Online News and Advertising
PEJ: Online advertising on news sites is still not targeted, neither by context nor behavior; http://eicker.at/NewsAdvertising
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Gerrit Eicker
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Gerrit Eicker
The Social in Social Networking
How social are social networkers? Pew: The tone of life and social climate on social networking sites; http://eicker.at/Social
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Gerrit Eicker
Pew: “The overall social and emotional climate of social networking sites (SNS) is a very positive one where adult users get personal rewards and satisfactions at far higher levels than they encounter anti-social people or have ill consequences from their encounters. A nationally representative phone survey of American adults finds that: 85% of SNS-using adults say that their experience on the sites is that people are mostly kind, compared with 5% who say people they observe on the sites are mostly unkind and another 5% who say their answer depends on the situation. 68% of SNS users said they had an experience that made them feel good about themselves. 61% had experiences that made them feel closer to another person. (Many said they had both experiences.) 39% of SNS-using adults say they frequently see acts of generosity by other SNS users and another 36% say they sometimes see others behaving generously and helpfully. By comparison, 18% of SNS-using adults say they see helpful behavior ‘only once in a while’ and 5% say they never see generosity exhibited by others on social networking sites.”
Pew, The tone of life on social networking sites: “At the same time, notable proportions of SNS users do witness bad behavior on those sites and nearly a third have experienced some negative outcomes from their experiences on social networking sites. Some 49% of SNS-using adults said they have seen mean or cruel behavior displayed by others at least occasionally. And 26% said they had experienced at least one of the bad outcomes that were queried in the survey. Those bad outcomes were: 15% of adult SNS users said they had an experience on the site that ended their friendship with someone. 12% of adult SNS users had an experience that resulted in a face-to-face argument or confrontation with someone. 11% of adult SNS users had an experience on the site that caused a problem with their family. 3% of SNS-using adults said they had gotten into a physical fight with someone based on an experience they had on the site. 3% of adult SNS users said their use of the site had gotten them in trouble at work because of something that happened on the site. In addition, 13% of adult SNS users said that someone had acted in a mean or cruel way towards them on a social networking site in the past 12 months. Adults are generally more positive and less negative than teens about the behavior of others and their own experiences on social networking sites.”
Pew, The social climate of social networking sites: “White adult SNS users were more likely than blacks to report their overall experience was one of kindness in social networking spaces (88% vs. 77%), and black SNS users were more likely than whites to report that unkindness was the prevalent tone (12% vs. 3%).”
Pew, Altruism vs. nastiness: “Some 39% of adult SNS users said they frequently saw acts of generosity, 36% said they sometimes saw it, 18% said they saw it ‘only once in a while’ and 5% said they never saw it. … When it came to unpleasant behavior on SNS, adults have seen their share, but it tends to be evident to them far less frequently than it is to teen SNS users. … Some 49% of SNS-using adults said they saw mean or cruel behavior displayed by others at least occasionally, far lower than the 88% of SNS-using teens who said they had seen mean or cruel behavior at some point.”
Pew, Offensive language and images: “Nearly three-quarters (73%) said they encountered such offensive content or language only once in a while or never. Specifically, the responses were: 11% of adult SNS users said they saw people using such language and images frequently, 15% said they saw others using such language and images sometimes, 38% said they saw others using such language and images only once in a while, 35% said they never saw others using such language and images. – Minorities, women, parents of minor children, and Millennials were the most likely to encounter offensive language, images, or humor.”
Pew, Positive and negative personal outcomes: “Some 76% of the SNS users said they had at least one of the positive outcomes we queried. Specifically: 68% of adult SNS users said they had an experience on the site that made them feel good about themselves, 61% of adult SNS users said they had an experience that made them feel closer to another person. … On the negative side, 26% said they had experienced at least one of the bad outcomes that were queried in the survey. Again, adult experiences on SNS are less likely to be harmful than the teen experience: 41% of SNS-using teens reported they had at least one negative outcome. … Among adults, some of these anti-social experiences are most prevalent among SNS users in the Millennials generation. This cohort of those between the ages of 18 and 34 was twice as likely as its elders to report that a friendship had ended because of an SNS experience – 21% of SNS-using Millennials said that had happened to them, compared with 11% of all other SNS users.”
Pew, What adults do when they see problems on social networking sites: “It turns out that compared to teen SNS users, adults are somewhat more likely to stand back, not get involved, and ignore the offensive behavior. – For instance, 45% of adult SNS users who have witnessed problems say they frequently ignore offensive behavior on social network sites, compared with 35% of SNS-using teens who say they frequently ignore offensive behavior. Some 34% of adult SNS users say they never confront the person being offensive, compared with 21% of SNS-using teens who never take that step. … Unlike many other aspects of social networking site use, age does not matter when it comes to people’s personal responses when they witness mean or offensive behavior. Young and old have similar patterns of response. However, there is a split when it comes to the behavior of men and women. Men are more likely to ignore a problem they see on a social networking site and women are more likely to respond.”
Pew, What SNS users see others doing when someone comes under attack on a social networking site: “When it comes to the general tone of conversation and interactions on social networking sites, adults often see others ignoring the problems: 45% of SNS-using adults who have witnessed mean or offensive behavior say it is frequently their observation that others just ignore the offensive behavior and another 28% say that others sometimes ignore the offensive behavior. Teen SNS users were even more likely than that to say they observed that others ignored the harassment: 55% of the teens who had seen mean behavior on SNS said that was frequently the response they witnessed. … The one noteworthy demographic factor here is that younger SNS users who had witnessed anti-social behavior on the sites are much more likely to see others join in harassment of someone on SNS than older site users.”
Pew, Second thoughts about posting on social networking sites: “We asked all the online adults in our sample if they had ever decided not to post something online because they were concerned that it might reflect badly on them and 45% reported they had made that kind of decision. Interestingly enough, a greater share of online teens – 55% – had made a similar decision. – Among the online adults who were most likely to decide not to post something because of its impact on their reputation: Millennials (59%), those who live in households earning $75,000 or more (54%), and those with college degrees (51%).”
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Gerrit Eicker
Twitter Agenda: No News from Mainstream Media
News agendas of mainstream media on Twitter: strikingly similar to their analog presences; http://eicker.at/MediaTwitter
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Gerrit Eicker
Amazon Store?
