Major Reason For The Success of Social Media

In recent times, we have seen the emergence of ‘new’ media sites – aka social or citizen media. Based on the principles of a democratic Web, these sites have witnessed through-the-roof growth. Flickr, YouTube, Digg, etc. are prime examples of such sites that have gained tremendous popularity.

So, what did these companies do that made people flock around these sites? Is the opportunity to express oneself without editorial controls – ‘citizen journalism’ – the reason? Or, is it the ability to showcase one’s talents – exhibitionism – an adequate reason that explains the popularity of these sites. Is there some common denominator amongst the top sites that satisfactorily explains the meteoric growth of social media?

To examine these issues one has to understand how traffic gets generated on the Internet.

Generating Web Traffic
Web visitors arrive at a webpage (thus generating Web traffic) in one of three primary ways:

1. Typing the webpage address directly onto a Web browser. This results in “Direct Traffic.” Generation of a lot of direct traffic is contingent upon a lot of people knowing about the webpage and remembering its address correctly. Further, the webpage may be required to satisfy an existing need that compels the “surfing public” to return to the page repeatedly. Information about the webpage address and its contents has to be disseminated widely amongst Internet users either through promotion (by traditional means or otherwise) or through viral means (word-of-mouth, e-mail, etc.).



2. Clicking the hyperlink (to the webpage) provided on another webpage the Internet user has visited. Such traffic is termed “Referring Sites Traffic.” If the content on the webpage is useful, it is possible that Internet users may refer and even hyperlink the webpage (called ‘inward link’) in their own Web content. Thus, visitors looking up other Web content may follow links provided and arrive at the webpage. Such inward links also bump up the importance of the webpage (i.e., its “Page Rank”) and lead to higher rank in the listing of results for relevant searches.



3. Clicking the result (i.e., the hyperlink corresponding to the webpage) of a search on a search engine such as Google or Yahoo. This traffic is called “Search Engine Traffic.” As explained earlier, the more inward links to the webpage, the higher our webpage will rank in search results. And the higher a webpage ranks in search results, the more likely the user is to click the link and arrive at the page.

Now, the above explanation holds good for a website, which has multiple pages. So, the traffic of the website is the sum of the traffic generated by each of its individual web pages.

Generating Traffic for Social Media
Social media sites are typically content-intensive sites. Apart from lacking “stickiness”, social media sites with very little content are unlikely to generate any appreciable amount of traffic (particularly, referring site and search engine traffic). Besides, most users of these sites initially will be just content consumers (and NOT content contributors).

Further, old media has often provided the seed material (often copyright-protected print and multimedia content) for social media site owners during the initial stages. This has often provided the impetus for Internet surfers to flock these sites. Consequently, it is customary for social media site owners to seed their sites with content (relevant to the site’s theme / concept) initially. Seeding content has proven to be the best bet for attracting initial traffic.

Once the social media site gets seeded, its traffic's is likely to increase over a period of time, particularly if the site is actively promoted. Promotion typically means getting inward links into various pages of the site and attracting users through conventional advertising. Aggressively promoted sites thus get more eyeballs, which makes the sites attractive for online advertising. The social media site owners then capitalize on the opportunity to sell or earmark space on web pages for advertising.

However, it is simply not economically viable for social media sites to sustain traffic growth by seeding content on their sites. Eventually, they must rely on user-contributed content for traffic growth. But, what is the motivation for the vast majority of content consumers to go that extra mile for taking the time and effort to create and contribute content on social media sites? In the answer to that question lies the secret of the success of many social media sites.

Opportunity for Generating Traffic from Social Media Sites
The Internet as we all know is being used for a wide range of business-related activities (including, but not restricted to, online advertising). Clearly, a for-profit website needs to enhance its traffic – the more traffic a site generates, more the potential for revenue generation. Thus, owners of business-oriented websites will devote substantial effort to get eyeballs to their sites.

Individuals seeking to promote themselves (e.g., a speech or presentation; an amateur music composition) have also tended to use social media extensively. Often self-promoters (typically website owners) use “old media” content and copyrighted material to promote themselves (e.g., using a MTV video clip with their website address captioned on it). For owners of for-profit websites, social media offers a no- or low-cost means for site promotion. The absence of editorial control provides an opportunity for creating inward links into their web pages and for generating eyeballs.

Clearly, vested interests drive both ‘self- & site-promoters’ to use social media. Looked at differently, social media sites have proved to be a breeding ground for a new-genre of “spamming”. And, being non-disruptive, it also has a certain degree of legitimacy (without the ill-will) that conventional (e-mail) spamming never did.

Therefore, it is little wonder that much of the content on social media sites is promotional in nature!

Is Content Still King?

Dee in her post “Is Content Being Dethroned By Social Media?” said:

“…A well-known Internet marketing slogan is “Content is king.” But is content being dethroned by social media?

Social media sites like Digg, Reddit, Netscape, Del.icio.us, and StumbleUpon are changing the online business game. These sites drive huge amounts of traffic. And all you need is good content and a lot of friends. Notice I did not say great content.

… This brings us to the key to social media marketing. Friends, the more, the merrier…”

Her point was that with popularity of social media (including bookmarking) sites it was relatively easier for online marketers to fetch eyeballs to their websites. Even relatively pedestrian content can be used to generate a ton of “eyeballs”. Obviously she mentioned this in the context of using social media as a marketing channel.

