Posts Tagged ‘social’
Microsoft and Yahoo! have been struggling ,as we all know, to monetize the real estate of the Internet World, i.e the Page Views. Where Microsoft lost about 250M$ in the online business last quarter, Yahoo also suffered a 23% drop in their net earnings in the same quarter. It’s not that these giants don’t know the business, they just seem helpless especially since they have no share in the strongest online business value chain, i.e. the Search. No wonder google still raked in a kewl 17% increase in their annual revenue.
While Microsoft was busy writing petitions against a possible buyout of double click by Google, Yahoo was busy firing its employees and trying to lower the opex to show healthy earnings to its investors
But Investors are smart and they can clearly see the Armageddon. They know that Dinosaurs did extinct and so can Yahoo.
But was Yahoo sleeping the whole time? No
Jerry Yang,Mr Yahoo, tried to reinvigorate life back in Yahoo management by calling a 100 day management review last year in July. Here’s a presentation
Irony is that do u really need a 100 days to identify a disease that has such visible side effects. When you don’t have a share in the Search market, no matter if your clicking Trillion page views you just cant make money. For the four weeks ending in January 2008, Google accounted for 65.98% of U.S. searches, while Yahoo! and Microsoft combined amounted to just 27.84% of searches.
The second big question for Yahoo has been how to enter the SNS market. But Can you really sell the concept of making money by doing SNS now to Investors, NO? You could have 2 yrs back,but you wont have the back of your investors to invest into the SNS space especially When Google’s struggling to monetize their Myspace inventory
So does this mean the quest to make money on Social networking sites is never ending?
Well Microsoft seems to think otherwise, especially since they’ve been acting happy about their investment and the advertising deal with Facebook. Hmmmmm……
Does all this hint that Google is the Achilles with out the week heel ?
O Sorry, not yet the Giants are trying their Last move…..lets wait until then…
Here’s more stuff for you to munch on the deal: Cnet
Social networking is one of the biggest and fastest-evolving phenomena on the Web, and Microsoft’s proposed takeover of Yahoo will undoubtedly send it in new directions. More than anything, a MSFT-YHOO acquisition will shake up the debate over just how you can make money off a Facebook or MySpace.com–because they’re running out of time to figure that out.
Should the Microsoft-Yahoo acquisition go through, expect them to try to corner the social-network advertising market.
The common wisdom is that neither Microsoft nor Yahoo is a real force in social networking. Both companies own multiple social media properties, and the only resounding success among them is Yahoo’s Flickr. (Sorry, Microsoft, I’m not counting the Zune’s “song-squirting.”) “They’re very interested in the space,” Forrester Research analyst Charlene Li said in an interview with CNET News.com. “They haven’t been able to get traction in it. They look at it very longingly.”
Social networking, in addition, will be a tasty slice of the Web for a hypothetical Microsoft-Yahoo because it’s also one of the few niches of the Web on which Google doesn’t already have a stranglehold. Its OpenSocial developer initiative isn’t ready yet, its Orkut social network has only gained traction in a few regions of the globe, and the company admitted in its recent quarterly earnings call that social advertising (specifically on News Corp.’s MySpace) isn’t bringing home the bacon.
Taking the reins on the advertising market is probably the best way for Microsoft-Yahoo to make waves in social networking without actually launching a big social-media initiative–and I certainly hope they don’t try to, because there are way too many networks out there already. Microsoft already has a foot in the door with its $240 million stake in Facebook. (Yahoo tried to acquire it outright in 2006 and was promptly spurned.) And Facebook’s own Social Ads were met with high-profile opposition and plenty of bad press.
With Microsoft’s and Yahoo’s resources pooled, the two companies could devise a more effective social advertising strategy (if such a thing is even possible). Even if it’s dubious in its effectiveness, expect it to be very high profile. Think about it: Microsoft-Yahoo could claim they’re doing what Google couldn’t do. How’s that for instilling confidence?
“A potential acquisition, if it actually goes through, could be a much, much more interesting player for Facebook to want to do business with,” Li said, noting that Facebook’s current deal with Microsoft only covers display advertisements, not search ads. “If Microsoft and Yahoo can actually make a play in search, that makes Facebook a lot more comfortable going with an all-Microsoft deal and maybe even be acquired by it. Who knows?”
But beyond advertising, a combined Microsoft-Yahoo has a massive social-networking tool at its fingertips, Li continued. “Yahoo and Microsoft both have this wonderful asset called e-mail address books and instant-messaging buddy lists, which are essentially a social graph,” she said. “A lot of people are using those services, much more so than Gmail, for example, and so that’s an instant social graph.”
Been using Facebook for long ….see how its grown into a giant and where’s the traffic comin from ….
Quick Analysis: The hot talked company Facebook has the highest growth rate, and at Forrester we predict it to achieve the same number of registered users as MySpace in Q4 of 2008, or early 2009 given the current growth rates. The widget platform, which launched summer 2007 has had strong growth as more than 13,000 applications have been launched. Please don’t call this the MySpace killer as each of these sites serves a different demographic, with a different purpose, and different tools. Facebook is more of a ‘lifestyle’ play that allows members to connect to each other.
