Social Success = Search Success

We’ve seen it at Wetpaint, but it’s not just happening for us.  Social success and search success now go hand in hand for all web publishers.

If you look at the top 50 publishers on the web, there’s a strong correlation between Facebook traffic growth and Google traffic growth:

For every 1% growth or decline in Facebook visits, the top 50 web publishers in our Media Industry Social Leaderboard saw a corresponding 0.5% change in Google traffic.

Correlation but not causation, you say?  I have it on good authority (aka Search Engine Land’s Danny Sullivan) that social signals will soon be the leading factor (if they’re not already) in search engine rankings.

It’s time to drop the notion that an investment in social has to come at the expense of an investment in search.  It’s now abundantly clear: social traffic and search traffic go together.

Update:  The original version of this post included an incorrect chart.  The correct chart is now shown.

Search and Social: How The Two Will Soon Become One

This article was published as a guest post at TechCrunch, and is republished here for Digital Quarters readers.

Bing and Google each recently unveiled its own new search interface, designed to better intuit your intent and help you get to the one best answer more efficiently.  And they’ve made it ever more clear that search is heading straight for a merger with social.

The changes are smart.  Google’s knowledge graph is useful – when I search for certain things, I just want a cheat sheet.  What is Faraday’s Law, again?  What exactly is a geoduck?

But Bing’s new feature – “people who might know” – is even smarter.  This is the first major attempt at a merger of search and social – unless you count Search Plus Your World, which I don’t – and this is undeniably the way we’re headed.  There’s a lot of information on the internet, but getting the right info from the right person is still a huge, and mostly unsolved, undertaking.  Nobody knows the answers better than, well, somebody who knows the answers.  And so much the better if it’s someone I trust. (Thank you, Jeff, for the Singapore recommendations!)  The fundamental insight is that when I ask a question, there are lots of ways to help me find the best answer.  If you don’t have it, point me in the direction of someone who does.  Don’t make me ask the same question in a million permutations and sift through a list of 20 possible right answers every time.

What’s more interesting is that this is the biggest step forward we’ve seen since search results started looking 12 years ago the way they still do today (just with more images and toolbars now – exactly what Google got rid of back then!).

Stagnation followed by the springtime of innovation is probably the surest sign that a major disruption is imminent.  (And if that weren’t enough, just think of how much Facebook’s stock price would rise if they captured even a small share in search.)

 

 

 

 

 

 

 

What’s the endgame?  In 10 years, I’ll still need recipes for dinner.  And recommendations for hotels in a new vacation spot.  And to find something to do on the weekend.  I know how I would make these decisions today, but how will I make them in 2022?

The true merger of social and search will look nothing like the search we know today.  I don’t even think we’ll call it “search.”

The social search of tomorrow will be more like a combination of a whip-smart personal assistant and an intuitive, considerate significant other.  But one who’s exponentially more efficient and who doesn’t mind being woken up at 3am.  (I’m lucky, but not THAT lucky!)

Let’s put on our future-goggles and imagine how a fully social, personal-data-powered search would change our day-to-day:

Proactive:  It’s Tuesday night and I’m hungry.  Luckily, my mobile knows that I just got a CSA box containing sweet potatoes (Full Circle Farm’s Facebook integration), and that I tend to eat at home on Tuesdays (according to my historical pattern of check-ins).  It also knows that it’s cold and raining outside.  Before I’ve gotten around to opening a cookbook or the Epicurious app, my mobile pushes me a sweet potato soup recipe that my certified-foodie friend raved about on Facebook last week.

Personal:  Arrive at the Sao Paulo airport and search on my mobile for the city’s public transit map.  My device knows that I’ve never been there (even though I bought a phrase book on Amazon last week), and it also knows (from scanning TripAdvisor comments about Sao Paulo buses) that the public transit is impossible to navigate for newcomers.  While the map is loading, a message appears gently encouraging me to consider a rental car instead – there happens to be a great deal on an Audi (my favorite(!) as noted on Facebook) at the rental counter 10 feet away.  Talk about targeting!

Social:  Florence and the Machine is touring in New York, and I’m dying to go see them.  I called the usual suspects, and they’re out of town during the concert.  The only thing worse than not going is going alone.  But who else do I know who loves them like I do?  That’s a lay-up for a socially powered search if ever there was one.  Two words:  “Jason Hirschhorn”.  Is that so hard?

