IBM and Huawei hook up to start Chinese takeaway

MWC 2012 IBM’s enterprise consultancy, IBM Global Business Service, has joined up with Huawei to create enterprise solutions, initially for Chinese companies but with global aspirations.

Huawei wants its smartphones embedded into businesses, and to give those businesses a reason to buy its tablets too. IBM wants to push its Chinese presence and tap into the expediently expanding market, which it hopes to do with Huawei’s help, but to Huawei this is just another step on the road to global domination.

The jointly developed platform is called “Smart Workspace@Mobile” though at the moment it is little more than slideware and aspirational statements. It will involve Huawei’s device management systems, and apply IBM’s experience with enterprise resource planning, customer relationship management and supply chain management, to create a combined solution to be pushed heavily into the energy and retail industries.

Both companies reckon enterprises are posed to make greater use of mobile workers and want to be ready to exploit that market in China and beyond. Huawei pins its plans to a projection which sees a 80 per cent of businesses making their staff work on the move by the end of next year.

But this alliance with IBM is also important in painting Huawei as a full-service company, not just a manufacturer of networking kit and Android handsets. There are dozens of high-volume-low-price manufacturers in China and Huawei is desperate not to be lumped in with them. Launching a quad-core Android handset is one part of that – the Ascend D being anything but low-cost – but sitting on stage alongside IBM is equally important. ®

IBM Buys Retail Forecasting And Merchandising Software Company

IBM has made a major purchase today in the commerce and retail world—DemandTec, a retail marketing and merchandising software company. IBM is acquiring DemandTec (which listed on the Nasdaq) in an all cash transaction at a price of $13.20 per share, or approximately $440 million.

DemandTec provides retailers and e-commerce companies with tools to transact, interact, and collaborate on core merchandising and marketing activities. DemandTec’s cloud-based analytics software allows businesses to examine different customer buying scenarios, both online and in-store, so retailers can spot trends and shopper insights to make better price, promotion, and assortment decisions that increase revenue and profitability.

For example, retailers can predict how consumers will respond to a price change before making the change. Or a merchant and supplier can work together to understand how one shopper segment differs from another to create a targeted merchandise plan.

DemandTec’s use of cloud-based price, promotion and other merchandising and marketing analytics helps companies better define the best price points and product mix based on customer buying trends. Essentially, DemandTec uses data analysis and forecasting to make the retail world smarter.

DemandTec customers include Best Buy, ConAgra Foods, Delhaize America, General Mills, H-E-B Grocery Co., The Home Depot, Hormel Foods, Monoprix, PETCO, Safeway, Sara Lee, Target, Walmart, and WH Smith. DemandTec also has a portfolio of 31 patents in the areas of pricing, response analysis, and promotion analysis.

For IBM, the acquisition is all about its smarter commerce initiative. IBM estimates the market opportunity for Smarter Commerce at $20 billion in software alone.

IBM’s recent acquisitions include Algorithmics, and Tririga.

Black Friday Sales Hits Record, Retail traffic and Foot-falls up.

Preliminary reports for Black Friday indicate that retailers may have seen their strongest sales ever during the all-important kick-off to the holiday shopping season.

black friday sales

Retail sales on Black Friday climbed 6.6% this year to an estimated $11.4 billion, according to ShopperTrak, which tracks foot traffic at malls and stores. Last year, sales climbed just 0.3% to $10.7 billion, which was a record one-day sales amount at the time, according to the company.

“This is the largest year-over-year gain in ShopperTrak’s National Retail Sales Estimate for Black Friday since the 8.3 percent increase we saw between 2007 and 2006,” said ShopperTrak founder Bill Martin. “Still, it’s just one day. It remains to be seen whether consumers will sustain this behavior through the holiday shopping season.”

However, sales have been strong throughout the entire month of November with retailers rolling out holiday deals earlier than ever. In the two weeks leading up to the week of Black Friday, retail sales were up 3.6% and 3.8%, respectively, ShopperTrak reported.

“Retailers continue to stretch out Black Friday weekend by enticing shoppers with doorbuster deals weeks in advance,” said Martin.

Online sales have also proven to be strong, with many big-box retailers and department stores offering deals online earlier this year.

