MWW is making a horrible start to 2009 with North America Sales down by 40% vs Q1 2008. It is going to have to make a lot of cuts and after blowing it's marketing dollars in Q1 will have little to spend or cut for the balance of the year. I wonder who MWW will buy next? HotJobs (for next to nothing as Yahoo are desperate), Taleo or Stepstone. Sal will do something to create another distraction. The Affinity, Trovix and China HR deals have been complete turkeys.
I do not think MWW can recover. The new product is horrible and was the last shot at redemption. Yes, LinkedIn and other sites are more effective for seekers and recruiters alike - especially in a recession. It all comes down to connections, and MWW is too far behind the game to personalize the user experience and facilitate those connections.
Sal, Tim, Lise, Art & the rest of the Symbol gang have done a bang up job with the "firm". The "associates" are miserable, intimidated, and scared for their jobs. Creativity left the building with Trump. Monster is dead and there is no resurrection for this bad boy.
Reality is about to set in......a kind of a once in an every generation hit to the Job Board industry.
1. Craigslist and LinkedIn are dynamic, effective, low cost substitutes for Monster licenses. Tough to compete against effective and free.
2. Executive Recruiters are no longer able to focus on using Monster as their primary tool since many hiring companies now build their own resume database and frown on Executive Recruiters that are using passive techniques.
3. Monster is grossly overpriced for the limited benefit that a company gets in February 2009.
4. Monster has failed to diversify into other, more resilient and yet profitable areas.
Here is what my crystal ball says will happen next. Residual fees are drying up and new deals have disappeared. I'm guessing that Monster Execs are hoping that Obama Economic Stimulation Plan changes the unemployment trends, but it probably won't happen for a number of quarters, thereby creating the need for a major Monster layoff sometime at the end of Q2. If numbers continue to drop, Sal will be replaced in the late summer and the stock will bottom at its cash value. This stock reminds me of the internet boom stocks. Parabolic up and then parabolic down and very rarely do you ever see a secondary recovery.
Could this stock bottom at cash value of about $4.....that's my bet.
You are suggesting that businesses should just give away their products and services to help America? And what do you suggest MWW does for, I don't know - REVENUE??? You must be a Democrat. Isn't it enough that the government is spending $500,000.00 of our money per one yet-to-be created low paying job? Isn't it enough our government is giving away our money to help Americans who can't pay their mortgages on homes that they couldn't really afford in the first place? In absence of revenue should all MWW employees work for free to save the world?
Your comment ranks right up there with the dumbest thing I've heard all day.
"If MWW is smart enough they would offer one year packages with job posting and resume search for $200. They should help recruiters to save America's unemployement problem. Many small job search companies are doing their jobs by offering recruiters incentives to use their web sites. Why can Mosnter do something to help America! What is wrong with them?"
Maybe if Monster cuts down its yearly fees to a more affordable number small owner recruiters such as myself who work on hourly contract would be glad to do our share and help with the unemployment picture of our country. There are thousands of small office recruiters in the USA. I have many jobs to fill but can't afford the yearly ridiculous fee Monster charges its clients therefore I have to use Boolean string Algebra to seek candidates on Google which takes a lot of time and effort. Just my thoughts. Any comments welcome..