Location Based Services Infographic Review

This Mashable infographic on location based services fascinates me in some respects:

What’s surprising:

  1. 90% of LBS Early Adopters were using Facebook Places, yet Facebook down played LBS. It took Places off the market but reintroduced check-ins by integrating it into a social status. “Checking into <place> with <these guys>”.

What’s not surprising:

  1. Early adopters are much more likely to use LBS apps for the social elements than mass consumers
  2. Mass consumers are much less interested in being the “mayor” of something. I always supposed early adopters were more “type A”.
  3. Larger chains are investing more readily in LBS, yet app users are advocating for the small mom & pop stores
  4. Interest in daily discount apps greatly exceeds interest in LBS apps

 

 

Oct Poll: What LBS check-in apps do you use?

There are so many check in apps that you can spend more time checking in to a restaurant than actually eating a meal.  I pretty much stick with Foursquare but I do use Facebook if I’m with “Facebook friends”.  I’m also interested in trying LevelUp.

What LBS check-in apps do you use? Select all that apply.

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(polls)

image credit Salvatore Vuono

Focusing on location based services

I’m trying something new this month. I’m focusing all of my energy on one topic: Location Based Services (LBS).  In October, I’m looking to answer the fundamental questions about LBS. Such as:

Questions about Location Based Services?

  1. What is the most important thing Marketers should know about LBS?
  2. What does it take to execute a LBS strategy correctly?
  3. What are the best practices for integrating LBS into a campaign?
  4. Examples of brands using LBS well?
  5. Daily deal sites vs LBS check-in – which is right for me?

Do you have questions? Let me know in the comments.

Photo credit: Joe Logon

5 Marketing Technology stories you might have missed 10-1-11

Here are 5 Marketing Technology stories you might have missed. This week: two devices, Google Analytics, Marketing statisticians and how B2B Marketers can garner additional resources.

1. iPhone 5 announcement next week

On Tuesday Apple will announce their new iPhone(s). What makes the announcement so interesting is the secrecy and rumors surrounding the release. Check out this infographic on iPhone5 rumors [link]

My Take: A inMobi survey of iPhone users reported 41%plan to upgrade to the new iPhone 5.

Roughly 73 million iPhones have been sold worldwide. Assuming 1/2 are still in existence and the 41% number holds worldwide, that’s nearly 15 million people upgrading to the new iPhone when it releases. It will be interesting to see if Apple releases a iPhone 4S and what that does to Android sales.

2. Kindle Fire Released, not an iPad killer, but still pretty killer

Fire Specifications:

The Fire is no iPad and it doesn’t try to be. It’s hardware is well short of the iPad, but at roughly half the price, it is much more accessible and still  retains key features most want.

  • 7″ display
  • no camera
  • no microphone
  • Wi-Fi only
  • Just 8 GB of memory
  • $199

Interesting links about the Fire:

[link] Pictures up close with the Fire

[link] Video of the Fire

[link] TechCrunch is right, the Fire is a “sub-iPad” sort of like a iTouch for tablets

[link] The Fire may be part of a broader strategy. The device may be a loss leader but when paired with Amazon Prime it could help Amazon sell a lot more stuff.

[link] Silk browser is more than just a browser. It prefetchs content to increase load times and take the processing burden off the device. It’s ingenious but Amazon’s caching of content adds security concerns.

[link] 10 things we don’t know about the Fire

My Take: Will Amazon, only recently a hardware manufacturer, do what Samsung, Motorola and RIM could not? That is – release a tablet which garners significant market share?

Other android tablets tried to compete head to head but couldn’t. The Fire isn’t trying to be the same as the. IPad, it’s trying to be the best tablet for consuming content at an affordable price – it’s going after the market segment that would like an iPad but won’t shell out $500 to get one.

3. Google Analytics Gets Real-Time Data with New Enterprise Edition

[link] The new features (customer support, SLA and increased usability/functionality) will entice those using other analytics programs and GA basic users.

