Web Business by Ken Burbary

Has Quora Added Business Accounts?

A coworker pointed me to what seems to be an interesting change on Quora today (h/t Donna Tocci). Lowes is the first “business account” sighting I’ve seen on the platform, and one that if confirmed, would be a change in direction from their previous statements about supporting businesses on the Quora platform. Take a look at the screenshot below, which I took from this URL: http://www.quora.com/Lowes-Home-Improvement

This is relevant for a few reasons, all which benefit both consumers and brands. This gives Lowes an opportunity to collaboratively build a knowledge base with consumers about their products, services, and the category they serve (home improvement). In a way that continues to get better, optimize and more answers are contributed and shared. As a homeowner, I can think of the usefulness of this when tackling home improvement projects. Ask questions here, and get answers from both Lowes and community experts on relevant topics. For more information on the uses and benefits of Quora, read this post by Lisa Barone at Outspoken Media.

Have you seen any other businesses on Quora? Any news from Quora directly? If so, please share in the comments below.

UPDATE: Robert Scoble chimed in with this response.

Social Media Denial?

Spend some time outside of social media communities and you’ll realize there are many people who either don’t agree, don’t understand or haven’t yet taken the time to learn about social media (what it is, what it isn’t and the ways it has changed how we communicate). I was reminded of that today when I came across an article criticizing the idea of letting company employees publicly respond to consumers via social media outlets. The author make it clear he sees no business value in social media efforts, and reiterates that all outbound company communications should continue to be handled via internal corporate communications teams. The article generated some great discussion in the comments, but the best response might have been from Scott Monty who reminded us that with any new game changing technology, there are companies that fear and wish to avoid it.

“A friend sent me a PDF of an article from a business journal in which a company expressed reservations about this new technology over which everyone seemed to be abuzz. They decided that they would restrict employees’ use of it, because of the fear of corporate secrets getting out, of insider information making its way to Wall Street, and of employees wasting their time on it. For that reason, they set up the hardware on a single station in the middle of everyone’s desks so that everyone could see how people were using it.

“That PDF was an article from a 1930s business journal and the technology was the telephone.”

If employee social media participation shouldn’t be allowed because it is too risky, then should you also take away their telephone and email access? Clearly not. Give social media a chance first.

FACTS:

Social media interest and participation continues to climb at an incredible rate. Don’t buy into that statement? Read on. The chart below demonstrates the interest (based on search activity) of social media, direct marketing, digital marketing and digital advertising in the United States. Remember, these are not opinions but rather actual google users telling us what they are interesting in via their searches. As the chart shows, direct marketing has been suffering a steady decline, while digital marketing and advertising have a slow and steady increase. Social media however, has a meteoric rise, with no signs of slowing down. Ignoring this fact because you personally believe it is wrong isn’t advisable. The rest of the world is moving ahead. Don’t get left behind due to ignorance.

Take the time to understand social media (the tools, culture and practices) and participate in it first before you throw the baby out with the bathwater. Who knows, just like Sam-I-Am, you may find that you like green eggs and ham!

Back to Digital Reality

We’re often so focused on the next big thing or mesmerized by the daily innovation of new services, tools and technologies that emerge on the web that something goes unnoticed. We slowly lose our stable footing and begin to get out of touch with reality. Some of us talk about it as “living inside the fishbowl”, and there is truth to the metaphor. While social computing, social media, and social business design may be the future for the web, we’re just not there yet. Change can be difficult. Things take time, no matter how much we want others to join us in the social web. Consider these facts a reminder about what’s happening in the Digital Marketing & Advertising world, TODAY.

• Search is still King of Digital - According to comScore, there were 13.6 billion searches last month by online Americans. Google maintains the lion share of that volume, at 65%. Google’s continued dominance in search is why they continue to rake in the cash, generating $5.52 billion in revenue for Q2 2009. Simple math says Google is averaging $20 billion in revenue annually, while social darlings such as Twitter have yet to demonstrate a sound business model let alone any revenue. At the end of the day, the biggest business in Digital remains paid search advertising and display advertising. Companies spend millions on them and will continue to do so until these channels stop performing. Even Facebook, which boasts 250 million active users worldwide, only generates an estimated $300-$350 million in revenue, a mere fraction of Google’s financial success.
• Email Marketing, strong and still growing – Email has been and continues to be one of the workhorses of Digital communications. Despite all the innovation in communications technologies we’ve seen with the emergence of social, email continues to grow in total spend, offers mature measurement and analytics, and can be deployed very cost effectively as a result of falling CPMs and a high ROI.
• Mobile finally emerges as a viable option – Mobile device penetration is sufficiently high enough that it has become a viable option for companies to pursue cost effectively, and on terms consumers prefer. Already we’re seeing mobile economies generate substantial revenues. The Apple app store sells $200 million worth of mobile software applications each month, putting the iPhone app economy at $2.4 billion. Additionally, the Android marketplace brings in $5 million per month in mobile app sales.
• Online brands declared dead still thrive – Facebook and Twitter seem to dominate headlines and consumer attention, or do they? Myspace is still drawing in ~60 million unique visitors per month. While this trails Facebook by a wide margin, that is TRIPLE than number of active monthly unique visitors Twitter brings in. Now, that isn’t to mean I expect Myspace to win the social network arms race, but rather to demonstrate that it is still a thriving destination where millions of consumers spend their time. Looking at the top 50 most visited Web Properties in July 2009 and you can see other online brands that have been written off, Yahoo, AOL, even Microsoft Expedia.

Don’t disregard these destinations as irrelevant until you’ve done due diligence to understand your target audience, and where they spend their time.

The point of all this is to remember that we live in a heavily diversified online landscape. Resist the allure of shiny objects, and don’t buy into a single channel silver bullet theory (especially social!). Work hard to understand your audience, and craft a strategy to engage that is spread across the relevant channels listed above. An integrated, diversified Digital asset allocation will provide the most effective results, and with the least amount of risk.