Thanks to everyone who responded to our annual readers' survey. We had an overwhelming 8.7% response, which is exceptional and gives us what is clearly a solid statistical representation of our subscriber base. Each year this survey really helps to guide us in new directions regarding story development and research. Of course, each year we get some interesting notes added to the surveys. Here are a few examples:
1. I would like to see no changes. ó Ed Flaherty
2. Please review ISOs and banks from an agent perspective. ó Frank Kern
3. Pinpoint more small ISOs that are succeeding. It gives others hope that they can survive this market competition ó Michele Gray
4. A review of effective sales techniques, such as which is most effective: Telemarketing, direct mail, or broadcast FAX, would be helpful. ó Several Readers
5. Please give us the 1999 interchange increase. (This was asked by a number of readers, so we are reprinting the chart, which first appeared August 10, 1998, on page 4.)
6. Would like to see analysis on the effect of EMU and euro stateside.
ó Sunil Taneja, Chain Store Age
7. Would like to have secured Internet processor expenses reported: i.e. CyberCash, Global Payment Systems, etc. (Initial cost, transaction fees, and monthly service fees.) ó Jim Parmes
8. Please do more sales tips and ideas. ó Burt Kramer
9. More information on eCommerce trends. ó Eric Pruessing
10. Please provide an in-depth review on credit card processing software. ó Christopher Smith
11. More on checks, trends on checks, and guarantee. ó Rick Serafine, Check Guarantee Hawaii; ó Dan Klein, Clarke American; ó Terry McNaight, Harrahs Entertainment; the nation's largest casino organization; ó Brad Baughman, CheckCare; ó Richard Steppins, NDC; ó Sara Skaggs, NPC
12. We really found the write-up in [GSQ] on clearinghouses very useful. ó Glenn Wheeler, Clearing House Association of the Southwest
13. Would like to see a classified section with ads. ó Jerry Brouman
14. Please provide available types of electronic check services.
ó Richard Johnson [Note: The GSQ received with this issue will have this information.]
15. Help to develop a true boycott of Discover, from ISOs all the way up the hill to the networks. ó Abraham Steinberg
16. I would like to see Diners Club mentioned as a lead source for ISOs and processors. ó Mark Schuller, Citicorp Diners Club
17. More factual data on the growth of ATM/debit/check cards with charts and graphs. ó John Lenhard
18. More general definitions and procedures for people who are still learning, due to new business/industry. ó Tracie Trussell
19. POS trends and equipment for the next three to five years. ó Tim Long
20. Do feature stories on strong ISOs. ó Joyce Leiser
21. I would like to see a more advanced separate issue (publication), at a price, for owners/operators of ISOs. ó Richard Hoeflick
22. Please write more on POS equipment. ó Armando Arriola
23. More topics on how to become a registered ISO and finding the right bank. ó Mike Piork
24. More information of chargeback issues, in detail from A to Z.
ó Joe Brito
25. Data about other services and products that ISOs can offer merchants, i.e. postage meters, telecommunications, long distance services, etc. ó Gene Harrison
26. And, last but not least, a reader who has apparently lost his job as part of the recent Novus reorganization told us that he was unemployed, but didn't provide any contact information. If this reader is you, please contact The Green Sheet, Inc., for a possible job opportunity.
A primary reason we conduct each year's survey is to find out what types of subjects you would like to see covered in the future. We thank you for always providing new ideas such as the above list, and we will do our best to accommodate these requests, as well as the many others we received.
You did let us know what topics you would like to see, but we are also pleased to learn that many readers are happy with The Green Sheet and GSQ as they are. We received the following comments: "I'll leave it to you! You always seem to have the right information at the right time," and "Satisfied with topics covered." Other comments included, "Very good as is," "Doing a great job," and "Keep up the good work."
Of course, we can't please everyone; if we did, something would be wrong. And for everyone with one opinion, there seems to be someone else with the opposite opinion. For example, one reader said, "Quit talking so much about check services. It is quite clear that you have a financial interest in it. Please focus more on credit cards," while another reader asked for "more check guarantee competitor info." Yet another reader requested, "More on check guarantee, ECP, and why is there such a big difference on payment types in the ISO industry or ISA related charges."