My Take: Google doesn’t have a strong history of enterprise support (although if anyone can do it..) but the features and benefits seem compelling. With a price tag is $150,000 annually I wonder how many organizations will jump up to Premium.

4. ‘Big Data’ Means Business Needs Mathematicians

[link] Just as in moneyball, statistics are becoming increasingly important, and it requires a special kind of NERD.

My Take: As Marketers migrate further into digital channels it needs more expertise on items such as: segmentation, integration, touch-point analysis, predictive modeling and attribution. Does your Marketing department have a statistician? Should it?

5. Marketing Research Chart: Top barriers to overcoming B2B marketing challenges

[link] Lack of resources is listed as the top challenge for B2B Marketer. This totally resonated with me.

My Take: How to overcome these challenges? Demonstrate contribution to revenue.

Social Influence Measurement: The Good, the Bad and the Ugly

I was inspired to do another post on social influence measurement after seeing klout get trashed on a few sites.  I understand why people argue against it, but I think it’s helpful to look at it from all sides.  The post ran long so I’m running in a series: The Good, the Bad and the Ugly. Starting with…

The Good

Before we get into it, let’s set up what we mean by “social influence”. I’m using the definition Forrester analyst Zack N. Hofer-Shall suggested:

“The power individuals have over your brand based on the size and quality of their networks.”

Of course social influence vendors don’t publish their algorithms, but klout does provide clues on how it derives its score:

[important]klout score is comprised of: True Reach, Amplification, Network Influence[/important]

  • True Reach = the number of people someone influences
  • Amplification = how much you influence people
  • Network Influence = the influence of the people in your True Reach

Intuitively, this equation feels right. Doesn’t it?

In general, measurement is good! Metrics provide transparency and allow for meaningful, quantitative analysis and discussion. Yes, numbers can be used to distort the truth, but I don’t believe the social

Believe it or not, Blondie (Clint's character) was "The Good"

influence vendors have an agenda other than to build a sustainable business model. (They aren’t trying to get anyone elected.) As long as the algorithms are applied evenly across social media, they provide useful data and insights.

 

 

Erica Ayotte (@inthekisser), a Social Media Manager at Constant Contact, pointed out that even if Marketers can agree on who is influential, what do you do with them after you’ve identified them? Well, klout has an answer for that too. Social influence measurement is about more than keeping score. For example, klout has a perks program that allows marketers to reach influencers and offer them exclusive packages with the intent of supporting a Word Of Mouth campaign.

[important]See a list of current perks and claim those you qualify for <here>[/important]

Sure there is plenty not to like about these metrics, but social measurement vendors (klout, PeerIndex, Empire Avenue, etc) are still new and they continue to improve their services. For example, klout, who gets the lions share of attention, keeps adding services and features. klout uses its algorithm to measure influence on 12 social media networks. It currently has a new feature called “Topics” in beta. Topics provides users the ability to see the top ten influencers on a given topic.

Okay, social influence measure not perfect, but as Voltaire said “the perfect is the enemy of the good.”

The Bad

Let’s keep it simple, here are 4 things that are bad about measuring social influence:

  1. A high influence score doesn’t necessarily mean this person is actually influential. A high klout score would indicate an individual has a larger audience of influential people that engage with the content being shared. But does this measured influence cause action? Does a high score mean that person can help a brand move more product? Not necessarily. There are other factors that come into place like product/service accessibility, location, suitability and personal taste.
  2. Klout lacks context – you may have a klout score of 70, but that doesn’t mean you know jack about sewing, mountain bikes, grilling, scrap booking, etc. This leaves the scoring system pretty empty – you need other data to provide context be it (demographics, behaviors, etc.) However, klout is in beta with Topics. If it works the way one would hope, this will be a huge improvement in the system since it proves context. I may have a score of 70 on the Boston Bruins, but a score of 1 on dating Gisele Bunchen. For what it’s worth, PeerIndex also provides some context by measuring influence on eight industries.
  3. Some people fault social measurement scoring because it can’t t measure offline influence. I think that’s a specious argument. If you’re already tracking offline influence good for you. Consider their digital score additive to your assessment. But admittedly, using the definition offered, the solutions available do not measuring online influence. That’s bad because marketers can become overly focused on a digital score and totally miss the point of social influence.
  4. Vacation – if I go quiet for a week, my score drops ~5 points. Did I suddenly become less important?

