Valleywag
Self-described Web strategist Jeremiah Owyang has posted a 1,544-word monstrosity to explain the significance of MySpace and Facebook's new ad models. If you have time to read it, you're probably also adding friends on MySpace all day. If you have a real job, here are Owyang's insights in 100 words.
Facebook ads work like endorsements. How it works is a member can "friend" a business. The business can then purchase an ad which, to friends, looks like a product endorsement from this member. This will work. Consumers trust friends. Brands will beg for fans. Payment is auction based CPC, CPM. Two social ads show per day, driving demand past supply and prices too high for all but national brands.On MySpace, businesses can build profiles and target ads on user profile pages according to their content. Watch for clutter. Ads will remain ugly. Expect ad inefficiencies due to misinformation. MySpace's huge member base and local business membership will lead to success.
Comments
Fraud galore.
Seems like there is a false premise here that people select their friends based on how similar their shopping preferences are. I can't believe that is the case for most people. Certainly not me.
When friends show me their latest purchases, I'm just as likely to say something like "what were you thinking?" as "oh, that's so nice!".
Ok, so maybe I have fewer friends as a results, and those I have are thick skinned. I can live with that. But maybe, just maybe, the marketing types who are all stroking each other over the brilliance of things like Facebook will learn a lesson about people, even "average" people, who don't like being treated like mindless sheep.
If you build a REALLY good product it WILL sell itself by word of mouth. That doesn't mean that an average product, or a product that has been around longer than most of us have will also benefit from "viral" techniques.
I'm thinking you could have a LOT of fun with this one. Pick some really cheesy/lame/controversial product and friend it (and have your friends friend it) to drive up its page views. Wow, "Becker's Hemorrhoid Cream" now an overnight sensation!
The other thing is some complete stranger contacted me on MySpace to tell me how cool she thought this band was and to check it out. From my reading, I know some of the record labels are attempting to replicate viral marketing, but spam is spam even when it's personally authored spam. Needless to say, I didn't check out the band.
Whats a 'Web-strategist' ?
Whats a Web-Strategist
Seems like there is a false premise here that people select their friends based on how similar their shopping preferences are.
I'm not sure if the premise is built around friend selection so much as it would be built around the same trust you place in a friend when looking for a service recommendation or product referral. It's not about enlarging your circle of friends based on their product preferences; it's more about an advertiser being able to leverage your tastes and the tastes of your existing circle of friends.
My friend Bob says he likes to use Moogoo shampoo. I'm not happy with my current shampoo and am looking for alternatives. Hmmm. Maybe I'll try Moogoo based on Bob's preference.
Same thing happens on a local level when you ask a friend where they get their car fixed or ask about that new restaurant that opened a week ago.
Sorry man, I couldn't get past his crummy writing. Can we get this guy an editor?
Start a discussion:
Login with your username and password below. Or comment on this post via email.
Forgot your username or password? New User?