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October 25, 2004
eBay Fraud Reaches New Sophistication
Up until now, eBay fraud has been focused on collecting payments for non-existent merchandise. But new twists have been added to this sad and repulsive game. Here's how it works:
1. The thief sets up multiple fraudulent eBay accounts and buy and sells to himself, in order to build up quickly build up positive feedback.
2. You can only use the Advanced Search features on eBay if you are an account holder, so the thief then searches for high dollar eBay auctions that have recently ended. Or the seller might find high-end auctions that are about to end and follow them through to the end.
3. He then contacts a winner and requests payment for the auction that recently ended.
However, there is a problem with step 3 because although eBay supplies a list of the winning bidders, it doesn't give their contact information. The only way to reach a seller is to go through eBay under a pretense of legitimate contact. So the thieves find buyers of any expensive items who also have something for sale themselves. They then contact these individuals under the guise of asking them a question about an item for sale – and then asking for payment for the high dollar auction:
“Dear superseller: I would like to know the publishing company of the book in your auction 123456788. I am also requesting payment for the plasma TV you bought in my auction 987654321.”
There are a couple of variations of this sorry scam. In another scenario, the thief will offer the seller a “Second Chance” item. This is eBay's program to help seller with those rare non-paying bidders by offering the merchandise to another bidder who lost.
Or these dishonest losers will follow buyers of expensive items for weeks, writing to them over a period of time with fake questions, simply to get their direct email address.
How to protect yourself:
Sellers: get those payment emails out FAST! Don't let days, or possibly even hours, elapse until you invoice your buyer. If you are selling expensive items, you can afford to have an automatic system in place that notifies buyers as soon as the auction ends. In that case, even if these losers contact your buyer, they will be alarmed at getting two invoices and will check to find the correct seller – you.
Buyers: be certain to verify your seller, especially if the item is expensive enough for thieves to care about.
If everyone followed these two simply precautions, these losers would have nowhere to go with their nasty scams!
Posted by SydneyJohnston at 12:35 PM | TrackBack
October 22, 2004
eBay Success? Maybe Or Maybe Not
I see some disturbing ideas about success that are running through the internet, and there are many people out there who, for reasons of their own, will lie to you and tell you what they think you want to hear.
Here are some realities about a net business:
Truth #1: No one can “give” you, or me, a successful business.
There is a disturbing lack of responsibility in our society. I have seen whining, self-pitying people on TV, blaming their parents, society, employers, God and everyone else for their pitiful situation. Everyone but themselves.
The most startling example I have ever seen was a promo for some afternoon talk show. The announcer mentioned a prostitute who had a “message for America”. The camera cut to a cheap, hard-looking bleached blonde who pointed her finger at the camera and said “YOU OWE ME”.
I don't owe her anything, and neither do you. She has as much opportunity as anyone else to create a successful and happy life.
The bottom line is that our success is up to us. We can buy an ebook or take a course, and it can make money for us. But the magic isn't in the information, it's in us ... or not.
The internet is awash in “We do all the work, you just cash your check” garbage. But, that's what it is ... garbage.
Which leads me to the next truth.
Truth #2: It ain't easy, folks!
I constantly read people expressing dissatisfaction with their jobs, and they say, “Oh, well, I'll go start my own business”. Just like that. As though it's that easy.
It isn't. If you want easy, work for somebody else. When I quit teaching, I thought the same way. I can tell you from first-hand experience that building my own successful business is the hardest work I have ever done! You can work long, brutal hours, every day of the week, for months or even years – and not make any money at all. Or even worse, go into debt!
I'm not saying that it WILL be that way. I'm just saying the possibility exists. The uncertainty level is high.
And unfortunately, we live in a culture that doesn't support being an entrepreneur. When I decided to start working for myself, I was shocked to discover how many skills I was lacking! I knew almost nothing about selling and marketing, budgeting, writing a business plan, time management, and dozens more things. If I had truly realized how ignorant and unprepared I was, I might not have had the courage to begin.
