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Reiterating Bearish Thesis on Pinterest

Bearish Thesis on Pinterest

 

– growth was driven by PR hype (and some unscrupulous social tactics); the PR has died off (Source: Pinterst Followed 274 of My Facebook Friends and Notified Them BEFORE Telling Me)

– “Pinterest drives more traffic than Twitter” is misleading because at 1.8% of traffic, it is still an order of magnitude lower than Search (41%) or direct traffic (20%) for commerce sites (Source: The Pinterest Myth)

– Pinterest is a “feature” that others can copy or have already copied — e.g. Facebook curated “Collections” (Source: http://bit.ly/Facebook-collections )

 

– leading affiliate marketers confirm the Pinterest referral potential has been limited at best so far. Amazon researchers published study that shows Pinterest does not generate much sales (Source: http://go-digital.net/blog/2012/08/uh-oh-amazon-researchers-say-pinterest-doesnt-generate-a-lot-of-sales-amzn/ )

 

– Pinterest does not own or have ANY content — all of the content is linked to and served by other content owners, who could decide to disallow Pinterest’s further use of the content by blocking hotlinking.

 

– Pinterest’s original value (carefully curated content) has been obliterated due to the tidal wave of content that has been posted on the site — the value of curation has been lost and it is now no better than Flickr or just a Google Image search

 

– Pinterest’s top categories are “Food & Drink” and “Outdoors” which may not easily translate into online sales. Source:

 

NOTE: The point is that Pinterest may not find a real business model and revenues may never amount to much. But this does not mean that it won’t be bought by some other larger company that wants access to its user base and their activities on the site for other purposes such as ad targeting.

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Wednesday, March 13th, 2013 news No Comments

Source: http://gizmodo.com/5914577/did-this-sad-old-democrat-buy-his-facebook-popularity

Did This Sad Old Democrat Buy His Facebook Popularity?Campaign season is heating up, and in Michigan’s 3rd congressional district the Democratic primary battle pits an entrenched 60-year-old against a young social media upstart. Guess whose campaign has more Facebook Likes? Old man Steve Pestka’s. He’s got the best Facebook friends money can buy.

Eclectablog reports the curious rise of Steve Pestka’s Facebook popularity. Pestka has been running a pretty traditional campaign against Trevor Thomas, who’s running a “more modern campaign” that “involves heavy use of social media to create a buzz and appeal to a wider cross-section of voters.” Then a few weeks ago, Pestka’s Facebook popularity skyrocketed from just over 1000 likes to some 7500. Impressive! Er, except it’s pretty suspicious:

But what’s even stranger than the surge is the demographics of his followers. If you look at the screenshot above, you’ll see his “Most popular age group” is 13-17 year-olds and his most popular city is in Israel. In April, it was kids in the age range of 13-17 from the Philippines:

While this is hardly definitive proof that Pestka’s campaign went on a Facebook Like shopping spree, it’s hard to think of any other plausible explanation. Eclectablog spoke to the Pestka campaign, which claimed that the meteoric rise was due to nontargeted Faebook ads. Yeah, sure, right. Dear inexperienced social media people of the world: Don’t try to be sneaky. We will catch you. [Eclectablog via Sean Carlson]

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Thursday, May 31st, 2012 Uncategorized No Comments

Pinterest is EVIL – It Auto-Follows People and Posts to your Facebook Timeline

When I looked at my own Facebook Timeline, to my horror I saw Pinterest had followed people I didnt know and definitely did NOT follow AND it posted it to my Facebook Timeline.  No wonder I keep getting notices of other people following me — people I don’t know or others whom I have not interacted with for years!.

The more I use Pinterest the more I HATE it.  See my previous post about Pinterest auto-following 274 Facebook friends when I signed up, without first checking with me.

Pinterest Followed 274 of My Friends Without Telling Me First

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Wednesday, February 29th, 2012 news No Comments

Source: http://gizmodo.com/5882027/sharing-with-friends-of-friends-on-facebook-exposes-you-to-150000-people

Sharing with "Friends of Friends" on Facebook Exposes You to 150,000 PeopleWell this is mildly terrifying: according to a new Pew study, the Facebook privacy mode a lot of us rely on for photos and status updates is, on average, anything but private. Time to reconsider your settings, everyone.

The finding is staggering—Friends of Friends can hit as many as over seven million people:

Facebook users can reach an average of more than 150,000 Facebook users through their Facebook friends; the median user can reach about 31,000 others. At two degrees of separation (friends-of-friends), Facebook users in our sample can on average reach 156,569 other Facebook users. However, the relatively small number of users with very large friends lists, who also tended to have lists that are less interconnected, overstates the reach of the typical Facebook user. In our sample, the maximum reach was 7,821,772 other Facebook users. The median user (the middle user from our sample) can reach 31,170 people through their friends-of-friends.

When you think friend of a friend, the IRL analogue comes to mind. Your buddy’s buddy. That guy you met at a bar who seems okay. Your girlfriend’s pals from college. They must be okay people, right? They’re so narrowly removed from you, why not share all your photos with them?

Because 150,000+ people includes a hell of a lot of strangers you probably shouldn’t trust, and certainly don’t (and will never) know personally. You can read the study in its entirety below. [Pew]

PIP Facebook Users 2.3.12

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Friday, February 3rd, 2012 Uncategorized No Comments

Even Walmart Is Snapping Up Social Media Companies (WMT)

Source: http://www.businessinsider.com/even-walmart-is-snapping-up-social-media-companies-2012-1


Walmart shoppers

Walmart wants to transform itself into a social media retail mega player and it’s backing that desire by investing millions of dollars into its young, little-known development lab, @WalmartLabs.

Born in April with the $300 million purchase of Kosmix, @WalmartLabs today announced  its fourth acquisition, a mobile app company called Small Society known for writing apps for clients like the Democratic National Committee and Starbucks.

@WalmartLabs had previously bought mobile point-of-sale app maker Grapple. It also snapped up location-aware mobile ad company OneRiot.

The co-founders of Kosmix, Venky Harinarayan and Anand Rajaraman, are the leaders of Walmart Labs. Each has been granted the title of senior vice president of Walmart Global eCommerce and head of @WalmartLabs.

Their goal is to have Walmart create the next great shopping experience by melding physical stores with online search and social media input.

“We are at an inflection point in the development of ecommerce. The first generation of ecommerce was about bringing the store to the web. The next generation will be about building integrated experiences that leverage the store, the web, and mobile, with social identity being the glue that binds the experience,” said Anand Rajaraman in a blog post when @WalmarLabs was launched.

Using what it calls its “Social Genome” applications, it scans Twitter and other social sites to seek out and analyze consumer trends. The team is also writing mobile apps for shoppers. 

What’s interesting is that Walmart would rather build its own than use some of the many social media tools for retailers already on the market, even from big IT companies like Oracle and IBM.

So far the group has launched a classic iPhone and iPad shopping app and one called ShopCat for Facebook users. ShopCat scans Facebook friends’ profiles to recommend gifts for them from Walmart, RedEnvelope, Barnes & Noble, and ThinkGeek.

But the team clearly has bigger plans for changing the way everyday people shop for everyday items. And it looks like @WalmartLabs has only just begun: it’s got a career section 25 jobs long.

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Wednesday, January 4th, 2012 news No Comments

Dr. Augustine Fou is Digital Consigliere to marketing executives, advising them on digital strategy and Unified Marketing(tm). Dr Fou has over 17 years of in-the-trenches, hands-on experience, which enables him to provide objective, in-depth assessments of their current marketing programs and recommendations for improving business impact and ROI using digital insights.

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