Tag: Facebook Connect

  • Change is here, hard cash?

    The question I posed on the Digital Marketing India group in LinkedIn, on whether advertisers would consider Facebook a better place to spend than Twitter, post the FB redesign, yielded a good discussion. Inevitably, the discussion entered the territory of whether the redesign would alter the status of the differentiated audience that each provides, and therefore the monetisation opportunities that both could develop.

    My post last week dealt more with my usage patterns on both services. I think that usage patterns would drive the kind of conversations and the context, and therefore be a major factor in deciding revenue streams. While on Facebook, we start with known friends, and then add layers to the relationship, the opposite happens on Twitter – you discover people with common interests and then the conversations evolve. It makes me wonder what really is the magic of Twitter – real time interactions, the discovery of people, or the ability to have conversations without revealing a lot of one’s profile. While most of the Facebook redesign conversation is happening around real time, and upgraded fan pages, the upgraded privacy settings which allow ‘follow’ without friending could be the feature that  gives FB the most commonality with Twitter.

    Mark Zuck had this to say about real time  – “the pace of updates accelerates. This creates a continuous stream of information that delivers a deeper understanding for everyone participating in it. As this happens, people will no longer come to Facebook to consume a particular piece or type of content, but to consume and participate in the stream itself.” Facebook might be trying to equalise Twitter’s advantages, and as per Erick Schonfeld on TechCrunch. “Facebook doesn’t want Twitter to become the way large companies and public figures connect to fans.”. (via Adage)

    But I have a few concerns on this. Will the crowd be able to handle the deluge of items on their newsfeed, even with the filters being provided? In Twitter, the stream is everyone’s base (it differs based on the people one is following, but there is a public stream too) When conversations happen simultaneously in various ‘crowds’, they are connected by devices such as hashtags and RTs. In Facebook, the individual’s profile/home page is the base, so how does the connection of conversations happen? On the fan page, but there seem to be a few issues there? Groups could help in providing this base for a lot of conversations, but there are no updates as far as groups go. Lastly, as a user of both networks, I wonder if I can have the impromptu conversations that I have on Twitter, on Facebook. The third party clients that have been developed for Twitter have made sure that users have a wide array of options for their interface. Is that a major factor in boosting these conversations. Perhaps. (via Sampad)

    During the discussion, Sanjay pointed out that Facebook provides multiple engagement spots , and with the redesign, it could integrate the large user profile it already has with the real time stream to offer more accurate brands/ads placement. I’d like to add one more data component in this mix- Facebook Connect. According  to TechCrunch, work is already happening on the “Facebook ads + Facebook Connect = Social Ad Network” concept.

    Facebook has, as part of the new design also brought in location and language based targeting capabilities for advertisers. RWW also notes that, thanks to the Facebook Connect integration with Brightkite (a mobile social networking service), there are possibilities of hyperlocal targeting in the near future. The other market that would open up in the future could be based on the language versions. (Facebook is working on five Indian languages, for example) While Facebook has been making changes, basis features from Twitter and Friendfeed, it might also be to their benefit to look at an old adversary – MySpace. Though, at 236 million users, Facebook is rapidly leaving MySpace behind, the latter seems to have pipped Facebook as far as time spent on the site goes. It needs to be seen whether the new design will change that statistic too. Mashable has a post on the challenges and opportunities that the Facebook redesign throws up for brands. A consolidation, like streamlining the search function to aid easy tracking of conversations, might have to be done soon, to enable brands to utilise the service’s redesign better.

    In the discussion at LinkedIn, I had also brought up Stuart’s very interesting post on Twitter emerging as a personal advertising medium, which led me to wonder if large brands would gravitate towards Facebook, since they give a more structured way of interaction and small brands/individuals would use Twitter for promotions/advertising. But as Sanjay pointed out, Twitter would then, still have a revenue problem. 🙂

    Twitter is growing..and fast. Going forward, Twitter would need to watch Facebook carefully and choose a course that uses a different set of parameters for clustering users, and so deliver a differentiated audience, by usage or some other criterion, to create revenue streams. This could mean buying out a few services that complement the simple proposition that Twitter offers or helps measure brands’ activity on the service. Though I had mentioned that the big brands might want to look at Facebook because of the more structured approach,there are several brands already active on twitter. Like I said earlier, different user behaviour and contexts might mean that brands have different uses for Facebook and Twitter. While on the subject, check out Mashable’s cool sociable ads concept, and the debate about paying to be in the list of  suggested accounts to follow. (a list of 100 provided by Twitter to new users to start them off on the service)  It opens up a new line of thought. What if Twitter could find a way to serve real time contextual tweets on blogs, websites etc, perhaps as a (Twitter combination version of Google Search + Sponsored ads- if a brand wishes to be seen in a particular keyword context, for starters) widget. Let me think a bit more on that.