And the idea that we can buy a book or two, and become successful business people overnight, is nothing but self delusion.
Truth #3: building a business will cost some money.
I read in Entrepreneur magazine that the average franchise cost $87,000. That's just the right to do business with Company X. That sum doesn't include rent, utilities, stock, employees, and all the other expenses that come with a retail business.
When I was working in real estate years ago, I received a phone call from an “investor” who asked me a lot of questions about how he could buy investment property. I suggested that he join our local Real Estate Investors Association where he could get some in-depth training. He blithely told me that he couldn't afford the $65 annual membership fee. Yet, he was planning on buying half a dozen properties and renting them out. Talk about Fantasy Land!
The internet is definitely cheaper. But, the cruel hard truth is that anyone can create some sort of website, and consider themselves internet entrepreneurs – but that doesn't mean they're making any money! The internet – and auctions – are a BUSINESS. Success requires skill, discipline and some money.
If you have bought into any of these three myths, don't despair. I have believed all three of them, to one degree or another. They're not fatal. But, they do involve telling ourselves the truth and facing reality. And that reality is:
1. Success is up to YOU
2. Success requires discipline and hard work
3. Success WILL cost some money
Can you succeed? Yes!
Is it a sure thing? No.
Do you have a better chance than most? Absolutely.
Posted by SydneyJohnston at 12:33 PM | TrackBack
October 21, 2004
Is Microsoft Practicing Email Extortion?
Recently, I sent a newsletter to my group of subscribers and was shocked when I received a notification from cashette.com that I would have to pay for a reader to receive my email. The latest weapon in the war against spam? I think not! I've never sent a spam email in my life and resent being penalized in this way.
Probably my favorite writer on the net is the level headed and brilliant Paul Myers. If you don't read his comments, you should. As always, Paul clearly expounded the problem being created by Microsoft and its supposed protection of hotmail accounts:
- - -
Microsoft has announced it will be using the "Bonded Sender Program" from IronPort on its MSN and Hotmail email systems.
The bonded sender concept is pretty simple. Short form: You put in money up front to show that you're a good guy, email-wise. Your mail gets through, unless you get complaints that you're spamming. If that happens, you lose the money and get blocked.
Sounds pretty straight forward, yes?
No.
Unfortunately, like so many things in life, it's far from being as uncomplicated as the people promoting it would have you believe.
The CNN article announcing this gives the very clear impression that participation in the Bonded Sender Program (BSP) will guarantee that one's mail gets delivered.
Interesting.
As of February 4th of this year, MSN/Hotmail's policy was that participation in the Bonded Sender Program would not guarantee delivery of email. (See the email from MS in a previous entry.)
Why the change?
Well, it could simply be that they were testing the system, and not making any guarantees until they saw the results. That would make sense.
It could also be that this whole rather large PR effort is a run-up to MS acquiring IronPort. That, too, is plausible.
For all we know, it could be both.
Either way, it's not a comforting prospect for smaller email publishers.
"They're blocking spam. What's the problem?
Good question.
They will NOT only be blocking spam.
Even assuming they don't require ALL email publishers to join the program to get their mail delivered, they'll be blocking a lot of legitimate mail. They already are, and it's a safe bet that they're not going to make their filters LESS effective because of this move.
It's likely that, at a minimum, they're going to be making the content filters they use much stricter. That will mean a much higher number of legitimate emails not being delivered than is the case right now.
If you're a mailer, that means you have a much harder time getting mail through to your subscribers and customers.
If you're a subscriber using MSN/Hotmail's services, you're going to lose a lot of the mail you've requested, and even paid for.
That's the best case scenario.
Worst case?
MSN/Hotmail decides that they're only accepting solicited bulk email from people who pay their extor... err... bonding fee.