Is Amazon going to open a store in Seattle? Physical bricks around the corner? Clicks to bricks? http://eicker.at/AmazonStore
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Gerrit Eicker
GER: “Amazon sources close to the situation have told us that the company is planning on rolling out a retail store in Seattle within the next few months. This project is a test to gauge the market and see if a chain of stores would be profitable. They intend on going with the small boutique route with the main emphasis on books from their growing line of Amazon Exclusives and selling their e-readers and tablets. – Seattle is where Amazon’s main headquarters is based and is known as a fairly tech savvy market. It is a perfect launch location to get some hands on experience in the retail sphere. … The company has already contracted the design layout of the retail location through a shell company, which is not unusual for Amazon. … The store itself is not just selling tangible items like e-readers and tablets, but also their books. Amazon recently started their own publishing division and has locked up many indie and prominent figures to write exclusively for the company. … This is exciting news and Amazon in a great position to make a strong go out of their retail endeavors. They are starting out local and small mainly to test the waters with the new store, but also to figure out how they’re going to avoid paying massive taxes.”
GigaOM: “The move into retail, if it proves true, would be a big turning point for Amazon and one that ultimately makes sense though the move doesn’t seem intuitive considering Amazon’s online roots. … One of the reasons Amazon has shied away from pursuing retail stores is to avoid charging taxes, something it must do in a handful of states. But increasingly, it looks like Amazon is accepting taxes as inevitable and so there may be fewer barriers to moving into a retail stores. … The upside is that Amazon can let people get hands-on with their products, and they can provide a high level of customer service, especially for its Kindle line of tablets and e-readers. … Amazon has signed deals to get Kindles in a lot of existing retail stores but having its own boutiques could be a way to really highlight its products. … I agree that Amazon needs to think about building out its whole service. It’s not an online seller, it’s a seller. And that means you work to provide the best selling experience possible. … The strategy is not going to threaten Walmart any time soon. I don’t think Amazon wants to go the big box route… It could be that the new store remains just a test and not a long-term bet. But I still think it’s likely that we might see local Amazon stores when all is said and done.”
TNW: “If Amazon is to roll this initiative out permanently and further afield, it will have to feel confident that its profits will be bolstered accordingly, so it will be interesting to see how the associated overheads of running a store will be factored in to its launch strategy. Furthermore, this will have implications on its efforts to sidestep states’ sales taxes on the grounds that it operates online. – Back in December, we reported on eBay’s first bricks-and-mortar store in the UK, a boutique that opened for only five days and saw 2,500 customers arrive through its doors. It didn’t have any tills, and it was pretty much a ‘QR code shopping emporium’, with shoppers able to browse over 350 items provided by a selection of the top-rated eBay sellers, with purchases made using mobile devices.”
RWW: “It’s not a new rumor (it dates as far back as 2009), and it would be a departure from Amazon’s strategy thus far. In December, Launch reported the retail store rumor, adding that Amazon plans to sell its own branded merchandise. Amazon is better known for threatening real-world retail than for promoting it. But Amazon’s moves in the past few months make the strategy seem more sensible. … Amazon has avoided sales taxes by remaining a purely online retailer, giving its customers the incentive of the lowest price. But lately, sales taxes on online purchases have started to seem inevitable, as Amazon’s deal with the state of California shows. Once Amazon resigns itself to sales taxes, that’s one fewer reason not to bring its retail might into physical stores.”
VB: “Rather than being a high-inventory big-box retailer on a Target or Walmart scale, the Amazon store is said to be planned as a boutique carrying high-end, high-profit-margin items as well as the brand’s Kindle line and accessories. – In a way, it would be a bit like the Apple stores one sees in every shopping mall these days, with a few big-ticket goodies in other verticals, as well.”
TC: “This will also encourage the movement from the agent-publisher-distributor model of book publishing into a direct to consumer model that Amazon will spearhead. … As I said before, the Fire is Amazon’s Trojan Horse. However, rather than the wary hold-outs bringing in Amazon’s market by buying the fire, Amazon will bring the Trojans to their own branded stores.”
pC: “The report comes at the same time as bookstore chains Barnes und Noble, Books-A-Million and Canada’s Indigo are saying they will not carry Amazon Publishing titles in their stores, though it is unclear how that boycott will actually be carried out.“
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Gerrit Eicker
Facebook Friendship
Pew: Most Facebook users receive more from their Facebook friends than they give; http://eicker.at/FacebookFriendship
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Gerrit Eicker
Pew: “New study that for the first time combines server logs of Facebook activity with survey data to explore the structure of Facebook friendship networks and measures of social well-being. – These data were then matched with survey responses. And the new findings show that over a one-month period: 40% of Facebook users in our sample made a friend request, but 63% received at least one request, Users in our sample pressed the like button next to friends’ content an average of 14 times, but had their content ‘liked’ an average of 20 times, Users sent 9 personal messages, but received 12, 12% of users tagged a friend in a photo, but 35% were themselves tagged in a photo … ‘The explanation for this pattern is fascinating for a couple of reasons,’ noted Prof. Keith Hampton, the lead author of the Pew Internet report, Why Most Facebook Users Get More Than They Give. ‘First, it turns out there are segments of Facebook power users who contribute much more content than the typical user. Most Facebook users are moderately active over a one month time period, so highly active power users skew the average. Second, these power users constitute about 20%-30% of Facebook users, but the striking thing is that there are different power users depending on the activity in question. One group of power users dominates friending activity. Another dominates ‘liking’ activity. And yet another dominates photo tagging.’”
Pew, Power Users: “Women are more intense contributors of content on Facebook than are men. In our sample, the average female user made 21 updates to their Facebook status in the month of observation, while the average male made six. – Facebook users average seven new friends a month: While most users did not initiate a friend request during the month we looked at their activities, and most received only one, an active 19% of users initiated friendship requests at least once per week. Because of the prolific friending activity of this top 19%, the average (mean) number of friend requests accepted was three and the average number accepted from others was four. Overall, some 80% of friend requests that were initiated were reciprocated. … Facebook users have the ability to unsubscribe from seeing the content contributed by some friends on their newsfeed. Less than 5% of users in our sample hid another user’s content from their feed in the month of our observation.”
