, its percentages and fees are slightly lower. Additionally if a business is already using Google Adwords, those fees are reduced, if not waived altogether. “They’re clearly using Google Checkout to drive business to Adwords,” says Miller. Disadvantages: Fewer people are using it than PayPal, so there’s the risk of more lost sales from first time buyers who don’t want to bother opening a new account. Though not measurable, there is also plenty of anecdotal information from former merchant account holders online complaining of technical glitches ranging from incomplete sales, funds collected by Google and then not distributed back to the merchant, poor communication notifying merchants of a sale, etc. Whether the complaints are valid or significant, perception is reality and a dicey reputation online is reason enough for merchants to think twice before they bite on that lower rate. Volusion is a much smaller (and newer) player in this market, with only 10,000 accounts to date. Percentage rates per transaction start at 2.17 percent of the sale with no additional transaction fees. This is a company to watch. Here’s why: Advantages: It’s the only ecommerce solution that integrates with MySpace and Facebook, to date. Instead of that 20 to 30 cent transaction fee per sale, Volusion offers a flat monthly fee based on the number of products for sale on your site, ranging from $20 to $100 a month. Disadvantages: No one’s heard of it. That 2.17 percent taken out for the credit card companies is a teaser rate. No word on how high that rate can go. Credit card processors There are too many companies out there to mention. However merchants basically have two ways to go: dealing with the financial institutions itself or hiring a company to do it for them negotiating the best rates and using its own economy of scale to do so. “Your bank is probably the worst place to go. You will always get the worst rate there,” says Miller. Miller, whose wife works for a credit card processor (in the spirit of full disclosure), offers the following advantages and disadvantages to going this route: Advantages: There’s the potential of negotiating a lower rate, especially as the business grows selling in higher volume. Many sellers, like Mize, simply feel it looks more professional to have a customized cart than a PayPal or Google Checkout button on a site. “We also have a SSL certificate button on our site. I think it helps give our customers peace of mind,” says Mize. Disadvantages: Rates vary and can go up without warning, depending on the contract. There are often up front costs and monthly fees. No two merchant account providers are alike. Business owners really have to shop around for the best deal. “It’s very complex,” says Miller. One last piece of advice for online merchants shopping around for a credit card processor, some of the likely places to get the best deals include: trade organizations, co-ops, buying groups, even Costco or Sam’s Warehouse.

As buyers, we are all too familiar with those little shopping cart icons on our favorite shopping sites. But, not all shopping carts are the same. It may seem that way for the person making the purchase. For the company on the other end of the transaction, the story is much different. When a customer makes a credit card purchase in a bricks and mortar store, he or she swipes their card to initiate a secure electronic transaction. This is called a point of sale system. In the online world, a payment gateway is the equivalent of that. The solutions available to facilitate those transactions range from one-click simplicity to the Byzantine. It all depends less on the payment gateway itself and more on which gatekeeper (merchant account provider) is chosen. Types of merchant account providers “For any small business starting up, the easiest way to go is PayPal. They’ve been around a long time and most likely your customers already have a PayPal account, which is a huge advantage.” says Michael Miller, author of Choosing an Online Payment Service: Google Checkout vs. PayPal (Pearson Education, 2007). Turn key solutions like PayPal or Google Checkout may seem like the obvious choice for the new online seller. But there’s another alternative: dealing directly with a credit card processor. Most credit card processing companies typically offer bundled in services like back end integration with your website and the shopping cart navigation. However, the costs charged back to the merchant can vary wildly; sometimes cheaper than the turn key providers, sometimes much more. Brenda Mize, owner of Beacon’s Glow, an online collectibles store and her newer ecommerce venture, The Toy Bench, skipped right over turn key merchant account services like PayPal and Google Checkout and started out with a credit card processor. In the five years that she’s been in business, she’s never looked back. “We’ve never had one bad transaction. Our Web designer picked out the credit card processor, who waived all the up front fees. Customer service has been great. We’ve even been able to negotiate lower percentage rates. We never even considered PayPal. Their fees were astronomical when we started,” says Mize. Miller would consider Mize an exception to the rule who cautions smaller