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Social Apps -   Utility vs. Triviality
Social Applications aka Widgets <ul><li>Since May 2007, when Facebook opened up its network to third party developers, 24,...
Widget Ad Spending <ul><li>Advertisers are investing more and more of their advertising budgets in widgets </li></ul><ul><...
Active Users on Top 10 Apps <ul><li>While top 10 apps have been installed millions-of-times, the percentage of active user...
Top 10 Apps - % Active Users <ul><li>These are the top ten applications in terms of active daily users (Only apps with +1M...
Viral Apps Daily Active Users <ul><li>Apps like Zombies and Vampires serve no real function other than being viral, where ...
Utility vs. Non-utility Applications <ul><li>Non-utility applications like Zombies, peak in user installation very quickly...
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Social Apps - Utility vs. Triviality

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I presentation demonstrating the difference between social applications that can be deemed trivial (not adding value to the community or the users) and those that can be deemed a utility (providing value).

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Social Apps - Utility vs. Triviality

  1. 1. Social Apps - Utility vs. Triviality
  2. 2. Social Applications aka Widgets <ul><li>Since May 2007, when Facebook opened up its network to third party developers, 24,000 widgets have become available through Facebook’s application directory </li></ul><ul><ul><li>The are currently 1,020 “photo” applications on Facebook </li></ul></ul><ul><ul><li>Selection of top photo applications: </li></ul></ul><ul><ul><ul><li>SuperWall </li></ul></ul></ul><ul><ul><ul><ul><li>Utility: Posting photos on friends profile pages </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Active Daily Users: 2.2MM </li></ul></ul></ul></ul><ul><ul><ul><li>Facebook Mobile </li></ul></ul></ul><ul><ul><ul><ul><li>Utility: Uploading pictures from mobile phone to Facebook profile </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Active Daily Users: 410K </li></ul></ul></ul></ul><ul><ul><ul><li>Private Photo Gallery </li></ul></ul></ul><ul><ul><ul><ul><li>Utility: Sharing photos only to those people you allow to see them </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Active Daily Users: 31K </li></ul></ul></ul></ul><ul><ul><ul><li>Picnik </li></ul></ul></ul><ul><ul><ul><ul><li>Utility: Photo editing </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Active Daily Users: 20K </li></ul></ul></ul></ul><ul><ul><ul><li>SlideShows </li></ul></ul></ul><ul><ul><ul><ul><li>Utility: Turn photos into a slideshow within a Facebook profile </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Active Daily Users: 15K </li></ul></ul></ul></ul><ul><li>The social applications space is very crowded and fragmented </li></ul><ul><li>While some widgets have actual utility, some of the most popular are merely quirky programs with no real purpose </li></ul>
  3. 3. Widget Ad Spending <ul><li>Advertisers are investing more and more of their advertising budgets in widgets </li></ul><ul><li>Based on the exponential growth in the widget space and the penetration rates, advertisers see this a an excellent opportunity to reach users </li></ul>
  4. 4. Active Users on Top 10 Apps <ul><li>While top 10 apps have been installed millions-of-times, the percentage of active users (app used within the last 24-hours) is very low </li></ul><ul><li>On Facebook alone, apps have been installed 921MM times, but only 4% of those people who installed an app are considered active users </li></ul><ul><li>This suggests users typically hear about or are forwarded an application, install it, and just let it sit within their profile without using it </li></ul>
  5. 5. Top 10 Apps - % Active Users <ul><li>These are the top ten applications in terms of active daily users (Only apps with +1MM installs were included) </li></ul><ul><li>There is a greater percentage of daily active users for the applications probably because most of them provide some utility or function for the users </li></ul><ul><li>These applications are in the following categories: </li></ul><ul><ul><li>Gaming, Identity Presentation, Dating, Social Causes and Mobile </li></ul></ul>
  6. 6. Viral Apps Daily Active Users <ul><li>Apps like Zombies and Vampires serve no real function other than being viral, where users receive points for “biting” (invitation to install the app) their friends </li></ul><ul><li>These applications peak in user installation very quickly because users are forced to install, then typically faze-out as users realize there lack of utility and function of the application </li></ul><ul><li>Currently, 1% of Zombies installs are active users and 2% of Vampires installs are active users </li></ul>
  7. 7. Utility vs. Non-utility Applications <ul><li>Non-utility applications like Zombies, peak in user installation very quickly and then typically decline in active users, as users realize there lack of utility and function of the application </li></ul><ul><li>Utility applications like Bumper Sticker (Identity Presentation) and Scrabulous (Gaming) tend to increase in active users because they continue to serve some function for the user </li></ul><ul><li>While it might appear that non-utility viral applications are dominating in total installs, when looking at overall trends in daily usage this is not the case </li></ul>

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