The Social Networking Paradox: Daily Relevance and Revenue

As companies struggle to enter the social space, significant investments are being made to both create a presence on and maintain a presence in social networks. The value of these networks is obvious: millions of engaged target audience members sharing information and communicating on a scale never before seen. But how can a brand understand the relative value and public perception of a social network without expending resources entering the space?

There exists a paradox in social networking that has big implications for brands. There appears to be an inverse relationship between the daily relevance a social network has to the public and the amount of revenue it generates. Attempts to monetize create a tailspin of waning interest that eventually results in the collapse or re-engineering of the network itself.

Understanding where a social network is in the cycle of popularity can mean the difference between starting a strategy that is doomed from inception or growing constructively with a network.

Twitter, for example, is currently exploring ways to generate revenue. Some believe Twitter is already peaking in daily relevance. My assertion, however, is Twitter will be relevant for some time to come.

Marketers would be well advised to partner with an agency or consultant that understands this relationship - both where a social network is positioned and how consumers perceive that network.

I'm still working out the details of this visual - your comments are welcome!

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Twitter Is Peaking, If It Hasn't Already - Steve Rubel at 140 Characters Conference

At the 140 Characters Conference Steve Rubel, SVP, Director of Insights for Edelman Digital, gave a quick talk on activating "social media rockstars" within your organization. This applies heavily to how I approach social media campaigns. Of note Mr. Rubel disucsses how Twitter is, "peaking, if it hasn't already".

When I design social strategies and operating models for our larger clients at Maddock Douglas, I always ask the question, "If _______ was gone tomorrow, would you be OK?" Mr. Rubel does an excellent job of illustrating this point. He goes on to say that no social network has stayed mainstream longer than five years.

Social business design should be about strategy and building core competencies into your organization. The new consumer is slightly evolved from ten years ago, but the consumer of the near future will require social data at every level of the purchase decision to feel confident. Be prepared, but don't put all your eggs in one basket.

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Social Business Design and The Future Of Advertising

The folks at Dachis are abuzz today with a more detailed series of articles on social business design:

David Armano
Peter Kim
Jevon MacDonald
Kate Niederhoffer

The gist of the content is a vision of transformation from the way we view business communications today to the not too distant future where everyone is connected at every level; be they client, vendor, or CEO.

An inspiring thought to be sure - but what does it mean for advertising and the way our industry has (d)evolved over the last ten years?

Social business design - the way Dachis presents it - is something that needs to be taken on at the CEO/Board of Directors level for any large company. They aren't talking about selling in to CMOs, marketing directors, and other interested parties. These products will undoubtedly be designed to change the fundamental operating function of any company choosing to engage it, and to me that means a big uphill battle for Dachis.

Can they do it? The talent is certainly A-list, and we have not heard about the details of their plan. Creating a game changing consultancy model is certainly ambitious - how do you think social business design will transform the next 10 years of advertising?

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> Everyone Hates Social Media

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Everyone Hates Social Media

The proliferation of pundits on social media and the social web, in the last six months, has increased exponentially.

In point of fact, the last week has seen an entire nation in turmoil thanks largely to a social experience the whole world can take part in.

And, like with all things mainstream, the early adopters - who originally embraced the medium and feel some level of ownership - are growing weary of the talk, the "experts", and the people who still don't get it. I too am guilty of losing patience.

Everyone Thinks He Can Be a Social-Media Marketer - B.L. Ochman on 06.16.09 AdAge

Why I Hate Social Media - Matt Jones on 06.17.09 Adage

The Only Social-Media Guru You'll Ever Need - Ken Wheaton on 06.17.09 AdAge

What's with all the negativity? Is it the fact that there are literally thousands of people creating white noise about social media in the communities we all call home (Twitter, Facebook, etc...)? Or is it coming to terms with the fact that social media, as an advertising format, costs about the same as anything else when done correctly and takes longer than traditional media - on average - to produce results?

As an agency representative, I still see a huge gap in big brands' understanding of the commitment required to launch and maintain a winning social strategy; and the cost - both today and over time - required to maintain and grow the social business model.

Are you experiencing the same frustrations displayed in AdAge and within the advertising community at large? Share your thoughts by logging into Facebook connect, Twitter, or DISQUS and leaving a comment below.

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Facebook Forces Millions To Consider Personal Branding

Whether you are a marketer or just a Facebook fanatic, the early morning hours of June 13th, 2009 forced you to seriously consider how you represent yourself online. Choosing a user name to replace the archaic and confusing identification URL is a one-shot opportunity - you can't make a change.