Pew, Friends of Friends: “Your friends on Facebook have more friends than you do: In this sample of Facebook users, the average person has 245 friends. However, the average friend of a person in this sample has 359 Facebook friends. The finding, that people’s friends have more friends than they do, was nearly universal (as it is for friendship networks off of Facebook). Only those in our sample who had among the 10% largest friends lists (over 780 friends) had friends who on average had smaller networks than their own. – Facebook friends are sparsely interconnected: It is commonly the case in people’s offline social networks that a friend of a friend is your friend, too. But on Facebook this is the exception, not the rule. … As an example, if you were the average Facebook user from our sample with 245 friends, there are 29,890 possible friendship ties among those in your network. For the average user with 245 friends, 12% of the maximum 29,890 friendship linkages exist between friends. … At two degrees of separation (friends-of-friends), Facebook users in our sample can on average reach 156,569 other Facebook users.”
Pew, Social Well-Being: “Making friends on Facebook is associated with higher levels of social support. Those who made the most frequent status updates also received more emotional support. … One key finding is that Facebook users who received more friend requests and those that accepted more of those friend requests tended to report that they received more social support/assistance from friends (on and offline). … There is a statistically positive correlation between frequency of tagging Facebook friends in photos, as well as being added to a Facebook group, and knowing people with more diverse backgrounds off of Facebook. … Those users from our sample who are intensive Facebook users are more likely to report that they attended a political meeting or rally. … Among these users, participation in Facebook groups, either by being added to a group or adding someone else, is associated with trying to influence someone to vote in a specific way.”
Pew, Facebook Activity: “A consistent trend in our analysis is the lack of symmetry in Facebook activities. On average, Facebook users in our sample received more than they gave in terms of friendships and feedback on the content that is shared in Facebook. However, these averages need to be interpreted in context. This imbalance is driven by the activity of a subset of Facebook users who tend to be more engaged with the Facebook site than the typical user. – Our findings suggest that while most Facebook users in our sample were moderately active over a one-month time period, there is a subset of Facebook users who are disproportionately more active. They skew the average. … In general, men were more likely to send friend requests, and women were more likely to receive them. However, we did not find a statistical difference in the mean number of friend requests sent, received, or accepted between men and women. … Use of the like button is unequally distributed. Because of the intensive activity of the 30% of power users, the people in our sample pressed the like button next to friends’ content on an average of 14 occasions during the month and received feedback from friends in the form of a ‘like’ 20 times during the month. … Friendship numbers drive Facebook activity: Those who have more Facebook friends tend to send and accept more friend requests, receive more friend requests, and have more friend requests accepted. They ‘like’ their friends’ content more frequently, and are ‘liked’ more in return.”
Pew, The Structure of Frienship: “As the common saying goes, a friend of a friend is a friend. But on Facebook this is the exception rather than the rule. … A network density of .12 is low in comparison to studies of people’s overall personal networks. A 1992 study found a density of .36 between people’s offline social ties. We suspect that Facebook networks are of lower density because of their ability to allow ties that might otherwise have gone dormant to remain persistent over time. … We expect that new Facebook users typically start with a core group of close, interconnected friends, but over time their friends list becomes larger and less intertwined, particularly as they discover (and are discovered by) more distant friends from different parts and different times in their lives. … How can it be that people’s friends almost always have more friends than they do? This little known phenomenon of friendship networks was first explained by a sociologist Scott Feld. Not just on Facebook, in general and off of Facebook, people are more likely to be friends with someone who has more friends than with someone who has fewer.“
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Gerrit Eicker
The Public Facebook
Public Facebook: 845M MAUs, 483M DAUs in December – $3,7B revenue and $1B net income in 2011; http://eicker.at/PublicFacebook
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Gerrit Eicker
Facebook, Prospectus Summary: “Our mission is to make the world more open and connected. – People use Facebook to stay connected with their friends and family, to discover what is going on in the world around them, and to share and express what matters to them to the people they care about. – Developers can use the Facebook Platform to build applications (apps) and websites that integrate with Facebook to reach our global network of users and to build products that are more personalized, social, and engaging. – Advertisers can engage with more than 800 million monthly active users (MAUs) on Facebook or subsets of our users based on information they have chosen to share with us such as their age, location, gender, or interests. We offer advertisers a unique combination of reach, relevance, social context, and engagement to enhance the value of their ads. – We believe that we are at the forefront of enabling faster, easier, and richer communication between people and that Facebook has become an integral part of many of our users’ daily lives. We have experienced rapid growth in the number of users and their engagement. … We had 845 million MAUs as of December 31, 2011, an increase of 39% as compared to 608 million MAUs as of December 31, 2010. – We had 483 million daily active users (DAUs) on average in December 2011, an increase of 48% as compared to 327 million DAUs in December 2010. – We had more than 425 million MAUs who used Facebook mobile products in December 2011. – There were more than 100 billion friend connections on Facebook as of December 31, 2011. – Our users generated an average of 2.7 billion Likes and Comments per day during the three months ended December 31, 2011. … Revenue 2011: $3,711B, Net income 2011: $1B”
Facebook, Letter from Mark Zuckerberg: “Facebook was not originally created to be a company. It was built to accomplish a social mission – to make the world more open and connected. – We think it’s important that everyone who invests in Facebook understands what this mission means to us, how we make decisions and why we do the things we do. I will try to outline our approach in this letter. – At Facebook, we’re inspired by technologies that have revolutionized how people spread and consume information. We often talk about inventions like the printing press and the television – by simply making communication more efficient, they led to a complete transformation of many important parts of society. They gave more people a voice. They encouraged progress. They changed the way society was organized. They brought us closer together. – Today, our society has reached another tipping point. We live at a moment when the majority of people in the world have access to the internet or mobile phones – the raw tools necessary to start sharing what they’re thinking, feeling and doing with whomever they want. Facebook aspires to build the services that give people the power to share and help them once again transform many of our core institutions and industries. – There is a huge need and a huge opportunity to get everyone in the world connected, to give everyone a voice and to help transform society for the future. The scale of the technology and infrastructure that must be built is unprecedented, and we believe this is the most important problem we can focus on. – We hope to strengthen how people relate to each other. … We hope to improve how people connect to businesses and the economy. – We think a more open and connected world will help create a stronger economy with more authentic businesses that build better products and services. – As people share more, they have access to more opinions from the people they trust about the products and services they use. This makes it easier to discover the best products and improve the quality and efficiency of their lives.”
