Charles Hudson's Blog - Latest Comments in Social Networking Advertising – It Will Be Even Harder than we Think

Re: Social Networking Advertising – It Will Be Even Harder than we Think

soup — Mon, 07 Feb 2011 18:44:14 -0000

I know this is late, but with regards to "Even if these networks could demonstrate that they were driving referral behavior based on social interactions, why would advertisers want to pay for the resulting transactions?" wouldn't they be able to monetize it because they are the medium for the transaction. If they didn't see the post on that social network it would have been less likely for referral purchase to happen.

Re: Social Networking Advertising – It Will Be Even Harder than we Think

saiwn — Fri, 27 Aug 2010 10:29:13 -0000

Well, I'm not an expert but isn't the advertising happen anyway?

Re: Social Networking Advertising – It Will Be Even Harder than we Think

Naples Ad Agency — Wed, 28 Jul 2010 11:23:42 -0000

Doing an advertisement with the use of those social media sites or also known as social networking sites is good because social sites for example Facebook and Twitter are mostly visited day by day by many users around the world and the ads have a great chance to be seen, if and only if you a good social media marketing for your ads.

Re: Social Networking Advertising – It Will Be Even Harder than we Think

coco1212 — Mon, 28 Jun 2010 11:08:26 -0000

It's just a words trick, call it social recommendation, call it facebook favorite, as long as it promotes a product or service it's still an ad. I saw a myspace entry the other day what is blair rewards? and I was curious so I clicked on it. It was an ad of course, and people should start admitting that social media advertising is nothing new.

Re: Social Networking Advertising – It Will Be Even Harder than we Think

Clasamente — Wed, 16 Jun 2010 15:11:44 -0000

yes, you are right that advertising through social media is really easy.

Re: Social Networking Advertising – It Will Be Even Harder than we Think

Raid Recovery — Thu, 20 May 2010 06:32:28 -0000

I dont think that social networking could be harder for anyone.

Re: Social Networking Advertising – It Will Be Even Harder than we Think

staffing1 — Wed, 09 Dec 2009 13:53:04 -0000

I think monetising social networking sites should be easy. Leverage social connections to make it easier for users to demonstrate their purchase intentions, e.g. Q&A linked with search and then serve ads
www.staffingpower.com

Re: Social Networking Advertising – It Will Be Even Harder than we Think

Nail Arts Designer — Sun, 09 Aug 2009 14:05:07 -0000

Great post, really help me alot. Thanks.

Cheers,
gadgettechblog.com

Re: Social Networking Advertising – It Will Be Even Harder than we Think

jamesthompson — Wed, 01 Apr 2009 10:52:00 -0000

Why the internet will become the only hub of information full stop.

It doesn’t take Einstein to work out the problem with modern society, be it a problem or probably more so a situation, either way, it’s happened and is always happening. Its compression, and population figures are constantly adding salt to the wound, yet we are humans, this is what we do, it’s our instinct to do so.

I believe that we can evolve around this, I’m not preaching the word of a reclusive, but this is my method, on avoiding the misery of an external world, I can no longer tolerate. It had taken many situations for me to realise what it was, I no longer missed. Grid locked traffic, argumentative people, queue jumpers, lack of manners, crowds, cost, danger and stress.

I began to use modern technology to my advantage, the internet and the power of its purpose is absolute, its source infinite, and its rhythm constant. I pledged to myself that I would no longer waste precious time in stressful situations I could avoid and by doing so, would create more moments of happiness within my life.

I Joined free community websites and forums, and began meeting people through them. I joined hobby groups and began writing a column for single fathers in the area. I was in no way shutting myself away from the world; I was more involved than ever before. I’ve tapped a great well of information and I believe we can all use this to some gain.

I no longer take car journeys I need not make, I avoid crowded places and the lack of manners that pollute commercial institutions, are a thing of the past. I spend more time with my family, we enjoy free and fresh moments together now, through the aid of modern means, internet pass times. You’ll be surprised to know of many hobbies that exist in this world, which can be sourced through the web and experienced in your own home, in safety and in comfort.