There are a hundred other decisions that would be made immeasurably easier with the help of a really good personal assistant – one who knows your schedule and your preferences (and the schedule and preferences of your friends and family); one who has excellent research skills and can track down the appropriate expert on any issue.  (But no, I’m sure it still won’t replace Larisa.)

Most of us don’t have personal assistants.  But we have left a heck of a trail of our interests, associates, habits, and dislikes.  It will take some algorithm to turn that trail of behavioral and social data – combined with the wisdom of topical experts and the vast repository of information that is the internet – into a set of smart, personalized answers for you and me.  But that’s why Google and Facebook and Apple hire engineers with such big brains.

And, surprise!, the better they understand our brains (read: intent, context, and relationships) the better the match they can serve up to an advertiser.  And that means an outrageously good search not only retains audience better, but would improve ad rates.

We’re on the verge of shifting from a search model in which the user is still doing all of the heavy lifting to one where powerful algorithms enable our devices to anticipate our needs and do most of the sifting and evaluating for us.  In the meantime, though, we’re stuck in a “hairball of complexity” (to borrow Adam Richardson’s TV industry analogy) while the industry struggles to find the way from A to B.

The key is in having software that recognizes us as whole people. (And isn’t that exactly the promise of social?)  Now search is undergoing a massive transformation from receiving input in the form of queries – each independent and atomic – to understanding its input in the form of people, who have personal history, context, and relationships.  That means delivering the right result depends on who is asking.  Which is sooooo true.  I don’t like the same music as my teenage niece, and she doesn’t like the same restaurants I do.  Why should we both get the same search results?

Apple’s Siri is certainly the closest, at least in spirit, to the eventual reincarnation of search as personal assistant, even as its true capability has far to go.  The voice-activated question-and-answer experience is light years ahead of the long list of links on a page that still defines search on Google and Bing.  But the trick that remains is to gather, combine and analyze data from myriad sources – social interactions, behavioral data, expert opinions – and deliver it back to the user in a way that makes decision-making more efficient than most of us can imagine.

With all of that time I used to spend inefficiently making decisions suddenly freed up, what will I do?  I’ve been meaning to plan a trip to Sao Paulo….

Why Google Needs a Buddy

I was intrigued to find that despite having some of the deepest pockets in the industry, Google seems to have lost a bid for social media marketing company Buddy Media (according to Peter Kafka at AllThingsD).

Buddy Media may sound like a counter-intuitive soulmate for Google:  Does Google really want to help brands have a presence on Facebook?  And those competitive considerations, plus regulatory concerns, might have held them back from paying top dollar.  But it’s a shame they didn’t dig a little deeper, because nobody needs a buddy in social more than Google does.

As the premier search destination, Google has no trouble earning consumer attention or selling search ads.  But in social, the company has struggled.  They could keep trying to woo social users with new offerings, or they could try the back door:  social advertising.  But Google+ doesn’t yet translate into an attractive social ad buy, and so the company’s only option is to use competitors’ platforms (Facebook, Pinterest, Twitter) to broaden their advertising efforts.  In which case, a play for Buddy Media was really quite smart.

An acquisition of Buddy Media would have helped to protect Google’s position as the leader in online advertising.  They control 44% of global ad spend today (compared to Facebook’s 3%), but if social advertising becomes more important than search – and I predict that it will – those tables could turn with alarming speed.  Google is struggling to stay relevant in an increasingly social world, and if they don’t find a social buddy, they could lose their grip on the internet advertising needs of their clients.  Google needs to stay forward on the leading edge of advertising.  And the leading edge is social.

When Google acquired DoubleClick for $3.1B in 2007, it was with the recognition that to be a pro-level player in advertising online, Google simply had to have access to advertisers’ display budgets.  Now, this interest in social looks like it signals that Google has the same recognition when it comes to social spend.  Simply put, the social advertising market is about to grow to a level so high that Google can’t afford not to offer it to clients.

Even though Buddy Media would not have solved Google’s top-of-mind problem – convincing users to hang out, rather than search and leave – it would have helped to position them as an expert in social media marketing.  And that might have helped them develop, over time and with a new perspective, the formula for that elusive social secret sauce.

That alone would be invaluable to Google.  It’s no secret that the company that excelled in search doesn’t have social in its DNA, and it is unlikely to change that without help.  An acquisition is one of the few course-changing options that could make the difference.

