SOCIAL NETWORKING :SOCIAL NETWORKING :

LEARNINGS & LEARNINGS &

OPPORTUNITIESOPPORTUNITIESOPPORTUNITIESOPPORTUNITIES

RohitRohit VarmaVarma

Sr. VP Sr. VP –– Digital Solutions, Digital Solutions, AptechAptech Ltd.Ltd.

Web Innovation Conference, Web Innovation Conference, BangaloreBangalore19.12.0719.12.07

On this presentationOn this presentation

An optimist’s look at the social networking An optimist’s look at the social networking phenomenonphenomenon

To identify opportunities for allTo identify opportunities for all--would be would be entrepreneurs & intrapreneursentrepreneurs & intrapreneursentrepreneurs & intrapreneursentrepreneurs & intrapreneurs

With inputs from my learnings at With inputs from my learnings at Rediff.com, a leading portal & from Yo4Ya, Rediff.com, a leading portal & from Yo4Ya, a social networking startup a social networking startup

TodayToday

1.1. SN defined SN defined

2.2. What are really SN ? What do people do What are really SN ? What do people do on them ?on them ?

3.3. Why are SN important ?Why are SN important ?3.3. Why are SN important ?Why are SN important ?

4.4. How many SN can there be ?How many SN can there be ?

5.5. In which areas can SN deliver maximum In which areas can SN deliver maximum valuevalue

6.6. Some predictions re. SNSome predictions re. SN

My Web 2.0 for Day 2.0 ! My Web 2.0 for Day 2.0 !

Web 2.0 = PeopleWeb 2.0 = People

Web 1.0 = ProductsWeb 1.0 = Products

I. Social Networking definedI. Social Networking defined

A Social Network site* =A Social Network site* =

1.1. ProfilesProfiles

2.2. CommentsComments(semi(semi--persistent public commentary on the persistent public commentary on the profile)profile)profile)profile)

3.3. A traversable, publicly articulated A traversable, publicly articulated social social networknetwork displayed in relation to the profiledisplayed in relation to the profile

* Danah Boyd : Social Networking Sites Definition & History (2007)* Danah Boyd : Social Networking Sites Definition & History (2007)

A Social NetworkA Social Network

Social networks classifiedSocial networks classified

General : allGeneral : all--purposepurpose

Specialized : for limited applications / Specialized : for limited applications / peoplepeople

What people do on “general” SN What people do on “general” SN

sitessites

Manwatching (scraps/news feeds)Manwatching (scraps/news feeds)

Ask questionsAsk questions

Reply to questionsReply to questions

Comment (scrap / wall / testimonial)Comment (scrap / wall / testimonial)Comment (scrap / wall / testimonial)Comment (scrap / wall / testimonial)

PlayPlay

Share their World (profile)Share their World (profile)

=> Like at a college canteen => Like at a college canteen

Some truths about SN sitesSome truths about SN sites

SN sites are not about “networking,” but SN sites are not about “networking,” but about “networks”about “networks”

Strengthen existing “weak” ties more than Strengthen existing “weak” ties more than create new onescreate new onescreate new onescreate new ones

Dunbar’s Number : Rule of 150, the Dunbar’s Number : Rule of 150, the number of relationships humans can number of relationships humans can managemanage

The Power of SN : The Power of SN :

Trust + InterestTrust + Interest

ProfileProfile

& &

Traversable, publicly articulated Traversable, publicly articulated Social Network Social Network

create the create the trusttrustcreate the create the trusttrust

CommentsComments (e.g. scraps) are what creates the (e.g. scraps) are what creates the

interestinterest

For success, design a social network around For success, design a social network around

trust + interesttrust + interest

SN : An evolved way to SN : An evolved way to

communicate communicate -- II

IMIM : talking to friends, synchronous: talking to friends, synchronous

ChatChat : talking to strangers: talking to strangers

Home Home pagespages : profiles, on any topic, but: profiles, on any topic, butpagespages : profiles, on any topic, but: profiles, on any topic, but

strangers and nonstrangers and non--traversable traversable

ForumsForums : talk around one interest : talk around one interest

SMSSMS : talking to friends, asynchronous: talking to friends, asynchronous

SN : ?SN : ?