By utilising the internet for shopping, information, hobbies and pass times, you can scrape back hours of once wasted time, time travel is not possible but time saving is.

Welcome to the internet.

I think Marketing has nothing to fear, my seldom thought guys

Re: Social Networking Advertising – It Will Be Even Harder than we Think

stevenmartinez — Sun, 25 Jan 2009 16:15:49 -0000

This article is truly a good read for me! Informative and very interesting!

Re: Social Networking Advertising – It Will Be Even Harder than we Think

Mark — Wed, 14 Jan 2009 15:39:28 -0000

plus one
I added your blog to a bookmark!
the post Excellent but your design no correctly displayed on my mozile and badly read . But I suppose that I have temporary problems with the Internet. please Write more. but I will try to build system and i will be happy to read more.

Re: Social Networking Advertising – It Will Be Even Harder than we Think

hussein_fazal — Fri, 25 Apr 2008 16:34:16 -0000

Interesting article - There are actually three different types of social network advertising IMO. I actually wrote a blog post about it at http://socialnetworkadverti...

In fact, I have just begun this blog specifically because I believe social network advertising is a great opportunity but not well understood. Charles, I would like to invite you personally to comment on, or submit an article, as you are one of the few who seem to really understand the business.

Thanks!

Re: Social Networking Advertising – It Will Be Even Harder than we Think

tspeirs — Mon, 21 Apr 2008 21:00:05 -0000

Great post, Charles!
I think you are bang on with your assessment that it will be near impossible for SN to track most transactions that will originate on the network.
Likely they will need to focus on opt-in beacon-like ads (maybe offer brands subscriptions to access tools to contact/engage profile users) or focus on similar metrics used for TV advertisements (price by impression to target demo and verify results using brand recall and intent surveys before and after campaigns,
How is Gaia approaching the sensitive issue around advertising to young people?

Re: Social Networking Advertising – It Will Be Even Harder than we Think

IdeaTagging — Mon, 21 Apr 2008 19:22:28 -0000

This post seems to use recommendations/referrals and advertising interchangeably. They are different in my opinion. When you posted your Q&As on Facebook and Twitter as in your examples, those apps had no business trying to get a cut from the resulting transaction. What they should have done though is recognise your intention to purchase something and display relevant ads to you. That's all that Google does.

Re: Social Networking Advertising – It Will Be Even Harder than we Think

LukeG — Mon, 21 Apr 2008 19:09:11 -0000

I don't think that implementing a cost per acquisition(CPA)/affiliate model to monetize these transactions will actually be thaat difficult. Sure, there will be business and technological challenges to getting it built, rolled out and actually adopted, but getting advertisers (major concert venues or promoters, for example) to pay a small commission for ticket sales that originate on facebook is a relatively easy sell.

Advertisers love CPA models because they are (generally) low cost, trackable, direct response marketing channels. And, in pretty stark contrast to CPM advertising models, CPA deals put the risk on the publisher rather than the advertiser. Cost-per-acquisition is the "truest" advertising model, so to speak - it's just the most accurate way to price something.

A good CPA solution for facebook will make it very, very easy for consumers to participate in the transaction: the process should be a frictionless as possible, and there are most likely some ways to design it so that it actually increases the conversion rate (so that maybe 3 or 4 of your friends would have joined you at the show, for example).

There are many dollars and massive scale behind this - enough that it will happen. Maybe it really just should, too.

Re: Social Networking Advertising – It Will Be Even Harder than we Think

Kathy Gill — Mon, 21 Apr 2008 18:08:06 -0000

If you are arguing that these two sites need to be able to monetize this exchange of social capital, you are correct that it could be difficult. But is this really what they are trying to do?

Facebook is currently monetizing with ads on the website and should, hopefully, get better over time.

Not sure what Twitter's founders want to do - maybe sell the technology? Be like Slashdot (part of a larger consulting type enterprise)?

Everything we do does not need to be monetized!