    Meanwhile, what brands should think about, is that in all this real time information overload on various services, they should not lose focus of what they are, and what their objectives are. Like I’ve said earlier, tools cannot replace strategy.

    until next time, some real time comments? 🙂

    PS. Must Read: A great Twitter FAQ list from Jeremiah

  • For a few dollars more…

    This won’t be the first time I’ve written about Twitter’s revenue model, and I suspect it won’t be the last. In fact, the last time I wrote about it, it was in the context of the deal that almost happened between Facebook and Twitter. Its been a couple of months, so I thought its a good time to check what both have been upto on the subject of revenues.

    There was a scare recently on how Facebook is going to make money by selling users’ data, but that turned out just to be misinterpreted statements, based on a demo that they did at Davos to show real time crowd insights, and had nothing to do with the Engagement Advertising model. Facebook has been growing very fast, (stats) and though this is claimed to be a demo, real time insights (permission based) from the exact target audience could indeed add a lot of value to brands, and any other entity that could be interested in data. Market research firms should actually be working with Facebook and starting to develop pools specific to their client’s audiences. With Facebook implementing the Friendfeed style ‘Like’ feature, the tools are becoming as simple as possible.

    Meanwhile, I also wonder about the data that could come from the sites that have been tied through Facebook Connect, especially since there are some big names in their respective fields. This could reveal a lot more about the individual’s interests – basis his interaction with the other sites, and that data would be easier to handle since in many cases the site’s content would dictate the context, unlike the generic data that could be picked up on Facebook itself. This would be an interesting space to watch, and that’s an understatement.

    A simple yet possibly history making story of how Twitter was made. And in another simple yet profound statement, Seth Godin described it as a protocol. And yet another good one which describes it as a social experiment. Which then raises the question of how a revenue model can be made for this protocol or experiment. As someone once said, “Twitter is what you make it to be”. There are pains too. Twitter’s humble origins and the scale envisioned may not have made a vision mandatory then, and there is also talk that Twitter could ‘go for years’ without earning, but to survive in the long term, Twitter does need a vision, one that’d then give some direction for its revenue model.

    There have been many entities trying to use the stream for transmitting ads, adCause and TwitterHawk, being the latest, but honestly, it does seem like a force fit. But I’ll admit that the location+context based approach of TwitterHawk does seem very interesting. In fact, there have been many apps built around Twitter, some of which require the user to give the Twitter password to use the service, and there have been security problems thanks to that too. Hopefully that’ll get sorted out once OAuth is implemented, perhaps we’ll see a new generation of mashups too, leading Twitter towards a revenue model. Here are some very interesting thoughts on Twitter, including searching conversations based on category, and a marketplace around conversations and real products. Its interesting to note that brands have already begun experimenting with Twitter, and with tangible expectations, as the recent Dell promo of exclusive deals shows.  More likely to follow that model with the launch of TwtQpon. In this context, check out CheapTweet too. Meanwhile, here’s a good set of thoughts for Twitter revenue.

    Twitter Contest-Denuology Entry94 Update

     

    With enterprise versions (Yammer)and even college versions (Wiggio), Twitter needs to hurry, if it does not want to lose out segments altogether. This story about Twitter thinking about charging brands is turning out to be true. I can imagine those social media evangelists within organisations groaning already!! But all the best, and we await the Business Product Manager. 🙂

    While Twitter scores on the real time aspect (my opinion since I use both) Facebook offers a lot more easily available data on an individual’s demographics, interests etc. The other parameter is that while Facebook is being adopted by the masses easily, Twitter does require a bit of getting used to. Facebook might have to sweat a bit to crack real time, and Twitter would have to do many things – consider scaling up groups to other regions, have better ways of segregating conversations and data mining.  But in the end, it all does seem to boil down to using real time information of potential/existing consumers, with precise demographics and interests based targeting.