How did you choose your new Facebook URL? Did you find yourself considering how others will view your new identity? Perhaps you made some fundamental changes to your profile to be in line with your new URL. Share your story in the comments below using Twitter, Facebook, or standard DISQUS commenting. I will use some of the best comments in an upcoming article on how personal brands have jumped to the mainstream!

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The Great Facebook Race: What It Means For Your Brand

We now know the details of the Facebook user name implementation. Starting at 12:01 a.m. EDT on Saturday, June 13, you too can register a custom URL for your personal Facebook profile.

From the Facebook Blog:

From the beginning of Facebook, people have used their real names to share and connect with the people they know. This authenticity helps to create a trusted environment because you know the identity of the people and things on Facebook. The one place, though, where your identity wasn't reflected was in the Web address for your profile or the Facebook Pages you administer. The URL was just a randomly assigned number like "id=592952074." That soon will change. We're planning to offer Facebook usernames to make it easier for people to find and connect with you. When your friends, family members or co-workers visit your profile or Pages on Facebook, they will be able to enter your username as part of the URL in their browser. This way people will have an easy-to-remember way to find you. We expect to offer even more ways to use your Facebook username in the future.

We also now know the details of the Facebook Page custom naming implementation. I suggest reading the whole post linked below for the big picture.

From the Facebook Pages Notes:

I tried to secure a name for my Page but Facebook said the Page was not eligible. What are the requirements? Your Facebook Page must meet two requirements: it must be live on Facebook prior to the May 31, 2009 cut-off date and have a minimum 1,000 fans as of May 31, 2009.

The implication for your and your clients' brands is huge. Better organic search. Visibility and brand recall. The list of positives goes on and on...

Brand squatting, misrepresentation, and other schemes will undoubtedly plague companies for months to come. Facebook has tried to get ahead of this with several unnamed workarounds as well as the following form:

It would behoove agencies and brands to claim their intellectual property as soon as possible. Click here to access the form.

Does your agency have a contingency plan for your clients? Do you have a plan for your personal brand? I'm looking for some salient examples so please feel free to log in with Facebook, Twitter, or DISQUS below and leave a note.

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Chicago Media Marketing & Advertising June Meetup at Saper Law

The Chicago Media Marketing & Advertising group thanks Daliah Saper of Saper Law for her outstanding presentation covering the legal issues of personal branding, as well as the amazing venue!

Additional thanks to our sponsor BeFoundOnline.

Please look for a full video of Daliah's presentation to be released via ADMAVEN in the coming days.

CMM&A is growing - our monthly meetings are now known for great networking for marketing, advertising, media, and public relations professionals. Join the group today, and I look forward to seeing you at the July meeting!

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CosmeticsDesign.com - Unlocking The Potential Of Social Media In Cosmetics

Raphael Viton and Nick Kinports from Maddock Douglas spoke to Cosmetics Design to explore the potential of social media in cosmetics and explain its pitfalls.

Viton said social media marketing strategies work best for “high involvement” categories where information, feedback and testimonials from trusted sources play an important role in buying decisions. He said this being the case for beauty products makes social media “perfect for cosmetics”.

While many cosmetic companies have some presence in social media, Viton said very few are truly committed and many approach it in the wrong way.

“Only a few brands in this space (e.g. Clinique, Aveda) are generating decent rates of advocacy and outreach, most others are merely dabbling,” said Viton.

Some smaller brands are exploring social media more effectively than their bigger rivals.

Viton said: “The big beauty brands should be fearful of the "challenger" brands leveraging social media to get a significant foothold on market share.”

Kinports added that too many brands have an old fashioned mentality and are unwilling to use social media as a means of opening an honest and authentic dialogue with consumers.

Wading into social networking sites and posting fake product reviews is not the way forward. Kinports said this damages credibility and trust which are the values social media can help companies to foster.

>> Read the full article and audio podcast at CosmeticsDesign.com

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Decision Versus Search - Bing Challenges Google In Search Engine Duel

At the risk of sounding like Microsoft is now sponsoring ADMAVEN - I am going to write my third article in as many weeks covering Microsoft innovations. Bing is the new incarnation of Live Search, and comes with a host of advertisements in print, television, and online video touting the "decision engine" as the savior of modern search.

Let's examine - as objectively as possible - the differences between Google and Bing. I'll do a series of random searches and report top five non-sponsored results via image capture displayed below (click the images for larger versions, results links point to live searches). Let's get started!

If you want to do your own comparison, check out this tool to compare results for the same search live!