Re: Social Networking Advertising – It Will Be Even Harder than we Think

drewdeal — Mon, 21 Apr 2008 16:02:50 -0000

Here are a few ideas/observances:
1) Apart from personal recommendation, these sites already have a targeting advantage for sidebar and newsfeed ads. Facebook should start getting better at making this work over the next few months.
2) What if these sites polled their audiences about products and services and sent this info to advertisers with the promise of attaching ads to the enthusiasts of their brands? There is a lot of nuance regarding how this would work, but it would boost the brands as well as the ease of associating what each user likes with what they are recommending to their friends.
3) There is a bit of a false dilemma posited in this post. Just because the recommendation track is hard to monetize, social networks themselves are not left out in the cold, based on all their other advantages.

Re: Social Networking Advertising – It Will Be Even Harder than we Think

David - Traackr — Mon, 21 Apr 2008 11:12:27 -0000

Very interesting article Charles. It raises a very good question: what is the value of your contributions to these social network? What is your influence on your friends or people who follow you on these site?
And of course this influence extends beyond just social networks to the entire web like this blog for example. This blog is another vehicle for your influence on the web.

So back to the original question, how do you measure your contributions or your influence on the web? Well, that's what we try to help you do at http://www.traackr.com. You tell us where you publish content (videos, photos, blogs ...) or in what social network you participate and we calculate your Traackr score (popularity and buzz for now) that you can compare with other people.
Come give it a try and see how popular you are!

Re: Social Networking Advertising – It Will Be Even Harder than we Think

Nathan D — Mon, 21 Apr 2008 04:21:46 -0000

+1 on brand advertising, though Facebook and other social networks have a problem with being really good for brand promotion because so many models would be seen as intrusive or interruptions. So far the "Pages" experiment on Facebook has done a little bit of good on the brand front, but the results to date have been underwhelming. May be Facebook will need to take advantage of its reach and breadth of data to monetize across the Net by selling selective access to said information (and/or being its own ad network powered by its data).

Re: Social Networking Advertising – It Will Be Even Harder than we Think

Ken Taylor — Mon, 21 Apr 2008 01:42:02 -0000

Personal recommendtion is not new, we just have new ways to communicate it. The reason it works is that the knowledge you required existed in your network. Advertising will still have its prime use of trying to inform your choices - the real problem is the lack of granularity in the placement of advertising.

Re: Social Networking Advertising – It Will Be Even Harder than we Think

trent — Sun, 20 Apr 2008 23:58:46 -0000

I understand your point, but I think the problem you're suggesting
is not different from google not being able to charge advertising fee to
samsung just because a guy searched for the term "samsung" on
google and got tons of results. In this case, "samsung" doesn't have
to pay google for the referrals they're getting (through search results).
Then why would they do so?

Re: Social Networking Advertising – It Will Be Even Harder than we Think

winson — Sun, 20 Apr 2008 22:56:18 -0000

Kind of, but people welcome ad inside episodes. Even not welcome from deep heart, it's free.

Re: Social Networking Advertising – It Will Be Even Harder than we Think

PhilG — Sun, 20 Apr 2008 21:50:17 -0000

Wilson : that would be spam no ?

Re: Social Networking Advertising – It Will Be Even Harder than we Think

Peter — Sun, 20 Apr 2008 21:44:08 -0000

One obvious answer is 'brand advertising'. When Ford shows you their latest travesty in a commercial, they're not expecting you to click through and purchase it online - they're branding. Google's been working on building their branding advertising initiatives for years, now.

Another answer is that all reviews started out as being unwelcome on the net. Companies like http://www.bazaarvoice/ seem to be having a go a recommendations and reviews, and they're someone convincing folks that this is a good thing. I think there's every reason to believe that Facebook could take over the role of a Bazaarvoice in the 'social graph'.

I think the technical details are not so difficult. What could be difficult is more advertiser-related talk than I know about - things like crappy CPMs at sites like YouTube, etc. There are probably some good reasons for those low rates, but I haven't seen any convincing explanations in the tech blogosphere that I inhabit.

Re: Social Networking Advertising – It Will Be Even Harder than we Think

winson — Sun, 20 Apr 2008 21:33:15 -0000

I get what you mean after I read twice.

What if advertiser is one of a hidden twitterer and push their ad in our tweet list? I mean ad is one form, social recommendation is another.