Jarvis: “Zuckerberg has his own, social version of Moore’s law – I call it Zuck’s law, though he doesn’t. It decrees: This year, people will share twice as much information as they did last year, and next year, they will share twice as much again. Facebook will expand to more users – from 750 million today to a billion soon? – and users will expand their sharing. Meanwhile, one Facebook investor, Yuri Milner, tells me that advances in artificial intelligence will get better and better at understanding and making use of all the service’s data. It has only just begun. ‘The default in society today still is, OK, I should not share it. The by far default today is that everything’s anonymous,’ Zuckerberg laments. ‘In the future, things should be tied to your identity, and they’ll be more valuable that way.’ There is the master plan.”
RWW: “Facebook shocked no one by filing an initial public offering of its shares today. – The filing was the first glimpse into the company’s inner financial workings and, as expected, Facebook said it would try to raise $5 billion when the company’s shares begins trading – a number that could eventually be raised to $10 billion and would ultimately value the company between $75 billion and $100 billion. – Today marks the day that Mark Zuckerberg goes from being the guy who makes world-changing technology to the guy who makes money. (He could be worth $20 billion when all is said and done). And it also means today is the day you stop being a Facebook user and become a Facebook customer. – That can mean good and bad things for you, the end user. But one thing is certain: Facebook will never be the same again. … A successful Facebook IPO means some restored faith in the social media space. That means more capital and more incentive for the next Zuckerberg to come along and create something earthshaking instead of finishing a degree at Harvard.”
Guardian: “The seismic nature of the Facebook IPO can hardly be oversold. The IPO creates a currency that will allow the company to buy whatever it needs to vertically integrate all the elements of its massive appetites – to be your wallet, your phone, your search engine, your company’s cash register, your entertainment portal, and your publishing platform, as well as your social life. And to do this all in a closed world of protocol enforcement, behavior monitoring and data gathering. – The technology business is an ever-expanding effort at monopoly and control: Microsoft sped past Apple to grab the desktop; Google sped past Microsoft to control the internet itself; Apple reappeared to control mobile devices. Now Facebook seeks to control pretty much … well, you. … That’s, of course, the ultimate Facebook sell: Mark Zuckerberg, a true American savant – Steve Jobs, but better even (and not so nasty) – has created a wholly-owned internet, which can not only monitor behavior but can encourage it, and regulate it, and dominate so much of it that Facebook inevitably becomes the platform for modern life.”
NYT: “With sharing at the center of Facebook, and the new new Web, analysts also wonder if the constant chatter will create too much white noise. As psychological barriers to sharing fall and companies become more deft at leveraging social media, there’s a legitimate concern that platforms, like Facebook, will be less valuable without the proper filters. User growth has slowed in some mature markets. – ‘What are the limits of sharing?’ said Ms. Yi, of the Altimeter Group. ‘At what point does the presence of all these partners on Facebook, all this sharing, begin to degrade the quality of the site overall?‘”
GigaOM: “Brad Silverberg, a veteran of Microsoft and other tech companies and general partner at Ignition Partners, a Seattle-based venture fund, thinks that the IPO could have a corroding influence on the company culture. … Facebook – Mark Zuckerberg’s Hacker Way missive not withstanding – is a lot more mercenary and materialistic. And part of that means employees are likely to cash their chips and run, only to place them on some new startups. And whichever way you look at it, I am pretty sure 2012 is going to be one heck of a ride. Buckle up!”
FC: “Zuckerberg first love has always been the Facebook product itself. There’s nothing he loves more than rolling up his sleeves and getting down and dirty with a set of mockups and a prototype or two. So while the Zuck will toss on the old jacket-and-tie and tap dance through the IPO dog-and-pony, as soon as it’s all over, it’ll be back to Menlo Park and the product, while COO Sheryl Sandberg (and CFO David Ebersman) continue to sweet talk advertisers and analysts alike.”
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Gerrit Eicker
Guardian: “So is Facebook worth it? After a fevered day and evening reading the S-1 document filed with the US securities and exchange commission (SEC) – an event that proved so popular online that the SEC had to devote an extra server to handling demand – the answer seems to be that it’s not worth $100bn (£63bn), but it might be worth $75bn. … Analysts say it can’t continue: ‘The hypergrowth is probably over,’ said Michael Pachter, head of research in the private shares group at Wedbush Securities. ‘The low-hanging fruit of the western developed world’ has already been grabbed, he said. ‘It’s just kind of obvious that they’re not going to ever get every single person that lives on the planet.’ … Some analysts believe that Facebook’s reliance on advertising is a weakness. … And Facebook is now wandering among giants – with one in particular eager to crush it. Google’s annual revenues in 2010 were $38bn, ten times larger than Facebook’s, and almost all of that comes from advertising. Google is setting up its own social network, Google+, and trying to tempt people away from Facebook through come-ons in its search results in the US which have pushed Facebook results down.”
VB: “‘The issue of click-through rate was not mentioned as a risk in the S-1,’ said Peter Adriaens, a professor of entrepreneurship at the University of Michigan’s Zell Lurie Institute for Entrepreneurial Studies. That omission stood out for the Internet IPO expert because research suggests that the percentage of Facebook users who actually click on ads is quite low, and that means advertising dollars could eventually drop. – Facebook does not publish its average click-through rate (CTR), but independent analysis from Webtrends on more than 11,000 Facebook campaigns showed that the average CTR for Facebook ads in 2010 was 0.051 percent, which is about half the industry standard CTR of 0.1 percent. The rate, according to the Webtrends report, dropped from 0.063 percent in 2009, which points to a downward trend. … ‘(Facebook) talked about the risk of privacy laws … but what was not mentioned is that the European Union issued a list of 35 requirements related to privacy that Facebook is going to have to adhere to,’ Adriaens pointed out. ‘(Facebook) can’t automatically collect the data that it might be collecting in North America … so what I see going forward is this challenge … of having to deal with very fragmented privacy laws. Those privacy laws are directly going to affect the value of Facebook’s data to its advertisers.’”