businesses, especially those just starting out, to avoid credit card processors. “It’s very complex. With a credit card processor, fees can vary. Make sure you shop around,” says Miller. Clearly opinions are divided when it comes to weighing all options. Here’s a look at some of the more popular solutions and the advantages and disadvantages therein. Turn key merchant account providers PayPal charges 2.9 percent of the sale price, plus 30 cents per transaction. It used to be much higher in their earlier days. PayPal has more than 60 million customers worldwide, operating in 190 countries. A major part of its customer base comes from its parent company, eBay. However, it’s not just the merchant account provider of choice for small businesses. Delta Airlines, CompUSA, and Overstock.com are just some of the large companies that use PayPal. “Five years ago, there was a stigma that PayPal didn’t look professional. Now it’s so popular, it’s ubiquitous,” says Miller. Advantages: PayPal can be as simple as embedding one click from your site to theirs to complete the sale. However, it’s scaleable too. Merchants can integrate the entire shopping cart process within their own site. It only takes about a week to set up an account and get it up and running. Disadvantages: Although distribution of funds back to the merchant is immediate, it is also manual. Meaning, it doesn’t happen until the merchant clears his account. PayPal then takes its cut and transfers the rest to the merchant. Miller cautions businesses to clear their accounts on a daily basis. “PayPal, especially, is very consumer friendly. So, if there’s a dispute, they tend to take the customer’s side. It doesn’t happen often, but PayPal has been known to freeze accounts until a dispute is resolved and that means everything in the account. You don’t want to risk money from other sales getting tied up in the event of a customer dispute,” warns Miller. Google Checkout charges 2 percent of the sale, plus 20 cents per transaction. It’s a much younger service than PayPal, less than two years old and only been operating abroad for about a year. Because it’s Google, one can expect its growth to make quick gains on Pay Pal’s market share. Advantages: “Google Checkout is pretty much the same system as PayPal,” says Miller. However, its percentages and fees are slightly lower. Additionally if a business is already using Google Adwords, those fees are reduced, if not waived altogether. “They’re clearly using Google Checkout to drive business to Adwords,” says Miller. Disadvantages: Fewer people are using it than PayPal, so there’s the risk of more lost sales from first time buyers who don’t want to bother opening a new account. Though not measurable, there is also plenty of anecdotal information from former merchant account holders online complaining of technical glitches ranging from incomplete sales, funds collected by Google and then not distributed back to the merchant, poor communication notifying merchants of a sale, etc. Whether the complaints are valid or significant, perception is reality and a dicey reputation online is reason enough for merchants to think twice before they bite on that lower rate. Volusion is a much smaller (and newer) player in this market, with only 10,000 accounts to date. Percentage rates per transaction start at 2.17 percent of the sale with no additional transaction fees. This is a company to watch. Here’s why: Advantages: It’s the only ecommerce solution that integrates with MySpace and Facebook, to date. Instead of that 20 to 30 cent transaction fee per sale, Volusion offers a flat monthly fee based on the number of products for sale on your site, ranging from $20 to $100 a month. Disadvantages: No one’s heard of it. That 2.17 percent taken out for the credit card companies is a teaser rate. No word on how high that rate can go. Credit card processors There are too many companies out there to mention. However merchants basically have two ways to go: dealing with the financial institutions itself or hiring a company to do it for them negotiating the best rates and using its own economy of scale to do so. “Your bank is probably the worst place to go. You will always get the worst rate there,” says Miller. Miller, whose wife works for a credit card processor (in the spirit of full disclosure), offers the following advantages and disadvantages to going this route: Advantages: There’s the potential of negotiating a lower rate, especially as the business grows selling in higher volume. Many sellers, like Mize, simply feel it looks more professional to have a customized cart than a PayPal or Google Checkout button on a site. “We also have a SSL certificate button on our site. I think it helps give our customers peace of mind,” says Mize. Disadvantages: Rates vary and can go up without warning, depending on the contract. There are often up front costs and monthly fees. No two merchant account providers are alike. Business owners really have to shop around for the best deal. “It’s very complex,” says Miller. One last piece of advice for online merchants shopping around for a credit card processor, some of the likely places to get the best deals include: trade organizations, co-ops, buying groups, even Costco or Sam’s Warehouse.
