At lunch one of my colleagues made a comment about TMSN. I asked him, “What do you mean??
His reply, “Too many social networks.” I agreed. Lists of social networking services go out of date quickly. We assembled a list of social networking search systems in December 2009 and updated it last week. A half dozen search systems had disappeared.
We have been investigating the high profile social networking services like Ning.com and LinkedIn.com. Ning.com was founded by Marc Andreessen (Netscape fame) and Gina Bianchini. The word “ning” means peace to some folks and a province or city in China to others.
The company says:
Ning is the social platform for the world’s interests and passions online. Millions of people every day are coming together across Ning to explore and express their interests, discover new passions, and meet new people around shared pursuits.
Not long ago, an acquaintance at a major newspaper told me that his colleagues were using Ning with great success. Ning’s customers include:
- ASPCA Online Community
- CBS
- CW
- Fine Living
- Fire Fighter Nation
- Fuji Film
- Pickens Plan
- Saturn Car Company
- WD 40
Fast Company in April 2008 wrote “Ning’s Infinite Ambition”. The write up was a good one and provided a range of useful data about the service. One fact jumped out at me:
By New Year’s Even 2010, Ning estimates it will host some four million social networks serving up billions of page views daily.
I recalled that number when I read on January 19, 2010, Digital Beat’s “Ning Now Supports 2 Million Social Networks, Touches Up Branding.” Compete.com reports more than 6.0 million visitors but the chart I saw on January 26, 2010 revealed a possible issue:
Source: Compete.com, January 26, 2010
The trend seems to be drifting downward. Seasonal drop off? Probably. But when I put together the aggressive estimates in the Fast Company story and the information in VentureBeat, I wondered if the type of social networking services that won over my newspaper acquaintance may be slipping behind the newer, more lightweight services.
When we discussed this issue at lunch today (January 26, 2010), several points emerged from our discussion.
First, the number of social networking services is increasing. As a result, the “winner take all” characteristic of some online services may be kicking into gear. The sharp rise in Facebook traffic over the last two years has been well documented in the Web log space and in the popular press. Twitter.com has become the poster child of the micro-blogging sector. With these two services surging, Ning.com may be on the sharp end of two competitors’ sticks.
Ning.com’s service line up is robust. The service’s usability is excellent. Ning.com supports rich media. There’s an option to use one’s own domain name for a modest fee. There are nice automation hooks such as automated tweets when new content is posted.
That brings us to the second point.
To make use of a single, feature rich networking service takes time and effort. Our discussion group converged on the point that only a small percentage of those interested in social networks will make a serious commitment. As a result, services that are lighter weight gain the upper hand in terms of growth. Ease of use may be a perception issue, but in the viral world of social networking services, the implicit perception may dominate even if it is objectively inaccurate. Ning.com, therefore, may have a PR fight on its hands.
Third, social networking services for business are difficult to separate from the social networking services for fun. Most organizations have some nay-sayers when it comes to strategic social networking. The serious services like Ning.com and others aiming at business professionals have to face a reality that we encountered in a recent client engagement.
The company president was interested in social networking in general and wanted a Web log that would allow the organization to build a community. The technical advisors to the company pointed out that Facebook.com could deliver what the company president wanted at a low cost. The senior management went with the Facebook.com approach, ignoring the potential of a Ning.com or other more professional service.
We learned that the value of the more sophisticated social networking services like Ning.com did not compute for this particular retail operation. Furthermore, the idea of making a commitment to social networking as part of the company’s marketing program did not compute.
SSN wants Ning.com and other professional social networking services to recognize that more effort is needed to reach decision makers in organizations. We at SSN know that the Web 2.0 type of marketing works well in some situations. We are not certain if those marketing methods will reach the C level executives in most businesses. More and better marketing are needed in our opinion.
Stephen E Arnold, February 1, 2010
Note: Post was not sponsored.