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Monthly Archives: May 2009

Twitter Sucks

I try to stay “hip” to the latest Internet innovations. I use Facebook, LinkedIn, Meebo, Google Latitudes, and yes, I’ve tried Twitter. After about four months of tweeting, however, I think I understand the Tweetosphere enough to draw this simple conclusion: Twitter, in its current form, will not change the Internet and could indeed be obsolete or replaced within one year.

This is a bold prediction and one that seems to go against all the hype and indeed the massive growth of Twitter. But there are three significant problems with Twitter that will prevent it from becoming a true Internet juggernaut – spam, one-way communication and poor ease of use.

First, the spam. Twitter is the ideal medium for spammers. They set up scripts to follow as many people as possible and then hope that those people are using an “auto-follow” program and will then follow them. I’m one of those suckers that auto-follows – when I started using Twitter, it seemed to be the thing to do. After about one week of auto-following, I was getting several hundred messages a day that could just have easily ended up in my email spam folder. To prove this point, I just logged on to my “TweetDeck” and looked at the last ten tweets I received. Here are some of the samples:

Learn all the stuff the Twitter Pros won’t tell you about! [Link]

Quick Ways to Make Money Online [Link]

Need more room to promote your product or service? Do it on [Link]

MAKE MONEY ONLINE (EASY ONLINE MONEY) WORK ONLINE [Link]

Of course, one obvious way to stop this junk is to stop auto-following, but then that supposedly diminishes the value of Twitter, right (if I just wanted to see what my friends were up to, I could look at my Facebook homepage). So my solution on TweetDeck – and I suspect I am not the first to come up with this scheme – was to create two feeds, one called “Friends” and one called “Actual Friends.” The friends feed is the stuff from auto-follows, I basically just delete these as soon as they come in. The “actual friends” feed is from people that I know and might actually care to hear from.

But even though I’ve basically removed the spam from my Twitter updates, there’s still problem #2 with Twitter – it seems to encourage narcissistic drivel. For some reason, people who are normally interesting and entertaining end up filling Twitter with boring, self-centered crap. Again, here’s some examples from my current TweetDeck:

WWE: Raw May 25th 09 [Link]

Ricki Lake is the New Sharon Osbourne [Link]

Listening to one of my new cd’s Jazz Moods – Jazz by the Fire. Sounds pretty sweet!

Great dinner at neighbors, beef brisket! Now it’s back to 5th grade math home work. Only 4 more days of school Yee Haa!

Now I know that some of these sound like they could be Facebook posts, but I actually think that few of these would actually make it on to Facebook. Why, because for whatever reason, people take their Facebook updates a lot more seriously. Maybe because they know that the only people who are going to see the posts are their friends, they edit themselves before posting. On Twitter, however, the same people who write interesting updates on Facebook often end up posting 25 140 character posts in the course of ten minutes, all of which are totally pointless.

So even if I filter out all the spam from people I don’t know (again, defeating one of the alleged advantages of Twitter in the first place), I’m still left with mindless clutter from the people I do know. Twitter has turned my friends into egocentric spammers – how do you filter that? My filter is just to stop reading tweets and rely on Facebook.

The last problem with Twitter – it is not user-friendly. Yes, it is easy to post a tweet, but it’s hard to organize the incoming stream of junk. This is why there is a myriad of Twitter applications popping up, like the aforementioned TweetDeck. For the first month on Twitter I was utterly confused as to how people actually got any value at all out of the service, until my friends Stacy and Don told me about apps like TweetDeck.

If there’s one thing I’ve learned in the last ten years of Internet marketing, if you don’t make your service simple, you can’t scale (hello Second Life!). If you want to move beyond nerdy Internet geeks in Silicon Valley and get my parents and their friends in Iowa to start using your service, you can’t rely on third-party applications to explain the benefits to your audience.

Now I’m sure that there will be some who argue that my last point has already been disproven by the phenomenal growth of Twitter. But I think that this growth is the ultimate false positive, for two reasons. First, a lot of this growth is driven by people who just see Twitter as a one-way marketing channel – a way to blast a spam message to thousands of people for free and without any email spam filters or CAN-SPAM rules. Second, there’s just a novelty factor to Twitter right now. The media loves Twitter and the Twitter-craze is creating masses of new users who are signing up out of curiosity.

The problem with growth fueled by spam and curiosity is that it ultimately points to a “fad” and not a “trend.” The pet rock in the 1970s was a fad – people bought pet rocks because the media reported on it and it seemed like a funny thing to do. Then the novelty wore off and people threw their rocks away. To be a trend you need to prove value that ‘subverts the dominant paradigm.’ Twitter doesn’t do this. It’s a Facebook update without the functionality or self-editing of Facebook, but with lots of spam and a bad user experience.