GigaOM: “Of Facebook’s 845 million monthly active users (MAUs), 425 million accessed Facebook in December alone through a smartphone or feature phone app or through its mobile-optimized website. In 2011, 85 percent of Facebook’s $3.7 billion in revenues came from advertising, but none of it came from its mobile platforms, over which it doesn’t serve up display ads. Despite that huge gap, Facebook is doing nothing to discourage the shift in use to handsets and tablets… As the S-1 points out, most Facebook members use mobile to supplement their PC activity, not replace it, so the company does ultimately put its ads in front of their eyes. But that won’t always be the case. … Facebook’s problem has an easy fix: It can simply start putting ads in its mobile apps and website. … My guess is that Facebook just doesn’t want to put apps into its mobile products – at least not yet. There is limited real estate on a handset screen, and Facebook probably doesn’t want to clutter up its slick interfaces with display ads, especially while it is still formulating its mobile strategy. … Either way, Facebook’s filing makes it clear that it has to do something to monetize its mobile traffic soon. The company will soon be public, and while it will likely be controlled by Zuckerberg and those loyal to him, investors will question why Facebook is devoting so much effort and so many resources to building a mobile business it makes absolutely no money from.”
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Gerrit Eicker
Winer: “To me Facebook already feels over. I really don’t feel like I’m missing anything. Look at it this way. There’s lots of stuff going on right now that I’m not part of. That’s the way it goes. Me and Facebook are over. It’s going to stay that way. And if I’m on a ship that’s sinking, well I’ve had a good run, and I can afford to go down with the ship, along with people who share my values. It’s a cause, I’ve discovered, that’s worth giving something up for.”
Boyd: “Facebook is the new AOL, despite the market cap. But it’s headed for a hard landing for other reasons than Winer is pushing. Facebook will fail because of the imminent rise of social operating systems – future versions of iOS, Mac OS X, and Android – which will break the Facebook monolith to bits.”
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Gerrit Eicker
Mobile Commerce
Pew: 52% of adult cell phone owners make their in-store decisions mobile, 19% purchase online; http://eicker.at/MobileCommerce
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Gerrit Eicker
Pew: “More than half of adult cell phone owners used their cell phones while they were in a store during the 2011 holiday season to seek help with purchasing decisions. During a 30 day period before and after Christmas: 38% of cell owners used their phone to call a friend while they were in a store for advice about a purchase they were considering making, 24% of cell owners used their phone to look up reviews of a product online while they were in a store, 25% of adult cell owners used their phones to look up the price of a product online while they were in a store, to see if they could get a better price somewhere else… Taken together, just over half (52%) of all adult cell owners used their phone for at least one of these three reasons over the holiday shopping season and one third (33%) used their phone specifically for online information while inside a physical store – either product reviews or pricing information.”
Pew: “There are a number of demographic patterns in these survey findings. Specifically: Cell owners ages 18-49 are significantly more likely to use their phones for online product reviews than are cell owners ages 50 and older. Cell owners ages 65 and older are especially unlikely to do this-just 4% did so this holiday season. Urban and suburban cell owners are roughly twice as likely as rural cell owners to have recently used their phone to look up online reviews of a product they found in a physical store. Non-white cell owners are more likely than white cell owners to look up online product reviews, and those who have attended college are more likely to do so than those who have not. … Online price matching and looking up online reviews frequently go hand in hand. Overall, of the 33% of cell owners who used their phone recently in a store to look up either product reviews or prices online, roughly half (representing 17% of all cell owners) used their phones to engage in both of these activities. … One in five ‘mobile price matchers’ ultimately made their most recent purchase from an online store, rather than a physical location – When asked what happened on the most recent occasion where they used their phone to look up the price online of a product they found in a store, these mobile price matchers point to a range of outcomes: 37% decided to not purchase the product at all, 35% purchased the product at that store, 19% purchased the product online, 8% purchased the product at another store”
GigaOM: “This last piece of data shows the challenge for retailers, who lost about 5 percent of transactions that began with online price research, even though they have the customer in-store. That’s something that retailers have been increasingly sensitive about, especially with promotions like Amazon’s holiday offer to knock off $5 from certain products if users checked prices through Amazon. But the data also show how retailers can fight back. They obviously need to be aware of prices online, and they may look at ways to lower prices or match online prices in-store to remain competitive. … The challenge is still considerable for retailers of all sizes. Having consumers walk in with connected computers in their pocket means many of them can find a potentially better deal online or in another store. But retailers should be thinking about how to satisfy their customers’ shifting buying patterns. … It’s definitely going to be harder for physical retailers in this new mobile-enhanced shopping era but there’s still ways to compete as buyers get a lot smarter.”
RWW: “The strategy revolves around having a strong mobile Web presence. That does not necessarily mean an actual native app. If you are in a retail store researching with your phone and you Google the product, the retail store should be one of the first results. With the location abilities of smartphones, the search could even tell you what store or neighborhood you are actually in. The retailer could then be able to offer a deal or an incentive to buy and offer to complete the transaction through the device. The mobile Web app could hook into your mobile wallet and bill you directly or instruct the consumer to see the cashier where payment could be made by either near field communications (NFC) or by scanning a QR code. The idea is to control both the research and the transaction. Channel the consumer to your product.“
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Gerrit Eicker
Publishing Timing
SocialFresh: When is the best time to publish online? To achieve social shares? Traffic? http://eicker.at/PublishingTiming
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Gerrit Eicker
RWW: “When’s the Best Time to Blog und Share? – Anyone who spends their day on the Internet inevitably wonders this question. Should I start publishing later in the day, to hit the after-work traffic? Should I publish earlier in the morning, to catch commuters while they’re on the way to work? Or is everything completely random, driven by the off-chance that a post will end up on StumbleUpon and enjoy a slightly longer tail? Social sharing widget Shareaholic looked at its 2011 data, breaking it down to the top 100 days and times for sharing. See the results in Eastern Standard Time. … As most blogs know, the best time of day for social shares is between 8am and 12pm ET. Shareaholic’s data confirms this, showing that the most shares occur at 9am ET, moments before East coasters step into their offices to start the workday. Traffic declines throughout the day, spiking back up again around 9pm, and then slowly tapering off. Evidently, the best time of day to blog for pageviews is also 9am ET.”
