Monday, September 21, 2009

Social Media Marketing: Will Social Media Drive a Web Without Walls?

The battle between walled gardens of exclusive content and open access to content is as old as the consumer Internet. Can social media help to speed that evolution toward openness?
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SES Chicago 2009

SEW Expert - Erik Qualman Will Social Media Drive a Web Without Walls?
More SEW EXPERTS: SOCIAL MEDIA MARKETING SEW EXPERTS: SOCIAL MEDIA MARKETING

By Erik Qualman, SEW, Sep 21, 2009
Columns  |  Contact Erik  |  Biography

A key question that remains to be answered in the social media battle is the interconnectivity of all the pieces. Carmakers don't use the same supplier for all of their various parts; rather, they select a specialized manufacturer for each component (e.g., headlights, sun roof, seats). Similarly, social media providers can't be the best at every functionality (social network, social bookmarks, wikis, video sharing, photo sharing, etc.).

However, users like the simplicity of one stop shopping. This isn't a new concept. We'll see whether convenience (one stop shop) or best-of-breed functionality wins out over time.

Walled Gardens

Corporations that supply the content/technology have historically acted like walled gardens, with a "these are my toys and nobody else can play" mentality. A walled garden with regards to media content, refers to a closed or exclusive set of information services provided for users (a method of creating a monopoly or securing an information system). This is in contrast to providing consumers' access to the open Internet for content and e-commerce.

This is primarily due to the providing companies desire to capture as much revenue as possible. Some easy to grasp examples of "walled gardens" are:

  • AOL's original strategy of containing all of its content exclusively for its Internet subscribers.
  • The ability to only get the NFL Game Day package if you have DirecTV vs. regular cable.
  • Apple -- pick your example.

"It's a race to see who will work better and faster with everyone else," said Charlene Li, founder of consulting company Altimeter Group. "It's recognition that you can't be an island of yourself."

How Microsoft Outlook brought together contacts, calendar, and e-mail in one application is a good model for how someone will eventually tie up the loose ends of Web services. We've seen this constantly over time, whether it was VHS vs. Betamax, CDMA vs. GSM, European outlet plugs vs. Asian outlets, or American doctor offices not having a universal form (a personal pet peeve of President Obama).

One parallel example in the social media world is Facebook and Open Social (i.e., MySpace, Hi5, iLike, LinkedIn, Google, etc.). The hope is that, due to the open reliance and nature of social media, this boils down to one seamless connectivity platform.

Companies are Opening Up

Facebook, MySpace, and even Apple are allowing programmers access to their systems (via Application Program Interfaces) to make cool applications and tools that consumers enjoy (e.g. Google Maps on the iPhone, Music I Like on MySpace, etc.). If this type of cooperation persists, it will only help continue the adoption of social media as there will be more relevant offerings for more people and it keeps things simple.

The social media power user will relish this openness because it will enable easier access to the best of each type of tool rather than watered down versions (analogous to having all of your clothes, shoes, and glasses from one brand versus getting your sunglasses from Oakley, watch from Rolex, and your jacket from L.L. Bean; although one can counter argue with a department store analogy -- but those aren't doing so hot these days are they?).

Consolidation

Just like in all booms, we'll see consolidation. However, will the consolidation be less than we've seen historically as a result of the inherent openness of social tools, or will there be more consolidation than usual, due to the reliance of making certain you're connected to everyone in your network?

Imagine the ability to only have one log-in -- this dream has come a lot further in the last few years with social media being the driver. Also, this type of openness will allow for everything to be "pushed" to us rather than us hunting and gathering and putting into one basket. We would have the basket being constantly filled with "information goodies" from the best and brightest suppliers -- think a step beyond RSS.

"I have stated all along that I truly feel that in the end game, Facebook and the like will be less of a destination and more of a tool that you use wherever you may happen to be and that it will connect you to other portions of the Web," said Natalie Del Conte of CNET TV.

You can already see this with the new thinking that has been put forth by Facebook. In particular, their Facebook Connect product is all about openness.

Open Thinking is Truly Radical

The thought of Facebook Connect and other such platforms is to allow you to take your friends with you, and is what will result in the emergence of the "social Web." Instead of trying to hoard all of a user's data, it will be shared on the Discovery Channel Site, San Francisco Chronicle, Hulu, Digg, etc. You also see it with TripAdvior. allowing other travel sites to tap into their API and pull ratings and reviews of hotels and travel destinations from TripAdvior.

"Everyone is looking for ways to make their Web sites more social," said Sheryl Sandberg, Facebook's chief operating officer. "They can build their own social capabilities, but what will be more useful for them is building on top of a social system that people are already wedded to."

Specifically, this allows for someone to post a restaurant review on OpenTable.com and easily share it with their Facebook, Twitter, etc. social graph. Now, if only hospitals and dentists could figure out a way we could only fill out one form.

Just look at the broadcast networks, if they had this type of "open" thinking, all shows would be available on demand on YouTube and Hulu. This hasn't occurred because the revenue streams haven't been properly figured out, so it is still the scenario of "these are my toys and you can't play with them."

This begs the question: in the near future, does it matter more where the content is viewed or is it more important that it is viewed at all?

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Biography

Erik Qualman is the Global Vice President of Online Marketing for EF Education, headquartered in Lucerne, Switzerland. With more than 26,000 employees in 53 countries, EF Education is the world's largest private educator.

His book "Socialnomics: How Social Media has changed the way we live and do business" was released from Wiley Publishing in August 2009. Qualman is a frequently requested speaker within the Internet and marketing community and also maintains a social media blog at www.socialnomics.net.

Qualman has been highlighted in numerous publications, including: BusinessWeek, AdvertisingAge, USA Today, Forbes, PR Week, Investor's Business Daily, eWeek, Media Life, Direct Marketing News and Direct Response Magazine. He has also been interviewed on various radio and television outlets. Qualman is also a published fiction author.

Prior to joining EF Education, Qualman helped grow the online marketing and eBusiness functions of Cadillac & Pontiac (1994-97), AT&T (1998-2000), Yahoo (2000-03), EarthLink (2003-05) and Travelzoo (2005-08). Qualman holds a BA from Michigan State University and an MBA from The University of Texas at Austin. He was also first team Academic All-Big Ten in basketball at Michigan State and still finds time to follow his beloved Spartans.

Article Archives by Erik Qualman:
» Will Social Media Drive a Web Without Walls? - September 21, 2009
» Social Media for B2B - September 7, 2009
» Socialnomics: It's a People Driven Economy, Stupid. - August 24, 2009
» Social Media: Fad or Revolution? - August 10, 2009
» International Social Media Strategy: One Size Does Not Fit All - July 27, 2009
» Be Stubborn With Your Social Media Vision, but Flexible With Your Plan - July 13, 2009
» More Articles by Erik Qualman


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