The Art of Money

Debit Card Fees, Bank Transfer Day cost Big Banks 600,000 Customers

2012-01-28T09:55:00.001-08:00

More than 600,000 US consumers have moved their money from big banks to community banks or credit unions, thanks to the much-publicized revolt against debit card fees and the resulting consumer-led Bank Transfer Day last fall, according to an analysis released by Javelin Strategy & Research. Bank of America alone had a 20 percent increase in account closings in the fourth quarter of 2011 compared to the same quarter in 2010. Read more: http://www.reuters.com/article/2012/01/27/us-bank-transfer-idUSTRE80Q1TU20120127

F.B.I. Searches Offices of N.Y. Adviser on Chinese Reverse Mergers

2012-01-27T14:01:00.001-08:00

The NY Times reports that the Federal Bureau of Investigation on Wednesday searched the offices of a New York based corporate advisory firm that specializes in helping Chinese companies sell shares in the United States. Read more: http://dealbook.nytimes.com/2012/01/27/f-b-i-searches-offices-of-n-y-adviser-on-chinese-reverse-mergers/

Fed says it is unlikely to raise key interest rate until late 2014, extending timeframe

2012-01-25T09:45:00.001-08:00

The Federal Reserve says it is unlikely to raise interest rates before late 2014, extending a period of record-low rates by more than a year. The Fed says it is keeping rates low to help lift a weak but modestly growing economy.

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Co-Brand Gas Cards Disappear

2012-01-25T03:46:00.000-08:00

CITGO is losing its consumer co-branded MasterCard. The oil company is the latest to join the ranks of refiners whose card is being canceled by Citi, CSP Daily News has reported. Citi also closed ConocoPhillips' co-branded MasterCard last September, which accounted for 0.4% of all ConocoPhillips' card sales. Other oil cobrand card programs discontinued by Citi include Sunoco (canceled last February).

Chase discontinued Marathon's cobranded card in August. Other marketers including Wawa and RaceTrac no longer offer co-branded cards. Bank of America cancelled the Chrysler Visa card a few years ago.

GE Capital Retail Bank continues to offer the Chevron co-branded Visa card, at least for now.

Quote of the Day: "In the past, economic growth came first, then you got education, health and two-child families. Now it is the reverse. If you have education, health and two-child families, then you get economic growth."

2012-01-24T15:18:00.001-08:00

“In the past, economic growth came first, then you got education, health and two-child families. Now it is the reverse. If you have education, health and two-child families, then you get economic growth,” said Hans Rosling, a Swedish doctor who co-founded the Gapminder Foundation, which analyzes public health statistics.

Wal-Mart names new CEO for Sam's Club

2012-01-23T10:51:00.001-08:00

The WSJ reports Sam's Club CEO Brian Cornell has resigned the post. Walmart has named Rosalind Brewer as the 610-store warehouse chain's new chief executive. Brewer currently heads Walmart stores in the Northeast and will be the first woman to lead one of the retailer's major business units.

Taco Bell begins rolling out its breakfast platform

2012-01-20T09:55:00.001-08:00

Taco Bell is rolling out its long-awaited breakfast menu next week in about 750 locations in 10 states, the first wave of what the chain promises will be a year of change and innovation.

The Irvine, Calif.-based chain is also testing a new Cantina menu in about 150 stores. The menu includes higher quality options developed with celebrity chef Lorena Garcia, all in an attempt to position Taco Bell against fast-casual Mexican brands.

Coming soon: supersonic data transfers 500 times faster than 3G phones

2012-01-20T08:10:00.001-08:00

USA Today reports data downloads on wireless devices will become 500 times faster than on 3G phones -- and devices will be much more responsive -- under technology that has passed muster with the International Telecommunication Union, the U.N. telecom agency. The technology, which could begin showing up in smartphones and tablets by 2015, will allow users to load Web pages at a tap of a finger. Known as IMT-Advanced, the system is designed to deliver ultra-high-speed service through more efficient use of radio frequencies, meaning that wireless hardware will require less bandwidth to access the Web. <<...>>

Quote of the Day: "People over 50 account for 67% of America's consumption."

2012-01-19T13:20:00.001-08:00

“People over 50 account for 67% of America’s consumption. So they should be the most highly sought after demographic, right? Wrong: Only 5% of marketing spending is geared toward them. And if you look within that 5%, 92% of it is pharmaceuticals and financial products,” says Asaaf Wand, the founder of Sabi, a line of branded, ergonomic wares for the aging which launches today.

IRS/DOL starts crackdown over independent contractors

2012-01-19T08:11:00.001-08:00

BusinessWeek writes, “Get ready for an intense new round in the long-running fight over which workers are independent contractors … The IRS is taking a closer look at companies that use contractors.”

If you classify any workers as “independent contractors”—or have plans to do so—2012 is the year to make sure you get that classification correct.

A massive new “Misclassification Initiative” launched by the IRS and U.S. Department of Labor is targeting employers with more audits and closer scrutiny. The IRS estimates that 80% of workers classified as “independent contractors” are actually employees.

