AdverClast

A Chronicle of Disruptive Advertising

Top 10 Facebook Feature Wishlist

Posted on | December 15, 2008 |

After using Facebook, attending a developer conference and speaking to advertisers, I’ve built a Facebook roadmap. Not an application, widget or API wishlist, it’s a wishlist for Facebook platform functionality. To be sure, Facebook has initiatives focused on growing site and “ecosystem” functionality. They encourage app development through the fbFund. They encourage partner interfaces through fbConnect. Of course, they also have capable product managers.

The Challenge
Facebook seems very focused on Social Graph Marketing through fbConnect. The problem: as fbConnect pushes consumer profiles out, it will encounter data ownership issues that will slow implementation. Further, Facebook’s execution to date has been spotty. Their highly-publicized Summer 2008 Beacon launch was reversed within weeks. Their highly-publicized Fall 2008 re-design subverted third party developers by moving applications off the user profile page.

A Framework
Facebook needs a framework for prioritizing and sequencing functionality based on value to users, to advertisers, and to the platform. Fortunately, aligning interests is not as complex as it sounds. Think of Google. They invest huge sums of money to ensure highly relevant search results are delivered in sub-second response times. Then, by plugging in paid search results alongside their algorithmic results, they facilitate targeted interactions between user and advertiser. Competition between advertisers ensures relevant results.

My Top 10 Facebook Feature Wishlist
So, adopting Google’s basic framework, how do we sequence features to maximize user engagement AND provide target-rich advertiser opportunities? My suggestions below are in order, soonest-to-latest:

  1. Friend Tiers - Take the current two-dimensional I-know-you / you-know-me relationships and add the third, how or “what kind”, dimension. What kind of relationship? Is this a contact, (someone you met once), a colleague (someone you work with), a friend or a family member. Why is this important? Read on.
  2. Micro-Blogging - Followers / following for information purposes should be distinct from a “friend” designation. Eliminating that overhead has enabled Twitter to scale eyeballs, usage rapidly. While Facebook is attempting to marginalize Twitter by aggregating all updates through fbConnect, due to the tiering discussion above, their approach is fatally flawed. They should institute tiers, make a credible offer for the addictive Twitter, and move on.
  3. Microsite Tools - Provide users tools for publishing their own content freeing innovation and leading to richer profiles. To be clear, it doesn’t make sense for Facebook to pursue a WordPress strategy. Nor does it make sense for it to run down product niche “rat holes”. But, LinkedIn has taken it’s first tentative but instructive steps in this direction by enabling Wordpress and Blog Link posts.
  4. Filters - Blog and status update features ramp platform content giving rise to the need for FriendFeed-like filtering. FriendFeed lets users create their own contributor categories, assign people, even assign post types. For example, Mary’s got great taste in clothes (so I want her purchase updates), but terrible taste in politicians (so, I’ll go without her Tweets). Paradoxically, these filters free content producers as fear of flooding their network with non sequiturs prevents free publishing.
  5. Product Ratings - Tiers and filters ensure relevance. Now it’s time for commercial introductions in the form of product ratings. In essence, I value my inner-circle’s ratings above those of my casual acquaintances. Collect these ratings either at fbConnect-enabled origin or when related status updates are to be applied. Marta Strickland has an insightful treatment of the major products in her post: A Decentralized, Distributed Social Web. She recommends Reframe, Headup, and Glue.
  6. Payments - Ebay discovered early that the payment infrastructure was needed before commerce could ramp. Once enabled, Paypal scaled quickly. Without a payments platform, Facebook vendors have adopted ill-fitting workarounds such as Offerpal’s token platform. Further, without the link between platform and purchase, Facebook generates no revenue. Whether by BD deal or custom development, Facebook needs a payments system so it can charge a vig, just like Mastercard.
  7. Group or Fan Buying - Facebook’s “gift referral” revenue is expected to top $50M in 2008. It’s time to take the next step: Group or Fan Buying programs (think Costco). Buyer aggregation functionality should be available to all Facebook groups. Set the group manager free to broker volume discounts on goods that are interesting to members. Whether with a retailers like Amazon or a manufacturer like Apple, Facebook is agnostic charging a transaction fee for the group buying and payments infrastructure.
  8. Niche Programming - We’re all TV programmers as we flip from channel to channel. “On-demand” offers from Hulu and Netflix promise freedom from serial programming. The next challenge: What to watch. Facebook should provide the platform for access and the “editorial” for selection. Like Current.com’s “Picked For TV - News Made By You” where users tag and rank news stories that can be watched online, Facebook groups can act as genre-specific intermediaries providing niche content “channels”. The specificity of both content and viewer data should bring premium ad CPMs.
  9. Live Content - Merge live-action and user-generated content. I watched the final presidential debate on Current TV at Twitter HQ. Tweets ran across the bottom of the screen as the candidates parried and thrust. Facebook should empower group administrators to program live events with private, group or open feeds. Be it pay per, subscription or ad-based charging, Facebook would have the infrastructure to monetize the event in partnership with the group.
  10. Interactive Entertainment - Go beyond “Steam”, beyond providing a storefront for game software sales. Integrating a game playing / charging platform such as Shanda Interactive’s in China would enable folks who don’t shop at GameStop, but would like to play “Call of Duty” with remote family and friends. Where’s the money? Microsoft’s Massive in-game ad network may be the best evidence that there’s gold in providing game advertising network.

Do you have a different feature list? Revenue strategy / framework?

For more immediate-term Facebook revenue opportunities, read my “Facebook’s Social Revenues” post. For more on Facebook apps including fbFund winners, read “fbFund Winners, Some Killer Apps“.

Share and Enjoy:
  • Digg
  • Sphinn
  • del.icio.us
  • Facebook
  • Mixx
  • Google

Related Posts:

Category: APIs, Applications On, Blogs, Facebook, FriendFeed, Google, Massive, Micro-Blogs, Netflix, Social Graph, Social Networks, Twitter, fbConnect
Tags: > > > > > > > > > > > > > > > > >

Comments

Viewing 2 Comments

 

Trackbacks

(Trackback URL)

close Reblog this comment
Powered by Disqus · Learn more
blog comments powered by Disqus
dfkj31sk342