Archive for December 21, 2010

vincent-kruse | December 21, 2010
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Facebook vs. Twitter: a Breakdown of 2010 Social Demographics

Gigaom built this cool infographic. Here are a few key findings:

* 88 percent of people are aware of Facebook, while 87 percent are aware of Twitter
* 12 percent of Facebook users update their status every day vs. 52 percent for Twitter
* males make up 46 percent of Facebook users, and 48 percent of Twitter
* 30 percent access Facebook via mobile vs. 37 percent for Twitter
* 40 percent follow a brand on Facebook vs. 25 percent on Twitter
* 70 percent of Facebook users are outside the U.S. vs. 60 percent for Twitter

read more on gigaom.com

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vincent-kruse | December 21, 2010
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Facebook Revenues Hit $2 Billion in 2010

Mediapost.com wote in its Blog:

Mark Zuckerberg is Time’s Person of the Year, and he has the cash to prove it, as Facebook is on track to collect $2 billion in revenues in 2010, according to Bloomberg — most of it from online advertising and the sale of virtual goods by casual game partners like Zynga. That’s more than twice Facebook’s estimated 2009 revenues of $800 million-ish; it also represents a significant upward revision of earlier estimates pegging 2010 revenues at around $1.5 billion.

In short, Facebook is outstripping even the most optimistic predictions of six months ago, and appears to finally be establishing itself as a going concern with a real business model — rather than just a neat idea buoyed by hope and Web 3.0 triumphalism. So I thought it might be interesting to survey some of the Facebook’s financial workings — because while the privately held company doesn’t release official results, we can still glean useful details from various sources.

No surprise, Facebook runs up some substantial bills to maintain its colossal network. This includes $50 million to lease data center space in 2010, according to a report from Data Center Knowledge — and that doesn’t include the costs of hardware or electricity (at about $1 million per megawatt per year, the company’s total electricity consumption probably runs about $6 million annually). It is also making long-term investments in its own data centers, including $215 million for a new center in Prineville, Oregon, and $450 million for an even newer center in Forest City in Rutherford County, western North Carolina. But with its balance sheets looking healthy, Facebook is having no trouble borrowing money to build for the future.

Of course, personnel costs have also grown as the company scales up, from just 300 employees in 2007 to over 2,000 today (the company moved into new headquarters in 2009). While the privately-held company doesn’t disclose specific financial results or employee salaries, Facebook has to pay a premium for top-end talent, with a base salary of $110,050 for new software engineer hires, according to Glassdoor.com. With around 400 engineers, that works out to $44 million — and that’s not counting higher-paid engineers or executive and administrative salaries. With overhead and other HR costs, it seems reasonable to assume Facebook’s total personnel costs come to around $100 million per year (not counting long-term stock options).

read more on The Social Graf – Connecting trough the Chaos

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vincent-kruse | December 21, 2010
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5 Predictions for Online Data in 2011

Mashable gives an outlook to 2011:

In the midst of all the data-driven innovation we are seeing, this will be also the year of separating the non-trivial from the trivial.

It’s one thing to acquire terabytes of data, and it’s quite another to cleanse, disambiguate and mobilize that data in service of real-time insights into markets young and old.

The intellectual and experiential barrier to entry in social media, I think it’s fair to argue, is relatively low. It’s therefore harder to distinguish oneself, but certainly easy to get started. That’s been the beauty of the experiment all along.

Until now, data science and data marketing have been relegated to the realm of a self-selecting and highly motivated few, but as new tools democratize access, we’ll start to see a different dynamic.

But with great power comes… well, the Mark Twain quote I used last time still applies: “There are three kinds of lies — lies, damned lies, and statistics.”

Data can create new insights and open new opportunities, but it can also be twisted to serve an agenda or simply tell us what we want to hear.

It’s all in there, though — there in the data somewhere, if you know what you’re doing and how to do it well. Data knows everything we know, everything we don’t know, and, as it turns out, even a few things we don’t know we don’t know.

