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Thursday, August 30, 2007

Tough time ahead for Indian networking sites



Priyanka Joshi And Sapna Agarwal / Mumbai/New Delhi August 28, 2007



Competition with online international networks hots up in cyberspace .
The online social networking market is getting crowded. With international social networking sites such as Facebook, Orkut, MySpace becoming a part of the daily routine for the 38.5 million Internet users in India, the Indian social networking wannabes will have a tough time ahead.
To name a few, Reliance ADA group’s Bigadda.com, Yaari.com founded by Stanford University graduates Prerna Gupta and Parag Chordia, MIH India’s portal Ibobo.com, People Group’s Fropper.com and many others are here for a “friendly” tussle.
The Internet user base is estimated to grow to 100 million by 2007-08, according to Internet & Mobile Association of India (IAMAI). It is estimated that 10 per cent of the present Internet audience is active on social networking portals, which is close to 4 million users today.
By all measures, online networking in India has moved beyond scrapping, a term used for posting messages on the social networks, to become a more interactive medium. The users now experiment with over a dozen-odd sites present in the cyberspace before narrowing down to a couple of favourites.
The question that still remains, however, is how many social networks any single user is likely to join and remain active in? Siddhartha Roy, chief operating officer, BigAdda, comments: “The aim of our site is to increase the user stickiness, and hence our obsessive dedication towards user generated content like blogs, music and video.” The portal is eyeing 10 million users by 2010.
Roy says BigAdda would soon make a debut in mobile phones and regional languages. “Games and content sharing tie-ups with Zapak.com will materialise in the next few weeks. We are also looking for third party content providers,” he adds.
Orkut, a social networking portal bought over by Google, is hugely popular in India. For Orkut, moving to a mobile version and integrating Google applications on its social networking portal seems to be the next logical step.
Vinay Goel, products head, Google India, concurs that Google’s ownership of videos through YouTube and its services like Gmail and instant messenger should see an integration with Orkut. He also indicated that a “single sign in” platform, wherein the user could log in with a single user name, can be expected.
Although Goel does not discount the competition from Indian networking sites, he says, “It would be difficult for any single site to gain the user volume that Orkut has.”
There are financial reasons fueling the competition too. Globally, advertisers are expected to spend $1.9 billion on online social networks by 2010, up from $280 million in 2006.
Quite expectedly, Sequoia Capital has already invested $2 million in the Indian start-up minglebox.com, a site focusing on the college and student alumni networks.
For smaller players like Yaari.com, gathering a sizeable user base seems to be the immediate priority. The site is gifting iPods to its most popular users in an attempt to grow its network.
Having created a successful online matrimonial portal like Shaadi.com, People Group seems to have immense faith in its online dating and networking site, Fropper.com, that garners 70,000-1,00,000 registrations a month, or so claims the company.
“With a registered user base of 2.5 million people, our site has managed to increase the average time per user on the site from 8-10 minutes per visit to 15-30 minutes per visit,” says Navin Mittal, business head, Fropper.com.
Meanwhile, others like the South African media conglomerate Naspers’ Indian subsidiary, MIH India, is popularising contextual networking, blogging and photo sharing services on its networking portal, ibibo.com.
Ashish Kashyap, chief executive officer, MIH India, is hopeful that the trend of users migrating from Orkut to other social media sites would accelerate in future.
“The reasons for migration range from privacy concerns, finding like-minded people and friends on other sites to features like blogging, photo sharing, polling and others,” he adds.
However, the irony of the current generation of online social networks is that although their premise is leveraging the Internet to connect people, their own lack of interconnectedness could stifle their potential.
How about considering an interoperable social networking platform? Many of the fun-seeking Facebookers may actually be the very same respectful professionals at LinkedIn or techTribe. So, we need a system that connects all social networks — that a user is a member of — and shares basic functionalities.

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New Social Networking Site Kicks Off with Contest for Nonprofits

Submitted by Annaliese on Tue, 08/28/2007 - 9:31am.

Everyone's debating the effectiveness of social networking tools for fundraising campaigns. A new social networking site, Razoo, seems to want to cut to chase: they're going to give $10,000 to a nonprofit organization that signs up at least 100 new members by September 15th. And it's not just a numbers game, as the winning nonprofit organization will actually be selected from the community based on their social change projects. Here's more from their site:

"Any social change organization that creates a Razoo Group and recruits at least 100 members to join by September 15th will be entered into the Change Your World Contest. The Razoo community will then vote for its favorite organization to select the winner of the contest. The prize is a $10,000 donation to your organization, and a high-profile online campaign built around your issues and work."

