Silicon Valley Technology Commentary & Archives · Est. 2006 3,033 Posts · 2006–2026

January 16, 2009

January 16, 2009 · 1 MIN READ · BY LOUIS GRAY

The StatBot Crunches My Google Reader Link Blog

The StatBot Crunches My Google Reader Link Blog

Following last week's discussion around 10 ways you can maximize your Google Reader Link Blog, Yuvi from The Statbot went to work and pointed his super-geeky analytical skills at my own link blog, which I've been filling with shares for the better part of two years. Given I can only look at my Google Reader trends over the last 30 days, his data has brought a lot of insight.

You can see the full leaderboard for the last 10,000 shares embedded here via Zoho:



Excluding the fact I often share my own items (not a big surprise), an interesting mix of sources emerges. Yes, you see TechCrunch, Inquisitr, ReadWriteWeb and other A-List blogs leading the top 10, largely due to their prolific publishing schedules, and ability to attract tips from developers early in the process and time to chase down rumors. But below the top 10, there is a heavy mix of personal blogs, from Hutch Carpenter, to Jesse Stay, Chris Brogan, Rob Diana, David Risley and Mike Fruchter, who all place in the top 25.

In the 25-50 tier, you see John Furrier, Mona Nomura, Kara Swisher, Kyle Lacy, and Sarah Perez, mixed in with company blogs like those from Socialmedian.

In all, 379 different sources are represented in the last 5,000 shares, and 577 in the last 10,000... which shows a fairly diverse data set.

What I like about this data is that it is personal and it is natural - something that organically has developed over time based on my own interests - and is not intentionally manipulated. Yuvi also ran the data on Robert Scoble's leaderboard this week, which you should check out.

If you're not reading the Google Reader linkblog, you can find it here.
January 16, 2009 · 2 MIN READ · BY LOUIS GRAY

Content Sharing Platform Fachak Launches In Alpha, But Is Raw

Content Sharing Platform Fachak Launches In Alpha, But Is Raw

By Eric Berlin of Online Media Cultist (FriendFeed/Twitter)

Fachak, a new content sharing platform, has debuted its "alpha version" and describes itself as "somewhat like Meebo of content sharing platforms that assimilates YouTube videos, Slideshare presentations & Flickr photos in a single Web service. It’s not a pure aggregator, neither is it a pure bookmarker, but instead a independent ‘multi-format’ & ‘multi-source’ content sharing platform."

If that description tells you what Fachak is, also tells you what it's not, but leaves you with a bunch of questions, you're at the same place I am after giving it a once over.

I have a little rule that I use when I visit a Web site for the first time. If I don't know "why I'm here" and what I should do next within a few seconds, it's usually a bad sign. When I arrived at the Fachak homepage, I sort of knew why I was there (stuff to do with video and images and "docs") and sort of knew what do next (look at stuff and share stuff… from "anywhere," we're told, though the choices at present are YouTube, slideshare, and Flickr). But to be honest I was left wondering: why?


Fachak is trying to differentiate itself by being a place where you can aggregate and share your content from places like YouTube, but is also a UGC platform where you can upload and share your media with a particular emphasis on PowerPoint and other "documents." So I'm not sure if Fachak is trying to be a consumer-facing entertainment and social media platform, a B2B collaboration suite of sorts, or something in between. Also it must be noted that much of what Fachak is working toward has already been perfected (or very nearly so) by FriendFeed, in my opinion.

Fachak, at present, is really rough, and really early. There's simply a lot of little things that need to be tweaked, improved, or revised. For example, three little stars appear underneath videos, giving the indication that you can vote for the content. The expectation is that if you click a star as a logged in user, you should be able to submit your own vote. Instead, you're brought to the content drilldown page. When you relocate the stars on the drilldown page, the voting mechanism is again a little bit clunky. No matter which of the stars you hover over, the text "Rate 3 to Fachak It" appears. And when you final select one of the three, your vote is collected, but you're not informed of how your input affected the overall ranking of the content.

Since the site is still in alpha, I can forgive some of these smaller issues. But it must be stated that Fachak has a long way to go before it's ready for prime time.

I hate to be harsh, as I have great empathy for web developers and entrepreneurs, but I don't see anything really special about Fachak right now. Maybe it'll get there as it travels from alpha through public release.

Fachak is backed by Morpheus Venture Partners, which has been called "India's YCombinator".

Read more by Eric Berlin at Online Media Cultist
January 16, 2009 · 4 MIN READ · BY LOUIS GRAY

Can One's Subscription Trends Indicate Services' Momentum?

Can One's Subscription Trends Indicate Services' Momentum?

As I've mentioned several times before, I border on pack rat behavior when it comes to my e-mail. I very rarely tend to throw anything away - unless it's clearly spam or advertising from someone I don't know. For whatever reason, I save Twitter direct messages. I save responses to statuses on Facebook. I save receipts from iTunes purchases. And I definitely save e-mail confirmations from services that tell me when somebody has started to follow me online - whether that be on Facebook, Socialmedian, Twitter, FriendFeed, Strands, Disqus, or practically any one of the services I use with regularity. With an extremely active 2008 final and in the books, I thought I'd dust off my nerd-approved calculator and see what the trends looked like. If you're willing to say that a single data point indicates a trend, I found the results very interesting.

For the purpose of this navel inspection, I tracked four numbers, including new subscribers to my RSS feed, to Twitter, FriendFeed, and halfway through the year, Socialmedian. It was FriendFeed, Twitter and Socialmedian that saw the most activity for me in 2008, and cognitively, I thought I could sense when one service was spiking and another plateauing.

See the below graph:

RSS Data via BlogPerfume. Some dates to note: 1) I was a FriendFeed user prior to 2008. 2) I joined Twitter mid-way through January of 2008. 3) Socialmedian introduced the "Newsmaker" feature in mid-July of 2008.

