We have compiled the latest statistics reflecting current online marketing trends. Online social media platforms are continuing to grow rapidly and are becoming even more a part of our everyday life. Advertisers are taking advantage of this by moving marketing dollars away from traditional media and moving into the digital and interactive space.

Bonfire presents: The State of Online Marketing July 2010

  Entrepreneurship is touted as the pathway of leading the nation out of the economic malaise yet country wide, startup are finding the fundraising trail more difficult than ever.

Technology entrepreneur, strategy consultant and Forbes columnist, Sramana Mitra, wrote a rather interesting and compelling article about the state of start ups in the nation and the value in supporting early-stage companies run by firs-time entrepreneurs. Afterall at one time,  Sergey Brin, Larry Page, Bill Gates, Steve Jobs and Mark Zuckerberg were all first-time entrepreneurs who built some of the most valuable companies in history.

Read the Forbes.com article Calling all Angels.

Four successful entrepreneurs responsible for four dissimilar companies in four unique product categories targeting four disparate markets addressed “The Art of Bootrapping” at The Oregon Entrepreneurs Network’s (OEN) May 15th PubTalk. Yet with all the diversity for which they were responsible, among the advice they offered the PubTalk attendees much was in common or agreement.

Staged at the OEN PubTalk’s monthly venue "Backspace" and moderated by Rick Turoczy, founder and principal writer of Silicon Florist, the event featured founders Eric Winquist of Jama Software, Eli Alford-Jones of Paydici, Paul Anthony of Rumblefish, and Eric Doebele of Reliable Remodeler.

Common Bootstrapping Takeaways

• Follow the Money. The Investors Do.
• Potential investors focus on revenue growth
• “Your customer is your best investor”
• Target “low hanging fruit” customers to maximize revenue growth potential
• “Work for your customers—they are your boss”

Adapt Business Models

• Business models were modified a number of times--in one case ten to twelve times
• Yet changes were rarely to the “core” of the models and more to the revenue models and as additions to the core
• Additions to models can cause support issues

People

• Focus early on surrounding yourself with the best people possible
• Portland has many successful people who can and will offer good advice for coffee—tap into them
• Take caution in offering too much equity to early stage employees. Later you’ll find stronger and key candidates with little equity to offer.

Product Development

• You don’t need the perfect product before taking it to market. It’s better to get product validation from customer prospects or to go back and modify.
• Avoid one-off  product development just to land individual customers. This often results in development delays and playing catch-up.
• Be careful about investing too much in any single idea

June 9th OEN PubTalk: “Oregon Beer Entrepreneurs – The Seeds of Suds”

Don’t miss the June 9th OEN PubTalk where Oregon beer entrepreneurs Charlie Devereaux of Double Mountain, Irene Firmat of Full Sail and Jamie Floyd of Ninkasi will share their entrepreneurial tips on this fast growing industry.

Where: Backspace
115 Northwest 5th Avenue
Portland, OR 97209
Cost: $15 for OEN members; $25 non-members

Good moves, bad decisions, and the sometimes ugly end result of a startup were shared with attendees of the April 14th OEN PubTalk™.  The PubTalk panel discussion “SplashCast – What Happened?” featured a SplashCast founder and two investors in the company. Founded in 2007, SplashCast’s mission was to help consumers develop videos, text, graphics and music embedded in broadcast "channels." The company raised over $4 million in funding yet closed its doors in 2009.

OEN’s Dave deFiebre served as moderator of the PubTalk panel discussion that included SplashCast founder, lawyer and entrepreneur Tom Turnbull, who held key positions at three venture backed startups and SplashCast investors Angela Jackson and B. Scott Taylor. Jackson, Managing Partner of AB Jackson Group LLC and active angel investor and coach, was Chair of OEN’s Angel Oregon 2010. Taylor, founder and CEO of TAOW, Modern Marketing, author, and serial entrepreneur, was a co-founder of VirtualRelocation.com, which was acquired by Monster.com.