As part of the crackdown, the DOL hired 100 new auditors solely to investigate misclassifications. State investigators are also turning up the heat on employers. And all this attention is prompting more independent contractors—and their attorneys—to challenge their classifications in court.

500 million sub-US$100 smartphones this year, says Deloitte

2012-01-17T06:41:00.000-08:00

The number of sub-US$100 smartphones in circulation is forecast to hit 500 million by the end of 2012, according to new figures from Deloitte’s Technology, Media and Telecommunications (TMT) practice. The research estimates that the installed base of low-cost smartphones stood at about 200 million at the end of 2011, implying that volumes will more than double this year.

Study of Retail Workers Finds $9.50 Median Pay

2012-01-16T11:54:00.001-08:00

According to the NY Times, Retail workers in New York City earn a median of $9.50 an hour, most are part-time or temporary, and just 3 in 10 receive health insurance through their jobs, according to a new study of the city’s larger retailers.

The study, based on interviews with nonunion workers and released on Monday, largely found poverty wages and highly unstable schedules for the city’s retail employees, with less than a fifth having a set schedule each work week. The study said many workers had a hard time planning for child care or classes because more than half learned their schedules a week or less before a work week would begin.

IPad 3 will feature HD, quad-core chip, LTE support

2012-01-16T08:15:00.001-08:00

Apple is expected to release the iPad 3 in March 2012. The new iPad will feature an HD display and a speedier processor -- a quad-core chip – and will likely support Long-Term Evolution-based wireless networks. Apple's suppliers have already begun producing the tablets. <<...>>

NUMBER OF CREDIT CARD HOLDERS (2008)

2012-01-15T21:09:00.001-08:00

The total number of cards issued by brand:

Visa USA:    108 million issued
MasterCard:      100 million
Store-Issued Cards (e.g., Target, Sears): 114 million
Oil company (e.g., Chevron, Union 76):     62 million
Discover:        42 million
American Express:        36 million
Source: U.S. Census Bureau

Fresh & Easy Neighborhood Market plans to close underperforming stores

2012-01-15T13:34:00.001-08:00

Fresh & Easy Neighborhood Market plans to temporarily close four underperforming grocery stores in Phoenix over the next four weeks in a cost-cutting measure. They join six other Valley stores the company shuttered in 2010 and several locations that were built and never opened.

Fresh & Easy spokesman Brendan Wonnacott said sales growth and customer counts at those stores were not sufficient to justify keeping them open.

PayPal Does $4 Billion in Mobile Volume in 2011, Projects $7 Billion for 2012

2012-01-13T12:45:00.001-08:00

PayPal Inc. projects its mobile-payments volume this year will reach $7 billion, almost double the $4 billion its mobile service processed in 2011. The final numbers for 2011 came in significantly higher than the $3.5 billion PayPal estimated late in the year, and far ahead of the original 2011 forecast of $1.5 billion.

Customers Love Kindle Owners' Lending Library, including Puvungna

2012-01-12T14:32:00.001-08:00

The Kindle Owners’ Lending Library is off to a strong start: customers borrowed 295,000 KDP Select titles in December alone, and KDP Select has helped grow total library selection to over 75,000 books.

Paid KDP sales grew rapidly in December — and results show that paid sales of titles participating in KDP Select are growing even faster than other KDP titles. On top of this growth in paid sales, KDP Select authors and publishers on average are receiving an incremental 26% in December as a result of their participation in the Kindle Owners’ Lending Library.

“KDP Select appears to be earning authors more money in two ways. We knew customers would love having KDP Select titles in the Kindle Owners’ Lending Library. But we’ve been surprised by how much paid sales of those same titles increased, even relative to the rest of KDP,” said Russ Grandinetti, Vice President of Kindle Content. “Due to this early success and a seasonally strong January, we’re adding a $200,000 bonus to January’s KDP Select fund, growing this month’s total pool to $700,000.”

The top ten KDP Select authors earned over $70,000 in the month of December from their participation in the Kindle Owners' Lending Library, a 30% increase on top of the royalties they earned from their paid sales on the same titles in the same period. In total (paid sales plus their share of the loan fund), these authors saw their royalties grow an astonishing 449% month-over-month from November to December. The list of KDP Select authors includes Daniel Stiel, Rachel Yu, the Grabarchuk family and Amber Scott.

Daniel Stiel is the author of Puvungna, a story about two young brothers who travel back in time and discover an ancient Indian village along the shores of a Southern California beach and the secret behind its disappearance over five hundred years ago. Borrow the book free at http://www.amazon.com/Puvungna-ebook/dp/B00307S9XK

Rachel Yu is a 16-year-old author of children's books, and she earned $6,200 from the KDP Select fund in the month of December. “It’s so cool to be part of the success of KDP Select,” said Yu. “It's just like a library but with easier access. There's truly no other opportunity like Amazon for self-publishing.”