I think this list may be too short, let me know why you think social influence measurement is bad in the comments.

The Ugly

I’m calling two things “ugly”:

  1. What if influence doesn’t matter?
  2. Data privacy

Influence doesn’t matter?

A Fast Company article, Is the Tipping Point Toast? explores the research of Duncan Watt.  Watt ran computer simulations to determine how things (viruses, ideas) are spread. It’s not that influence doesn’t matter, it’s that influence doesn’t matter as much as we think it does. Watt’s said:

All the clever (and lucrative!) targeted viral campaigning may ultimately be less effective than good old mass marketing.

Here are Watt’s reasons:

  1. No one can clearly explain how an influencer actually influences. Is it one discussion? Several discussions? A mix of activities? Is an influencer so influential that they mobilize the influenced to

    Duncan Watt

    also be a strong brand advocate?

  2. Societal readiness is the determinate factor regarding whether or not an idea spreads. He uses the example of forest fires. There are thousands of forest fires a year, but only a few become roaring monsters. A specific mix of environmental factors are required for a hugeforest fire: dry woods, lack of rain, distant fire departments, etc. Intuitively, this makes sense. Cultural factors play a part in how “right” ideas are for a community.
  3. Marketers like the idea of influence because it exudes a measure of control. (and that control can be sold to clients.)

Data Privacy

I’m a cup is half-full type of guy coupled with some good old conspiracy theorist. When I learned of klout, it could only measure two or three social networks: twitter, LinkedIn and Facebook. Now that klout has scoring on twelve platforms it starts to feel less like influence management and more like data collection.  Let’s be real. Just as on Facebook, you’re not the customer, you’re the product.

[notice]You’re not the customer, you’re the product.[/notice]

I’ve reviewed klout’s Privacy Policy <here> but it deals with the information you share directly with klout, not the information you later give klout access to when you connect klout to social networks such as Facebook.  For example, when you connect klout to Flickr you see this warning:

"including private content"

 

It seems that I’m granting klout access to information that is kept private on Flickr. I asked klout Marketing Manager, Megan Berry (@meganberry) about this. (For the record, Megan has always been a real straight-shooter with me in my brief exchanges with her.)

Regarding the Flickr example, Megan replied:

On flickr: Your private photos will definitely stay private. We are
asking for the lowest level of permissions flickr allows which is
read-only access and does include private photos (we can’t change
that). However, we NEVER use your auth to display photos, or look at
them or share them. Instead, our algorithm looks at the response your
photos are getting — i.e. are people commenting, favoriting them etc.
We will never access or use your private information.

On privacy in general:

Klout collects data from your networks in order
to discover your influence. We do not share any of your private data
or email address with 3rd parties. We do not access your Twitter DMs,
private Facebook messages, private Flickr content or any other private
communication.

I want to believe Megan, I have a lot of respect for Joe and the whole team, yet unless I’m misunderstanding the privacy policy, what Megan shared is not in their stated klout privacy policy. Why not spell it out further?

My advice is for users to be aware of what they are agreeing to be connecting your social networks on Empire Avenue, PeerIndex and klout. Don’t take your privacy for granted. If your concerned, don’t link your accounts. Some measure (a little? a lot?) of the scoring comes from the public view of your web 2.0 life. Perhaps that’s enough for you.

Feature photo credit Rusus Gefangenen

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