SN : An evolved way to SN : An evolved way to

communicate communicate –– IIII

( Legend :( Legend : Green Green = successful Net products, = successful Net products, RedRed = Failed products)= Failed products)

FeatureFeature For For Friends /Friends /

StrangersStrangers

Synch /Synch /AsynchAsynch--ronousronous

ProfileProfileYes / NoYes / No

CommentsComments Publicly Publicly articulated, articulated,

traversable SNtraversable SN

IMIM FriendsFriends SynchSynch NoNo N.A.N.A. NoNo

Chat Chat RoomsRooms

StrangersStrangers SynchSynch NoNo N.A.N.A. NoNo

HomeHome--pagespages

StrangersStrangers AsynchAsynch YesYes NoNo NoNo

ForumsForums StrangersStrangers AsynchAsynch NoNo YesYes NoNo

SNSN Friends &Friends &StrangersStrangers

Synch &Synch &AsynchAsynch

YesYes YesYes YesYes

II. What really are SN : II. What really are SN :

ConclusionsConclusions

Social networking sites are an evolved Social networking sites are an evolved form of communication form of communication

Lot of direct & indirect communicationLot of direct & indirect communication

Framework exists to increase interactions Framework exists to increase interactions Framework exists to increase interactions Framework exists to increase interactions with people whom one doesn’t know wellwith people whom one doesn’t know well

Properly managed, SN offer valueProperly managed, SN offer value--adds to adds to endend--users over other forms of users over other forms of communicationcommunication

The goal of every SN site : The goal of every SN site :

Online CommunityOnline Community

Successful network becomes a community Successful network becomes a community

To build a strong communityTo build a strong community-- seed (e.g. have founder members who seed (e.g. have founder members who are passionate) are passionate) are passionate) are passionate) -- feed (e.g. recognize contributors) feed (e.g. recognize contributors) -- weed (remove troublemakers)weed (remove troublemakers)-- use a moderatoruse a moderator-- don’t be in a hurry : takes time to build don’t be in a hurry : takes time to build trust trust

Success of general SN : Success of general SN :

Implications for Internet businessImplications for Internet business

Portal usage growth last few years has Portal usage growth last few years has been linear been linear

General SN sites given fillip to site traffic : General SN sites given fillip to site traffic : Usage of typical SN site ~ 3Usage of typical SN site ~ 3--4x that of 4x that of Usage of typical SN site ~ 3Usage of typical SN site ~ 3--4x that of 4x that of conventional portalsconventional portals-- More time per session More time per session -- More page views More page views

Consequent buoyancy to Internet ad Consequent buoyancy to Internet ad revenuesrevenues

III : Importance of Social Networks III : Importance of Social Networks

Trust biggest issue on the Net. Easy to Trust biggest issue on the Net. Easy to connect people on Internet, but these connect people on Internet, but these are usually strangers.are usually strangers.

SN a good way to establish relevant SN a good way to establish relevant SN a good way to establish relevant SN a good way to establish relevant connections between people, thus connections between people, thus maximize trust among people.maximize trust among people.

A SN can thus be used to make decisions A SN can thus be used to make decisions involving trust i.e. a high risk decision involving trust i.e. a high risk decision (~job, investments, marriage, …)(~job, investments, marriage, …)

Leading SN sites & how they built Leading SN sites & how they built

trusttrust

Orkut, Mixi : invite onlyOrkut, Mixi : invite only

Cyworld : authenticate using your IDCyworld : authenticate using your ID

Facebook : earlier .edu college network, Facebook : earlier .edu college network, now via privacy settings now via privacy settings now via privacy settings now via privacy settings

My Space : Tom ( Friend )My Space : Tom ( Friend )

Build trust to leverage growth of networkBuild trust to leverage growth of network

IV. How many SN can there IV. How many SN can there

be ?be ?