More than anything, this week’s news demonstrates that Google sees tremendous value in social.  Now that the acquisition appears unlikely to happen, Google needs to turn its attention to other game-changers that could inject it with some social DNA.  Of course, Pinterest and Twitter should be on the list, and are probably worth far more to Google than any financial valuation would suggest.  But just as valuable would be a company that uses the social web to drive usage, audience, or conversion. Each of these would help Google advance its media offering and rewire itself for social.

Stay tuned:  I bet more news will be coming soon.  It’s good to see Google getting more aggressive.

What to Expect When Facebook Is Expecting: Five Predictions for Facebook’s First Public Year

This article was published as a guest post at AllThingsD, and is republished here for Digital Quarters readers.

Mark Zuckerberg’s baby will be coming of age in a few days, just eight years after it was born in a Harvard dorm room. We’ve been there for the first steps, and the first missteps. But do any of us know what Facebook-all-grown-up-as-a-public-company will look like?

I have five predictions of how Facebook will be maturing in the first year after its IPO:

1. Search

Facebook has become home base for users in many ways. But when it comes to search, Facebook makes you take a bus transfer at Google every time you want to leave the house.

And that’s a shame, because Google starts each search from a place of knowing almost nothing about me. When I’m taking a vacation to Bali, I’m far less interested in Google’s generic recommendations of things to do than I am in recommendations from my friends who have been there.

Facebook already knows which of my friends have been to Bali, and which restaurants and attractions they liked the best. It can even differentiate between the friend I trust for restaurant recs and the friend who always finds the best surfing spots.

There is a clear battle between Google and Facebook. But it’s not over “search vs. discovery,” as it is often framed. Rather, it’s “transaction vs. relationship” — which is why Facebook has the potential to disrupt search as we know it.

Prediction: Facebook will launch a purely social search by the end of 2012 (before tackling the whole hog in 2013).

2. Advertising

Despite the company’s fierce ethos of consumer experience first, business concerns second, an IPO will inevitably put upward pressure on the latter. With the numbers published quarterly and the prices reset every day, Facebook will be forced to support that share price (if not for the sake of its shareholders, then at least for its employees!) by expanding its advertising revenues.

Facebook today brings in quarterly ad revenue of $872M — just a tiny fraction of Google’s $9B. But transactions are by nature pecuniary — and relationships are priceless. As a gatekeeper to nearly a billion consumer relationships, Facebook can roll out new advertising products that are far more valuable than AdWords.

The market for online brand advertising is already huge at $85B today. As soon as Facebook unlocks the potential of relationship-based advertising, the market will open up by tens of billions more.

Prediction: By Q2 2013, Facebook will have more than tripled ad revenues to $3B per quarter.

3. Open Graph

Occupy Facebook! Oh wait, we already do. Or does Facebook occupy us? Facebook currently occupies 1 in 7 minutes of all time spent online.

As the locus of consumer identity, attention and relationships, Facebook has the potential to be the one true platform that links together every destination on the web.

But it’s not there yet. Open Graph was a start, but it lacks a complete and actionable vision for how publishers can connect, access data and establish relationships. Publishers don’t want bits and pieces of data that they need to analyze themselves — they want a unified schema that bridges their audiences’ online worlds and real lives.

When I buy a chicken at Whole Foods using a Facebook app’s mobile grocery coupon, Facebook can match that incoming data point with the fact that I read Cooks Illustrated and that I’ve been on an Indian food kick lately (based on my restaurant check-ins). By the time that chicken is in my reusable bag and I’m hauling it out the door, there should be chicken curry recipe suggestions on my Facebook page.

Facebook has an opportunity to turn data from the long tail of Facebook apps into real inferences about you and me that publishers and other brands on the web can actually use.

Prediction: Facebook will completely redesign their analytics offering by Q2 2013 to provide not just data but real, integrated audience insights that will guide brands’ personalization efforts.

4. Commerce and Currency

Advertising won’t be the only revenue play Facebook makes in its first year as a public company.

Digital commerce (i.e. digital goods) already represents more than $16B in market size, and is projected to grow to $36B globally by 2014. E-commerce is another $680B on top of that. Both are currently conducted by arcane means: Visa card numbers and PayPal accounts.

