Friday, April 29, 2011

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Sequoia-Backed Milanoo Appears To Be Gaming Search Results With Link Spam Top
As we saw from retailer JC Penney’s recent downfall in search rankings, using ‘ black hat’ SEO tactics and gaming search is considered deceptive and ‘tantamount to cheating’ by Google. J.C. Penney said that it had no idea that this was happening and fired its SEM agency right away. But the retailer’s search ranking had already been “adjusted” by Google, and the damage was done. These sort of situations are considered deceitful by many in the search industry (including Google) and generally cast a malevolent cloud over a company’s search tactics. So, it’s surprising to find that a Sequoia Capital -backed Chinese startup, called Milanoo , appears to be gaming Google search results with these same black hat links spam tactics. Milanoo, a China-based online retailer and wholesaler with a "passion for fashion," is an ecommerce company serves customers with fashion apparel and related products in over 180 countries around the world, in seven languages (including English, Spanish and French). Launched in 2008, the startup just raised “millions of dollars” from Sequoia. According Digital Due Diligence, a small agency that provides in-depth investment research into online assets of companies; Milanoo has been caught using similar tactics as J.C. Penney. Here’s what Digital Due Diligence found: For a number of very valuable keywords in Google search,, Here’s how Milanoo ranks for "cheap dresses" (position 2), "evening gown" (1), "cheap wedding dresses" (1), and "summer dresses" (2). Digital Due Diligence partner Doug Pierce (who also served as an expert in the New York Times J.C. Penney expose), writes that those four keywords alone have an equivalent cost of nearly $200,000 per month in Google AdWords. It’s a red flag, explains Pierce’s fellow partner Byrne Hobart, when a search for evening gown or summer dress results with Milanoo as the second highest result as opposed to a major retail brand, like Macy’s Saks, Dillards, the Gap etc. In full disclosure, I am an avid online shopper and despite the company being in operation for three years, had never heard of Milanoo until it was covered on a TechCrunch a few weeks ago. So it is a little surprising to see that the site is listed as the second result in a search for the term “evening gown” under Bluefly, a site which I frequently visit. This could indicate that Milanoo may be paying for spam and links to boost their ranking, which Google considers to be deceptive. Basically, Google’s algorithm considers and counts ingoing links to pages as a way to determine search rank. Basically, the more links a website collects, the higher it could rank. Google of course attempts to determine the source of these links, but in some cases, this can be overlooked. In the situation with Overstock.com (who Google put in a penalty box for gaming search results), the retail site was paying for inbound links from Edu addresses, which Google tends to consider as more authoritative. In the case with J.C. Penney, many of the links to the retailers site were from spammy sites, where the company paid for these sites to link to the retailers for keywords like “evening dresses.” For example, a fashion blog linking to a retailer is fair. A Bulgarian property portal link is not. Basically, Milanoo appears to be doing the same thing as J.C. Penney. The ecommerce site has been buying spammy links to both its homepage as well as to individual product pages, and these sites have linked, thus boosting Milanoo’s ranking above other, more well-known retailers in Google search. Using the Open Site Explorer tool from SEOMoz, Hobart and Pierce say they couldn't find a single inbound link that points to the page that isn't spam or paid for. We too took a look at Open Site Explorer, searched for Milanoo’s link to “Evening Gown,” and found incoming links from NicePromOnline. Ok, so these aren’t as far fetches as J.C. Penney, but spammy sites nonetheless. Then I did a search on Open Site Explorer for the link to Cheap Wedding Dresses on Milanoo, which resulted in inbound links from NFL New Jerseys, Auto News. Wow. Looks like Milanoo may have been caught red-handed in link exploitation. So it’s a little surprising that Sequoia, a top-tier venture capital firm, would invest in a company that is using underhanded tactics to game Google’s search algorithm. And ironically, Sequoia is an early investor in Google. Pierce tells us that many times, investors don’t do the sort of in-depth digital due diligence that would flag these types of issues. His company is trying to provide investors with the tools and services to prevent situations like this. If Google does find that Milanoo is gaming it’s search algorithm, the punishment can not only be damaging to your search results, and brand but also to your top line. Overstock penalty by Google, which resulted in lower search rankings on the search engine hurt sales by 5 percent during the penalty period. Similar to Overstock and J.C. Penney, a steady flow of visitors is key to Milanoo’s ecommerce business. And search is clearly a way to get those visitors.
 