It occurred to me the other day that, with all the Googling I do, I’ve never Googled “Google.” Hardly anyone else has either, apparently; I Googled “Googled Google,” which seemed like one way to check, and came back with 404 hits–barely a blip in the Googlesphere. The word Google itself returns 217 million hits on Google, well over four times as many as for dog, and more than twice as many as for bush, which presumably includes references to both the presidential and the leafy variety. It’s hardly news that Googling has become a near-ubiquitous phenomenon. But I think Google and the world of search engines is coming to have an even more profound impact on the business world than most managers realize, and in two ways. First, the ability to hunt down information on the Web isn’t merely a great convenience anymore–it’s becoming a critical success factor. What’s more, companies can now be so freely examined by the world at large that they’re going to need to adapt themselves to the scrutiny. Let’s consider that scrutiny. When it comes to thinking about how a company fares in a Google search, most of our attention goes to the “search-engine optimization” game–the unending race to get a website to show up high in the search results. But that attention is misplaced. In our ever more Google-savvy world, what really matters isn’t how your website fares in a keyword search, but the sum total of all the information that turns up whenever someone Googles you–much of it information over which you have no control. Whether you like it or not, in Google World, almost all companies are becoming transparent. Hand-held-device maker Palm, for example, is highly secretive about upcoming versions of its popular Treo smart phones, deploying near-KGB-quality subterfuges to protect the new designs. But last year, Treo users trolling the Web pieced together enough information to figure out that Palm had registered domain names for as of yet unannounced products called the Treo 670 and Treo 700. How’d they do it? The company had apparently used a Boston University professor as a front for the registrations, but the Web trawlers discovered the prof was a Palm consultant. Search “Treo 670,” and you’ll find other leaked tidbits, such as the fact that the 670 will be the first Palm product to be powered by Windows software. Apple Computer, for its part, can’t seem to keep anything a secret from Web rumormongers, despite CEO Steve Jobs’s well-known mania for nondisclosure. An explosion of blogs and third-party product and service review sites makes things even harder. Such sites already are making pricing information a matter of public record. Research Organics, a Cleveland biochemicals manufacturer, for example, would prefer to impress would-be customers with its array of products before discussing price. But that strategy often is not possible, says CEO Rob Sternfeld. That’s because a number of chemical-industry-oriented websites now post Research Organics’ product prices and specs, along with those of competitors. “You see side-by-side comparisons of chemicals at a lot of sites now,” says Sternfeld. “Some sites are like chemical eBays.” How do you adapt to the new transparency in Google World? For starters, see what’s out there. You’ve no doubt Googled your own company and products. But have you really taken the time to pore over all of the results? Even if you have, you better do it again, and keep doing it at least once a week for the rest of time, to see what’s slipped in. The hit that dings you may seem obscure, but thanks to Google there are customers, partners, investors, and regulators who will find it. “You have to be aware that a lot of people are looking at what’s out there on you,” says Kermit Patton, of SRI Consulting Business Intelligence in Menlo Park, Calif. Patton notes that some companies set up automated searches that will alert them to any new Web mentions of companies they do business with. “That’s one reason some organizations set up damage-control operations to deal with negative hits,” Patton says. The new transparency is even more motivation–as if there weren’t plenty already–to play fair and square, be friendly, and sell something you’re proud of. To my eye, the biggest single source of negative comments about companies on the Web is nonresponsiveness to customer questions and complaints. The occasional beef is unavoidable, of course, but settling disputes fast, whatever their merits, is the best way to avoid bad feedback–as any successful eBay seller can tell you. If you wait until the venom hits the Web, there’s almost nothing you can do, given the speed and unpredictability with which information travels in cyberspace. Of course, you can always come at your detractors head-on. You can jump into third-party review sites to strike back at your critics. Delta Air Lines, Microsoft, and the popular social networking site Friendster have all fired employees who ran blogs the companies found objectionable. And Apple Computer has sued Web posters who traffic in information about unreleased products. My reviews: bad idea, bad idea, and bad idea. Few people value free speech more than Web users, who disdain attempts to intimidate information sharers and are not afraid to fight back. A better approach is to try to drown out the negativity by making sure there’s at least as much good, or at least neutral, stuff out there. The people and companies you do business with are becoming transparent too–and you can take advantage of it. The other side of the coin, of course, is that the people and companies you do business with are becoming transparent too–and you can take advantage of it. The information needed to understand customers, build partnerships, develop better products, and keep an eye on competitors is mostly sitting there on the Web. That means businesses need to give real thought to making sure they’ve got the right people spending enough time looking for the right kind of information and that there’s a mechanism for getting this intelligence into decision-making loops. Googling has become so strategic, in fact, that many companies farm it out to experts. SRI Consulting’s Patton runs a service called Scan that provides clients with business insights its experts distill largely from data freely available on the Web. Patton declined to discuss how much this sort of thing costs. But a quick Google search turned up a website on which a company claims Scan quoted it a price of $50,000 for the service. (Patton says the figure is at the high end of Scan’s price range.) Research Organics’ Sternfeld knows a thing or two about the value of Googling. Managers there all spend time digging through the Web for mentions of experimental drugs that might contain the kinds of biochemicals the company makes. Then they search for research papers linked to the drugs–at which point they offer to supply the researchers who wrote the papers with the chemicals at a great price. “If they start using us when they’re in development, they’ll bring us along when they go to production,” says Sternfeld. “We go from grams to thousands of kilos.” The firm has also searched out companies selling compounds in violation of its patents, and in one case has already negotiated a substantial royalty agreement. If transparency seems to be the order of the day now, just wait: According to some estimates, Google and other search engines can access only about one-quarter of all the webpages out there, because the rest are password-protected or otherwise not easily accessible. But that’s unlikely to be the case for the next generation of search engines. Who knows? Maybe it’ll give all those dogs and bushes a chance to even the score with Google. David H. Freedman, a Boston-based writer and Inc. contributing editor, is the author of several books about business and technology. Email him at whatsnext@inc.com.