Why have digital payments been so slow to evolve? Because even the most trusting of us only allow a few close associates access to our most private details. Who knows me the best? My bank, my lawyer, my mother and Facebook. In fact, no one owns my identity as well as Facebook these days (sorry, Mom!). Just because Facebook doesn’t have access to my wallet yet doesn’t mean it’s not going to happen.

A host of companies today (Google, Apple, Square) are trying to become your digital wallet, but Facebook holds a valuable advantage: it is already the locus of your relationships with third-party Web sites through Open Graph. While the logistics will certainly be no piece of cake, commerce is right up Facebook’s alley.

Prediction: By Q2 2013, Facebook will be presiding over $2B in transactions.

5. Timeline

There’s nothing more core to Facebook than its user experience, and Facebook has since its birth shown a consistent healthy dissatisfaction with it no matter what the status quo.

The current timeline experience is a nice try, but it’s not quite right. Timeline solved one problem — the indigestible frequency and quantity of updates at all levels of priority — while creating several more. New Problem #1: Timeline’s intuition about what’s important is too frequently just plain wrong. And while it gives us a great retrospective on people, it does a surprisingly poor job of helping us stay up to date with them. New Problem #2: Timeline depends heavily on Open Graph widgets to summarize our lives.

The latter is both ambitious and troubling. We admire great biographers for their ability to identify and communicate the essence of a person. It’s an insult say that a Nike Fuel score algorithm can capture the “real me” in the same way.

Timeline is a v1 product. It will take significant and deep tuning over many versions to reach its full potential.

This may seem like it’s just a UI update, but it’s not. Timeline is the clearinghouse for everything that happens on Facebook. Getting Timeline right is probably the single most valuable thing Facebook can do to grow its effectiveness with users — and its revenues.

Prediction: Facebook will release the first major redesign of Timeline by the first half of 2013.

Will the precocious kid that Facebook is today grow into a smart, savvy adult? A boatload of investors and J.P. Morgan certainly seem to think so. Over the long term, it will depend on Facebook’s ability to leave its youthful single-minded focus on users behind and execute consistently against two metrics: great user experience and revenues to match.

Social Done Right Is a Multiplier

A number of people have asked me to share the math behind something I said last week:  that social users are much more valuable than users from search.

As some of you will recall, I was referring to the most powerful use of social: to build loyal audience relationships.  It’s worth far more than a chance at a viral hit, a millionth fan, or even a social comment or like.  That’s because the social networks are really “relationship platforms.”  The currency of social networks is the data describing what users like.  And with that data, anyone can serve an audience – and build a branded relationship with users – far better than a blue link in Google can do.

In the interest of proof, I’ll share some of my company’s data with you.  We’ve been tracking the long-term value of users from various sources for some time – about 7 months and counting now.  And the results couldn’t be more conclusive:

Users from social visit more often and stay longer. 

How much more often?  Our Facebook users come 70% more often over the course of our dataset.

And each time, they stay on average 50% longer – consuming more content, pageviews, and advertising.

Put that together, and each Facebook user brings us 2.5x the revenue of a search user.  And that’s without yet even adding in the value of engagement and viral referral to drive even more audience!

You may be wondering why that is.  Well it’s not just pure luck.  The reasons are twofold:

First, social users are in a branded relationship.  When your property shows up in a Facebook or Twitter feed, you can be identified with your logo and brand name.  One better is when someone Likes or Follows you.  When that happens, you’re now talking about the chance to build a relationship many times a day – with each and every post.  From a brand building standpoint, this is nirvana – and it’s probably the most important reason why advertisers will spend billions of dollars to get into the social news feed this year.  But even better for content publishers:  if you do it right, you can get in for free.

Second, the social relationship platform actually doubles as a data platform.  It gives publishers real-time feedback data about what works, when.  If you watch and measure carefully, you can tune the content, packaging and timing with real-time feedback so you can give the audience exactly what they want, when and how they want it.

So while social users are outperforming search today, the good news is that next week, if you use all that data to improve what you do, they’ll do even better.  The chart above is an average value over the last seven months, and what it doesn’t show you is that social users have been increasing in value over time.  Take a look:

In January, the average user who came from Facebook looked at 9 pages – that’s more than double the number we were seeing just 5 months ago.

I’m actually not surprised that not every publisher is seeing this kind of loyalty and engagement from social users.  After all, it didn’t come without effort – I credit the dramatic increase in social user engagement in the chart above to our advanced technology helping the Wetpaint team understand and serve our audience.