Then they tighten up their filters to block even more mail. That's likely to affect such trivial things as paid content, emailed receipts, domain registration notices, normal 1:1 business email, and anything else that might sound like it involves money, health-related issues, or any other content they deem to be too close to topics that are commonly found in spam.
I have a theory on this. Of course.
Mr Gates recently spoke to a high-level group in Switzerland, endorsing the ridiculous idea of e-Postage. Microsoft and others are working on ideas to make this thoroughly discredited approach somehow workable.
Do I believe that they're doing this out of the goodness of their hearts?
Hell no.
They want a piece of each "stamp" sold.
I might believe that some other organization could conceivably be working on something like this with genuine concern for the future of the email system.
Not Microsoft. Their history is not one to encourage such a generous belief.
Microsoft does not compete in the Internet arena on the basis of price and performance. They compete on the basis of control of the desktop, clever marketing campaigns, and a process of buying out their competitors and burying their technologies.
I'm a businessman. I'm in favor of any company making as large a profit as they can ethically make. I am not so enthused about allowing a company with such a long and established history of market strong-arming to have any control over the email delivery system.
If the Bonded Sender Program reaches sufficient market penetration, I believe it's certain to create side-effects that will do serious damage to most small publishers.
Including MSN/Hotmail telling them to get bonded or get lost.
IronPort has already pointed this out as a very real possibility. And let's not forget that the folks who run IronPort are ex-employees of previous Microsoft acquisitions. It's unlikely they'd mention such a possibility publicly out of pure speculation.
MS is downplaying that option, but has made it abundantly clear that those not participating in the BSP will, at the minimum, face substantially tougher filtering. Requested mail or not.
If MS takes over the Bonded Sender Program, I don't for an instant believe that they'll hesitate to make participation mandatory for those mailers sending to their customers. I wouldn't be much surprised to see a lot of the other service providers who use it jumping on that same train.
In that case, you can pretty much forget about using email for mailing many of your subscribers, your customers, your partners... nearly any business usage. And yes, this does apply to personal business correspondence. And yes, to transactional messages, like receipts and product delivery.
If you don't believe that, re-read what happened with SiteSell and MSN/Hotmail.
This isn't about stopping spam. It's about creating a revenue stream. One in the form of e-Postage, snuck in through the side door.
If you're a business sender of mail, I doubt that Microsoft or Ironport really give a damn about the consequences to you, unless you're big enough to afford their bondage fees. The only way you might get their attention is to simply start refusing orders from MSN/Hotmail customers.
Incidentally, that may eventually be the only ethical response.
After all, if you can't guarantee that you can properly communicate with your customers regarding their orders, or deliver the material they subscribed for, it may be unwise to accept those orders and subscriptions.
If you're an MSN/Hotmail customer, or a customer of any of the other companies that use Bonded Sender, you have a bit more leverage. Not much, but a bit.
If you enjoy being able to get the mail you requested, or if you're concerned about your business mail or any email subscriptions being refused, let them know.
Preferably by telephone.
Don't expect too much warning or be too surprised if they start dropping your mail without even bouncing it to let the merchants or publishers that sent it know. That's what happened with SiteSell and MSN/Hotmail, after all.
My advice: At the very least, do not use any service that employs the Bonded Sender program for any type of business email. Not if you have any concern for your customer's or your business.
And keep your eyes open. It's going to get worse yet.
- - -
To read the original on Paul's blog, go here:
http://www.talkbiz.net/ramblings/weblog.php
Posted by SydneyJohnston at 3:56 PM | TrackBack
October 20, 2004
Applied Creativity: A+ For Jib Jab
Sometimes, marketing campaigns just take my breath away! A recent example is the phenomenon of Jib Jab. Two brothers in Irving, Texas (in case you don't know, Lee Harvey Oswald hung out there) named Gregg and Evan Spiridellis decided to fool around with a flash parody of the 2004 election. Their result, “My Land”, is a funny and wicked spoof of familiar faces that we all know and love. Well, know anyway.
