Get ready for the commercial social media...

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The latest Facebook metrics are powerful: 400 million active users (7% of the world), 50% of them logging on each day and spending more than 55 minutes daily on Facebook.

The sudden concentration of traffic on the social media led by Facebook has caught business by surprise. In particular, small and local businesses don’t quite realize their consumer is now spending a majority of their time on the social media, but they continue to rely on the old online standard: their website. Websites and blogs are critical as marketing collateral, but local businesses need to develop an online marketing presence that spans across the social media ubiquitously.

With all the buzz around Foursquare and Gowalla, why is hyperlocal media suddenly hot? Geolocation is changing the social media by providing nothing more than the tagging mechanism to define social networks by localities. Geolocation facilitates the development of a new, more practical, more intimate Twitter/Foursquare network of friends who just happen to be living down the street. It’s far more compelling to build a social network of folks you can have coffee with than the national networks than generally evolve in Twitter and Linkedin. I myself see this… I am starting to socialize with San Franciscans…

The Hyperlocal Marketing Opportunity

So we’re seeing social apps like Twitter and Yelp quickly adopting location “check-in” functionality, with Facebook in the wings. And this presents a huge opportunity. It’s a no-brainer for local retailers and businesses to see that they need to provide the most effective online venue for their local customers to “check-in” to. The new local “websites” are the Facebook business page, the new local advertising vehicle is the Twitter coupon, and the new reviews column is Yelp.

You haven’t seen them yet, but Facebook is primed to evolve into a massive Sunday advertising circular for local businesses:

And why not? It’s free. Enterprising local media publishers (for example, Breaking News sites) will curate and compile these merchants into local online directories.

Twitter will develop hyperlocal couponing systems that will be online equivalents of PennySaver coupons and Valpak:

And why not? It’s free. Couponing is effective because it is perceived by consumers as “found money” while straight advertising may now be considered “spammy”. You’ll see the advent of new local social media based advertising agencies that will create turnkey Twitter / Facebook / Foursquare couponing campaigns for merchants. And these campaigns will be accepted because online data is more efficient for tracking and analysis than traditional advertising channels like radio / TV or inefficient direct mail offerings like PennySaver. There is a defined ROI.

Conclusion

2009 was the year when the masses found Twitter and Facebook. 2010 will be the year when local business begins to recognize the power of leveraging Facebook, Twitter, Yelp and Foursquare et al to achieve a level of community engagement that standard “one-way message” advertising can’t achieve. It’s about being ubiquitous across the social media so your community of customers can find your services via their preferred channels – Twitter, Facebook, etc.

Related slideshow: Ubiquity marketing (Jan. 2010)

Related webinar: I’ll be discussing “The Impact of Geolocational Media” on the Virtual Bar Camp April 6 at 2:15pm, Room #4. Register and join our discussion.

The real time web implies that online news will flow more and more through applications, not websites. The problem facing mainstream media is their dependence on traffic through their websites for advertising revenue.

The journalistic media on the other hand continue to try to erect walls that halt traffic flow through their websites, either by charging subscriptions (New York Newsday gets 35 subscribers after three months), by limiting access to their content by aggregators (Murdoch’s gambit with blocking Google from indexing Sky News content), or simply by not providing an RSS feed for syndication (Santa Barbara News Press and many other local publications).

Social media thrives on RSS to find, deliver and syndicate news from journalistic media, and it directs traffic back to the news source.  If the traditional news media continues to ignore social media sourced breaking news, they risk becoming irrelevant to their communities who demand this real time news. People will eventually find that real time news directly from their community via one of their social networks and news aggregation applications.

Even a year ago, it may have seemed like a great idea to build a social application for the real estate niche, but today’s reality is a niche application can’t build any critical mass versus an established “elephant” competitor. Today, my good friend Deb Madey gave me the idea for this article in a discussion of various real estate agent review sites. Yelp, by virtue of the sheer numbers of reviews of real estate agents eclipses any smaller niche review site that have little traffic, few reviews,  and are hard to find. Social media user bases are consolidating to the biggest player in each space, simply because everybody is there. Facebook reportedly has an overwhelming 25% page view share and a hardy few can remember the names of Twitter’s early competitors.

This trend is one more strike against startups. Fast growing apps like Foursquare and Gowalla can hit a wall when (not if!) Yelp copies its features, like it did with Foursquare’s location “Check-in” feature. Twitter have implied that their strategy is to add geolocation features that may also rival Yelp and Foursquare.

It’s now harder to be a game changer when the rules of the game called social media are solidifying / consolidating. Two years ago, no social network really dominated its niche… now lines are being drawn.

We’re developing social media training systems together with association / corporate marketing groups and consultants who add their training content to the platform. For example, we’re working with a wine consultancy developing a national social media marketing business using the platform for “basic training” and reference for their client base.

Register for a peek at http://domusu.com/admin/first-time-users. We welcome discussion on this unique idea.

(from Soshable)

Twitter started out as a social tool, asking its users “What are you doing?”. Now, it’s become an effective business networking tool with an agenda…  “What are you pushing?”.

Business social networking boils down to two motivations to building a productive network: 1) getting your message across, and 2) getting others to feel comfortable with you. More simply, 1) branding, and 2) developing relationships

Before the advent of social media, business networking focused first on the message for the obvious reason that, without LinkedIn or Facebook, strangers didn’t exactly know what you did.

Relationship building has always taken time because it is personal. And social media adheres (correctly) to the protocol of having the equivalent of a beer, perhaps in the form of a Twitter chat, to get to know one another.

But business prizes efficiency and speed… they demand a media marketing model that broadcasts their brand and message, and attract those with common, shared business interests so they can move onto the deal.