The Grabarchuk family earned $6,300 from the KDP Select fund in December from their puzzle books. “After only a month KDP Select has dramatically changed things — finally indie publishers are playing as equals with the big publishing houses in the world's biggest eBook marketplace,” said Serhiy Grabarchuk, Co-Founder of the Grabarchuk Puzzles company.

Amber Scott is a romance writer and earned $7,650 from the KDP Select fund in December. “Enrolling in KDP Select utterly transformed my career,” said Scott. “I've experienced not only a surge in royalties but a surge in readership thanks to the increased exposure. I love the chance to earn new readers through the innovation of the Kindle Owners’ Lending Library. What an exciting time to be an author!”

Since launching Kindle Owners’ Lending Library on November 2, Prime members with Kindles can now choose from over 75,000 books to borrow for free—including over 100 current and former New York Times Bestsellers—as frequently as a book a month, with no due dates.

Low-Priced Rival Pushes to Take Over France's Mobile Phone Market

2012-01-12T06:52:00.001-08:00

After popularizing the idea of low-cost broadband Internet service in France, upsetting a few vested interests in the process, telecommunications entrepreneur Xavier Niel’s new company, Iliad, which operates under the brand name Free, introduced a wireless service that challenges the three main mobile operators in France on price.

Yhr new service is modeled after Free’s broadband package, which offers Internet access, fixed-line telephone calls and television for a flat monthly rate of 29.99 euros, or about $38, the new mobile service is built around a 19.99 euro plan that includes unlimited domestic and international calls, text messages and mobile data.

Nokia Store getting 11 nillion downloads daily

2012-01-12T06:32:00.001-08:00

Nokia published metrics for its Nokia Store disclosing it is currently receiving over 11 million downloads per day. 177 publishers have reached the 1 million download mark. The biggest market for the Nokia store is India, followed by China. The remaining top-five consists of BRIC countries – Brazil and Russia – then Turkey, well ahead of other large markets including the US and UK.

2012 International CES Exhibit Hours

2012-01-10T17:28:00.001-08:00

2012 International CES Exhibit Hours:

Tuesday, January 10: 10 a.m.-6 p.m.
Wednesday, January 11: 9 a.m.-6 p.m.
Thursday, January 12: 9 a.m.-6 p.m.
Friday, January 13: 9 a.m.-4 p.m.

Location

Las Vegas, Nevada, USA

· Las Vegas Convention Center and World Trade Center (LVCC)

· Las Vegas Hilton

· The Venetian

Las Vegas Hilton is changing its name to LVH (Las Vegas Hotel & Casino) on January 3, 2012. The 2012 International CES will refer to it as the Las Vegas Hilton.

CES 2012 Update: Connected Appliances

2012-01-09T07:31:00.001-08:00

LG is back this year at CES 2012 with even more advanced “connected appliances” — refrigerators, dishwashers, clothes washers, floor cleaning robots and other household staples that boast slick touch screen interfaces, and direct connectivity with smartphones and computers. Samsung makes connected appliances as well, but LG is a leader in this arena, and will be showing off higher levels of device-to-device connectivity for its ThinkQ line of smart appliances.

Using LG’s technology, you can enlist a smart phone app to adjust appliance settings, monitor energy consumption, and even set up a service call. But what we really want to see from LG is its ultra-high-capacity fridge that includes a “blast chiller” capable of cooling a beer or can of soda in less than five minutes.

Quote of the Day: "To avoid criticism do nothing, say nothing, be nothing."

2012-01-08T15:02:00.001-08:00

To avoid criticism do nothing, say nothing, be nothing. - Elbert Hubbard

White House plans forum "Insourcing American Jobs"

2012-01-08T09:33:00.000-08:00

The White House plans a forum Wednesday, called "Insourcing American Jobs," that will bring together business leaders who shifted work back home. The president said Saturday in his weekly radio and Internet address that the event will discuss ways business leaders can return more jobs to the country.

Orange County Restaurant ranks #2 in Yelp's "Top Ten" list

2012-01-08T09:28:00.001-08:00

Bruxie, which has earned rave reviews since opening its first location in Old Towne Orange in 2010, ranked as Yelp’s No. 2 most popular restaurant in the country in 2011. Bruxie is located at 292 North Glassell Street, Orange, and another location at 215 W. Birch Street, Brea.

The US Top 10 for 2011 list from Yelp includes:

1. Bottega Louie, Los Angeles

2. Bruxie, Orange County

3. Ippudo NY, New York

4. Wurstküche, Los Angeles

5. Bi-Rite Creamery, San Francisco

6. Daikokuya, Los Angeles

7. Phil's BBQ, San Diego

8. Ike's Place, San Francisco

9. Griddle Cafe, Los Angeles

10. Animal, Los Angeles

Mobile Facts and Fiction -- Young vs. Old

2012-01-05T06:13:00.001-08:00

If you think mobile shopping is being driven by Gen Y, think again. Shoppers ages 25 to 44 are nearly twice as likely to feel that shopping from a mobile device is more convenient than those ages 18-24.