Search query: best new running shoes
Bing results:

Google results:
Although Bing provides some useful information, Google wins this particular search thanks to its propensity to point me toward running communities that offer a lot of easily accessible peer data on running shoes. The first Bing result sends me to an About.com page offering little more than a list of links to other reviews that may or may not be factual.

Search query: best hotels in Cancun
Bing results:Google results:The Cancun search seems to be a tie. Both search engines list Tripadvisor as the first result with a smattering of other sites below. Although Google includes deeper content links the parent link seems to be most relevant.

Search query: dog groomer in Elmhurst, IL
Bing results:

Google results:
Google flexes its local muscles and crushes Bing in our search for a dog groomer. Unfortunately the concept of a "decision engine" is put to rest by the fact that Bing provides little information in its results to actually help me make a decision. With Google I have a map, reviews, and contact information at my fingertips from the actual search page.

Clearly Microsoft has created a search engine that is effective at big picture searches but, for the moment, falls behind Google in helping people make informed decisions at the micro level. Due to the fact that most search is unique and very specific, Google remains the champions of the search engine market.

Do you have any stories of success with Bing when Google was unable to provide you with the information you needed? Share them by commenting below.

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Xbox Live Integrates Facebook and Twitter - Analysis and Implications For Advertisers

Yesterday, I criticized Microsoft for failing to describe a more robust integration platform for advertisers with elements of the social web at their Digital Showcase event. Subsequently Microsoft announced their planned integration of Twitter and Facebook into the Xbox Live service.

The implications for advertisers are enormous as an entire new demographic will be exposed to brand messaging and representatives.

I will say this - if you are in the business of creating content for a gaming platform your company needs to be adapting a social business model as quickly as possible.

Let's review the breakdown of planned features for the Xbox platform integration:

Facebook

1. Share pictures
2. Read your stream and those of your friends
   
3. Post text on friends walls
4. Incorporate in-game events into your stream
   

Twitter

1. Full functionality
2. Live-tweet in-game events
   

From what we can tell, a more complex solution was required for Microsoft to integrate Facebook. The Twitter component seems to be a simple API work-through with an Xbox branded wrapper.

I am somewhat curious to see how Xbox Live games push out content. One would hope Microsoft will understand the norms of the communities they are about to enter and realize that many people don't need to be informed about their connections' gaming accomplishments. At the same time the cohesion within the gaming community shows great promise.

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Microsoft Moves To Bridge Digital Divide Between Agencies, Clients, and Everyone Else

I recently attend Microsoft's Digital Showcase (May 28, 2009) at their Chicago office located in the AON Center. Walker Sands Communications, apparently handling PR for the event, reached out to me as a blogger and an agency representative.

The event was well executed and the message was clear: Microsoft is banking on digital and traditional campaign integration to drive the future of advertising, and they want to be the platform through which integration takes place.

My question, and the question I have asked myself over the past year, is Microsoft innovative enough to pull it off?

Let's examine the pitch:

Microsoft wants your clients to be on three screens: home television delivered via Xbox Live and traditional broadcast outlets, mobile platforms via WAP enabled websites, and - of course - the computer screen via web video, websites, and other interactive elements.

As an agency, you design and deliver the creative elements while Microsoft delivers the back end platform to drive your ads across the three screens.

I think this is a great approach, and I enjoyed seeing the "three screens" presentation play out in person, but was left wanting more. There was little talk of integrating platforms outside of the Microsoft realm, and the "three screens" approach still felt divided. The links between the platforms were not salient enough - how does the Xbox Live experience integrate with WAP, web, and broadcast? Not an easy question to answer, but the first space I look to when discussing digital innovation.

On the other hand, I'm glad to see Microsoft is taking a serious approach to innovation, and there is no question that substantial R&D budget has been allocated to developing these programs. Kudos to the team at MS for providing a well rounded presentation. I would have liked to have seen less discussion surrounding digital campaigns executed by push and more discussion around sticky pull campaigns leveraging the principles of social media/networking.

Microsoft Digital Showcase: Connect with Video
May 28, 2009 Chicago

Speakers:

Seth Dallaire, Senior Director, US Sales, Microsoft Advertising
Jay Sampson, Senior Director, Microsoft Advertising Emerging Media Sales
Mark Marvel, Senior Director of Video Monetization, MSNBC
John Staley, Director of Advertising Sales, Central Region, NBC Broadcast & Cable News
Laura Hagen, Senior Director of Integrated Sales, MSNBC.com
Don Reilley, National Sales Manager, Entertainment & Devices Division, Microsoft
Mike Siegenthaler, Director, US Branded Entertainment & Experiences Team, Microsoft

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