There was a recurring trend as to what readers would like to see in future The Green Sheet and GSQ issues. Our readers requested more information on Visa and MasterCard rules, more data about the legal issues of cybershopping, and finally, many asked for the names of the less then ethical members of the industry.
We received comments such as, "We want to know who is less than honorable" and "More on ethics and lack of same...names of offenders," "Who is number one in customer support? Who is worst?" "A list of who doesn't pay but promises residuals," "Companies giving the industry a bad name," and "ISO fraudulent activities."
Who are You and What Do You Do?
Another of the main reasons we conduct the annual readership survey is to find out WHO our readers are and WHAT they do. We found out that most The Green Sheet and GSQ readers (72%) are ISOs. Eight percent of our readers are bank employees and the same percentage sell equipment. As was the case last year, most readers learned about The Green Sheet and GSQ from a business associate.
Our readers offer a wide variety of products and services. The service offered by most (85%) is, as you might have guessed, bankcard services. Eighty percent sell equipment (up from 74% last year), 80% also now sell American Express. Check Guarantee is offered by 79% of our readers, which was about the same as last year. Debit service providers increased from 56% last year to 69%. Last year 52% of our readers offered check verification but this year that number is up to 64%. The percentage of our readers who offer ATM services remained the same as last year (53%) while NOVUS/Discover providers increased from 35% to 42%, which is interesting considering all the complaints we received and published in 1998. The largest jump was Internet services, which jumped from 21% last year to 36% this year.
Our readers also use a variety of sales channels. The most popular, at 78%, is customer referral. Approximately 60% still use door-to-door marketing, nearly half use telemarketing, and 45% use direct mail. Broadcast e-mail is up to 10% this year and Internet marketing is at 27%.
Still Going Strong
The majority (85%) of our readers read every single issue of The Green Sheet and 98% read most or all of the issue. Eighty-six percent keep most or every back issue and 93% have referred to a back issue. Our second readership is alive and well, as 81% of our respondents have shown The Green Sheet to a friend or associate, and 68% use The Green Sheet in presentations.
The Newcomer
Our newest addition, GSQ, is thriving as well. More than three quarters of our readers read every GSQ and 76% keep most or every GSQ issue. As is the case with The Green Sheet, a majority of readers (65%) referred to a back issue of GSQ and 63% have shown an issue to a friend or associate. Additionally, 56% use GSQ in presentations.
Ratings
Slightly over 76% of our readers feel the quality of writing in The Green Sheet and GSQ is very good or excellent and 75% feel the data is very relevant, or essential, to their business. Additionally, 93% find the level of data is neither too advanced nor too basic, but just right for their needs. Our advertisers have also benefited, as 78% of our readers have contacted a company because they advertised in The Green Sheet or GSQ.
Our Industry and What You Think
Our readers believe that the most significant change in the marketplace is industry consolidation (43%), which last year also received the highest response. Approximately one third (29%) of our readers also find the advent of the Internet a significant industry event, 6% greater than last year.
When queried about the problems our industry faces, the responses this year were similar to those of last year. Finding qualified sales reps is still the biggest challenge (45%). The cost of sales (32%) and cost of Visa/MasterCard regulations (26%) weren't far behind, though. Year 2000 compliance (23%) is also posing a challenge to our readers. The decline in service providers (14%) and tax compliance (9%) did not seem to be as big a concern to those of you who responded.
It's a Different World
Once again, our survey found that our on-line and print readers are not the same people. While our Web site was visited by more than 9,300 readers per week who stayed an average of 41 minutes in the month of December, 68% of those who responded to our survey had not accessed The Green Sheet On-Line in the last 30 days! In fact, 43% said they don't use on-line resources at all! But 12% did recognize the power of the Internet, as they have placed a classified ad on-line. These free ads are used by more than 790 readers per week.
We sincerely thank you for the feedback, and hope that our analysis of the data is also helpful to you.