But that doesn’t mean that every publisher can’t get more loyalty from social users than they’re getting today.  It just makes sense: social users should be more engaged and brand-loyal.  They have a strong incentive to read and watch what their friends are talking about, to be included in the conversation.  The only reason that many brands aren’t seeing the full value of social is that they’re blind to the opportunity of rich connections and data – and ultimately, they’re the ones who will be left out of the conversation.

Is Social a Fad for Media?

I feel like a lot of my posts lately have been beating the social drum, so I need to clarify my perspective.  Social isn’t just a fad.  It isn’t just a channel, or an alternate distribution medium.

It’s actually turning into the new ether.  As in “need it to breathe.”  And while it’s not actually all about friends, it absolutely is about connecting to your audience.

Case in point:  according to Compete, in February Wetpaint Entertainment received more traffic from Facebook than from Google.  Hey, I told you it was gonna happen.  It’s because social has provided a medium for data and connection that lets us deeply relate to our audience.  Increasingly, other publishers are finding the same – The Guardian most recently joined the club.

The best part is that these gains in social aren’t coming at the expense of other channels – our overall traffic (including our search traffic) continues to climb. Social signals have a huge impact on search rankings, and so it makes sense that our social success would drive audience growth outside of social, too.

For the last several years, many a publisher’s greatest fear has been that they’ll lose favor with Google.  Afraid that any shift in strategy from SEO to social will lead to a precipitous fall from Google grace and a drop in traffic, they monitor the search rankings daily to see if the gods are pleased.

But ironically, it turns out that an investment in social is the best SEO there is.

Social Leaderboard: What Drives Outperformance?

We’re back with the Media Industry Social Leaderboard, fresh off the presses with February results.  For any newcomers, the Social Leaderboard is a ranking of the top 50 media publishers by their effectiveness at driving traffic from Facebook and Twitter.

Overall: No Great Shakes

From January to February, social traffic composition was flat, with the average staying at 7%.  The gap between Facebook and Google traffic coming in to the Top 50, which had been rapidly closing since November, froze in February with Google holding on to its 30% lead for one more month.

At the Races: Us Magazine Falls Behind

Only four publishers in the top 10 improved their social traffic scores this month: NBC (+1.5%) took third place by trading places with Us Magazine (the biggest loser in the top 10 with -3%, now at #5).  Break (+2%) and TMZ (+0.5%) leapfrogged the pack of MTV, NFL and MLB, pushing those three back to #8, 9 and 10.

One of These Things Is Not Like the Others

But the biggest mover and shaker was Wetpaint Entertainment.  Wetpaint took an even more decisive lead by adding 7% to social traffic composition since January, vaulting it into the elite group of publishers who, based on Compete data, receive more traffic from Facebook than from Google (in good company with People, Yahoo!, AOL, MSN, Fox Sports, and The Post Game).

With 29% of traffic coming from social, Wetpaint is outperforming its closest competitor by nearly 2x.  Is this a data aberration?  Some kind of leap year phenomenon?

Let me fill you in on the story behind the 29%: over the last two years, we took a gamble by building a new platform for social media distribution.  It wasn’t a sure bet, and not many other publishers were doing it, but we had seen compelling evidence that social was the only way forward for the media industry.

We threw all of our time and talent at the problem, building up a fan base while developing and testing and refining new strategies for delivering content through social channels.  We collected tons of data in real time about the preferences of our fans, and then we leveraged that insight to personalize and program their newsfeeds.

Today, the rest of the media industry is just starting to figure out the value of winning fans and courting likes.  But because of our early investment, we’re already two steps ahead – we’re focusing on what to do with our 1.7 million fans.  We’re delivering over 1,000 posts a week, each one targeted for the right fan with the right content at the right time.

And it’s starting to pay off.

 

 

 

 

 

 

 

 

 

 

 

Social Leaderboard: Facebook Is Closing the Gap

It’s time again to check our horses and see who’s pulling ahead in the social publishing race!  And the race is definitely on – 85% of the top 50 publishers increased their social traffic this month.

No looking back now
Until I started charting the incredible growth of social and its impact on the rest of the web, I wondered if it might be more hype than actual paradigm shift.  But the evidence is mounting beyond reasonable doubt, and this month’s results point to the continuation of rapid growth.

