Category Facebook

Poll shows most users distrust Facebook

Facebook’s public offering will be the largest and perhaps most highly anticipated Internet deal in history. But faced with great expectations, Facebook is staring down some potentially unnerving obstacles when it comes to key areas of monetization and growth: public distrust and display advertising apathy.

According to a new AP-CNBC poll, 57 percent of Facebook users say they never click ads or other sponsored content when they use the site, with another 26 percent saying they hardly ever engage in such activity. Only 4 percent of users say they often click on ads — results that are only slightly better than the 2-3 percent clickthrough rate some experts consider the benchmark for effective banner ads.

While the company makes money, in part, simply by displaying sponsored content, user clicks are a critical part of an advertiser’s calculus when gauging how effective those ads are and how much they’re willing to pay for them. In the first quarter, Facebook generated 82 percent of its $1.06 billion in revenue from advertising sales.  In the company’s online IPO pitch to retail investors, CFO David Ebersman says the company is working to make ads “more relevant, more social, and more engaging” as it looks to grow.

And while Facebook has been able to decrease its reliance on sponsored content (down from 98 percent of sales in 2009), the hopes of expanding the company’s e-commerce footprint also faces public resistance, the poll shows. A majority of participants (54 percent) said they wouldn’t feel safe using the platform for financial transactions like purchasing goods or services. Only 8 percent said they would feel extremely or very safe in doing so.

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Is Facebook ‘Subscribe’ for real? Booming new traffic explained

As their Facebook “subscriber” lists have spiraled upward — into the thousands and tens of thousands in recent weeks — many journalists have looked on in awe and wonder.

Executives at the social media behemoth say the “Subscribe” function, introduced in September, has instantly become a hugely popular feature. It allows the public to follow journalists, artists and political figures without taking the more personal, and potentially intrusive, step of “friending.”

The manager of the Journalist Program for Facebook said in a posting Wednesday that subscriptions have jumped more than threefold since November for a sample of 25 journalists around the country. Vadim Lavrusik, the program manager, suggested that the exponential growth — CNN weather reporter Bonnie Schneider somewhat suddenly has 72,000 subscribers — is a reflection of the “organic discovery mechanisms” built into the social network.

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Parents with iPhones (“iParents”) more social on Facebook

According to the Retrevo Gadgetology Report, an ongoing study of people to understand the changing role of parents in this new age of technology, today’s parents have a whole new world of social tools to consider when it comes to raising their children. Leading the way in most digital activities are iPhone owning parents, or “iParents,” coined by the report.

When compared with the general parent population, iPhone owning parents are more likely to be social on Facebook than the average parent. The study found that 13% of iPhone owning parents had more than 500 Facebook friends as opposed to only 8% of all parents who had more than 500 Facebook friends. Conversely, only 5% of iPhone owners were likely to have a small amount of Facebook friends, as opposed to 20% of all parents.

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Will Google Force SEO Companies to Ruin Social Media for Everyone?

By Matt Anton

Imagine the excitement when the internet was first created. Al Gore..err Tim Berners-Lee would be rolling over in his grave (he’s actually still alive) if he knew the additional game he opened up – online marketing. Ralph Waldo Emerson eloquently stated “Hitch your wagon to a star”, and that’s what we are doing. Google is the singular dominate gatekeeper to the internet, and therefore they are in large part the internet – do you hitch your wagon to Yahoo? Didn’t think so.

It wasn’t long before the first ever blog post went up that someone posted, “hey great post, check out my website”; better known as the dawn of internet spam. The Google Gods saw this spam and loved it. The more people that were backlinking (voting/talking) about you the better. SEO opportunists saw this and began to obtain backlinks from every blog and forum. The Gods had more links to find and all was well in the world, until a critical mass was reached.

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Small Business Owners Liking Facebook

According to the MerchantCircle Merchant Confidence Index (MCI) survey, the total Q1 2011 MCI score is 5.1% higher than a year earlier. The largest contributor to its growth is respondents’ expectations for sales revenue growth during the next three months.

Merchant Confidence Index
Expectation Average Response on 1-5 Scale % Change vs. Feb 2010
Rate today’s economy compared to past 12 months 3.00 +11.5%
Change in sales revenue over next three months 3.52 + 4.8
Change in marketing/advertising expenditures over next three months 3.07 +2.3
Change in headcount over next three months 3.13 +2.6
Source: MerchantCircle, (Merchant Confidence Index Survey), March 2011

More than four in 10 small and local business owners expect sales revenues to improve somewhat in the next three months. 13% expect significant improvement, a combined 57% of respondents anticipating some sort of rise in short-term sales revenues.

Expectations for the future (How do you expect your sales revenues to change over the next three months?)
Expectation % of Respondents
Improve significantly 12.9%
Improve  somewhat 44.0
Remain relatively the same 28.9
Decline somewhat 10.3
Decline significantly 3.9
Source: MerchantCircle, (Merchant Confidence Index Survey), March 2011

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