Making Sense of Social Networks Yuval Zukerman, Molecular

Agenda Social networks – why you should care The major players and what’s ahead The international angle Riding the social wave Key Takeaways and Point of View

Social networks – why you should care

The major players and what’s ahead

The international angle

Riding the social wave

Key Takeaways and Point of View

Why Social Networks

Social networks matter 24% Of the entire US Internet population use social network sites

Social Networks Matter

Social networks matter 55% US teens with social network profile

Social networks matter 48% US teens visit social networks daily

Social Networks Matter 35% teens worldwide use social networks

Social Networks Matter Social Networks are bigger than Porn

Social networks and teen usage Stay in touch with friends (both near and far) on a near-constant basis Communicate using friend pages (84%) Send private messages (82%) Make plans with friends (72%) Broadcast message to friends (61%) Meet new friends (49%) Source:

Stay in touch with friends (both near and far) on a near-constant basis

Communicate using friend pages (84%)

Send private messages (82%)

Make plans with friends (72%)

Broadcast message to friends (61%)

Meet new friends (49%)

Social Networks: omg, latn!

The friend factor Friends influence purchase decisions Friends are as important as brands Boys aged 18-21 have the most friends Source: MTV / Microsoft Advertising http://www.flickr.com/photo_zoom.gne?id=819541296&size=l

Friends influence purchase decisions

Friends are as important as brands

Boys aged 18-21 have the most friends

The ingredients http://www.flickr.com/photos/phil_g/28524846/

What makes a network social

What makes a network social Map of Flickr users with at least 50 mutual contacts connect community

Hello, my name is: ‘MySpace’

Hello my name is: ‘Facebook’

Pimp my MySpace

Characteristics Basic features A profile page Ability to search users Friend connections Additional features Blog Comment posting Photo gallery Messaging Layout customization Widgets and trinkets Privacy controls

Basic features

A profile page

Ability to search users

Friend connections

Additional features

Blog

Comment posting

Photo gallery

Messaging

Layout customization

Widgets and trinkets

Privacy controls

Categorization

Major players

Virtual Rising http://www.flickr.com/photo_zoom.gne?id=439129656&size=o

Friend the virtual me

Friend the virtual me

Friend the virtual me

Friend the virtual me

A second on Second Life

Current Trends User concerns drive traffic away from MySpace Privacy Safety Features

User concerns drive traffic away from MySpace

Privacy

Safety

Features

Family and child focused

Playing the game

Weighing your options Partner Build Widgets

Partnerships

Picking the right partner Are user numbers real? Membership Inflation Registered vs. active user figures How many users have actually logged in recently?

Are user numbers real?

Membership Inflation

Registered vs. active user figures

How many users have actually logged in recently?

How active and involved are users? Average Login rates Other Metrics Posts to blog Photos uploaded New friend connections Reviews Picking a partner

How active and involved are users?

Average Login rates

Other Metrics

Posts to blog

Photos uploaded

New friend connections

Reviews

Breaking it down further – find your sweet spot Geography Gender Age groups User Interests Picking a partner

Breaking it down further – find your sweet spot

Geography

Gender

Age groups

User Interests

The International Angle Local networks are strong in their respective markets Facebook tails off outside English speaking world Many research companies rely on usage by US or European users Researchers often focus on known entities (e.g. MySpace) and ignore unknown local ones

Local networks are strong in their respective markets

Facebook tails off outside English speaking world

Many research companies rely on usage by US or European users

Researchers often focus on known entities (e.g. MySpace) and ignore unknown local ones

Research black holes It’s all about the toolbar (and snooping…)

It’s all about the toolbar (and snooping…)

IRC-Galleria is big in Finland Not tracked by comScore Rely on local office data or look at local Nielsen//NetRatings Proceed with caution

IRC-Galleria is big in Finland

Not tracked by comScore

Rely on local office data or look at local Nielsen//NetRatings

Geography affects usage culture PC vs. mobile device for Internet access Family size Climate

PC vs. mobile device for Internet access

Family size

Climate

Friends with my water

Partnering with a social network site Places your message prominently on social network pages Guaranteed exposure vs. cost and intrusion upon users Nikon partnered with flickr to use embedded photo data to ‘sponsor’ photos taken with Nikon camera. Photographers were not compensated. Flickr was.

Places your message prominently on social network pages

Guaranteed exposure vs. cost and intrusion upon users

Build your own

Getting your own, pre-built, hosted

BYO / DIY Social Network

Getting your own, the Ning way

Rolling your own

Social, presidential

Widgets

Definition A small application embeddable in a web page or one running on a user’s desktop B C B C n

A small application embeddable in a web page or one running on a user’s desktop

Widgets: your brand, everywhere Web Widgets Free placement on user pages Leverage viral communications Have users contribute to your growth Avoid reinventing the wheel Desktop Widgets Direct communications between your brand and the user Make loyalty programs more effective

Web Widgets

Free placement on user pages

Leverage viral communications

Have users contribute to your growth

Avoid reinventing the wheel

Desktop Widgets

Direct communications between your brand and the user

Make loyalty programs more effective

Widget varieties

Web widgets

Random House Book Widget

Desktop widgets Widget Engine Application Browser Toolbar

Branded Desktop Application

Widget Challenges Getting the word out Installation Attracting users Lack of development platform

Getting the word out

Installation

Attracting users

Lack of development platform

Widget hurdles

Widget Directories: Friend and Foe MuseStorm.png

MuseStorm.png

The Facebook Platform

Branded Desktop Applications

StyleFeeder “… conversion rates off widgets are better than ads ”

“… conversion rates off widgets are better than ads ”

Mobile

The next frontier Existing networks want to accompany users Partnerships Mobile sites

Existing networks want to accompany users

Partnerships

Mobile sites

Mobile access is growing Accessed social network site or blog, June 2007 Source: M:Metrics, August 2007 3.50% 2.50% 2.30% 2.80% 1.90% 1.70% Ever in month 1.80% 1.40% 1.00% 0.90% 1.00% 0.70% Once to three times per month 1.10% 0.70% 0.60% 0.40% 0.40% 0.20% At least once each week 0.70% 0.30% 0.70% 1.50% 0.50% 0.80% Almost every day US UK Spain Italy Germany France

Social tools on the go

The social mobile web dada.net imthere.com

Burger, fries and widgets to go

Taking messaging to the next level Location sharing Manual and GPS Notification Messaging Online Journal / Blog

Location sharing

Manual and GPS

Notification

Messaging

Online Journal / Blog

Key Takeaways

Social networks are not a fad and are likely to remain popular for the near future

MySpace is dominant but may be too much of a lowest-common denominator for too many users.

Beware of inflated statistics

If you go global, go local

Proliferation of social networks becomes adoption hurdle http://www.flickr.com/photos/donabelandewen/278804471/

Partnering with social networks is the safest approach to reach their users and for offering widgets

Widgets are hot and gaining momentum

Web widgets have the most impact

Widgets must have a viral component

Widgets await the birth of a killer app http://www.flickr.com/photo_zoom.gne?id=369535204&size=l

Finite real estate will spur competition for widget space

Q&A

Thank You! Yuval Zukerman [email_address]

Yuval Zukerman [email_address]