* More than 60 million active users
* An average of 250,000 new registrations per day since Jan. 2007
* An average of 3% weekly growth since Jan. 2007
* Active users doubling every 6 months
* Over 55,000 regional, work-related, collegiate, and high school networks
* More than half of Facebook users are outside of college
* The fastest growing demographic is those 25 years old and older
* Maintain 85 percent market share of 4-year U.S. universities
* Sixth-most trafficked site in the United States (comScore)
* More than 65 billion page views per month
* More than half of active users return daily
* People spend an average of 20 minutes on the site daily (comScore)
* No. 1 photo sharing application on the Web (comScore)
* Photo application draws more than twice as much traffic as the next three sites combined (comScore)
* More than 14 million photos uploaded daily
* More than 6 million active user groups on the site
* Canada has the most users outside of the United States, with more than 7 million active users
* The U.K. is the third largest country with more than 7 million active users
* Remaining top 10 countries in order of active users (outside of the U.S., Canada and UK): Australia, Turkey, Sweden, Norway, South Africa, France, Hong Kong
* Over 7,000 applications have been built on Facebook Platform
* 100 new applications added per day
* More than 80% of Facebook members have used at least one application built on Facebook Platform
MySpaceQuick Analysis: MySpace the largest Social Network in North America maintains a dominant position as media site, primarily aimed at youth, giving them the opportunity to relate to brands and bands, as well as self-express. This site will continue to do with advertisers and marketers. Expect to see more TV and video networks to integrate and work with MySpace, who has the new generation that Generation X was to MTV.
· MySpace has more than 110 million monthly active users
around the globe
· We are the country’s trafficked site on the Internet
· 85% of MySpace users are of voting age (18 or older)
· 1 in 4 Americans is on MySpace, in the UK it’s as common to
have a MySpace as it is to own a dog
·On average 300,000 new people sign up to MySpace every day,
this month we broke a record and had 4.5 billion page views to the
site in one day.
We are localized and translated in more than 20 international
territories: U.S., UK, Japan, Australia, France, Germany, Ireland, Italy,
Spain, Mexico, Canada, Netherlands, New Zealand, MySpace en
Espanol, Latin America, Austria, Sweden, Norway, Denmark and
·MySpace is one of the fastest growing websites of all time,
·100 Billion rows of data
·14 Billion comments on the site
·20 Billion mails on the site total
·50 Million mails per day (more than Yahoo, Hotmail,
·10 Billion friend relationships
·1.5 Billion images
·8 Million images being uploaded per day
·60,000 new videos being upload to MySpaceTV each day
·More than 8 million artists and bands on MySpace Music
Acts including Lily Allen, Sean Kingston, Arctic
Monkeys, Dane Cook discovered on the site by users
·Launched in January 2004
·Acquired by Fox Interactive Media in October 2005
·Founded by Chris DeWolfe, CEO and Tom Anderson, President
As reported on one of the blogs
CondeNet is remaking its teen-focused community site Flip.com into an app that will live on other social nets. The first to get the new Flip app is Facebook, with others to follow, CondeNet announced a few minutes ago. The company will continue to operate Flip’s website. However, moving forward, Flip’s continued development and marketing focus will involve social net apps only, as CondeNet tries to find a way to build its audience from its current 300,000 users. The Flip app will be ready by the end of this month.
Update: Flip debuted last February. Aimed at teen girls, the site’s main proposition was that it gave its users control. Flip members were able to design and post “flipbooks” containing text, images, audio and video for channels related to art, celebrities, travel, sports, friends, romance, school and careers. I spoke this afternoon with Sarah Chubb, president of CondéNet, about the reasons behind change: — Flip gets flipped: Since launching last year, a number of changes have occurred in the social net space. One of the bigger ones was the growth of Facebook, thanks in large part to its decision to open itself up to independent developers. With most of Flip’s users on Facebook, which has about 58 million members, CondeNet realized that Flip would never get that kind of traction. But as an application, it could easily tap into Facebook’s success. Chubb: “Flip’s demographic is perfectly aligned with FacebookWe’ve made 300,000 girls incredibly happy, but there’s millions of them on Facebook. And we know they’re interested the same kinds of tools that are available there. It would be a whole lot harder to build from 300,000 to the serious numbers like 1 or 2 million, which is the sweet spot for us. So this seemed like the best way to go.”
— Why Facebook?: As one of the FacebookAds 12 launch partners, CondeNet has generally been pleased with results of the three-month old program. And so, when it was decided that Flip would have value for advertisers and for its users as an app, it started with Facebook. While Flip is starting there, it will be available on other social nets, though there are no plans for any extensions yet. The timing seems right: at the same time the Flip app goes live, Google’s (NSDQ: GOOG) OpenSocial, MySpace and the other community sites that have formed Google OpenSocial platform, which is expected to go live by the end of this month.
— No layoffs: As the resources shift from Flip’s website to the app, Chubb said some staffers may be reassigned, but there will be no job cuts as a result. “We have a lot going on this year and we’ll need the people who helped build Flip for other projects.”