You can find out more about the contest here.


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Where slackers meet schmoozers, by Jonathan Guthrie

<<<>>>

Procrastination used to be the thief of time. These days it is Facebook. Bosses grumble that staff waste hours fiddling around on networking websites. The inboxes of users are clogged with spam recording the latest non-event in their cyber social lives (“Dear member, a bored stranger just looked at your profile!”). Online communities include Skiving on Facebook, whose 115 members evidently believe employers are too stupid to rumble them.

The use of networking websites has spread contagiously among the computerised classes. If the cost in time wasted exceeds the value added, the relationship will resemble that of a parasite to its host organism. The main function of the technology will then be to divert resources towards its survival and growth.

Some big organisations, including the US Army and Transport for London, have blocked access to social networking websites. Good for them. Dresdner Kleinwort says of its own Facebook ban: “We only provide access to the internet for the purpose of conducting company business.”

Other employers are nervous of admitting they have imposed the same reasonable restriction. British Gas says while staff cannot network online at their workstations, they can do so on personal computers in break-out areas. This exposes leisure internet use to the scrutiny of managers. Lloyds TSB claims networking websites lie outside its firewall solely to protect its IT systems from viruses. Facebook itself declines to comment.

Employers would object robustly if staff threw private parties at work, photocopying their bottoms and grinding Cheesy Wotsits into the carpet squares. But organisations are afraid blocking access to the online equivalent will make them look like Luddite control freaks. Anthony Bradley of IT consultant Gartner expresses the accepted wisdom that “mainstream organisations should embrace technology and not stifle innovation”. He argues that bosses should dictate targets not behaviour, saying: “If you have to know what employees are doing every hour of the day, you are a bad manager.”

This may hold good for polite, white-collar businesses. But in some companies, trust is never debated because certain staff members can be relied on to steal any item that is not bolted down. That aside, one has to question the business utility of online networking by employees who have no external role.

In contrast, sales people and other deal-doers charged with building outside relationships have legitimate reasons for networking online. The websites are also markets and meeting places for the ever-expanding legions of service sector self-employed, who need to clump into teams to tackle big projects. The internet is a good place to find collaborators. Penny Power, co-founder of Ecademy, an online business network that started in the UK, estimates that more than half its 200,000 members are self-employed professionals. For many, the network is a substitute for the camaraderie of office life. She says: “It can be very lonely if you have left a big corporate and are sitting at home wondering where the next pay cheque will come from.”

Others in business struggle to understand both the potential and the practice of online networking. Sarah Green, head of social anthropology at Manchester University, says the advent of the telephone caused similar bewilderment. “Distance technology”, as she calls it, reduces context. This is a problem, given that “an awful lot of what goes on in business conversations is not openly stated”. Subtexts are less of an issue in such typical MySpace pleasantries as: “Big up gurl, you is reelly hot, innit!!!”

The unwillingness of many business people to network online partly reflects the lack of a commonly agreed etiquette. One knows the code that governs networking at work-related events. Do not buttonhole a bigwig who is deep in conversation with two other bigwigs. After chatting to a new acquaintance for a few minutes, disengage politely. And do not regale a man in episcopal purple with a tipsy impersonation of the comedian, Roy “Chubby” Brown.

Web networking is harder to fathom. If you post a picture of yourself in a tie, will you look like a square? If you are wearing an open-necked shirt, will you look like a hippy? If you message Philip Green asking for business tips, will he reply? And what is it about your profile (single male pensions actuary interested in steam locomotives) that has inspired an offer of friendship from a 21-year-old Thai woman?

The risk is that building a personal brand online will displace tasks with greater scope for advancement. It is easier to waste an hour updating your profiles than to spend five minutes on the phone pitching to a powerful client. Liz O’Donnell of LinkedIn, the US-based online business network, says: “The more channels of communication there are, the more disciplined you need to be in using them. Online networking is simply a tool whose effectiveness depends on how you use it.”

Alternatively, you may not bother at all, believing online networking, like lunch, is for wimps. I recently met a senior business figure who gazes down on those toiling in the vineyards of capitalism as from a lofty mountain top. Does this titan ever dabble on Facebook, I asked. “No,” he said, “but I think my secretary does.”


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