7 examples of SN / communities 7 examples of SN / communities

people will always be interested in people will always be interested in

1.1. My Classmates (including alumni)My Classmates (including alumni)

2.2. My Locality (hunt for a maid, car pool, rally for My Locality (hunt for a maid, car pool, rally for

municipal cause)municipal cause)

3.3. My Profession (across the world, not countryMy Profession (across the world, not country--

specific)specific)

4.4. My Colleagues (on the Intranet ?)My Colleagues (on the Intranet ?)

5.5. My Family (+ extended family + ancestors) My Family (+ extended family + ancestors)

6.6. My Passion (hobby / activity / views)My Passion (hobby / activity / views)

7.7. My Pain points (unique to each)My Pain points (unique to each)

How many SN can there be ?How many SN can there be ?

Thus, each individual can be a member of Thus, each individual can be a member of 22--7 SN networks7 SN networks

Each SN limited in size to < ~ few Each SN limited in size to < ~ few hundred membershundred membershundred membershundred members

V. In which areas can SN V. In which areas can SN

deliver maximum valuedeliver maximum value

7 (of many) opportunities 7 (of many) opportunities

for SN in Indiafor SN in India1.1. Finance : Investor penetration ~ 2Finance : Investor penetration ~ 2--3% today; 3% today;

advice from network of investors known to me advice from network of investors known to me (to convert non(to convert non--investor to investor)investor to investor)

2.2. Health : Urgency in lifestyle change e.g. Health : Urgency in lifestyle change e.g. diabetes , advice through people known to mediabetes , advice through people known to mediabetes , advice through people known to mediabetes , advice through people known to me

3.3. Traffic congestion : Inhibitions in strangers Traffic congestion : Inhibitions in strangers joining a car pool; minimize same through a SNjoining a car pool; minimize same through a SN

4.4. Jobs : Should I consider this job / accept this Jobs : Should I consider this job / accept this offer , advice from people known to me ?offer , advice from people known to me ?

5.5. Matrimony : Can someone introduce me or Matrimony : Can someone introduce me or provide a reference regarding that family provide a reference regarding that family (network of parents) ?(network of parents) ?

7 (of many) opportunities 7 (of many) opportunities

for SN in India for SN in India

6.6. Local municipal improvements : Social Local municipal improvements : Social Network of active citizensNetwork of active citizens

7.7. Charities : Choosing among thousands Charities : Choosing among thousands of options an issue today; minimize trust of options an issue today; minimize trust of options an issue today; minimize trust of options an issue today; minimize trust issues via network of current donorsissues via network of current donors

To sum upTo sum up

Social networks an evolved form of Social networks an evolved form of Internet communicationInternet communication

Can enable increase trust among peopleCan enable increase trust among people

Many decisions in society involve or will Many decisions in society involve or will Many decisions in society involve or will Many decisions in society involve or will collaboration among people who don’t collaboration among people who don’t really know each other directlyreally know each other directly

SN a good tool to enable such decisions SN a good tool to enable such decisions

VI. SN : Some predictions VI. SN : Some predictions -- II

1.1. Today’s generic SN sites e.g. Facebook Today’s generic SN sites e.g. Facebook are the first phase of the rise of SNare the first phase of the rise of SN

2.2. Many new special SN can yet be Many new special SN can yet be possibly created : Each of us are a possibly created : Each of us are a possibly created : Each of us are a possibly created : Each of us are a potential member of ~ 7 such networkspotential member of ~ 7 such networks

3.3. SN sites are one of the best tools ever SN sites are one of the best tools ever towards building trust onlinetowards building trust online

VI. SN : Some predictions VI. SN : Some predictions -- IIII

4.4. Separately, every Internet site can and Separately, every Internet site can and will have one or more social networking will have one or more social networking featuresfeatures

5.5. White label (White label (templatizedtemplatized, plug, plug--andand--play) play) 5.5. White label (White label (templatizedtemplatized, plug, plug--andand--play) play) social networking sites, mostly free, will social networking sites, mostly free, will arise for use by lay people to meet above arise for use by lay people to meet above needsneeds

6.6. Biggest impact of SN sites will be Biggest impact of SN sites will be towards various societal issues towards various societal issues

THANKSTHANKS

rohit@interskale.inrohit@interskale.in

(Updated contact ID as of ’12)(Updated contact ID as of ’12)