Business Gets Naked, Consumers Like What They See
While Consumers Are Becoming More Concerned about Personal Privacy, iKarma Is Helping Businesses Profit from Greater Exposure
For further information, contact:
Paul Williams - CEO, iKarma Inc.
For immediate release:
JUPITER, FLORIDA -- Feb. 6, 2006--"Business marketing is about to get turned upside down," says Scott Pitchford, President of iKarma (Pink Sheets:IKMA). For the past decade, business has been free to mine personal records and store receipts to determine consumer purchase habits and buying behavior. Marketers calculate propensity to buy, and then bombard consumers with a tsunami of advertisements and sales calls. I believe the intrusive and overwhelming aggressiveness of these tactics have triggered consumer distrust and demands for more personal privacy."
As battle hardened consumers retreat from the marketing onslaught, some businesses are discovering it's better to invite the consumer opinions in, rather than forcing their own advertising messages out. They've discovered the key to greater sales is through honesty, quality and public exposure.
"Word of Mouth has always been the most powerful form of advertising," says Paul Williams, CEO of iKarma, "and Internet search engines like Google (NASDAQ:GOOG) and Yahoo! (NASDAQ:YHOO) have put consumer word-of-mouth on steroids. In a world where customers are researching on the internet before they buy, it's time for every business to begin thinking about their online reputation. We've gone from an age where shoddy products could hide behind slick advertising, to an age where a million dollar ad campaign can be foiled by a teenager with a popular blog. The new secret to success is to make good products, give good service and make it easy for customers to tell others about their experience."
iKarma.com, New tools for better business
To assist in this process, iKarma Inc. operates iKarma ( http://www.iKarma.com ), an online reputation management service that anyone can use to capture and build a record of their customer testimonials. iKarma then displays these reviews online where prospective customers can easily find and view them. The result is a powerful and effective way to turn customer experience and good word of mouth into a tool for making future sales. The iKarma system also incorporates a process to help handle customer complaints. Unhappy customers often post their complaints to blogs, or online chat boards, where they can become impossible to remove, and easy for search engines to find. The iKarma system helps avoid this increasingly common problem by giving both parties a chance to cool down, and work out their disagreements.
"The popularity of websites like eBay (NASDAQ:EBAY) and Amazon.com (NASDAQ:AMZN) have educated consumers about the value of customer testimonials, so it's natural that consumers would like to see reputation systems applied to other fields of business. iKarma takes reputation management out from the confines of the auction and internet marketplace, and makes it open and available to the rest of the business world," says Williams. "In our service based economy, there are millions of other businesses that could benefit from having an easily available online reputation. The open structure of iKarma makes it an ideal solution for almost any business or business profession."
"We believe the future will bring more customer co-operation, and more demand for consumer privacy," adds Pitchford. "This trend makes traditional advertising both more costly and less effective, while increasing the power and influence of reputation and word of mouth. As customers demand greater openness and honesty from the businesses they deal with, business will have two choices. It can embrace this consumer revolution with a more open and honest business model, or it can continue using pretty girls to sell bad products. We aren't debating the old claim that `Sex Sells,' we just think you'll make more money if your business is the one that gets naked."
About iKarma, Inc.
iKarma Inc. is a public company that trades on the Pink Sheets under the symbol IKMA. Based in Jupiter, Florida, iKarma Inc. specializes in providing reputation and customer feedback systems for businesses and professionals. iKarma's mission is to help create prosperity and commerce by bringing greater trust and openness to business transactions. iKarma is a proud member of WOMMA, The Word of Mouth Marketing Association. iKarma was a sponsor of WOMMA's 2005 conference in New York, and a guest speaker at its recent WOMBAT training event in Orlando. We encourage anyone interested in word of mouth marketing to visit the organizations web site at http://www.WOMMA.org .
iKarma, iKarma, eReputation and eReputation.com are all service marks owned by iKarma Inc.
This release contains forward-looking statements within the meaning of the Securities Exchange Act of 1934, including the Company's expectations or beliefs concerning, among other things, future operating results and various components thereof. The Company cautions that such matters necessarily involve significant risks and uncertainties that could cause actual operating results and liquidity needs to differ materially from such statements, including, without limitation: (i) increased competition, (ii) changes in the demand for e-commerce and internet based businesses and (iii) changes in general economic conditions. Investors are advised to seek professional advice and conduct a complete due diligence regarding this, or any other company being considered for investment purposes. Investing in securities, particularly in issues priced at less than $1 per share, involves substantial risk and may result in a partial or complete loss of investment capital. Press releases issued by the company should not be interpreted as an offer to sell or a solicitation to buy company stock.
For more information, visit http://www.iKarma.com.