Black Friday online sales surge 24%

Online sales were up 39.3% on Thanksgiving Day and 24.3% on Black Friday compared to the same days last year, according to IBM’s (IBM,Fortune 500) Coremetrics, which tracks real-time data from 500 retailers in the apparel, department store, health and beauty and home goods categories.

“This year marked Thanksgiving’s emergence as the first big spending day of the 2011 holiday season with a record number of consumers shifting their focus from turkey to tablets and the search for the best deals,” said John Squire, chief strategy officer at IBM’s Smarter Commerce division.

Consumers also spent slightly more than they did last year, although they spent most of that money on themselves. According to NPD Group consumers spent about 3% more on purchases during Black Friday. However, about 44% were self purchases up from 33% last year, the research group said.

Retail traffic on Black Friday up 2%

Total US visits to the top 500 Retail websites increased 2% on Black Friday as compared to 2010 and received more than 173 million US visits. Traffic has increased each day leading up to the Thanksgiving holiday and the total visits dipped slightly (-1%) on Black Friday compared Thanksgiving Day 2011. Early Black Friday sales resulted in a shift of online traffic, which climbed prior to the Thanksgiving holiday, however, continued heavy promotional activity helped to drive significant online traffic on both Thanksgiving and Black Friday. While Black Friday has been the top day for online retail traffic over the past two years, warm weather and early store openings encouraged shoppers to go online sooner this season.
DMS Retail 500 11-25-2011.png

Among the categories driving the growth in traffic on Black Friday were Department Stores (e.g. Amazon and Wal-Mart) Apparel & Accessories, Appliances & Electronics (e.g. Best Buy) and Video & Games (e.g. Game Stop).
DMS Retail Categories 11-25-2011.png

Below is a list of the top visited retail sites on Black Friday:
DMS Retail 500 Sites 11-25-2011.png

Many of the major retail websites experienced growth on Black Friday, including Amazon, Best Buy, JC Penney, Sears and Kohl’s. Amazon.com was the most visited website on Black Friday for the 7th year in a row.

The brains behind retail revolution

More than 5 billion bar codes are scanned in shops worldwide every day

Alan Haberman, who died on June 12 aged 81, was largely responsible for standardizing the bar code’s design and introducing it into the world’s supermarkets, a development that has revolutionized retailing and countless other activities.

Bar codes, also known as universal price codes, were invented in 1949 by Norman Woodland and Bernard Silver, who had the idea of vertically extending the dots and dashes of Morse code and using it to encode product data. They secured a patent in 1952, but because scanning technology was in its infancy, their invention went largely unused.

Over the next 20 years, some manufacturers and retailers introduced their own product coding systems, but there was no standardization and, as a result, grocery manufacturers such as Kellogg’s and General Mills feared that they would be forced to produce different packaging for each supermarket chain.

In the early 1970s Haberman, who was executive vice-president of First National Stores in Boston, convened a committee to choose a standard symbol that could be used across America. By this time the original patent had lapsed, and the committee examined submissions from several companies including colourcoded, dots and dashes and bull’s-eye designs. Although many technology experts favoured the “bull’s eye,” which could be easily read by a scanner, Haberman came out firmly in favour of cheaper black-and-white vertical bars, created by George Laurer of IBM.

On June 26, 1974 a supermarket cashier in Troy, Ohio, became the first person to swipe a bar code (on a 67-cent pack of Wrigley’s chewing gum) across a scanner, but the new system took some time to catch on. Early scanners cost $10,000 and tended to be unreliable; in 1976 Business Week ran an article with the headline “The Supermarket Scanner That Failed.” By the early 1980s, despite Haberman’s best efforts, fewer than 30 per cent of supermarkets in America were using his universal price code design. The breakthrough came when the “pile-’em-high-sell-’em-cheap” retailers got in on the act. In 1984 Walmart, Kmart and Bullocks decided to introduce the bar code and other chains soon followed suit. As the system developed, it enabled retailers to keep track of inventory with unparalleled accuracy, making possible the introduction of “just-in-time” ordering, minimizing the need for storage and waste, and providing a huge range of sales data which allowed greater responsiveness to customer demands.

Despite resistance from conspiracy theorists, who considered bar codes to be intrusive surveillance technology, and from some Christians who thought the codes hid the number 666, more than five billion of the codes are now scanned in shops worldwide every day; the technology has yielded savings running into the trillions of dollars.