Facebook traffic to the Top 50 grew 9% in January (after growing 17% in December).  Not only that, but Facebook is closing the gap with Google: The gap between how much traffic Google sends and Facebook sends to the 50 largest publishers is down to just 30%, from 55% in November.  At this rate, I expect Facebook to surpass Google traffic to publishers some time this year.

Note: This analysis includes portals (e.g. Yahoo), which receive more overall traffic but a smaller proportion of Google traffic than the average non-portal publisher, who might see a larger gap.

 

Favorites hold their lead
At the wire it’s Wetpaint Entertainment (with 22.2% of traffic coming from social) followed by People, followed by Us Magazine.  Coming on strong on the outside is CBS, pulling ahead of NBC for 4th place by drawing 14.4% of their traffic from social (up from 11.7% in December).

Wetpaint Entertainment increased its lead this month, adding 1.4% to its social traffic and widening the gap with #2 People by an additional 0.5%.  People and Us Magazine increased their social traffic composition by 0.8% and 0.6%, respectively – just slightly more than the Top 50 average of 0.5%.  CBS was the biggest mover by far, adding 2.7% to its social traffic.

Ladies and gentleman, place your bets.  It’s still anyone’s race, but one thing is for sure: if you’re spending all of your time on SEO and SEM, you’re backing the wrong horse.

VIDEO: Rebooting Media Think-Tank: Search vs. Social Discovery

In conjunction with our Rebooting Media series and the live think-tank hosted by Wetpaint and Digitas, we are releasing today the first in a series of videos about the social web.

In this first part, our group of ten executives and journalists chewed on the question:

“Is traditional search dead as a means of discovery?”

Watch the video for yourself, and read highlights of the conversation below.

 

Search is utility, social is discovery. 

Search has never been about discovering something new, but rather finding what you want once you know what you want.  Social, on the other hand, is all about serendipity.

“Pure discovery is in what you weren’t looking for.  In search, I’m determined, I have a path.  The only real discovery in search is I’m Feeling Lucky.”   —Jason Hirschhorn, Media ReDEFined

“With search I think of words like utility and efficiency; it’s purposeful.  With social discovery, there’s an element of surprise and then, hopefully, delight.  You’re not necessarily sure what you’re looking for, because sometimes you’re not really looking for anything.”   —Wenda Harris Millard, Media Link

 

Are social users more valuable?

This was surprisingly debated in the conversation, and the conversation reflected different experiences from different publishers; and reflects the difference in methods used to draw social traffic.  For example, Forbes sees disproportionate traffic from LinkedIn to reach its largely male and older-skewing audience; while Wetpaint Entertainment uses the Facebook newsfeed to repeatedly reengage the site’s 1.4 million fans, almost all young women.   

“We see 2-3x the value with social visitors – 50% higher duration, 25% more frequency, and we’re seeing virality come [on top] of that.”   —Ben Elowitz, Wetpaint

“When you talk about running a business, the person who comes in through search is a very valuable person – more so than the person who’s coming in through social.  Social users are fleeting users, not necessarily loyal to the site.”   —Lewis DVorkin, Forbes Media

“We see equal engagement from search and social, and about equal percentages of referral traffic.” —Erick Schonfeld, TechCrunch

 

Social is hard for marketers. 

While marketers recognize the promise of social marketing, the methods and measurements are far from sophisticated for most.  We need to get better at understanding and tapping into unexpected virality and the seemingly random discovery paths in social.

“I don’t think we really know how to use social as a distribution method, other than putting “Like” buttons everywhere.”   —Erick Schonfeld, TechCrunch

“In search, purchase intent is right there.  But for advertisers in the social world, it’s harder to know exactly where that intersection is.  You want to be part of that conversation, but you risk interrupting it.”   —Greg Clayman, The Daily

“Virality happens, but it happens without warning.  By the time you can get to Madison Avenue to sell it, it’s gone.”   —Jason Hirschhorn, Media ReDEFined

 

Ultimately, social and search will converge. 

As Google works to see if it can decipher the social code, and Facebook moves closer to taking over the entire digital world, we are headed toward a merger of search and social.

“If you look a few years out and you say where’s social and where’s search, they’re in the same place.   There’s a merger between the two.  These two spaces are on a collision course, and we need to start looking three years out to see how that collision course takes shape.”   —Ben Elowitz, Wetpaint

“The intersection between social and search is growing.  I go to Google and search “bunk beds” and I get a set of useless results.  I go to Pinterest and you wouldn’t believe what I find.  That really is the intersection of social and search: it’s utility-driven, it’s purpose-driven and yet the discovery is that much richer, that much more useful.”   —Jeff Berman, NFL Digital

 

The next two parts of this three-part series:

For more perspective, download a PDF of the full publication Rebooting Media:  The Digital Publishing Revolution for a Fully Social Web.

