Scoble Calls Facebook The Porsche of Social Networks And The Facebook Gold Rush Returns

-Porsche 911 Facebook-Back in February I wrote that Facebook must handle the Twitter threat and as part of that begin the second Facebook movement. That movement has begun and suddenly the bloggers have returned back to reality and are confessing their love for the fledgling social network again. Robert Scoble goes so far as to compare Facebook to a finely tuned Porsche and then says Mark Zuckerberg shouldn’t listen to the users.

Jesse Stay, the author of a book about FBML and developer behind SocialToo, which is heavily dedicated to expanding its Twitter services, appears to be back on the Facebook bandwagon. In his article, Jesse writes about the future of search for Facebook and their ever improving Lexicon tool.

Twitter has become the shiny object for many of us but there is no doubt that Facebook’s present value is much greater with their hundreds of millions of users.

Is Facebook the Next Google?

In his post, Robert Scoble write about Facebook’s future killer app:

You pull out your iPhone or Palm Pre or Android or Blackberry or Windows Mobile doohickey and click open the Facebook application. Then you type “sushi near me.”

It answers back “within walking distance are two sushi restaurants that more than 20 of your friends have liked.”

Robert, the application already exists. It’s called Restaurants and it was developed by LivingSocial, a D.C. based startup which was also funded by Steve Case, Grotech Ventures, and a number of other investors. While it’s not at the level Robert writes about yet since not everybody is using it, the technology is there.

In regards to delivering a massive blow to Google and providing a solution that bests Twitter search, I think we’ll have to wait and see but I think the rationales used by Rob Diana and Chris Messina are both accurate. Facebook’s ability to associate real identities with reviews and online activity in combination with the massive amount of other data they have about us generates a ton of value.

Should Facebook Listen To Its Users?

So we’ve figured out that yes, Facebook has a ton of value and a bazillion and one ways (yes, bazillion) to monetize their data. The only risk they have then is that all the existing users go running for the exists. I can guarantee you that Facebook will not take any action that will compromise their growth and while you, I, and even Facebook employees can debate about whether or not the new design is pretty, none of it matters.

At the end of the day, Facebook is sitting on a ton of metrics (literally a ton if you printed it on paper ;)) that will tell them if users are running for the door because of the redesign. Mark Zuckerberg is not dumb enough to compromise the future value of Facebook. While millions of users are bitching about the new changes, the numbers are the only thing that matters when deciding what action to take.

My guess is that engagement is up and since my mom told me that she prefers the new design, I’d have to say that Facebook probably made a good decision to switch. Yes, there are some changes that need to be made, and I have no doubt that they will be. Regardless, Facebook is listening, not to us bitching but instead to how we are interacting. Rest assured, they will figure it out with or without our complaints.

Facebook’s Next Movement Is Arriving

As I mentioned at the beginning of the post, there is a second movement coming for Facebook and that is part of their strategy toward increasing openness. There will be more access to data for developers and there will be numerous ways for businesses to benefit. This redesign was just one step along the way and at the end of the day the users will come along for the ride, kicking and screaming if they have to.

While Mark Zuckerberg could theoretically write a nice apology letter to let users know Facebook is listening, that’s not what’s most important. What’s most important is that the second movement (or what Robert Scoble calls the “fifth phase”) has begun and despite the hiccups, Facebook will emerge victorious. As I’ve already said, businesses need to assume that Facebook will be open and start positioning yourself for that shift.

 



Comments (9 Responses)

Nick,

Great note! What matters about the redesign is not your opinion or mine, but what their data actually tells them. How vain of folks to think that Facebook is not looking at the data to see what’s going on.

This could be a lot like New Coke and Classic Coke, where you introduce something that causes “controversy”, only to have the old version rebound higher. I can tell you that my usage has gone way up on Facebook, despite whatever protests I might have. Actions versus words.

Dennis

I agree Facebook will get it right. Is Facebook a leader in this space? I say yes,lead on! Facta non verba!