They are definitely PC (politically correct) in that they insult everybody: “liberal wieners and right wing nut jobs”.
Somehow, Jay Leno and The Tonight Show found My Land, and paid for the brothers to produce a second animation, “Good To Be In DC”. As they say in their blog:
“I wish I could tell you that our 'can do' attitude gave us the courage to try and do it again. In truth, we’re a couple of whores. Jay Leno asked if we’d be interested in making another one to debut on The Tonight Show, we said, 'YES! YES! TAKE US, JAY! TAKE US!' Then we went back to our warehouse and panicked.”
The result: 50+ MILLION downloads and counting. So, let's do some numbers here ...
You can watch the two animations for free, but if you want to download them to your computer, it will cost you $2.99. Not much, of course. But if only 1% of these 50 million 'downloaders' buy, that's a cool $1.5 million. I don't know, of course, but I am willing to bet that a whole lot more than 1% spent the three bucks. And there are other goodies ...
*You can buy them on DVD for $9.99. A one percent return on that is $5 million! Holy smackers, Batman!
* You can also buy t-shirts, screensavers, mugs and the usual assorted memorabilia. Wonder how many of those will wind up in Christmas stockings around the nation?
The moral to this story is that one single idea can make a fortune for anyone. And how did all this happen? It doesn't seem as though Gregg and Evan know themselves. More power to the spirit of human creativity!
Posted by SydneyJohnston at 1:05 PM | TrackBack
October 15, 2004
What The Bleep Do We Know?
One of the most amazing movies – and marketing masterpieces – I've seen in years is What The Bleep Do We Know?, an independent movie called a “quantum fable”. It's amazing first as a controversial and thought provoking movie and secondly as a magnificent piece of marketing.
The movie tackles the mind boggling job of explaining quantum physics to us non-scientists. Starring Marlee Matlin, the film does have a loose story, based on Matlin's character Amanda. But the real meat of the film is a fascinating collection of interviews with physicists, teachers and mystical leaders. Using special effects to explain such topics as brain chemistry, alternate realities and the power of thought, Bleep is a fascinating two hours that I want to see again and again.
In The Matrix, Morpheus asks Neo how far down the rabbit hole he wants to go. Well, here is the rabbit hole.
The marketing of the Bleep began in a small town in Oregon and it opened in one small theater in San Francisco in July. The stated goal of the film's creators is to prove to Hollywood that there is a demand for movies that don't kill 50 people per hour in violent and dreadful ways. With the use of the Internet, viral marketing methods, “street teams” and everything the film makers can dream up, the word is slowly spreading. Word of mouth, of course, is their single greatest tool. I, personally, have sent at least a dozen people to the movie, not to mention seeing it myself.
The Bleep has garnered repeat business from many moviegoers. Some have even formed discussion groups to talk about the film's attempt to create a unified theory of reality by combining ideas from quantum physics, neural science, and mystical philosophy.
And, of course, there are products associated with the movie that will earn the makers more money, like a series of DVDs that include much more material than is actually in the movie.
What I like the most about this movie and its promotion is that it is proof positive that our world is, in many ways, “decentralizing” power. The Internet, for instance, has changed the face of publishing. Not very long ago, an author had little choice but to hope that somehow (s)he would be one of a tiny handful of authors who would get the approval of a publishing company. Now anyone who has something to say can publish on the net and thumb her nose at the traditional publishing world. With the Blair Witch Project and What The Bleep Do We Know?, the same phenomenon is occurring in movies. Hoorah!
By the way, f you see the Bleep, and don't understand it all, take heart from this comment by Richard Feynman, one of the greatest physicists of all time:
"What I am going to tell you about is what we teach our physics students in the third or fourth year of graduate school.... It is my task to convince you not to turn away because you don't understand it. You see my physics students don't understand it.... That is because I don't understand it. Nobody does."
In fact, the time to worry is if you think you DO understand it all!