1. “Data scientist” Is the New Community Manager

2. Data Management Will Become a Real Industry

3. The Floodgates Are Opening

4. Big Data Will Become a Regulated Industry

5. You’ll Be Sick of Hearing About Data (If You’re Not Already)

read the whole article on mashable.com

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vincent-kruse | December 21, 2010
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The Long Tail Formular

we are just discussing how you could measure the long tail potential of online music stores like Musicload or itunes

Some of the search engines try to built algorythms for this but yet, I did not found any formula for this. But feel free to send me some ideas.

I should be something between context aware search and recommendations and previous data tagging and user rating. Laast.fm or better Musicovery.com already have recommendation systems with automatic generated playlists, not always perfect but a nice thing. especially if you do not want to choose the music on your own. You choose a category and listen. That is more the crowsourcing thing than a scientific approach.

Another page tries to offer a more scientific approach. this delivers Netconcept:

Long Tail Calculation
To recap, the formula to estimate both realized and unrealized search potential is as follows:

[ Pages(unique) x Keywords (per page) x Hits (per keyword) ] / Click-through rate

[ 73,000 pages x 2.4 KPP x 1.9 HPK ] / 4.7% CTR = 7,100,000 total searches

Simplifying this formula produces the following multiple:

[2.4 KPP x 1.9 HPK] / 4.7% CTR = 97

This suggests that, when calculated as a function of unique pages with roughly similar performance indicators, the potential unbranded search traffic for a large website can be estimated as roughly 100 times (over 97 times) the number of unique pages.

Furthermore, the calculated unbranded search potential (7.1 million searches) is roughly 38 orders of magnitude greater than the average site’s brand search universe of 189,000 searches.

Note: These calculations assume that the average client has 73,000 uniquelly crawled pages, 14% yielding traffic, and that 14% gets 4.6 keyword visitors per page with 189,000 brand searches per month.

CAPTURING LONG TAIL POTENTIAL

The call it the “Long Tail KPIs”

By associating non-brand keyword performance to producing pages, the Page Yield Theory offers a manageable framework for optimizing performance of the natural search long tail. This framework consists of the KPI’s used and calculated in this study, such as Yielding Pages, Keyword Yield per Page, and Keyword Hit Yield. These metrics provide a scientific assessment of large-scale optimization effectiveness, enabling merchants to more reliably guide optimization effort towards desired outcomes. “

… continue at http://www.netconcepts.com/long-tail-whitepaper/#Capture

Here are some other links of my recent research:

The Netflix prize offers money for anybody who improves the recommendation index of netflix( videoportal) about 10%

It started 2005, but yet, nobody received the 1.000.000,00$

http://www.netflixprize.com//rules

Other pages like the long tail of venture deals use it more for discussion than

http://avc.blogs.com/a_vc/2006/08/the_long_tail_o.html

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vincent-kruse | December 21, 2010
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EU Safer Internet Forum – Presentations & Updates From Last Meeting in Luxembourg in October 2010

The Safer Internet Forum has been organized by the Safer Internet Programme as an annual conference on safer internet issues since 2004. It brings together representatives of industry, law enforcement authorities, child welfare organizations and policy makers. The past editions of the Safer Internet Forum have welcomed guests not only from Europe, but also from countries such as Australia, Brazil or the Russian Federation.
Website of EU Safer Internet Forum

EU Kids Online results on Social Networks
Elisabeth Staksrud, Dept. of Media and Communications, University of Oslo, Norway

Eu kids online ii safer internet forum plenary, oct 2010Risks and safety on the internet: The perspective of European children
Sonia Livingstone

Business Models for the Social Web
Michael Altendorf

Online risks – a summary
Kristina Alexanderson

How do youngsters choose to sign up to a social networking site? What is behind the profile?
Peter Behrens, Coordinator klicksafe.de

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