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Wednesday, October 17, 2007
Given that LinkedIn's professional social network content has been available through SalesForce.com's AppExchange service for nearly six months is it really a big deal that there's now a Facebook interface as well? As seen in Programmable Web's flash demo it's a fairly rudimentary integration: if you add a contact you can select their Facebook profile for inclusion in your SFDC desktop and use many of Facebook's functions and applications to communicate with people in their social networks. That's hardly rocket science but it's an excellent indication of the strengths that can be gained from using a social networking content service as a drop-in module in a software-as-a-service desktop environment.

Most importantly, though, it's an indication of how quickly two content services can benefit from one another's mutual presence in SaaS very rapidly with virtually no integration requirements. Instead of trying to reinvent the wheel with social networking SalesForce.com enables its clients to tap into the networks that matter most to their sales efforts. With Facebook's more multi-dimensional view of people's personal and professional lives it's possible that sales professionals will get a different kind of introduction than one might get from a LinkedIn referral. LinkedIn provides excellent professionally-oriented networking tools but there's something about telling someone, "Hey, I saw your profile on Facebook, I see that you're into sailing" that's a little more personal and conversational. Moreover it's a window through Facebook's programming interface into functionality that they have on their own platform that in essence gives one embedded applications within an application that's embedded in a SaaS platform. That's powerful content integration that can work to extend the value of both the hosting platform and the embedded platform as valuable contexts for content very rapidly.

While Facebook is having its ups and downs in terms of traffic, personal content exposure issues and integration complaints the growth of its use in professional circles over the past several months has been extraordinary. Although it's mostly a few brave people that venture beyond the basics of Facebooking, professionals are becoming much more used to the idea that their professional lives count increasingly on their ability to project their value and depth as a multi-dimensional person, rather than just a set of skills that can be marketed as useful but disposable labor. The old adage "it's not what you know but who you know" is taking on a new twist as online networking creates a new hook into effective business relationships.

At the same time most business information companies are standing still in comparison to companies like Salesforce.com and Facebook when it comes to encouraging on-the-fly content integration with their products. With a strong focus on traditional integration of content into structured databases the opportunity to provide a looser level of integration into a workflow-centric platform. There are strong opportunities for such integration in major market verticals, so expect this to happen over time. But with Salesforce.com pushing its Force.com initiative to provide "platforms as a service" for various corporate functions the time to move on such initiatives is now, not later. We may not be seeing Facebook as a networking tool on Bloombergs any time soon but there are plenty of markets where such rapid content integrations will benefit companies trying to put content in the most valuable context possible.

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By John Blossom - posted at 10:27 AM
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Wednesday, August 29, 2007
CNET News covers the first major ratings results from its revised audience ratings methodology at comScore's Media Metrix unit and the results are not altogether rosy for major portal providers. According to CNET under ComScore's new qSearch 2.0, Yahoo lost market share from a year ago and is now at 23.5 percent for July, while Google gained share, reaching 55.2 percent market share. The New York Times notes also a fall in Forbes.com's audience measurement from 15.3 million in its original February data to a revised figure of 13.2 million.

One of the key factors aiding Google in the new measurement system is comScore's inclusion of search queries initiated via Google's infrastructure through search partners, as well as queries into "universal search" categories such as news or images from a search engine's home page initiated off of an initial query.

All of this builds audience share, which despite protests from other portal providers about quality audiences is still a major factor. The difference now, though, is that ratings companies are recognizing that in a world of embedded content, OEM relationships and mashups the "here" of content is less about who comes to your site and more about how your content gets in front of audiences in many venues. Jeff Jarvis notes in a "portals are past" rant that it doesn't matter if you get 10,000 impressions on a site with an audience of 100 million impressions or from multiple sites with smaller audiences, which is somewhat to the point but misleading.

With advertisers focusing increasingly on conversational marketing and contextual ad placement the new audience metrics are rewarding publishers whose content can engage those audiences in as many finely defined contexts as possible. The issue is less the total size of a portal's audience and more the ability of a portal to define the right audiences for advertisers. It isn't so much a matter of "big is bad and small is good" as it is getting the right context for your audience no matter where they congregate.

This is where Google has done itself an enormous favor over the past several years in encouraging the use of its content via mashups, Google Co-Op and other tools that make it easy for both professionals and amateurs to use Google content in so many different contexts.
There is a lot to be said for the strategies of portals such as Yahoo! and Ask.com to engage audiences more deeply at their own destination sites to build quality audience engagement but they have lagged behind Google in defining unique contexts for content beyond their portals that may be less heavily branded but of equal value to advertisers. At publisher sites such as Forbes.com the problems are not so different, with a preponderance of traditionally syndicated content building up clicks but failing to produce enough unique content that can make a dent through their own syndication strategies to take advantage of new audience metrics.

In all of these instances Google gained an advantage by focusing on syndicating context rather than content, avoiding the expenses and lethargic pace of traditional content licensing deals in favor of making it easy for people to find anyone's content in the right context and to build additional and unique content around it. This can happen on large portals or small portals - it matters not to Google, as long as it keeps growing.

We've long held that portal strategies were topping out, so none of this comes as a terrible surprise, but it's interesting to see how advertisers in search of meaningful metrics are now one of the key drivers that are showing the way to online publishers who may have doubted the value of Google's strategies to advertisers. Traditional portals will continue to be important as branding mechanisms for content producers and marketers but the highly portable value of context is beginning to to carve away at the bottom line of portal producers.

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By John Blossom - posted at 12:20 PM
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