SF: “Great content gets shared. Right? – But does the time and day that you publish that great content affect how much it gets shared or how many times it gets viewed? … We have some awesome data from Sharaholic on top days and times for getting your content seen and shared online. … If everyone is viewing content the most at 9am EST (they actually are), make sure your content is published and ready to be viewed shortly before then. … We wanted to take a look at two main metrics, social shares and traffic. If you want to mainly grow your social presence, getting more shares might be your goal. And for many, traffic is their biggest driving force. … Thursdays win out for the day with the most sharing. Social sharing in general is somewhat unpredictable pattern wise. But Thursday wins 10% more shares than all other days. In fact, 31% of the top 100 social share days in 2011 fell on Thursday. … In general, content later in the week looks to do better with sharing. … Pageviews also progress in a predictable order. Monday was top, then Tuesday is second, then Wednesday, then Thursday. We simply view more content on Monday and less as the week goes on. … 27% of all content shares occur between 8am and 12pm EST. – There is a spike at 9am and 10am and then a decline the rest of the day. There are also smaller but significant spikes in sharing at 2pm and 9pm EST. … The best time to blog for pageviews and social shares shares a lot of common ground, unlike the best day of the week. – Blog posts get the most views between 7am and 1pm EST on weekdays. The drop off of traffic is significant after that segment. … Also, use your analytics software to see what time zones read your content when.”
SF: “How to Increase EdgeRank and Add Fans in the Facebook Timeline – Historically, social marketers have widely accepted that once-per-day posting on Facebook was the right frequency of distribution to use to engage their Facebook fans. – A recent study conducted by bit.ly makes us think twice about this assumption, finding that the average shelflife of an update on Facebook is 3.2 hours before it disappears into the timeline and is no longer visible to users. … Using two different Facebook tools, we were able to determine the peak times when the fan volume for our page was high. – The combination of EdgeRank Checker and PageLever provides us insights that tell us the peak times that allow us to get our updates in front of as many fans as possible at the times they were logging on to check Facebook. – The best fan engagement time slots found were a spike between 6am and 8am and 6pm to 11pm.“
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Gerrit Eicker
Twitter Censorship
Twitter censorship becomes nationalised: starts censoring tweets country by country; http://eicker.at/TwitterCensorship
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Gerrit Eicker
Twitter, 2011: “The Tweets Must Flow – The open exchange of information can have a positive global impact. This is both a practical and ethical belief. On a practical level, we simply cannot review all one hundred million-plus Tweets created and subsequently delivered every day. From an ethical perspective, almost every country in the world agrees that freedom of expression is a human right. Many countries also agree that freedom of expression carries with it responsibilities and has limits. – At Twitter, we have identified our own responsibilities and limits. There are Tweets that we do remove, such as illegal Tweets and spam. However, we make efforts to keep these exceptions narrow so they may serve to prove a broader and more important rule – we strive not to remove Tweets on the basis of their content. – Our position on freedom of expression carries with it a mandate to protect our users’ right to speak freely and preserve their ability to contest having their private information revealed.”
Twitter, 2012: “Tweets still must flow – As we continue to grow internationally, we will enter countries that have different ideas about the contours of freedom of expression. Some differ so much from our ideas that we will not be able to exist there. Others are similar but, for historical or cultural reasons, restrict certain types of content, such as France or Germany, which ban pro-Nazi content. – Until now, the only way we could take account of those countries’ limits was to remove content globally. Starting today, we give ourselves the ability to reactively withhold content from users in a specific country – while keeping it available in the rest of the world. We have also built in a way to communicate transparently to users when content is withheld, and why. – We haven’t yet used this ability, but if and when we are required to withhold a Tweet in a specific country, we will attempt to let the user know, and we will clearly mark when the content has been withheld. As part of that transparency, we’ve expanded our partnership with Chilling Effects … which makes it easier to find notices related to Twitter. … One of our core values as a company is to defend and respect each user’s voice. We try to keep content up wherever and whenever we can, and we will be transparent with users when we can’t. The Tweets must continue to flow.”
GigaOM: “The company said laws around what content is legal to distribute differ from country to country, and the new system will allow it to remove tweets only for users in a specific area, rather than censoring the entire network. But no matter how Twitter phrases it, this news is going to concentrate attention on one thing: that a corporate entity, however well-meaning, controls which tweets are seen or not seen. … Of course, making it public didn’t help Twitter in its fight to resist the court order – in the latest decision in the case, a court ruled that it would have to turn over the data, which includes IP addresses and email addresses – but at least it made it obvious what was happening. … That said, however, the reality is that Twitter has just opened itself up to all kinds of conspiracy theories about what tweets it is or isn’t withholding – and on whose behalf it is removing them. … More than anything else, Twitter’s announcement highlights both how integral a part of the global information ecosystem it has become, and how vulnerable that ecosystem can be when a single entity controls such a crucial portion of it. How Twitter handles that challenge will ultimately determine whether it deserves the continued trust of its users.”
RWW: “In an email, Twitter spokesperson Jodi Olson said the company was not backing off its commitment to free expression. – ‘Just to be clear, this is not a change in philosophy and there are still countries to which we will not go,” Olson said. ‘We hold freedom of expression in high esteem and work hard not to remove Tweets.‘ – The three major, U.S.-based social networks are all currently banned in China, a country analysts all agree is crucial for future growth. While Twitter’s post did not specifically mention China, it clearly positions the company ahead of Facebook and Google+ in articulating a career policy for handling content that may rile Chinese government officials. … ‘This launch gives us the ability, when we have to, in response to a valid legal request, withhold a Tweet in a specific country and to keep that Tweet visible for the rest of the world,’ Olson said Thursday. ‘Our policy in these cases is to 1) promptly notify the affected users, unless we are legally prohibited from doing so; 2) withhold the content in the required countries only, rather than worldwide; 3) clearly indicate to viewers that a Tweet or Account has been withheld, and 4) make available any requests to withhold content through our partnership with Chilling Effects.‘”
VB: “Should you believe the company’s assertions (and we do), you can boil it all down to this: Twitter has craftily granted itself the ability to honor the requests it has to in order to remain operable in some countries and yet still simultaneously uphold its commitment to freedom of expression. – Twitter has also made a promise to be more forthcoming with members about any tweets it decides to withhold from them. The company has decided to make public a page with a record of cease and desist orders, and will attempt to let a user when his or her tweet is withheld.”