Valuable and candid SplashCast issues and startup takeaways provided by panel included:

--Too many SplashCast investors (approximately 70)—seek fewer investors/larger investments
--Too little initial funding--raise money when you can
--Early business plan wins are key to incremental funding
--Cash reserves are cyclical--whether in favor or not
--Three business models resulted in many changes of direction—cash burned too quickly
--Staffed up too early with no market-ready products
--Hired “the big guy” (expensive vp of sales) too early
--Good communication serves investors well—be as forthright as possible, especially with bad news
--Former entrepreneurs as founders and early hires are key—they’ve been “in the trenches’, dealt with many changes, uncertainty, and ambiguity
--Don’t scrimp on legal advice, but keep a close watch on monthly invoices—they can mushroom
--Be open to creativity—this delivers “brilliant moments of execution”
--Contrary to some current opinions, now is a good time, and Portland is a good place for startups—be optimistic, be “scrappy”

Upcoming OEN PubTalks April 21, May 12

SW Washington PubTalk™  “Pitch Night” April 21st
The Southwest Washington Workforce Development Council (SWWDC) in partnership with the Oregon Entrepreneurs Network (OEN) will host PubTalk Pitch Night April 21st in Vancouver, WA. Three local entrepreneurs will pitch their start up businesses and engage with attendees, providing an invaluable learning opportunity for entrepreneurs.

When: April 21, 2010 From 5:15 PM - 7:00 PM
Where: AHA! 415 W. 6th Street Ste 605, Vancouver, WA

OEN PubTalk™ "The Art of Bootstrapping" May 12
Five successful entrepreneurs will reveal of the art of bootstrapping in a panel discussion on May 12th. The founders of Jama Software, Paydici, Rumblefish, Reliable Remodeler, and Urban Airship will share how they used creative solutions and drew from nontraditional resources to build their companies with limited capital. The event will be moderated by Rick Turoczy, founder and principal writer of Silicon Florist, Portland's premier blog on technology and entrepreneurship.

When: Wednesday, May 12, 5:15 PM - 7:00 PM
Where: Backspace, 115 Northwest 5th Avenue, Portland, OR 97209

     Divina Sangria founder Maria Corbinos never planned to start a beverage company. She moved to the United States from her native Barcelona, Spain, to complete an MBA.

     On March 5, Divina Sangria – also known as Enjoy Life LLC – will compete with seven other seed-stage finalists at OEN’s Angel Oregon, in hopes of winning a $25,000 investment prize.

     Divina Sangria was sparked by Maria's desire to "enjoy a little bit of Spain in the U.S. in the form of sangria," a traditional Spanish drink made with premium wine, fruit and a few secret ingredients. Maria brought sangria to gatherings with friends and colleagues, made according to the recipe her family has used for more than four generations.

     "Friends and family kept asking why I didn't sell the product," Maria says. "I also realized there is an underserved market of female consumers looking for a high-quality alternative to wine and beer."

A Business is Born

     Maria enrolled in the "Getting your Recipe to Market" course taught at Oregon State University's Food Innovation Center in Portland.

     Faced with the choice of taking a new job or pursuing her own business, "I chose to start Divina Sangria. With our authentic sangria recipe rooted in more than 150 years of family tradition, we are confident that we have a differentiated value product for our target audience."

     Maria and her business partner, Magdy Salama, shared their business idea with friends, who encouraged them to start bringing the sangria to celebrations as a kind of market test.

     "People liked it so much that I started receiving calls to check what time I – and my sangria! – would be arriving at celebrations and events," Maria says. "It was always gone very fast. The product was hot!"

     Maria's and Magdy’s friends started taking bottles of sangria to events, and people kept asking where they could buy it. This confirmed for the partners that they were filling a real gap in the beverage market.

     "We tested our sangria with beverage and wine experts and specialty stores such as New Seasons Market, and received very positive feedback about the taste, branding, and market opportunity," Maria says. “It is the ideal product for the retailers to cross-sell with fresh fruit, starters, chips and dips.”

     High-end catering services, bars, and restaurants are also enthusiastic about Divina Sangria. “Managers at Jake’s Famous Crawfish and Jake’s Grill told us Divina is a wonderful stand-alone drink and fantastic base for amazing cocktails. They are waiting for us to launch the product.”

Getting the Details Right

     Starting a food business – and especially, an alcohol-related business – is rife with bureaucracy. But Maria says there’s an advantage to those hurdles: They pose a barrier to entry for potential competitors.

