Although he delayed it as long as he could, on Wednesday 1st February 2012, Facebook Founder & CEO Mark Zuckerburg filed their S-1 Documents[1] disclosing the company’s plans to seek $5 Billion ahead of an I.P.O.(Initial Public Offering) which will beat Google’s 2004 offering to become the world’s largest initial public offering of an Internet company. Facebook stocks, & those of companies with even miniscule associations to Facebook went, “soaring in trading”[2].

The release of their S-1 Documents revealed interesting information about Facebook’s business operations. Most of the Social Network’s revenue is generated from advertising & associated fees, their payment infrastructure enables users to buy virtual and digital goods from their Platform developers. Of the $3.71 Billion[1] revenue generated in 2011, $445 million was made through virtual goods sold by Zynga Games who account for approximately 12% of Facebook’s revenue with Facebook taking 30% of all Virtual Goods sold by Zynga Games, such as FarmVille and CityVille.

Facebook’s public offering will make it a public company, enabling anyone to buy shares in the company. Though this means huge amounts of cashflow for the company to further their visions, it also means monetising the company which could compromise Mark Zucherburg’s idealistic & user based approach to running the pioneer social network. Just as Apple challenged Microsoft for Software supremacy, Facebook now challenges Google for Internet supremacy. To strengthen this challenge, they will have to begin to split focus as their users, who have always been at the fore of their business and who form the basis of the business value proposition will now become the product of their business, firstly, and secondly the shareholders will now also need to see returns on their investments.

The company is expected to be listed on New York Stock Exchange or the Nasdaq in a few months and investors from around the world will be watching eagerly to see how this long awaited listing performs. Internet advertisers will be looking to see what this does to the performance of their ads, especially in comparison to long dominant Google.

References:
[1]: http://www.sec.gov/Archives/edgar/data/1326801/000119312512034517/d287954ds1.htm
[2]: http://mashable.com/2012/02/02/facebook-ipo-tech-stocks/

During the last month, I have been keeping a keen eye on Google’s new approach to search. In my previous article, The Impact of Personalized Search on SEO, I mentioned that the decision to include Google+ social content in search results might not be welcomed by everyone. This especially stems from the fact that it seems as if Google places priority to Google+ information in its search results. One can argue that Google is entitled to include Google+ content, since they own the search engine. Also, Google mentioned that they would index data from Facebook and Twitter if they made their platforms open. One thing that is certainly sure however, is that Google has received significant backlash because of the decision.

Google’s social rival, the massively popular micro blogging site Twitter, are on the forefront of the accusing camp. After the new search algorithm was launched by Google, Twitter accused Google of trying to drive traffic to their social network by manipulating search results. A Twitter representative made the following statement: “For years, people have relied on Google to deliver the most relevant results any time they wanted to find something on the internet. As we’ve seen time and time again, news breaks first on Twitter, as a result, Twitter accounts and tweets are often the most relevant results. We’re concerned that as a result of Google’s changes, finding this information will be much harder for everyone. We think that’s bad for people, publishers, news organisations and Twitter users”.

Personally, I think Twitter has a point. Twitter has had a massive social impact over the last few years (the “Twitter Revolutions” for example) and breaking news can often be found first on Twitter. If results from Twitter (or any other site for that matter) is the most relevant, the information should be available first in Google search results. This also ties in with the aforementioned Search Engine Optimisation. If you have to compete with only slightly relevant data from Google itself, you’re in for a losing battle. One option is to embrace the change from a social marketing perspective. But is this really best for the user?

In conclusion, it seems that many are worried that relevant results get pushed down in favour of Google + content. Fundamentally, relevancy is what it all boils down to. Google might not be in the wrong here, they are certainly entitled to promote their social network, but they should not compromise the quality of their search results in the process.

Twitter/Facebook - image credit - www.cbsnews.com

Can you believe it’s already the end of January 2012. In this article I will quickly recap on some highlights of 2011 and what we can expect in 2012 when it comes to technology world-wide and in South Africa.

2011

One of the most exciting launches in 2011 was the launch of the iPhone 4S, officially launched in South Africa December 16th 2011. The new member of the iPhone family has a dual core processor, improved camera (8 megapixels) and improved video capturing capabilities. With this Apple set a new standard for the development of Super Phones.

After months of speculation Google launched their new attempt at Social Media. Google Plus (Google+) was launched in mid 2011. The platform seems to be a combination of features from existing social media platforms and is visually very plain and simple to understand. It remains to be seen if Google+ will play a big role in Social Media or will it come to an end like its predecessor Google Wave.