TC: “In a way, it’s a good solution: countries where it is forbidden to speak ill of God or well of Hitler will now be able to extend those restrictions to Twitter. But, on the other hand, countries where it is forbidden to speak ill of God or well of Hitler will now be able to extend those restrictions to Twitter. … The problem is that in a way, that is worse. Twitter, and the net in general, are by nature a global communication platform. National conflicts on the internet (for example, an album being released in October in the UK and December in the US) are strange and illogical. Before this announcement, Twitter was a global platform on which something was either said or not said, on a global scale. Now, Twitter’s new power to enforce censorship depending on your country both legitimizes the blocks and concedes international territory specifically to countries that ‘have different ideas about the contours of freedom of expression.’ This diplomatic casting of the restriction of speech, from a company that is built around the idea of free communication, is troubling. … A meta-national community like Twitter must both transcend and respect its constituent parts, and that requires some tough decisions. Let’s hope they made this decision with the promise of better global communication in mind.“
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Gerrit Eicker
Nimble
Turn your social communities into customers: Nimble social CRM platform for unified communications; http://eicker.at/Nimble
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Gerrit Eicker
Nimble: “Today, business has changed. With the advent of social media, email, IM, text messages and more, businesses are overwhelmed by the myriad applications needed to listen to and engage with their customers. The question is no longer how to stay connected – but how to efficiently and cost-effectively build business relationships given multiple communication channels. From that new need sprang Jon Ferrara’s latest innovation: Nimble. … After two years of development and thousands of real world users, Nimble has emerged as the next evolution in relationship management – the only web-based solution that brings together all of your contacts, calendar, communications and collaborations in one simple, free platform. – Nimble’s core benefit lies in its ability to unify email, calendar activities and the most popular social channels (LinkedIn, Facebook and Twitter), and automatically link this functionality to business contacts. Instead of jumping from application to application, small businesses now have one solution that can help them find individuals relevant to their business – no matter where they are on the Web – listen and engage with those individuals in any number of ways, and build relationships that can lead to opportunity.”
Nimble: “View core contact information, and all activities, emails, notes, and social conversations related to that contact, in one clean and simple screen. – Nimble will automatically identify contact’s social profiles on Facebook, LinkedIn, and Twitter so that you and your team can easily connect, listen, and engage with your most important business associates. – With Nimble, you can send messages, add tasks and events, edit or download the contact profile…right from the contact’s profile window. … Listen to all of the relevant conversations happening in your social networks. Connect with your community from one unified inbox. – Listen to all of the relevant conversations happening in your social networks. – Nimble’s message screen gives you plenty of options for engaging contacts. Quickly create tasks, schedule events, or reply to messages using the most popular social platforms. … Create and delegate tasks to team members with ease. See who assigned the task, or keep track of team member tasks by viewing their calendars and to do lists. … Nimble unifies your social streams and conversations from Facebook, LinkedIn and Twitter. Now you don’t have to go to three different places to listen, engage, and build trusting relationships. … Extend the power of Nimble with these great products from our Integration Partners. Offering lead capture and analytics, email marketing support and more, Nimble’s add-ons give your business even more ways to close the marketing and sales loop: MailChimp, Wufoo, HubSpot”
TC: “Jon Ferrara thinks Salesforce is doing it wrong when it comes to social. The founder of Goldmine, a CRM company he sold for $100 million nearly a decade ago, is attacking the market a different way with his latest startup, Nimble. ‘We are effectively Salesforce but social,’ he says, taking a jab at what is now the 800-pound gorilla. – Salesforce would counter that it has Chatter and Radian6, but punching up is always a good way to get noticed (just ask Marc Benioff, who became a billionaire tussling with Microsoft and Oracle). … Nimble isn’t going up against Salesforce head-on. That would be stupid. Instead, it is trying to nail the social component of business communications. Nimble is an enterprise social platform built around contacts, calendars, and communications (both internal and external). It ties together email with social streams (Twitter, Facebook, LinkedIn) and puts it all into one interconnected database. … A better way to think of Nimble is as a social contact and communications database which ties into other enterprise and social services. Today, it pulls in messages from Gmail, Twitter, LinkedIn and Facebook. With its next release, it will pull integrate with HubSpot (which turns website visitors into sales leads), Infochimps (datasets), and WuFoo (online forms).”
VB: “CRM systems act as a database of people you have been in contact with. From quick e-mail conversations to full out meetings, this often cloud-based software – the best-known vendor of which is Salesforce.com – is your little black book of sales. But because of how many different ways there are to connect with people, along with how many different people we can reach with the advent of social media, customer relationship management has become extremely messy. – Nimble’s solution takes your e-mail, calendar, social networks, business networks, and a number of other points of connection and aggregates them into its software. But even with all of these integrations, CRM systems are static, one-way streets. That’s where Nimble’s changes start. … With the topic of ‘big data’ floating around, Ferrara wanted to touch on not just what you could do or enter into Nimble, but rather what Nimble could tell you. Currently, Nimble’s system sends out daily e-mails announcing a contact’s birthday, job change, or other tid bits of information. But it will soon add alerts to let you know about possible relationship changes with your contacts.”
Comparz: “Nimble’s account set-up, contact-importing and profile-building features are largely automatic and at least as easy to use as those of leading competing offerings. The Nimble interface offers fewer configuration options than those of some other offerings, but is clean and easy to navigate. Nimble’s ability to let users post to Facebook, LinkedIn and/or Twitter and to create e-mails from within the same interface offers more flexibility and agility in integrated management of communications and social networks than available from most leading alternatives. … Nimble goes beyond social media management, adding collaboration, sales and marketing features and consolidated communication options not available with other leading alternatives. Those interested in converting social networking contacts into engaged relationships, business or personal, should look closely at Nimble (and keep tabs on promised enhancements such as add-on applications and campaign management features).”