At the end of 2007, I had approximately 200 RSS subscribers, and by the end of 2008, that number was approaching 4,000. Interestingly, the 4,000 to 5,000 number is close enough to the number of followers I ended up with on both Twitter and FriendFeed by the end of 2008, with an undoubted extremely high amount of overlap. But while the services are around the same number now, how they got there tells an interesting story.

Early 2008 was relatively quiet in social media. While MG Siegler and I had joined FriendFeed, and were cajoling others to join it, in beta, the service was lightly used prior to its opening to the public. At the same time, I was enjoying writing about newcomers to the Web, like Assetbar and ReadBurner, and, for the first time, gained notice from some strong Web junkies who helped the site gain visibility and RSS subscribers.

I joined Twitter somewhat reluctantly in January, and its growth was good,but relatively small when compared with FriendFeed's boom, especially from March to May as the service exploded onto the tech scene - including more than 1,000 subscribers in May alone. But as is common with many products, FriendFeed's initial spike settled down into a consistent level after the launch, dropping to a third of its peak, below 400 each month from August to October.

At the same time, Twitter's problems with uptime were reducing my use of the site, and others as well. I saw new followers of less than half April by June, before Twitter too settled in at a level almost equal that of FriendFeed.

In July, Socialmedian added a Newsmaker feature, which saw anywhere from 100 to 300 new followers through the end of the year, not quite the level of Twitter of FriendFeed, but respectable.

After a stable Fall, November and December saw a resurgence across all metrics, likely the result of more posts on louisgray.com, as I added additional writers and expanded the posts' reach. But while FriendFeed's climb was gradual, Twitter has exploded - delivering more than 1,300 new followers in December after almost 700 in November, and January 2009 is on track for even more.

Oh! And I barely mentioned RSS. While my aggregate number was much higher by the end of 2008 than the end of 2007, you can see much of the momentum I had was gained in the first half of this year. It could have been due to their being a limited number of tech geeks in the echo chamber. It could have been due to a higher profile on Techmeme, which decreased significantly in the second half. And it's always possible I overweighted social media versus the blog in the second half of the year once the twins were born. Not sure. But what I do know is that with the broader team in place, we are reaching new people, so if I couldn't get any bigger on my own, now I've got help.

So, navel gazing aside... does this show that FriendFeed's spike and then reduced profile is set to grow further again, as the trend from October shows? Is Twitter breaking into the mainstream, as November and December suggest? And will Socialmedian ever trump either of those two? Are you nuts enough to keep all this data like I have, and have you seen the same trends?

January 15, 2009

January 15, 2009 · 3 MIN READ · BY LOUIS GRAY

The Global Recession Is Crushing Web Ads. Expect it to Get Worse.

The Global Recession Is Crushing Web Ads. Expect it to Get Worse.

That I am not a fan of Web advertising on Web services and blogs is not a big secret. I was roundly pummeled for my over the top comments in April that tried to divorce authors from the idea that they could publish a blog, add AdSense and then wait for the money to roll in. But recent developments make it look like the Web advertising crunch is becoming critical. Inventories are not being sold, prices are dropping dramatically, and it's very likely more and more services reliant on ads are going to feel the pinch, forcing them to rapidly change their business models or close altogether. And they won't be alone. I'd look for many multi-author blogs you've grown to rely on to start thinning the ranks of reporters as ad returns weaken, and some have already started to make such cuts.

Back in December of 2007, I expressed my concerns in a piece called "The Web Advertising Bubble Has Got to Pop", where I said:
"The more I think about it, the more obvious it becomes to me that the ad-driven economy, both offline and on, could soon be in dire straights, and companies hoping to cash in need to think of new revenue targets - quick."
The reasons I gave for decreasing ad revenues, at the time, stemmed largely from audiences learning to avoid ads, or to use software to block them. I mentioned that even the mighty Google would be susceptible to a crunch, if was to happen, in the online ad market. Like others, I didn't forecast a massive global recession, but as the financial markets have spiked lower, and public markets have been closed to innovative companies, the drive to reach a profit, and do so without relying solely on ads, is stronger than ever.

Last night, Duncan Riley of the Inquisitr summed it up in what had to be a tough piece for him to write, "The Web Ad Apocalypse". He, being one of those bloggers who is heavily reliant on ad revenue, said advertising inventory at his providers has dramatically dropped. He adds, as I did more than a year ago:
"Advertising in blogging and 2.0 services/ apps is on the downward march, and companies that rely on advertising that were marginally profitable, or running at a loss are about to find life that much harder."
Duncan's comments are not in isolation. TechCrunch reported today that video ad rates dropped 25% in the last quarter. Be it in video, in banners, or in text ads, the trend is downward.

It is my belief that this problem, while exacerbated by the financial downturn, has been a long time coming. While Google made money hand over fist by pushing sponsored ads alongside native search results, their AdSense product, beloved by many bloggers, is often way off the mark when it comes to contextual advertising - and practically the only memorable online ads are those polluted by nonsensical dancing and misleading graphics that make you think you have a computer virus, or lie to you and say you've won an iPhone by being the 1 millionth visitor. I'd say we've come a long way from the late 90s when we were asked to "Punch the Monkey", but we haven't.

Online ad successes in Web services and blogging are not non-existent, but they are incredibly rare, and they are going to get rarer still. If you're trying to make money on the Web, it's time to think of a different way. If you have a service, get users to pay for it. Find a way to deliver value through premium offerings. Charge monthly fees. But the whole "free plus ads" mantra is going to get worse - and not worth the effort in many cases. That's a major reason I've never run ads here. I knew the trade-off for mucking up the site wasn't going to be worth the pennies. Now it's clear that's likely all I'd ever get.