Understanding Users Of Social Networks - By HBS Prof

From this article from HBS Working Knowledge -

If the ongoing social networking revolution has you scratching your head and asking, "Why do people spend time on this?" and "How can my company benefit from the social network revolution?" you've got a lot in common with Harvard Business School professor Mikolaj Jan Piskorski.

Only difference: Piskorski has spent years studying users of online social networks (SN) and has developed surprising findings about the needs that they fulfill, how men and women use these services differently, and how Twitter—the newest kid on the block—is sharply different from forerunners such as Facebook and MySpace. He has also applied many of the insights to help companies develop strategies for leveraging these various online entities for profit.


Excerpts -

On why social networks?

"Online social networks are most useful when they address real failures in the operation of offline networks," says Piskorski.

On LinkedIn

"If I am looking for someone who can help me with my start up, I would ask my friends if they know such a person, and if they don't, I would ask them to inquire with their friends. The problem is that those friends of friends don't always have an incentive to help, so they won't work on my behalf. But here is where LinkedIn comes in handy—there I can go and search through the network of my friends of friends and find the person I am looking for."

Photos - the biggest driver of activity

The biggest discovery: pictures. "People just love to look at pictures," says Piskorski. "That's the killer app of all online social networks. Seventy percent of all actions are related to viewing pictures or viewing other people's profiles."

Usage by gender

Piskorski has also found deep gender differences in the use of sites. The biggest usage categories are men looking at women they don't know, followed by men looking at women they do know. Women look at other women they know. Overall, women receive two-thirds of all page views.

For Twitter - Everything turns upside down

Piskorski says these findings do not hold for one network: Twitter.

Looking at who uses Twitter, which restricts users to 140-character messages, Piskorski and student-researcher Bill Heil (HBS MBA '09) found that 90 percent of Twitter posts were created by only 10 percent of users. This was not surprising, he says, because the technology uses words without photos to communicate.

"Only the people who are willing to put themselves out there publicly in words to people who they may not know will use Twitter. Some people will find this incredibly appealing, others will find this too scary."

But the remarkable finding was the gender dynamics. According to the research, there are more women on Twitter than men, women tweet about the same rate as men, but men's tweets are followed by both sexes much more than expected by chance.

"That was stunning because on all these other social networks you see the opposite," Piskorski says.

No one uses MySpace

MySpace has a PR problem because its users are in places where they don't have much contact with people who create news that gets read by others. Other than that, there is really no difference between users of Facebook and MySpace, except they are poorer on MySpace."

India To Have 3rd Largest Internet Userbase By 2013

"The number of people online around the world will grow more than 45 per cent to 2.2 billion users by 2013 and Asia will continue to be the biggest Internet growth engine.

"... India will be the third largest internet user base by 2013 with China and the US taking the first two spots, respectively," technology and market research firm Forrester Research said in a report.

From a Forrester Research report. Via Contentsutra from the PTI piece.

Like most forecasts, this one also has to be taken with a pinch of salt. When it comes to internet usage in India, I believe we have already spent way too much salt by now, with most of the forecasts and estimates not turning out as expected. Worse still, there are already enough people fighting for what appears to be, as of yet, a small pie and claiming all kinds of numbers when the measurement metrics and not very clear. Anyway, that's for another blog post another time. While the numbers may not be as turn out exactly as forecasted or as estimated, there is not denying that there is growth, albeit slowly and there is a huge opportunity waiting to come good. A few years in the context of an entire industry is a short time, and hope there are enough people around to make the most of the opportunity.

Democratisation of Super Influence!

A new report from Universal McCann discusses the rise of "a new breed of super influencers" that has been created by "the tools of the social media revolution."

Entitled When did we start trusting strangers? How the internet turned us all into influencers, the premise is that influence was moved beyond "professional and top down" (mainstream media) and into Web-enabled peer to peer influence. But despite McCann calling this a "democratisation of influence", all influencers are not equal. There are "super influencers" who are "extremely heavy users of social media, particularly in terms of content creation." Are you one of these people?

Download the report here.

Got to the report through ReadWriteWeb.

Truth About Youth - An MTV Study

Not yet. Turns out MTV is not going out of business because of every Tom, Mark and Steve and Chad turning into a content generator or building platforms for user generated content. A series of studies and research by MTV compiled into a book The State Of Cool, confirms mostly what is common knowledge and some insights into trends on youth culture, their usage of internet and mobile.

The State of Cool, a book published by MTV’s Insight Studio has a statistic that should set minds at ease only 1% of young visitors to user generated content sites actually upload anything fresh and original. 10% or less actively participate and leave comments, while 90% are passive spectators.

Ah, what about the Pareto Principle then? But 1% is way too less.

The importance of catching ‘em young is almost a cliché , but MTV states the market is more lucrative than ever before: youth across India spend up to Rs 9 billion in pocket money every day. A good deal of it on mobile phones and related services. Two years is the utility expectancy of a cell phone for 63% of young Indians; 57% of youth across Asia state that they’d like to replace their MP3 players with a music enabled mobile. The eagerness to add ringtones, music and games is good news for promoters of value added services.

No wonder every youth brand is chasing the youth these days. And their pockets are only going to swell in the days to come.

Indian youth are obsessive about keeping in touch, of which social networking is a huge component . 59% visit sites like MySpace almost every time they are online (see I-Generation ). India lags behind only Brazil in this sphere. As many as 69% of young Indians use these sites to chat with existing friends. 57% consider it an avenue to meet new people. It’s a de facto art gallery for 49% who share pictures. In India , Brazil and China, exclusively online friends beat close friends by a huge margin.

What Indian youth add to their mobile phones?

















What Indians use the internet most for?



















What Indians use the mobile most for?


















Source: This Economic Times article.

PS. Recommended reading - Chasing Cool.

Natural Born Clickers - More Clicks Not Equal To Better Brand Building

Findings from a new study by Starcom, Tacoda and comScore’ suggest “the click is dead” as go-to measurement of effectiveness for brand-building display advertising campaigns .

..The study illustrates that heavy clickers represent just 6% of the online population yet account for 50% of all display ad clicks. While many online media companies use click-through rate as an ad negotiation currency, the study shows that heavy clickers are not representative of the general public.

Further preliminary Starcom data suggests no correlation between display ad clicks and brand metrics, and show no connection between measured attitude towards a brand and the number of times an ad for that brand was clicked. The research presentation suggests that when digital campaigns have a branding objective, optimizing for high click rates does not necessarily improve campaign performance.

The study only bring to light the problem faced by marketers(if they are aware of it, that is) and the agencies helping them. action being tracked and metrics clearly defined, using the medium for purposes of brand-building and brand loyalty is a problem waiting to be solved.

More on the study here.

Are Status Messages The Next Blogs?

Please take this survey - Are Status Messages The Next Blogs? . Will definitely be interesting, the results of this!

Poor Use Yahoo!, Rich Use Google

Wtf, you say? That's the best thing about studies. Like this one by Hitwise.

No Such Thing Like Early Influencers?

Turns out then that The Tipping Point theory doesn't quite tip a lot of things.

Duncan Watts at Yahoo! Research has this to say -

A rare bunch of cool people just don't have that power. And when you test the way marketers say the world works, it falls apart. There's no there there.

Oh what then about a lot of poor souls who bet heavily on things to succeed hoping things will go viral, or that they are through by winning over the influencers? Interesting, because most things which became hugely popular, at least over the internet, owe their success to the viral power. More in this FastCompany article.