CRM Idol: “While Nimble is only two years old, it seems like it’s been in the making for the past two decades. The founder, Jon Ferrara, is one of the pioneers of the industry; he was one of the co-founders of Goldmine (contact management application). And that experience, along with his passion for relationship building is at the heart of the company, and the product. … Nimble builds on the valuable experience the core management team obtained while building Goldmine. That experience combined with the organization’s social philosophy has led to a unique application that delivers a nice set of services to SMBs needing to be social and do business. The approach to creating a community of developers and integration partners – as well as relationships with local resellers from the Goldmine days- provides Nimble with an ecosystem most small vendors don’t have at their disposal. Nimble also has the financial resources to compete in the SMB market, which puts them in a great position to succeed in the space – that is unless somebody snaps them up in the near future.“
Gerrit Eicker 14:40 on 13. February 2012 Permalink |
PEJ, Who Advertises on News Sites and How Much Those Ads are Targeted: “A new study of advertising in news by the Pew Research Center’s Project for Excellence in Journalism finds that, currently, even the top news websites in the country have had little success getting advertisers from traditional platforms to move online. The digital advertising they do get appears to be standard ads that are available across many websites. And with only a handful of exceptions, the ads on news sites tend not to be targeted based on the interests of users, the strategy that many experts consider key to the future of digital revenue. – Of the 22 news operations studied for this report, only three showed significant levels of targeting. A follow-up evaluation six months later found that two more sites had shown some movement in this direction, but only some, from virtually no targeting to a limited amount on inside pages. By contrast, highly targeted advertising is already a key component of the business model of operations such as Google and Facebook.”
PEJ, Who is Placing Ads? – “Who is buying ads on news sites? The answer reveals part of the trouble the news industry is having findings its way in the new marketplace. Across these 22 news sites, the biggest single advertiser is the news organization itself or its parent. Ads promoting the organization’s own products, known as ‘in-house ads’ in industry terms, accounted for 21% of the online ads studied – more than any category. … The magazine websites studied here (time.com, newsweek.com, economist.com and theatlantic.com) ran the largest percentage of in-house ads, fully 50% overall, from economist.com at 40.1% on the low end to time.com at 56% at the high end. In the print version of these magazines, by contrast, 10% of the ads were promoting the magazine or its company (Time magazine 11%, The Economist 13%, Newsweek 4%, and The Atlantic’s print edition contained no self-promoting ads). – Newspapers contained the second-highest level of self-referencing advertising, 21% of the Web-based ads versus 9% of their print ads. … For these print-related outlets, though, the heavy reliance on self-promoted ads could reflect two different factors. First, the newspaper industry still relies on its print product for the vast majority of its ad revenues. At the end of 2010 (the latest data available) fully 88% of overall newspaper revenue came from the print product versus just 12% from the Web. … Another phenomenon could be the inability of the industry to draw advertisers-and thereby ad revenue-to their online space.”
PEJ, The Financial Industry: “The second biggest category of advertising online was one that played a fairly small role for news in legacy platforms, the financial industry. Ads for financial products or services accounted for 18% of all Web ads captured, more than triple that of the next biggest category, toiletries and cosmetics (5%). And on more than half of the sites, 12 out of 22, financial ads ranked first-above self-promotion. … These numbers stand in contrast with the small role financial advertising plays in most of the legacy platforms studied. Only magazines contained more financial industry advertising in their original platform than online.”
PEJ, Targeting: “The customization or targeting of ads based on audience data is one of the newer ways to serve advertisers interests-helping those selling goods to reach consumers perceived to be the most likely to be interested in and thus to act on their ads. In targeted advertising, in other words, the ads one person gets will differ from what another person receives, depending on their online purchase history, location and/or personal habits, even if they click on the same website at essentially the same time. … Overall, only a handful of sites exhibited high levels of targeting. A few more had a moderate level of targeting. Most showed no signs of targeting at all. … Overall, just three of the 22 sites exhibited high levels of targeting, defined here as at least 45% of the ads were different from one user to the next. … One question that emerges is whether targeting has more or less natural appeal on some websites than others. In other words, do national sites with their larger and more diverse audience pools lend themselves more naturally than smaller sites to the benefits of ad targeting? … Finally, on a few sites, there was evidence of another method of targeting-not according to users but according to news story. On a number of occasions, there was a close relationship between the content of the story and the ads displayed.”
PEJ, Use of Discount Sites/Coupons: “About half of the sites studied, 16 of the 22, carried some discount/coupon advertising. But on only five did discount ads make up more than 10% of all the ads studied. For the most part, sites that created their own discount programs tended to rely on these ads more. … Among nationally oriented sites, Yahoo News carried the greatest percentage of discount/coupon advertising, 15% of the ads studied. The majority of these were from the national services Groupon and LivingSocial. – The other two sites with the highest use of discount advertising, the Toledo Blade and Los Angeles Times, have created their own daily deal operations to compete with the national companies. … These were the only two sites in our sample that had tried their own daily deal style business, but they are certainly not alone. Various papers now have their own Groupon-like services…”
PEJ, Format: “That leaves banner ads, classifieds, video and rich media as the four main kinds of ads news sites can offer advertisers. – Banner ads, the oldest form of advertising on the internet, make up the second largest percentage of ads on the internet (24% of total online advertising revenue). Going forward, most market analysts expect banner ads will represent a smaller portion of online advertising than search, but the category is still expected to grow. For instance, eMarketer predicts that banner ads will increase from $7.6 billion in 2011 to $11.7 by 2015, a bright spot for the news online. … Across these 22 news sites, that same tendency toward banner ads emerged; static banner ads made up nearly half (46%) of all the ads on news websites. Some differences in the style of ads used did emerge-mostly according to the legacy media genre, though individual sites did at times stand apart from their media brethren. … The Washington Post, on the other hand, relied on banner ads for just 18% of the ads studied. Instead, the site used sponsored links far more than others, 66%. Two other national papers, USA Today and the Los Angeles Times, also used sponsored links more than static banner ads.”