    We keep saying that social media and its tools are all about the human touch, and the personalisation. And brands utilising these platforms should understand that. I wonder if the same applies to revenue models too, and whether this extreme customisation will mean that both these networks will find it difficult to conceptualise and then implement, revenue templates, that will fit all.

    until next time, money makes the social world go around 😐

  • Brands among sheep

    A few days back, I read a post on Adage, about how Facebook has become a place to collect friends. A large part of the post was about how people one barely knew became ‘friends’, how we all seem to be involved in each others’ lives in superficial ways, merely by sharing stuff we do, how we are failing to live the moment because we have to update our status first. 🙂 Not surprisingly, he was burnt at the comments stake.

    At some level, the author is right about the ‘collecting friends’ part. This would explain the success of Burger King’s ‘Whopper Sacrifice‘ app, in which sacrificing (deleting) 10 friends would get you a sandwich.  Somehow, Facebook didn’t seem to find it that cool, and took action.  Meanwhile, Facebook has been trying its bit to customise the news feed by allowing ‘more/less about’ options for status updates. In addition to the grouping of friends, an obvious Orkut like classification of friends, acquaintances etc might help too. Meanwhile, I read about what seems an interesting new network that aims to put an end to the random friend addition – hipstr.

    Meanwhile, the post actually did raise a couple of interesting queries, which were lost in what was seen as an anti-Facebook rant – one, in this communication avalanche that’s happening among consumers, is it possible for brands to squeeze in their communication at all? And are friends becoming the new platform for advertising? I’ve seen several Facebook ads that use friends as an ad platform, and most of the ads that I see with my friends’ endorsement are without their knowledge. (xyz uses abc app) I dont think that’s the scalable model we’d want.

    The easy answer to the first question (as described in many comments) is context and value creation. But in terms of advertising, I think (and this is highly debatable) Facebook lacks a definite context. I update, I share photos, I write on the Wall, I play a few word games, try a quiz out and so on. So I wonder whether context can play as good a role as it does on search, because the intent for which I frequent Facebook is completely different. It made me wonder if an all encompassing generic network like Facebook will find it difficult to be of commerical use? Like I commented on a good discussion on social media we had on Twitter, perhaps, in the realms of social networking, the scope is for vertical networks (there are many which’ve already popped up) that cater to more specific interests. The version 1 of that would be LinkedIn (business networking). The scope for context and value addition could be much greater there.

    But perhaps better mining over a period of time will give feasible solutions like say, integrating the birthday calendar with a gifting opportunity. So if my friend abc has his birthday today, and is a fan of a particular product/service on Facebook, then Facebook will ask me if I want to gift him that product/service. No, not just virtually, really. Or say, a status update of mine says I’m having a house party, and the Pizza Hut app sends me a mail asking me if I’d want to consider its services. Of course, design, privacy issues etc are to be kept in mind.

    I’m also hoping that the above premise will be taken to a whole new level with Facebook Connect. Mashable had a good post a few days back on 10 great implementations of Facebook Connect. It includes a traditional media brand (CNN) and an energy drink brand (Red Bull). Perhaps Connect will bring in the much required context.

    until next time, dont throw a sheep 😉

  • Connecting people

    It might be time for Nokia to rethink that line, thanks to the following recent launches- Google Friend Connect and Facebook Connect, both of which offer data portability across sites which have implemented the services. It got me thinking about online identities. Before we get to that, a bit of introduction.

    Facebook Connect, when implemented on a website allows any user to log in using their Facebook credentials and use that identity to comment etc, and also transmits these activities back to Facebook. FB seems to have focused on popular web services like Digg, Hulu, among others, and a couple of entities that got me interested in the deal – Disqus (soon) and Twitter. It perhaps hopes to use their massive user base, to popularise itself. On the other hand, Google  seems to be have the average blogger in mind, and has tied up with Yahoo, AIM, Open Id and now Twitter to have a common login across websites that have implemented Google Friend Connect. A good comparison can be found here.