Corporate practice of social media reflects this mindset. Starbucks, Comcast, Dell and Zappos use social media for, in essence, real time customer support. It’s all about the brand, and it’s aggressively business oriented to give the company a live face.

Consumers are beginning to demand real time results. The next evolution of business social media will facilitate connections between two parties to do business in real time. It’s inevitable that business social media presence will look like cut to the chase advertising. Only those with common shared business interests will opt-in to receiving that advertising. Here’s an example: those who need, say, baby sitters from time to time will opt-in to see a bunch of tweets asking for babysitters.

The spammers will always be a presence on social media. The most efficient way to deal with them now is to just ignore them.

Community 2.0 media, where the community itself participates in local conversation, is evolving through several specific, established online channels:

• Online newspapers provide venues for community commentary on local news

• Craigslist and Yelp provide ad hoc community bulletin boards

What’s surprising is that the above venues are the only “local” websites with significant community participation. (Try thinking of any others…)

The above means of community interaction relies on the local user to post directly onto the site. Thus, conversations are much harder to find and track in real time because the commentary remains buried inside the website, whether it’s the online newspaper or Craigslist.

The local conversation is most engaging when it is distributed

The community bulletin board should be opened up into the social media. For example, local Yelp (or Yahoo!) reviews connects with Facebook and Friendfeed:

Local conversations can also be hashtagged for distribution via Twitter and through local Twitter feed aggregation sites like Breaking SF News.com:

Conclusion: Local conversations are oriented to real time because every participant is a part of a real life community. Twitter, Facebook, Friendfeed and other real time social media applications will be the most efficient way to broadcast running dialogues, even conferences, within the community. Community media systems, structured like the Breaking News Network or adhoc in local Facebook groups, will evolve to capture these conversations.

Zappos has become iconic as THE enterprise that embraces social media – it occupies a singular position that no other company seems to be able to touch so far. And it’s surprising that we haven’t heard of any other company that hasn’t institutionalized social media as an important facet of their organization. Social media is generally being recognized as innovating business disciplines from marketing to business networking to HR. Why aren’t more companies, particularly in the service industries, getting all their employees to social network with their client bases?

At Domus Consulting, we’re fortunate and honored to work with companies who want to infuse the culture of social media into their organizations. We call it Zappos-izing the company. The process of training every employee in a company on how to use Twitter, Facebook and LinkedIn for networking and communication purposes will yield four results:

1. Internally, it will facilitate online social interaction across the enterprise with no departmental or geographical borders, and transcend the office siloes that naturally inhibit information flow.
2. Externally, it will make the enterprise’s relationships and dealings with their client base more transparent by using the public conversational pipes of social media.
3. It will create more business opportunities by connecting the enterprise “network” with other forming networks within client and partner organizations. As any Twitterer knows, it’s much easier to have a conversation with someone else on Twitter when you don’t need to schedule an appointment with their gatekeeper.
4. It will change the corporate culture because the social media is…well, fun. People in general are at first reluctant to join social networks because it seems scary to open themselves up to the world. Once they dive in, they realize the water is fine, and most enjoy the interaction and the networking opportunities they bring. Many become fanatical. The feeling of belonging elevates company spirit.

Just result #4 is a good reason to implement a management edict to attend training webinar sessions.

Daniel McCarthy, CEO of NCI, a publishing / local advertising company with a business based on nurturing local client relationships, saw the social media opportunity and embarked on Project Massive Network, with the mission of getting NCI employees AND their clients onto the social media. In the spirit of transparency, he has even opened up the webinars we’re doing together with NCI to show the methodology. Dan will be chronicling the Project on his blog Viral Housing Fix; the first installment is up. You’ll also be able to follow the progress with #NCI, the Twitter hashtag system that allows participants to comment and Q&A about the Project.

In this light, we’ve changed our mission statement on our Domus Consulting Group website. One thing that differentiates us as media consultants is our proven ability to train organizations from top to bottom on strategic social media marketing. Management often has problems with translating this vision when few of their employees are even on Facebook, let alone Twitter.

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Domus Consulting Group’s mission as management consultants is to work with corporations and organizations in developing social media sales and marketing strategies that extend to every employee and business partner. Since 2007, we have been leaders in developing new social media constructs that have been put into practical and successful use by the technology, the real estate and the media industries.

We achieve the following objectives with our clients, the first four steps often within the span of 1-2 months:

1) PLANNING: Strategy development on how best to position company within both traditional industrial media and the new social media worlds.

2) MISSION: Brand client company as the “Zappos ” of its industry by developing a systematic focus on customer support and interaction via the social media.

3) EXECUTION: Develop a massive referral-based networking system within the organization and extend that to the customer base for business development.

4) ADOPTION: Train large teams of employees live and via webinars to systematically and efficiently build their social networks, and learn 2.0 marketing protocols.

5) LEVERAGE: Develop unique applications that distribute and share essential real time information to corporate clients. (Example: Real time local advertising – a new business model)

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Our Management Philosophy ( a slideshow we originally posted summer 2008)

Simply put, we believe and want to prove that using Twitter to break news through an application like Breaking Shopping News.com, even if it is advertising, is compelling to a local community. And to reinforce our intention, we offer the template and business advice to anybody who can see how to adapt it to their local market. It’s like a free web franchise.

Here’s a table that explains the evolution of how websites have been built. Many developers have already adopted the 2009+ build it quick model as seen by the proliferation of Twitter based apps. How many are giving their ideas and apps away for others to use?

And btw, thank you #domus #301… your support and feedback helped to build these business models and we’re excited to work with you to get these new sites up and running in your locales.