Guest Eyeballs
I agree. You can indeed get a lot of visitors to your site with interesting, or as Dee puts it good, content and a little help from social media sites – Digg, Reddit, Del.icio.us, StumbleUpon, etc. Your traffic sees a growth spike for a few days, maybe weeks. You will love all the attention your site (or more specifically, content - good, bad or ugly) gets.

And, then the audience begins to erode - as swiftly as it arrived. Your content looses its novelty and, more importantly, gets buried under new content (or links) at those social media sites. Thus, the marketing challenge does not end with attracting this “drive-by traffic”, or as I like to call it “guest eyeballs.”

Resident Eyeballs
You are left with the task of getting more eyeballs. The marketing task then truly boils down to not just fetching eyeballs, but also retaining eyeballs. That is, converting your “guest eyeballs” to “resident eyeballs.”

This can only happen if your site offers fresh content (presumably good) that compels your first-time visitors to return. The only way to accomplish this is by having a constant supply of interesting and compelling content to retain your “(guest) eyeball stream”. And, obviously, the rate at which you refresh content becomes crucial. If the rate of refresh is too slow, your site and its content become stale.

Consumption Keystrokes
Besides refreshing, engaging content, marketers use “registration” as another technique for retention. Registration – which entails the use of “keystrokes” – is commonly used as a pre-requisite for receiving additional value. This value can be in the form of additional valuable content delivered one-time (e.g., a white paper), or on a continuous basis (e.g., a newsletter subscription, or RSS). The value offer can even take the form of additional rights accorded to registered users (e.g., right to rate or comment).

The marketing goal here is to generate return traffic – repeatedly and frequently, or in other words, increase devotion to your site. The value for the user is “information consumption.” I refer to return traffic generated through registration (in its many forms) as “consumption keystrokes.” The prime motivation here again is “content” or, better still, “addiction to your site’s content.”

Contribution Keystrokes
The discussions above are predicated on the site supplying content to attract and retain traffic. This means, eventually the supply of quality content will become a bottleneck. So, website owners will progressively find it more difficult to maintain traffic growth.

So, the ultimate marketer’s challenge is to have a self-scaling and self-sustaining model for traffic growth. Is such a scenario possible? Yes, it is possible if your (existing) traffic – that is, user base – generates content that attracts more traffic. This indeed is the secret sauce behind the successful social media sites!

Sites like YouTube, Digg, MySpace, etc. have thrived as a result of user-generated content – or “contribution keystrokes”. User contributions can be in the form of a rating or review of content; or the creation (e.g., uploading a video) of content. That to me is the quintessence of ‘community’ in the online realm – or the ‘democratic web.’ Once again, ‘content’ is the driving force.

Commercial Keystrokes
The end goal of any website is obviously is to generate revenue. Advertising and online commerce remain as the primary revenues models. In either case this will happen only through keystrokes – “commercial keystrokes”.

From a marketing perspective how well you transition eyeballs to keystrokes will determine your success. The more traffic your site generates, the more successful you are likely to be in generating revenues.

And, of course, that hinges upon your site’s ability to scale and sustain the offer of great, engaging, refreshing and compelling content over time. Thus, as you can see, content is not just the king, but the “emperor” of the online world.

Marketer's Interpretation of Forrester Research on Online Participation Habits

In a recent report from Forrester Research on "Social Technographics," authors Charlene Li and Josh Bernoff used the metaphor of a ladder to show user participation in social media. They estimate that 13% of adult online consumers are content creators; 19% are critics who comment on blogs and/or post ratings and reviews; 15% are collectors; 19% are joiners; 33% are spectators (often called lurkers); and 52% don't perform any of the previously mentioned activities (Refer figure below for details).

Based on this report, Business Week later published a graphical representation (see figure below) of online participation levels by age group.

What is the significance of these statistical insights on online user behavior to a consumer Internet marketer? Well here are some conclusions I have drawn about online marketing strategy on the basis of figures in these diagrams:

1. Interestingly, in a previous study, Jacob Nielson had talked about the "90-9-1 rule" for online social behavior i.e., 90% lurkers (or inactives); 9% infrequent contributors; and, 1% frequent contributors. The findings of Charlene Li and Josh Bernoff seem to reinforce these numbers.


2. It is remarkable that collectors are almost uniformly spread across all demographic segments. More remarkable is that fact that the ratio of collectors to creators is far lower for the youth (less than 26 years) than that for the (more) mature adult categories (greater than 26 years). Does this mean that the average user does not really care for syndication? Should RSS figure lower in product management and engineering priorities? Well, your guess is as good as mine.


3. The high percentage of specatators and inactives really reinforces the belief that social media's potential is still untapped (despite the mushrooming of applications). It also perhaps implies that the average online user is reluctant to adopt / embrace social media. Is this an indication of 'online social shyness' or 'do-not-feel-the-need-to attitude'?


4. Clearly the teens, youth and generation Y are the darlings of social media. It means the younger age groups feel a greater need for social expression and networking. Hence, it is also likely that these demographics spend more time online than their older-age counterparts (besides willing to be early adopters). Thus, marketers of social media applications need to necessarily focus on these segments for building vibrant and sustaining online communities. So, a social application that these age groups finds 'cool' (and useful) is more likely to spread faster virally than an application that is perceived to be not 'hip and trendy.'


5. The big picture that emerges for marketers is that their market entry strategy is more likely to be successful if it targets the younger generations. The 'joiner' percentages in these segments are far higher than the 'creator' percentages (with almost a differential of 15-30%).

In summary, younger social media users are 'early adopters.' They exhibit greater propensity to participate. Marketers of social media and online communities should keep these online behavioral insights in mind while chalking out their online strategies.