I’m at the IAB Leadership Forum User Generated Content & Social Media today and here’s the Keynote information – which was actually better than I expected.
Wikis & Widgets, Blogs & Tweets: Defining User-Generated Content & Social Media
Building consensus on definitions across the ecosystem is essential to fully monetizing the exploding consumer share of social media. An industry expert peels away the layers of UGC & social media, dissects the intersection of mainstream and social media, and proposes a core taxonomy that encourages a cohesive understanding of the space.
Seth Goldstein, Co-Founder and CEO, SocialMedia.com
Social Media is active sharing online, has applications and platforms underlying. The social graph is a set of connections that define your real life social network – you can lay content and advertising on to of it.
Brands want to play – and Brands don’t have much to play with in Search Marketing while they do in Social Media. (INTRESTING).
These platforms (Facebook, MySpace, etc) connect you to your friends – and on top of that live the applications such as Food Fight and Happy Hour (sounds like Monster Worldwide should look at this). In the application layer – the amount of time people spend on them (aggregated?) makes them important.
Psychographic Advertising – probably not that effective in Social Networks since people are talking to each other anyway.
Effective CPM’s on most Social Networks is about 5 cents per CPM, not five dollars – but inside applications it’s much higher – applications on canvass pages on Facebook – you can put ads anywhere and still get good results. Economically, analysts are fine with .70-.80 cents CPM’s by 2009 to justify valuations on Social Media.
The nice thing about what advertising – when you get someone to take a “joy ride” with a “new Cadillac” is shows up in all the friends news feeds – it spreads around the social graph.
[Idea: get top users on Facebook, perhaps segmented, and then ask them to try something from your brands and that will propagate – and it will also be recommended – giving it more strength AND we can build metrics around this type of action]
Social Advertising – it means you have to have a Brand ask a question.
Sociamedia.com – white paper
1. Metrics around case study just shown- not given. What’s important?
Is it Impressions and Clicks – no. What about Fans? I think the metrics you’ll see that will be more important is “Cost for Conversations” and how many “connections between people” were you able to accomplish.
# Of Social Connections
K factor – how effective were you to engage a few people who then marketed to their friends
2. What’s the best way to go about using Social Media for Branding?
You can build an application (which won’t get much traffic) or Sponsor and Application (i.e.: Green living or Clean living) – plus work on the Walls.
3. What’s the biggest challenge of monetizing Social Media?
Why are response rates so dismal on IAB units – because it isn’t working so well. What we’re doing at Social Media is making the Ads work better. We’re working on a unit called “Social Banners”. Media is something that is “Sold”. The traditional advertising agencies have a role here to bridge the gap.
In 1995 started a business called Site Specific, at a time where everyone needed to build a website. What’s happening now (for the last 5 years it’s all about keywords and Google) but that didn’t work so well for Brands.
If I have 500,000 to spend on my Social Media campaigns how do I measure success? That is what we’re all working on as there is no engagement metric for Social Media.
4. What is it better to use Widgets vs. Applications?
Widgets are so 2006 / 2007 and tend to be one way – you put a Widget up and express yourself. I think of Widgets as a subset of Applications An application is interactive and two way which Widgets don’t tend to be.
5. Which applications are worth investing in?
Flixtor, but it depends, as some applications that involve buying and selling Friends – and its that going to be popular next month?