Monthly Archives: April 2008

Facebook, the people.

By
Steve Poppe
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0
Sheryl Sandberg was brought in to Facebook as COO to help stabilize the ship. Facebook is cruising along nicely, don’t get me wrong, but the ship is bobbing and weaving. By bringing mainstream business acumen to Facebook, Ms. Sandberg has in a matter of months created new procedures and business practices to make Facebook less of a college dorm company and more a grownup company. 
 
Her other functions are to help Facebook make more money than it spends, and fix the advertising model. But as the “suits” infiltrate Facebook (remember the Beacon program) Facebook will lose more and more of its identity. What made Facebook so unique was that it was run by millennials for millennials. I don’t begin to know Mark Zuckerberg’s personally but I’m guessing he was pretty democratic in his approach to building Facebook. (The idea to open up the API to developers, being one example.)    
 
Facebook is what it is today because it was not a product built by a few business people with a business vision. It is a platform built and evolved by many for many. Facebook is successful because the “people” are running the show, not the suits. IBM and AT&T could never have followed this model, Facebook must. I wish Ms. Sandberg luck in her endeavor but suspect she will have a torturous couple of years before her. 
 

A Senior Moment?

By
Steve Poppe
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0

Rupert Murdoch seems to be having a senior moment. One day he’s meeting with Jerry Yang in an effort to align News Corp with Yahoo and Google, the next he’s talking about working with Microsoft to take over Yahoo. Either way it sounds as if he’s trying to get someone who knows the space to handle his Fox Interactive Media, owner of MySpace. 

 

I’m getting the impression Mr. Murdoch is more interested in “the deal” than the “vision.” Frankly, he knows how Microsoft makes money, so I’m betting that the Microsoft play is where he’s likely to land – if he does land. And that’s debatable given some of these tactics. Maybe his recent dinner with Jerry Yang was strictly intell gathering. If it was, I bet Roy Bostock was not at the table.

 

PS. I wrote some time ago that Mr. Murdoch’s purchase of The Wall Street Journal, would lead to creation of the world’s biggest business social net. That would have been vision. 

PPS. For a fun look at a Visual Guide to the Yahoo Mating Dance, click on the Dan Farber link: http://www.zude.com/index.htm?pg=MAIN&btnbar=3&pgid=62208041108532417674

Posters and Pasters

By
Steve Poppe
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0

I really like Charlene Li of Forrester Research. She’s smart, has immersed herself in the social networking/social media category and she is the “go to” analyst in the business. But if “to a hammer everything looks like a nail,” then to a research analyst everything requires a segmentation study.

 
Charlene’s new thing is Social Technographics. It’s a nice branded name for a segmentation study identifying people in their different levels of social networking adoption. Buy the book Groundswell or employ Forrester and learn how to market your product to consumers anywhere along this adoption curve. The six segments are: Inactives, Spectators, Joiners, Collectors, Critics and Creators.
 
Here’s my segmentation study. Posters and Pasters. This is the Ying and Yang of social media. The Mutt and Jeff. The Perez and Paris. Posters are the creators of new and original content. Pasters are the organizers and repurposes of that content. Pretty simple really. Short book. And free. 
 
 

Eee pc

By
Steve Poppe
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0


There is a new type of notebook computer in town which some are calling the netbook. It is so named because it is light, fast and Internet-centric. Many of the notebook providers have these computers either on the drawing boards or heading to a store near you. The price points are low and manufacturers are betting that netbooks will create a larger user market and not cannibalize margins of the current market.

 
Kids and business people are very used to small qwerty type devices, and with iPods and portable DVD players in great favor it’s not a stretch to see small $299 netbooks showing up in backpack’s and bags across the country. Think of them as supplemental portable PCs. 
 
One of the ways netbook manufacturers are keeping prices down is by selling them with Linux rather than Microsoft operating systems. By dumbing these devices down and providing “easy” tabbed operation the “greatest generation” may find netbooks agreeable and become more wired. Easy is as easy does. And that will grow the market.
 
So let’s see: a small, low price-point computer that will appeal to current computer users and a device that will appeal to “never bought” owners. Sounds like a plan.
 
Check out the Eee Pc netbook at http://uk.asus.com/products.aspx?l1=24. Also read about the category in the Marketplace section of the Wall Street Journal 4/8/08.
 
 

Digital Distribution Empire

By
Steve Poppe
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0
There was an ad campaign a couple of decades ago by a major Chemical Society that asked the question “What in the world isn’t chemical?” Well today that question might be better asked, “What in the world isn’t digital?”   
 