In less than 140 characters: Twitter sucks. It’s over-hyped. It’s the next Second Life. Insert spam.bit.ly here.

 
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Posted by on May 26, 2009 in facebook, tweetdeck, twitter

 

Too Much Targeting + Too Little Fungibility = Minimal Revenue for Facebook?

One of my favorite panels at last month’s AdSpace conference was the discussion on social media advertising. Jeremy Liew – the panel’s moderator – wrote a great summary of the learnings from that conference, which I recommend reading. What really stood out to me in this session was the incredible degree of hyper-targeting available to advertisers on social media. For example, Jeremy summaries an example from Ro Choy, CMO of RockYou, about a local yogurt store:


Ro related the example of Rachel’s yoghurt, an advertiser that targeted coupons to women living within 5 miles of Whole Foods in 10 cities through Rock You. The campaign delivered 0.20% CTRs to the Rachel’s Yoghurt site, with a 35% coupon download rate.

And Tim Kendall from Facebook gave a cool example of a city counsel candidate in DC:

Tim described a very detailed campaign that a politician, Patrick Mara, ran on Facebook to defeat a 16-year incumbent in a DC city council primary last year. Mara was in favor of allowing gay marriage, so he pushed information about his stance out to DC Facebook users who’d listed their sexual orientation as gay. If Facebookers had kids, he targeted them with ads about the school system, and if they were Republicans, he hit them with information about taxes, school vouchers and similar conservative favorites.


I’ve noted in the past on this blog that Facebook and other social media sites represent the first opportunity to truly get honest demographic and psychographic information from users. Tim and Ro’s examples show how this data can really be used to a marketer’s advantage. And yet, most advertisers who have dipped their toes into social media marketing have not had the same successes. Most people I know tell me that the conversion rate on social media is very low, to the point that they’ve completed dropped their social media initiatives.
The disconnect, I think, comes down to targeting. Tim and Ro are describing marketing campaigns that are so granularly targeted that it’s hard to imagine them as any but successes. My marketing friends, however, took the “mass market” approach and attempted to drive huge volumes of clicks from entire geographic regions, or entire demographic groups. If you try to market a “California mortgage” advertisement to California residents over the age of 18 on Facebook, you’ll fail, but market a “California refinance bankruptcy loan” campaign to people in Stockton who are homeowners who make less than $50,000 a year and who have expressed an interest in debt consolidation, and you’ll be successful.
The difference in cost between these two hypothetical examples is enormous, probably along the lines of $20,000 a month versus $200 a month. This is a problem for Facebook. If success only comes in $200 intervals, the path to a $15 billion valuation is a long way off. Trust me, if Google’s advertisers only spent a few hundred dollars a month on average, Larry and Sergey would have gone back to grad school by now.
The other problem with social media that I discovered during the panel was the lack of fungibility. Keywords on Google are fungible – we can buy the same keywords across multiple search engines, we can get nice reports that show which keywords work and which don’t, and there really is a pretty limited universe of potential keywords (especially thanks to the ever-expanding broad match algorithm!).
Social media advertising, however, isn’t as fungible. When you combine demographics with psychographics and geography you end up with an almost infinite number of possible combinations. Should you be marketing to black, married, women, over 45, in San Francisco, with a passion for motorcycles, or Hispanic, gay, men, under 20, in Cleveland, with a passion for gardening?
And how do you create an interface that makes it easy for the average marketer to understand this web of choices? Big, tech-savvy, advertisers could use an API to access and test this data, but the little guys – who make up quite a bit of Google revenue base – are already confused enough about keywords to come close to understanding this sort of marketing.
Facebook can’t grow into an advertising juggernaut if it relies on small, hyper-targeted advertisers to spend $500 to win their city counsel election, mass generic campaigns don’t work, and the complexity of figuring out targeting on a mass scale will limit the number of advertisers who can make large budgets work. Too much targeting, too little fungibility. I think it’s going to be a while before Facebook and other social media networks can really drive a lot of marketing revenue.
 

It’s Good to be Site.com

Every now and again I see a test ad showing up on AdWords or AdSense. I found one this morning while surfing my gmail . . .

Though I am almost never click on AdWords ads, in this case, I was curious to see whether the novice AdWords user at least sent the destination URL to somewhere interesting. Sadly, the ad takes you to Site.com.

This got me to thinking; I bet that sites like “Site.com” and “Test.com” get a lot of free traffic from stuff like this. Indeed, a did a Compete.com analysis of Site.com and what you clearly see is that the site get tons of traffic from SEOs doing “site:” searches on Google (a Google query that shows you which pages of a site are indexed by Google).

Pretty amazing really – you’d think someone – particularly in the SEO world, would have offer this “site” a ton of money already!

 
1 Comment

Posted by on May 4, 2009 in Uncategorized

 
 
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