How ecommerce Is Blazing a Trail on the Social Web for Publishers

This piece from Theresia Gouw Ranzetta is the eighth in a series of 10 posts about the future of the media industry contained in a report titled: Rebooting Media: The Digital Publishing Revolution for a Fully Social Web.

Q:  How does the rise of Facebook change the relationship between media and its audience?

Facebook becomes the jumping off point for many browsers who count on their friends to curate interesting media for them. How news gets “found” becomes less about searching Google news, and more about checking your Facebook newsfeed.

 

Q: What’s changed fundamentally about media with the rise of the social Web, and what do publishers need to do to adapt?

Publishers need to understand the “start” point for their digital users. It used to be a portal, so you cut a deal with one of them. Then, it was a search box, so you SEO-optimized your content. Now, it is a social media platform (Facebook or Twitter), and publishers need to understand how to optimize their content for maximum social sharing and social media amplifications. Don’t get me wrong: in each phase, it has always been about great content. But that is just the necessary first building block. Then you need to figure out the distribution to get maximum audience engagement.

 

Q: We’ve gone from SEO (Search Engine Optimization) to SMO (Social Media Optimization), so how will search change as the Web becomes more social?

Reference or informational search will remain relatively unchanged (for example, “What is the capital of Iowa?”). But “search,” where you are looking for guidance or information that has a subjective or has a taste aspect to it, will be completely transformed by social. Instead of typing in “Best sushi restaurant in Palo Alto,” you will ask your friends, or go to a site with a like-minded social groups (foodies, vegans, etc.).

I think we are still in the early days of SMO. Many large publishers have not yet even thought about this, nor are they aware that they should be. As with SEO, they will need to upgrade their content management / publishing systems and processes. Many will turn to start ups, like Wetpaint, to help with this.

But SMO can be even more. Unlike in the search world, where a supposed Chinese wall existed between SEO and SEM, leading platforms can now encourage their advertisers to also invest in SMO as well. So a very savvy company can leverage and get synergies from their investments and learnings from SMO + SMM (Social Media Marketing) in a collaborative way.

As with the early days of the portal and search platform eras, the ecommerce players were the first to experiment, invest and learn about the power of the new platforms to get broader distribution / audience. This is understandable, given that their business models more easily lend themselves to direct data gathering and learning for marketing spend. Once again, in social, I see the ecommerce players blazing a trail for publishers: the GroupOns, Zyngas, ModCloths, and Birchboxes of the world are good places to start.

In parallel to social, I think we are also seeing a platform shift – from PCs to mobile Internet devices. So, clearly the rise of iOS and Android are important platforms for publishers to understand and adapt to, both in terms of the technology and the distribution nuances.

 

Q:  How do you build a brand in publishing when, with greater frequency, media is distributed through social channels?

You need to learn how to build your brand following on social media and realize that, no matter how strong your brand is in other channels, this is a whole other effort. It is not just an add-on and thinking of how to get “Likes.” The “packaging” of your content needs to be social media optimized for sharing and tie to your social media presence on your Facebook page and Twitter. It is an interconnected ecosystem that cannot be thought of as separate pieces.

 

Q: What are the critical success factors in publishing as we look to 2020; and who will be the winners?

Understand that we are in a new era. Social media distribution, branding and user-driven pull – not your push distribution – will win. Also, understand how your mobile approach is intertwined with what you need to do. The winners today will be the companies that have created these new social and mobile platforms (Facebook, Twitter, Apple iOS and Google Android), as well as the market leaders who have successfully built the first leading companies on top of these platforms (Zynga, Groupon etc.). As for the winners in 2020: I’m in the business of funding start up innovation, so I would say it’s the companies that may not even yet be formed – but they will be, in the next year or two.

 

Theresia Gouw Ranzetta joined Accel Partners in 1999. She is an investment Partner in Accel’s Palo Alto & New York offices and focuses on companies in the social commerce, vertical media, consumer mobile applications and privacy/security markets.

To download the complete report, please click here:  Rebooting Media: The Digital Publishing Revolution for a Fully Social Web