One company poised to corner the digital distribution business is Amazon. Known for books then CDs, Amazon has evolved into a distributor of many different type of products, from electronics to tools, to health food. But as Amazon make inroads in digital music downloads, it has moved into digital books (thanks to the Kindle,) and has a digital download movie business called Amazon Unbox. Ultimately, they will sort through all the permutations of distribution, usability and rights management and strengthen their play in these categories — in which they are currently underperforming. And when they do they’ll have one supreme advantage: price.
 
As Amazon begins to cross-sell its various digital products it will be able to amortize costs and offer discounts which will be hard to copy. Buy two digital movies and a digital novel by Nelson DeMille and we’ll give you Shelby Lynne’s new single.
 
As Amazon becomes the online store for all things digital, they will be the Exxon Mobil of this generation.
 

On the Fence About MySpace Music

By
Steve Poppe
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0
For the life of me I can’t figure out how MySpace’s big music announcement with Universal Music Group, Warner Music and Sony BMG is going to play out. The geezer planner in me says it is headed for disaster, because MySpace is about friends, not selling music. And whenever a property thinks they know more than their customers about being a consumer, they fall into traps.  If given a choice to buy Music from Apple, maker of the iPod, or MySpace maker of “thanks for the add,” I’d choose Apple. But look how Wal-Mart ascended in music downloads. 
 
The strategy of selling music in all device formats is smart, though it hasn’t driven crazy growth at Amazon. The strategy of 360 degree deals, selling all band purchase-ables: tees, tix, loads, pix, vids, is also smart. And convenient. And after “friends,” music is a big driver of traffic to MySpace, and therefore consumers have in a sense already voted for music as a MySpace app. Hmm.
 
But bringing in three labels, notorious competitors, and then stirring up the bees nest of small indies (a franchise) vs. the big labels and that will create cause some anomy. More hmm.
 
Though I’m kind of on the fence here, I’m going to say, it will be a small bust.  News Corp. will putz this thing up because there will be too many cooks in the kitchen. Plus the MySpace overall mission is now off-kilter. When was the last time you thought of your favorite music store as “a place for friends.”
 

A turn off.

By
Steve Poppe
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0

 

I’m in the social networking, social media business and I must say the category is very exciting — but there is one phenomenon than many of the tech alpha fe/males are engaging in that I find odd. It is “real-time notification.” It’s the shit too, because lots of people are is doing it.  Twitter, FriendFeed, Plaxo Pulse, to name a few, allow the wired and wireless to post to the internet their every move and thought, broadcasting it to the world as a feed.
 
I can see maybe being drunk and thinking that everyone would want to know what I’m doing and thinking, but come on! Sober? I’m not nearly that interesting to assume people need my every typed thought. And many of the people Twittering and FriendFeeding aren’t either.
 
The technology is very cool, but I’m waiting for the app that is going to make sense for this. I somehow feel all this burn in the ether isn’t good for the environment, either. Let’s turn some of this shit off, Yo.
 

Good exhaust.

By
Steve Poppe
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0
 
My first visit to Burger King was at the suggestion of my cool older cousin Tom. I was a MacDonald’s kid and we had to drive 6 miles to get there. Wasn’t impressed. I was too pissed off at not getting my way, plus I wasn’t a big lettuce and tomato fan. Not even sure if I had a Whopper.
 
May years later I am a Whopper fan indeed.  Whoppers are all about the flame broiling. Kings aside and billions in ad campaigns later, it all broils down to the burger and the quality and presentation of the other perfectly orchestrated ingredients. Some Whopper make me moan with delight, others are just average, but I keep coming back in search of those killer Whoppers. 
 
The best advertising done by Burger Kings does not come from Crispin Porter Bogusky — though they do better than good work — it comes from the exhaust fans. I can’t drive by Burger King without my mouth watering.
 
The new CEO of BK, John Chidsey, really gets it. Read his interview today in the Wall Street Journal.
 

Place-shifted TV

By
Steve Poppe
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0

 At the PSFK Conference in NYC last week Mike Hudack of Blip.TV brought up the notion of “place-shifted” TV. Many people today “time-shift” TV, which means they use digital video recorders to alter when they watch favorite programs. But in place-shifted TV they alter the device they watch a program on and therefore the place. One of Mike’s favorite tech shows he watches on his iPhone, presumably when he has some downtime.  Big HBO productions, on the other hand, are reserved for his hi-def flat screen at home. That’s when he wants the best quality sight and sound.

 
Smart guy.
 
Talking head shows that don’t require high fidelity make sense for smaller, low-qual devices. Downtime is perfect time for a good TV show. TV isn’t going away. It’s still one of the greatest forms of entertainment. Those who create great programming and broadcast it will always find an audience. And place-shifting will help audiences find that programming.
 
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