David

Nick, I’m sorry, but Scoble is absolutely not the typical Facebook user so namedropping him or quoting him regarding the layout change is not relevant.

The comment about your mom is much more relevant, altough i’m not sure that she is a typical user as well.

On top, Zuckerberg may not be stupid, but he still has to take the seminar of public relations and how to gain the love of your audience. For example, I’ve never saw Apple’s users being upset with changes.

Zuckerberg is a kid in the industry and his team suffer a bit of being amateur. They make mistakes one after the other and refuse to admit they behave like kids. Its ok to make this confession. Its really ok.

With all the above, Facebook is well appreciated and way to go for them. Full respect for these guys - they will be professional guys one day.

on top, Porsche is a NOT a vehicle for the masses - bad example of Scoble.

Facebook should aim to be the Toyota, not the Porsche - a well respected vehicle that fits the majority of the population.

While I don’t even normally comment on this sort of stuff, I guess I’ll take the plunge because I do want to say that I agree with Ronsho that PR is important whoever you are, however big you are; and, whether or not you really care at all, or are listening, or plan on making any changes because of complaints or not.

Would it kill Zuckerberg to just say “Hey, you may not love it right now; we understand change can cause upset and we hear you, but in the end, we do have the best interest of FB and it’s users in mind. We think you’ll actually like it and benefit much more when it’s all said and done. We have all these people looking at every angle and we have to stick with our plan as a business but just take the ride with us and see where it leads you?”

Good PR never hurt anyone (please spare me some isolated event where it did) and it just makes people feel better, bottom line.

Maybe it’s just us little people that think that way?

Scoble is not a typical facebook user, and thus, a perfect candidate for facebook’s current target audience. If you’ve been on facebook for years, and so you’re happy and comfortable and don’t like change, you don’t matter. They aren’t going to leave because of aesthetics. Facebook’s current target is users who are not on facebook.

Overall, the new paradigm is much simpler. And even though everyone says the new layout is harder to navigate, fact is they’ve reduced the interface. All the same buttons are available, but they have done away with redundancies. People whine that they can’t tell the difference between stories. That just means there’s a uniform look that brings less clutter.

It’s a much more streamlined facebook. It’s easier for a new user to get started with. And don’t forget that last time everyone “hated” a facebook redesign, facebook’s user engagement improved. Hardly evidence that everyone “hated” it.

@ Eric Godfrey - I think you’ve nailed it here, especially with respect to the fact that people hated the last redesign as well.

I think what you’re seeing is a large group of users that are relatively new to FB and were just getting used to the old paradigm. It will be interesting to see what happens as the new layout becomes more familiar.

I like the Facebook redesign. Sometimes I wonder if the hoards of dissenters are asking WHY these design changes get made…

Having been around some (turned 50 a few years back), I beg to differ. I am also a regular Faceook user since more than a year back: there is absolutely no guarantee that Facebook will get it right, it’s the kind of remark that could go down in history alongside ‘all the world is ever going to need are 5 computers’ or ‘Lehman brothers are never going to topple’.

The answer to your question, does Facebook need to listen to it’s users is ‘yea doh’ and the latest design change is an ominous sign that other considerations than the user base are at play. Will the metrics reflect user enjoyment? maybe yes, maybe no. Metrics will in any case always require honest and imaginative interpretation, and without any slaves whispering reminders in their ears Zuckerberg et al might not make the effort.

Users are not concerned with what kind of business opportunities the changes might open up above their heads, they want a reliable and enjoyable experience. Changing the core workings of the system (even changing content presentation retroactively) will have consequences, even if a competitor might need a few years to pose a serious threat.

The core problem is that Facebook curently lacks the flexibility (or imagination) to incorporate new functionality as add ons - it’s an all or nothing apporach, which results in an effort to create a car the can sail as well as fly, while being a tractor as well - ending up doing nothing very well.

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