Posted by SydneyJohnston at 1:18 PM | TrackBack
October 13, 2004
Christopher Reeve Really IS Superman
It's rare that I am touched by the death of any celebrity, especially one in the movie industry. All too often, the death of the rich and famous is brought on by their own self indulgence. A case in point: John Belushi, one of the funniest men I've ever seen. With talent, wealth, fame and the admiration of millions, what a waste that he would destroy himself with drugs.
How different were the choices made by Christopher Reeve. His life changed completely after he broke his neck in May 1995 when he was thrown from his horse. Refusing to allow his injuries to define his life he directed and even acted after his paralysis. More importantly, he worked tirelessly for increased research into spinal injuries, including promotion for controversial stem cell research. He lobbied Congress for better insurance protection against catastrophic injury and moved an Academy Award audience to tears with a call for more films about social issues.
I read that if his fall had been only two millimeters different, he would have been fine. Or two millimeters the other way, he would have died. As I read, I couldn't help thinking that his fall was the worst of three possible choices. Personally, I would choose death over his situation.
And yet ... he stated that he had never been happier. How are we to understand a comment like this? Who of us can know how we would react in the face of such a stunning life blow?
I became personally teary when reading how when he went to the New School in Manhattan to give a speech to students, his body went into spasms. While being helped he joked, "Sorry. One second, guys. I'll be right with you ... Now, where were we?"
Since this brave man is no longer with us, why would I say that he “is” Superman, rather than “was”? Simply because his influence will linger for a long, long time. Many future sufferers with spinal problems will have cause to bless his name. That is the finest bequest any human can leave behind. Perhaps the best epitaph for Christopher Reeve was given by ... himself:
"When the first Superman movie came out I was frequently asked 'What is a hero?' I remember the glib response I repeated so many times. My answer was that a hero is someone who commits a courageous action without considering the consequences - a soldier who crawls out of a foxhole to drag an injured buddy to safety. And I also meant individuals who are slightly larger than life: Houdini and Lindbergh, John Wayne, JFK, and Joe DiMaggio. Now my definition is completely different. I think a hero is an ordinary individual who finds strength to persevere and endure in spite of overwhelming obstacles.”
With these words, he totally defined himself and his life.
To make a donation to the Christopher Reeve Paralysis Foundation:
Posted by SydneyJohnston at 10:33 AM | TrackBack
October 7, 2004
Reese Witherspoon, Britney Spears, Drew Barrymore & More Team Up Against Breast Cancer
October is Breast Cancer Awareness month and eBay is doing its part by featuring “breast cancer merchandise” with part or all of the sales proceeds going to the fight against breast cancer. This is the fifth year that eBay has participated in this worthy cause. Ebay has a list of recommended verified, breast cancer-related nonprofits:
http://www.missionfish.org/promo/2004/BCA/index.jsp
There is a workshop this Friday, October 8th, from 11:00 PDT to 12:00 PDT for sellers to learn how to participate
http://pages.ebay.com/community/workshopcalendar/current.html?ssPageName=CMDV:AB
although personally, I think eBay should have held this particular workshop in September.
Nevertheless, there is some interesting merchandise for sale already:
1. A pink (yep, pink!) Vespa scooter with a “gorgeous Coach suede and leather patchwork floral seat and chic matching helmet”. Signed by Britney Spears, Ashton Kucher, Sting, Drew Barrymore, Adam Sandler, Missy Elliott, Charlize Theron, Simon Cowell, Meg Ryan, Melissa Etheridge, Naomi Watts and Ellen DeGeneres, the winner of this will definitely not see another one like it on the road!

2. One lucky woman will win an all expense paid trip to the 2005 Sea Otter Classic in Monterey, CA. The Luna Women’s Mountain Bike Team, a.k.a. The Luna Chix, is the only Internationally competitive, professional mountain bike team comprised exclusively of women. In 2004 the Luna Chix won four U.S. National titles, including the coveted “Team” classification for the most consistent team on the circuit, male, female or otherwise, as well as 41 individual races in national and international competition.