Bar codes have also spread into many other fields, from allowing airlines to locate lost luggage to helping beekeepers to monitor the movements of honeybees, via tiny bar codes attached to their backs.

Haberman compared the development of the bar code with the Biblical story of creation: “Go back to Genesis,” he advised an interviewer in 2004. “God says I will call the night ‘night,’ I will call the heavens ‘heaven’. Naming was important. Then the Tower of Babel came along and messed everything up. In effect, the (bar code) has put everything back into one language, a kind of Esperanto, that works for everyone.”

Alan Lloyd Haberman was born in Worcester, Mass., on July 27, 1929. After taking a degree in American History and Literature at Harvard, he took an MBA from Harvard Business School. He worked briefly on Wall Street before joining Hills Supermarkets as executive vice-president.

Sotac – Soaring Technology introduces Touch Monitor Series.

Soaring Technology have announced new touch monitor series this year.

They provide various solutions of touch such as Resistive , Capacive, SAW and Projective Capacitive touch, Multi touch for different sizes of monitors.

THey are OEM/ODM for several years, and have factory in Taiwan and China.

Please check out their website: http://www.sotac.com.tw for range of products.

Sotac has over 17 years ODM/OEM business in LCD industry.

With experienced R&D team, they claim they are able to design and produce various LCD for different application.

Their main clients such as: IBM (industry monitor), Ford (automotive display), KODAK (photo print KIOSK)….are using their solution for years.

They can be contacted at:

Soaring Technology

www.sotac.com.tw

Tel: 886-2-26918000 ext: 612

Fax: 886-2-26917000

Skype: nancy8il

Sainsbury’s to improve product availability with new supply chain systems.

Sainsbury’s is to transform the management of its supply chain to improve stock availability through a five-year deal with IBM.

IBM will introduce new systems to help Sainsbury’s and its 4,000 suppliers find smarter ways of managing the supply chain and support continued growth in the grocer’s business.

Sainsbury’s will use an electronic trading network provided by Wesupply, and IBM will manage the migration of the grocer’s suppliers onto the system.

The retailer has previously suffered from problems with product availability in stores, and last year merged its supply chain and retail director roles in a move that analysts said could ease these issues.

The solution will allow Sainsbury’s to monitor the status of orders across its entire network and manage the availability of products. The Wesupply service will allow information flows to be streamlined. The grocer will also benefit from improved visibility of supply chain performance which will allow it to heighten stock control.

As part of this migration, Sainsbury’s will be transitioning its electronic data interchange (EDI) service to EDI network provider Inovis. Hundreds of Sainsbury’s suppliers are already using Inovis’ network to exchange documents with their customers.

Google and Microsoft feel the economic gloom

Google and Microsoft appear to be feeling the pinch, with both technology behemoths falling short of profit expectations amid the continuing economic gloom.

The internet search engine operator admitted economic weakness in the US and Europe was having an impact, while lower-than-expected business sales weighed heavily on the software giant.

Shares in both companies declined sharply after hours in New York, with Google’s equities down as much as 10pc in extended trading while Microsoft’s shares were off by as much as 4pc.

Quarterly results released by the companies last night suggest the technology sector has not been immune from the wider economic woes.

However Google chief executive Eric Schmidt, reporting a second-quarter profit about 2pc below expectations at $1.25bn, said that the company was “very, very well” positioned for an economic slowdown.

Hal Varian, the internet firm’s chief economist, added that “we have a little bit of the Wal-Mart effect going on as times get tough” and cash-strapped consumers began to move online in the hope of finding a bargain.

Google saw a 1pc fall in the number of US users “clicking through” to advertisements on its site in the second quarter compared with the first, and although the figure was 19pc higher than a year ago, that compared with 30pc growth on the same basis in the fourth quarter of last year.

Microsoft’s chief financial officer Chris Liddell said the company was facing a “tough environment”, also labelling the online advertising market as “tough”.

The software company lowered its forecasts for 2009 and reported a fourth-quarter pre-tax profit of $4.3bn, up 41pc, on sales of $15.84bn, up 18pc.

Meanwhile technology services company IBM beat expectations, reporting a second quarter profit up 22pc to $2.77bn as the business strengthens its focus outside the US.

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