    As a blogger, Facebook Connect seems to be a more difficult thing to set up, but implementation in individual blogs will be helped by the plugins (esp on WordPress). I’m wondering whether FB will try to seed this service through the Blog Networks app that’s quite popular there. FB Connect does offer great advantages thanks to the social connect that is brought about by the usage details being transmitted back to Facebook.   So if I had installed FB Connect on this site, and you had used your FB id to login and comment, the fact that you’d commented would be shown on your newsfeed on FB, thereby giving that extra exposure to this site. Although Facebook assures data security and privacy, it does seem a little like opening your FB account to the world, since a lot of profile details will get displayed when you use the FB Connect service. The other question I have is whether these activities become the property of Facebook by virtue of appearing in the newsfeed? (I remember the old controversy on ownership of content uploaded on FB)

    Google Friend Connect seems to be quite easy to set up, and in that sense makes it simpler for a regular blogger to adopt it. The snag is that inspite of the Invite option, I don’t get much additional exposure since the usage information doesn’t get reflected anywhere (not even Orkut). I wonder if Google will have a one click installation of the service in the next version of Blogger. I am also thinking about where Ad Sense will be made to fit into all this.

    And now to the identity part. I blog as manuscrypts, a handle that I have used for more than 5.5 years now. For most of those years, the real me could only be pieced together from various posts I’d written. With the increasing usage of social/business networking services like Facebook and LinkedIn, my real world identity is not exactly a secret now. If i choose to comment on any blog using FB/Google Friend Connect, it has to be using the ‘real identity’, unless I create profiles only for my virtual self. 🙂

    On one hand, a portable identity across the web, and the advantages it offers are tempting, on the other hand I’m not sure whether I want all these networks to be talking to each other – when I comment on a social media site, I wouldn’t want the other users of the site to see my tagged photos on FB.  So far, I’d controlled what information about me goes to a contact, depending on his/her relationship with me. Different amounts of data for different levels of friendship. Yes, my profile is open on FB, but I don’t advertise it outside. That will not be the case if I use FB Connect. More importantly, I don’t want an entity like Google (which invokes paranoia in me) to know everything about me. The sad part is that I dont think an increase in transparency will improve personal integrity, tolerance etc, but that’s a different debate altogether.

    Me? I’ll wait a while before I encourage the use of either service on this site, who knows, maybe a LinkedIn Connect might come about. For now, let me try this app, that adds a twitter identity to my commenting system. 🙂

    until next time, connect 🙂

  • Social Advertising

    A post on the WindChimes blog sparked off an interesting argument on whether banner advertising on Facebook is called Social Media Marketing. But before we step into that, a quick look at what Facebook has been upto recently.

    Facebook recently announced that users had uploaded 10 billion photos on the network. Considering that Facebook’s not a flickr or picasa, this gives an indication of the quantity and quality of users’ relationship with the social networking service. Facebook also recently announced its Fb fund recipients. Read about this effort to help seed innovation here. For those who want to check out Facebook as a desktop app, check out Visual Sage. (via Startup meme) Facebook Connect has also been in the news recently. It is scheduled to launch on Nov 30. You can check out CNN’s Facebook Connect implementation – for the post presidential debate discussions, here. There are also links to the implementations of CBS, Red Bull etc. And the last ‘collateral’ links to a wonderful take on Facebook friendship, and this on social networks, revenues, and brands’ expectations from them. Meanwhile, Facebook can draw solace from the fact that it was the social network of choice of 1/3 of the  US online retailers interviewed. (from a study by Internet Retailer and Vovici via WildBlueSkies)

    As far as advertising goes, the inclusion of Microsoft Live Search into the social network is quite a significant development. Goes without saying that along with the search results, a few ads would also be thrown in. 🙂 Looks like win-win, for both Microsoft and Facebook. (with their revenue/cost concerns).

    And now, whether Facebook Ads are social media. I’d say (technically)any advertising on a social network would automatically qualify for social media marketing, since advertising is a way of marketing. Now, with specific reference to Facebook, as part of its redesign earlier, Facebook had also categorised the different kinds of ads that can be purchased. Out of the 6 categories mentioned, #5 is akin to a first generation banner ad.  I’d written about some unique features of Facebook Ads earlier. Like I’d mentioned in that post, this normal banner ad has been given a cool social twist by allowing users to give it a thumbs up/down and give their reasons for doing this. Let me go a step down and ignore the rating. Connecting my profile and actions to the kind of ads served, it gives the ads at least some contextual connection, and hence appeal.  So, in practise too, I’d consider banner advertising on Facebook a part of social media marketing. On Magpie, over on Twitter, however, I’m still in two minds.

    until next time, social soul searching