The winner of this auction will receive:
* An official Santa Cruz / Luna team bike, fitted and built specifically for the winner
* A year’s supply of Clif Bar products
* Housing and meals with the Luna Chix
* Team gear, including a Luna Team uniform and travel bags
* Personal and mechanical support (I'd need this one desperately! "How many more miles do we have to ride?” Pant, pant ...)
* Race support, daily massage, tactical advice, and other benefits
* A choice of participation in competitive or non-competitive Sea Otter events and VIP access to all Sea Otter events and functions.
3. Gucci sunglasses that remind me of Neo, in my all-time favorite movie, The Matrix.

4. A “Vanity Fair” poster signed by Reese Witherspoon (l-o-v-e-d her in Legally Blonde, Legally Blonde2 and Sweet Home Alabama)

5. American Patchwork & Quilting magazine asked women to contribute “quilt blocks” and received over 24,000! They have made several quilts which will be auctioned off through December of this year. The current featured quilt is a beauty:

Good going, folks! Happily, more women will live because of your efforts. I'd like to write more, but I'm off to bid on the scooter. Watch out Hell's Angels, here I come! 
Posted by SydneyJohnston at 3:19 PM | TrackBack
October 5, 2004
Rich Dad Poor Dad By Robert Kiyosaki
One of the most influential books in my business life is Rich Dad Poor Dad, by Robert Kiyosaki. I recently read a couple of critical comments because the authors “already knew all that stuff".
I read a story somewhere about Kiyosaki, and the writer swore it was true ...
- - -
A mother who was teaching her children about Kiyosaki's principles had a friend over to visit. The friend was newly divorced and was talking about her money problems. Finally, she asked, “When will money stop being a problem for me?”
The mother's 10 year old daughter, who was quietly playing in the corner, replied, without even looking up, "When your passive income exceeds your expenses."
- - -
Wow. Wish I had known “all that stuff” from the age of 10! How different my life might have been.
Some of Kiyosaki's critics may already understand the principles of money and personal finance, but they are a very small minority. I grew up in a family where there was only one path in life: go to school, get good grades, get a good job, retire after X years. I am the first - and only - entrepreneur in my family and no one knows what to say to me (except, "When are you going to get a REAL job"?).
Did you ever learn about money in school? I sure didn't and I know why - because the teachers and administration don't know it either. And I can say that because I was a teacher for years and I didn't know it, either.
I tried learning it on my own. Every book I found had intimidating graphs of the Gross National Product and other such fun reading.
When I first read Rich Dad Poor Dad a light turned on for me. I hope that one of these days everybody is taught this kind of information from an early age. When you think about it, we live in a very peculiar society. Most so-called “primitive” cultures teach their young people what they need to know to perform well within the society, whether that is to hunt game, grow crops or become a fierce warrior and fight the tribal enemies. Yet, so much of our life revolves around money and we don't teach or learn much about it. It's basically 'figure it out as best you can'. That is truly a shame.
Posted by SydneyJohnston at 10:51 AM | TrackBack
October 1, 2004
Sell On eBay & We'll Come After You!
On September 29, SpaceShipOne successfully completed the first of two X-Prize flights. This was the second successful flight of Paul Allen and Scaled Composites who have launched the first private manned vehicle beyond the Earth’s atmosphere. The successful launch demonstrated that the final frontier – space - is now open to private enterprise. The pilot, Mike Melvill, is the first civilian to fly a spaceship out of the atmosphere and the first private pilot to earn astronaut wings.
In an amusing commentary on the times, SpaceShipOne has room for three humans, but only Melvill was on the two flights. To provide the weight to equal two other bodies, employees were allowed to send private items into space to make up for the missing weight. In a stern memo, everyone was advised their outer space items had better not appear on eBay! Sell on eBay and we'll come after you, they were told.