Marissa Mayer, David Karp, Kevin Systrom, And Tony Conrad Will Rock At Disrupt NYC Top
The speakers for Disrupt just keep on getting better and better. Today, we are extremely excited to announce four more guests who will join us at this year’s Disrupt in New York City: Marissa Mayer, David Karp, Kevin Systrom, and Tony Conrad. Marissa Mayer joined Google in 1999 as Google’s first female engineer. She ran the search product for years and is now the VP of Local & Maps at Google. Mayer will be one of the finalist judges at the Startup Battlefield. She’s tough, she’s done it before, and we are grateful to have her back. David Karp is the CEO and founder of Tumblr, one of the hottest startups in New York and also one of fastest-growing websites , period. Tumblr is built on the principle that self-expression should be easy. Karp recently raised $30 million to keep up with all the growth. Kevin Systrom also knows a thing or two about hockey-stick growth, but at an earlier stage than Tumblr and on mobile. Systrom is a co-founder of Instagram, an incredibly popular photo sharing application for the iPhone. Instagram took only 6 weeks to pass 2 million users and shortly after was adding an estimated 130,000 users per week . Finally, Tony Conrad is the CEO and co-founder of about.me, which was acquired by AOL is December of 2010. Tony is a Founding Venture Partner at True Ventures where he serves on the Board of Directors of Automattic, appssavvy, StockTwits, and more. He is also a Special Advisor to AOL Ventures. As we get closer to Disrupt NYC 2011, we are going to keep announcing new guest speakers week after week. You can read the full list of announced speakers here . If you haven’t purchased a ticket already, you can do so here. Early bird ticket prices end April 30th at midnight PST, so if you want the best prices, make sure to purchase them soon. Disrupt in NYC is going to be big. We have taken over a Pier 94 , we are planning amazing after parties, and we have more surprises in store. If you'd like to become a part of the Disrupt experience and learn about sponsorship opportunities, please contact Jeanne Logozzo or Heather Harde for more information. Marissa Mayer Vice President of Location and Local Services, Google Marissa Mayer is the Vice President of Local & Maps at Google. Previously she was Vice President of Search Product and User Experience. Mayer joined Google in 1999 as Google's first female engineer, where she led the user interface and web server teams at that time. Her efforts have included designing and developing Google's search interface, internationalizing the site to more than 100 languages, defining Google News, Gmail, and Orkut, and launching more than 100 features and products on Google.com. Prior to joining Google, Mayer worked at the UBS research lab (Ubilab) in Zurich, Switzerland, and at SRI International in Menlo Park, California. Mayer has been featured in various publications, including Newsweek ("10 Tech Leaders of the Future"), Red Herring ("15 Women to Watch"), Business 2.0 ("Silicon Valley Dream Team"), BusinessWeek, Fortune, and Fast Company. Tony Conrad CEO & Co-founder, about.me Tony Conrad is CEO & co-founder of about.me (acquired by AOL in December 2010). He is also a Founding Venture Partner at True Ventures where he serves on the Board of Directors of Automattic (WordPress), appssavvy, StockTwits, RescueTime, PastFuture (GDGT), KISSmetrics, 20×200, FREEjit, Small Batch (Typekit), WeGame and led True's investment MakerBot & Plancast. Tony also serves as a Special Advisor to AOL Ventures. Previously, Tony co-founded Sphere which was acquired by AOL in April, 2008. In addition, Tony has served on the Board of Directors for Oddpost (acquired by Yahoo), Iconoculture, MusicNow (acquired by Circuit City), and Centive (acquired by Xactly). Tony also played an active role managing investments in Post Communications (NASDAQ: NTVS), QuinStreet (NASDAQ: QNST), Danger (acquired by Microsoft), Sabrix and Stonyfield Farms (acquired by Groupe Danone). David Karp Founder & CEO, Tumblr David Karp is a high school dropout and the founder and CEO of Tumblr. Karp grew up on the Upper West Side of Manhattan, the son of Barbara Ackerman and Michael Karp. He attended The Calhoun School from 3rd to 8th grade, where his mother taught science, until high school when he briefly attended Bronx Science before dropping out at the age of 15 and being homeschooled. Karp began interning for animation producer Fred Seibert at 14, and from there went on to work as a software consultant for UrbanBaby, an online parenting forum. Karp left UrbanBaby in 2006 and began working on Tumblr later that year. The site launched early in 2007. Kevin Systrom Co-founder, Instagram Kevin Systrom is a co-founder of Instagram, a photo sharing application for the iPhone. He also founded Burbn, an HTML5-based location sharing service. Kevin graduated from Stanford University in 2006 with a BS in Management Science & Engineering. He was an intern at Odeo that later became Twitter. He spent two years at Google, the first working on Gmail, Google Reader, and other products and the latter where he worked on the Corporate Development team.
 

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