     Maria and Magdy worked with the Food Innovation Center to craft a manufacturing process that would allow them to ramp production as demand increases. “Their guidance and expertise helped us very much in achieving our production goals,” Maria says.

     Maria and Magdy are in the process of securing their trademark and have been attending trade shows. “The Fancy Food Show in San Francisco was a proof point,” says Maria. There the partners saw how well their sangria compared with other new food products. They also observed that appreciation of Spanish cuisine and beverages is still growing.

Building a Board

     “Our brightest green light was the interest from highly regarded professionals,” says Maria. Divina Sangria’s advisory board now includes Evan Bellinger, who’s responsible for managing 15 vineyards; Lisa Herlinger, owner and founder of Ruby Jewel ice cream, which distributes products in 10 states; and Sarah Masoni, who has more than 30 years’ experience in food product development.

The Next Step: OEN’s Angel Oregon

     With so much encouragement and validation from food and beverage experts, it’s time to raise capital. Angela Jackson, a well-known Portland investor, recommended that Divina Sangria apply for Angel Oregon.

     "Angela had reviewed our business plan several months ago and believed in the product, the company, and the team," Maria says. "The next thing we knew, we were finalists! This gave us a boost of energy."

     Divina Sangria has received assistance from other Oregon Entrepreneurs Network members, too.

     “Irving Levin has been a great support in connecting us with key professionals in the wine industry,” Maria said. “Abe Cable and Angela reviewed our business plan and provided valuable advice.”

     It was a former Hewlett Packard Co. executive who recommended Maria and Magdy join OEN: Michael Thompson, an OEN member who was María ’s manager at HP a dozen years ago. Maria is now a volunteer with OEN’s education committee.

Divina Sangria’s Competitive Advantages

     The market has already accepted other companies’ versions of sangria, including Bacardi’s “Silver Signature Sangria” and even a sangria-flavored chewing gum. Tapas and other Spanish dishes are still growing in popularity, and sangria is the perfect accompaniment to Spanish cuisine as well as other cuisines.

     Divina Sangria is not only launching at the right time, it also has the advantage of a personable spokeswoman: Maria, a modern Spanish woman rooted in strong tradition who exemplifies the Spanish love of good food and drink.

     “Magdy and I are motivated by sharing our Spanish culture and heritage with the American people,” Maria says.

The partners are highly motivated by the prospect of delivering a great return for investors. They also want to help local food banks and the American Cancer Society.

     “That will be our success,” Maria says, “when we can deliver a higher-than-promised return on investment, and contribute to our local community.”

OEN Angel Oregon launch-stage finalist, Coherence Resources, shares its entrepreneurial story in a pre-event interview. Read on to find out when the big idea first came to mind, what keeps them awake at night, and how they’ll ultimately define success.

Coherence Resources, Inc. produces proven wellness solutions for restful sleep and relaxation without pills, masks, wires or sounds. The NightWave® Sleep Assistant is its flagship product. On March 5, 2010, the company will compete against five other launch-stage companies at The Nines Hotel in Portland, Oregon for an estimated investment prize of approximately $175,000. Register to attend the event today.

OEN: Describe the moment when your big idea first came to mind.

CR: Founder Stephen Parsons invented the NightWave(R) sleep assistant while creating a simple handheld device for stress reduction. His prototype utilized a group of small LEDs that projected blue light in a specific direction rather than producing an ambient glow. He tested the device while lying in a darkened bedroom with the light projected onto the ceiling. He discovered that in these conditions, the device produces a state of drowsiness that leads to sleep – and that this was a reliable and repeatable effect. NightWave was born.

OEN: With whom was the idea first shared? What was his/her reaction?

CR: Stephen Parsons first shared the concept with some friends who suffered from insomnia, and then with his business advisor, Keith Wymbs (who later invested in the company to build prototypes and became CEO after initial market testing). The reaction from most people is that it’s brilliant in its simplicity, but it makes complete sense.

OEN: At what stage of your business planning did you experience the most “go” or “no-go” feelings?

CR: We've experienced many “go” and “no-go” feelings throughout the launch experience. Probably the biggest “no-go” feeling came when we were rejected by Angel Oregon in 2009, early in the process. But we didn't listen and reapplied for 2010 – and now we are a finalist!