YouTube got a little renovation. In 2011 YouTube improved the user experience of their website. They changed the layout to make navigation and finding channels easier and also made it visually more appealing.
Google bought Motorola Mobility for $12.5B, a dedicated Android partner, which will enable Google to supercharge the android ecosystem.

2012

Mobile! I think a lot of tech companies will be focusing on building better and more functional mobile applications as the market for smart and super phones is exploding. Mobile penetration in Africa especially is higher than some European countries. I think we’ll see a lot of innovation in the mobile application sector especially in terms of location based services, social networking, mobile commerce and mobile banking. I think we’ll also see advances when it comes to mobile hardware especially battery life.

Social media should have a large impact on search engines delivering more personalized search results than ever before. I also think Google and other large search engines will take social media more in account when it comes to delivering organic search results using user generated information to establish whether a website is a good resource or not. See Marcel’s article: The Impact of Personalized Search on SEO

Android will probably increase their market share in mobile device operating systems with the purchase of Motorola Mobility.

Whatever is in store for us for the year 2012 – it will be an exciting year for technology. I am sure we’ll see great innovation in technology in general and especially in mobile devices.

As 2011 draws to a close, Facebook published Memology 2011, a list of statistics regarding global topics, trends and cultural phenomena. These statistics are generated and compiled from the over 800 million Facebook user’s status updates. The top 10 global topics identified by Facebook, quite accurately represents the media highlights of 2011. However, the top 10 global topics make it clear that the majority of Facebook users reside in the USA, with ‘Packers win the Super Bowl’ being the 2nd most popular global topic of 2011.

Quite understandably, especially from the perspective of the United States, the top global topic of 2011 was the death of Osama bin Laden. The deaths of Apple’s Steve Jobs and singer Amy Winehouse were the 5th and 7th most popular topics respectively and Charlie Sheen’s antics landed him as the 4th most popular global topic on Facebook in 2011. The Royal Wedding of Kate Middleton and Prince William, which happened in April, is at position 6. The massively popular Call of Duty game franchise, was the 8th most talked about global topic of 2011 with the release of Call of Duty: Modern Warfare 3. Other topics in the top 10 include: ‘Casey Anthony found not guilty’, ‘Military operations begin in Libya’ and ‘Hurricane Irene’.

Facebook also provides country specific status trends of 2011 (you can take a look by following the second link below). Unfortunately South African topics are not provided (I am sure the Rugby World Cup would have featured in one form or another). Some interesting status trends from other countries include: UK Riots (United Kingdom), Skrillex (Canada), Planking and Skrillex (Australia), UFC and Slipknot (Brasil).

2011 has certainly been an exciting, tragic and strange year for the 3rd rock from the sun.

Learn more about Social Media Marketing

Links:
http://blog.facebook.com/blog.php?post=10150391956652131
http://www.facebook.com/facebook?sk=app_271705986210152

Why are companies with Facebook profiles on the hunt for more “Likes”?
It could be one of the following reasons or in most cases all of them:
To gain more social media fans, to gain brand exposure, to position their brands in the eyes of the consumers, and ultimately to effectively utilise this medium to run competitions and promotions.
As the Social Media Expert at SAbest it intrigues me as to why Facebook users do not want to like a Company or Brand on Facebook. I did some research to see why and what expectations people have when they do interact with a Company or Brand socially.

There are various reasons why Facebook fans don’t “Like” a Company on Facebook:

• 54% don’t want to be bombarded with messages or ads,
• 45% don’t want to give any companies access to personal profile information,
• 29% don’t want companies to contact them through Facebook,
• 23% don’t see the benefit of it,
• 4% don’t understand what it means to “Like” a company.

If a Facebook fan likes your Company page, it is very important to observe that they do so with an expectation. People don’t just “Like” every page on Facebook, they “Like” it for a reason. Fans like Company pages to gain access to exclusive content, events, sales or promotions.

47% of users “Like” a page to receive updates about the company, persons or organisation in their newsfeed. 26% want to interact with the page owner. The survey also shows that only 24% want to be contacted through other social media channels such as Twitter once they have interacted with a company on Facebook. 37% do not expect anything to happen.

Media such as photos and videos always perform well on Facebook. It grabs attention in newsfeeds and it is easy to share.

Just ask. People like to interact with each other so ask for those opinions on topics, and if you want your fans to share favourite content, go ahead – ask them.

One of a fan’s expectations is that the page owners will thank them for their replies and for sharing their opinions. From time to time, talk about things other than your products. Wish them happy holidays. Ask them fun questions or to share their personal stories.

Remember, if a fan likes your page; interact with them, because it’s one of the biggest expectations any Facebook Fan has.