OEN: What event, decision or conversation transitioned you to the “all-systems-go” point?

CR: The biggest “all-systems-go” feeling came after selling our first $100,000 of product, gathering customer feedback, and realizing that we were helping the great majority of the insomniacs who were trying the solution.

OEN: What keeps you awake at night in regards to your business?

CR: The thing that keeps us awake at night is knowing that we have an effective, affordable, and natural solution available for a massive unsolved problem – but we don't yet have the funds to make enough people aware of the solution. Of the 50,000 people that have hit our website, more than 20% have been convinced to buy.  If we can make 100M insomniacs that exist in the U.S. aware of our solution, we’ll have a nice business.

OEN: How will you ultimately define success for your business?

CR: Helping more than one million people who struggle with sleeplessness re-learn their ability to fall asleep again naturally.

OEN: Tell us about your present and/or past involvement with Oregon Entrepreneurs Network.

CR:

• Company membership with OEN since 2008

• CEO Roundtable Workshops

• Selected for PubTalk presentation

• Business plan and presentation coaching through OEN

• Business advisors brought on board via OEN event

After encountering the recently launched Idea Mensch web site, OEN couldn’t wait to interview the great mind behind it. Mario Schulzke, who is a principal at Quillion, senior director at marketing ideas agency WONGDOODY, publisher of ScrappyMarketing and a German Ironman-contender-in-training (among many other things), answers a few questions about his own entrepreneurial endeavors – and offers advice for how to be successful in yours.

1) What is Idea Mensch?

Idea Mensch is an interview-driven site where we feature people who are bringing good ideas to life. Interviewees range from ueber-successful entrepreneurs like the founder and former CEO of The Sharper Image to up-and-comers like a recent college drop-out who started a cycling and triathlon training center in Arizona – and lots of people in between.

2) What inspired you to create the site?

Personally, I am obsessed with ideas. I run an ad agency during the day but have at least another ten ideas or projects that I am pursuing. It's probably not healthy. But I’ve learned that no matter how great an idea is, it doesn’t accomplish anything if you don’t bring it to life.

I wanted to use Idea Mensch as a vehicle to celebrate some of the people who are bringing ideas to life – people across all industries, from all walks of life. It has been a fun journey and I’m completely blown away by the smart individuals we've been able to interview. More importantly, there is a community that is starting to form around our site. People are beginning to reach out to one another to help promote their ideas, and there are even a couple of business deals in the making. Good people are helping good people. I love that.

3) How do you select thought leaders and entrepreneurs to feature on Idea Mensch?

You have to be working on an idea and take the time to submit an intelligent and insightful interview. That's it. Once your interview is live, we hope you’ll help promote the site and bring more people to it. I think the simplicity of this format is surprising to some, as we’ve recently been pitched by various PR agencies about interviewing their clients on our site. It’s funny because (as our "About" section explains) you don't need a PR agency to be interviewed on Idea Mensch.

4) Tell us about your own entrepreneurial ventures, and what you’ve learned in the process of pursuing and/or founding them.

I spent the first eight years of my career as an agency guy – giving online marketing advice to large companies. On the side I've always been somewhat of a garage entrepreneur, figuring out different ways to make money online. I published a book on how to write complaint letters, ran some pretty big affiliate marketing campaigns in Europe and currently own a number of different web sites.

Now I’m helping to start a new kind of agency called Quillion – a digital performance marketing agency (where clients pay only for results we achieve). We also own our own digital properties.

In the coming weeks, we will be announcing an online course/community called CareerSparx to help recent college graduates start their careers. We're in a very tough economy and I have seen too many qualified grads who have no clue how to sell themselves to land a job in their field. We are going to help them.

5) What advice do you have for emerging entrepreneurs?

Borrowing from that large shoe manufacturer down the road from you guys: “Just do it.” If you have an idea and you're excited about it, keep moving it forward. Break it into small steps and do whatever you can do gain some momentum. There's nothing worse than a good idea that just sits there. Also, meet people. Help people. Tell them about what you are doing. Relationships make the world go round. You'll be surprised how people you've met (and have yet to meet) will shape your career and successes.