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Chapter 8 Web 2.0, Social Media, and Online Trends

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1 Chapter 8 Web 2.0, Social Media, and Online Trends
© John Wiley & Sons Canada, Ltd.

2 © John Wiley & Sons Canada, Ltd.
WHAT WE WILL COVER Defining Social Technologies and Utility User-Generated Content Creating Business Utility Using Social Media Tools and E-marketing The Social and Business Impacts of Web 2.0 © John Wiley & Sons Canada, Ltd.

3 DEFINING SOCIAL TECHNOLOGIES AND UTILITY
Social technologies are simply purpose- built collections of existing capabilities and tools, in most cases bundling together a combination of existing and occasionally some new online concepts to create a novel technology-enabled online experience paralleling offline socializing. © John Wiley & Sons Canada, Ltd.

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WEB 2.0 © John Wiley & Sons Canada, Ltd.

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WEB 2.0 The term Web 2.0 was first coined by Tim O’Reilly (founder of O’Reilly Media) and used publicly at a trade conference in 2004 Represents what most people refer to as the interactive web Socially-enabled sites often look and feel more interactive and are often enhanced by audio and video tools focused on various forms of user-generated content (UGC) such as blogs and conversation threads Enhances the ability to promote a sense of online community © John Wiley & Sons Canada, Ltd.

6 TECHNOLOGY THAT TOOK US FROM WEB 1.0 TO 2.0
Adobe Flash – Nearly every browser now comes with Adobe Flash. It allows interactivity, animation, and streaming of audio and video. Javascript – Simply put, Javascript is the communicator between your computer and the Internet. API – In the Web 2.0 world, there is an Application Protocol Interface (API) for everything. Through the use of APIs, developers are able to access established programs and use their functionality. © John Wiley & Sons Canada, Ltd.

7 © John Wiley & Sons Canada, Ltd.
SOCIAL IS FOR EVERYONE A recent study by Nielsen showed that the popularity of social networking and blogging is not limited to younger teens and adults: "Females make up the majority of visitors to social networks and blogs, and people aged have the highest concentration of visitors among all age groups. Americans aged are also avid visitors: 4 percent more likely than average to visit social networks and blogs than they do any other site and 27 percent of these sites’ audience." © John Wiley & Sons Canada, Ltd.

8 WHAT TYPES OF SITES ACTUALLY CONSTITUTE “SOCIAL MEDIA”?
Site Type Current Examples Blogs Blogger; Wordpress; Blogspot; Tumblr Wikis Wikipedia; Wikileaks Social Bookmarking Delicious;   Digg; StumbleUpon, Reddit Social Networking Sites Facebook, MySpace, Tagged, LinkedIn Social Updating Services Twitter; Yammer Virtual Worlds  Second Life; HABBO, The Sims Online Social Endorsement/Rating Sites Yelp;  TripAdvisor, DineHere.ca, Urbanspoon Media Sharing Sites Flickr, YouTube Geo-Location Foursquare, Gowalla Forums IGN boards, babycenter.com © John Wiley & Sons Canada, Ltd.

9 TOP SOCIAL MEDIA SITES IN CANADA
© John Wiley & Sons Canada, Ltd.

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SOCIAL UTILITY Social utility is a term that suggests you only spend time on sites that are useful to you, and that the time invested on socially-oriented websites must somehow contribute to your happiness or social satisfaction, or create social opportunities for you, or we hypothesize that you wouldn’t or shouldn’t bother. © John Wiley & Sons Canada, Ltd.

11 THREE PILLARS OF SOCIABILITY
Affiliate Beyond simply making people aware of the opportunity to join something, ensure that users want to be affiliated with your group. The underlying psychological driver of this is the need to belong. Participate Once new users have made the leap to wanting to join your site (that is, to publicly declare their desire to affiliate with you), you must help them easily understand the rules of participation. Validate Validate the user’s on-going social experience by constantly reinforcing the social utility of your website. This will not be the same for every user, since each user will have a different level of social comfort, involvement, and confidence. © John Wiley & Sons Canada, Ltd.

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DESIGN AND USABILITY Design esthetic and usability are critical components to building a successful interactive media site; the most powerful of these become almost addictive to users. © John Wiley & Sons Canada, Ltd.

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BUSINESS UTILITY Business utility involves exploring how to deploy social media platforms and technologies to create business outcomes (e.g., increased sales, higher customer loyalty, lower transaction costs, etc.) that have real value for an enterprise, but are also acceptable to users. © John Wiley & Sons Canada, Ltd.

15 LEGAL AND ETHICAL FRAMEWORK FOR SOCIAL MEDIA
Enormous costs associated with storage to maintain user information and bandwidth for consumption Maintaining users’ privacy and security ASCC (Canada), FTC (U.S.) enforce ethical codes and standards Legislation that applies to offline advertising and competitions will apply to online competitions © John Wiley & Sons Canada, Ltd.

16 LEGAL AND ETHICAL FRAMEWORK FOR SOCIAL MEDIA
Unique laws and regulations apply when your social media (or other online promotional efforts) involve children or “minors” and could vary by jurisdiction. Professionals engaged in the creation and deployment of social media campaigns or efforts need to seek professional advice on what codes apply to what issues and when. © John Wiley & Sons Canada, Ltd.

17 TECHNOLOGY IMPLICATIONS AND COSTS
The cost of accumulating and storing multimedia-intense content is enormous. Additionally, running a site oriented toward interactive media requires significant bandwidth. Web 2.0 sites are more expensive to create and run than traditional websites. Organizations need to factor this in as part of their long-term strategy of information retention, particularly as it relates to social media applications that are hosted. © John Wiley & Sons Canada, Ltd.

18 USER-GENERATED CONTENT
A fundamental ingredient to most social media applications True social sites focus on providing the context in which users generate content themselves, rather than providing the actual content © John Wiley & Sons Canada, Ltd.

19 USER-GENERATED CONTENT AND BRAND RISK
Aware of the risks of undertaking any kind of online social campaign Media transparency Monitor online messages being posted about your enterprise or organization Anticipate potential brandstorms © John Wiley & Sons Canada, Ltd.

20 SEARCH ENGINE OPTIMIZATION (SEO) ON SOCIAL SITES
Strategies to optimize web searches: Site design Technology architecture Site audits User-generated content, user interaction Linking and click-throughs Tagging © John Wiley & Sons Canada, Ltd.

21 CREATING BUSINESS UTILITY USING SOCIAL MEDIA TOOLS AND E-MARKETING
Emerged as a new paradigm around mid s. Share information at a rapid rate. Marketers and consumers have access to similar information. Go to where your customers are rather than have them come to you. © John Wiley & Sons Canada, Ltd.

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E-MARKETING Phase 1: Early on, marketing’s use of IT technology rested solely on gathering and using e-info data. © John Wiley & Sons Canada, Ltd.

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E-MARKETING Phase 2: As the Web began to grow, most companies began to use IT as a way to communicate directly with their customers. However, the communication was still only one way—from company to consumer. © John Wiley & Sons Canada, Ltd.

24 © John Wiley & Sons Canada, Ltd.
E-MARKETING Phase 3: As the social web began to take over, marketing became e-dominated, where use of the Web is an integral part to marketing’s communications with consumers. © John Wiley & Sons Canada, Ltd.

25 THE SOCIAL AND BUSINESS IMPACTS OF WEB 2.0
There has been a rapid decline in the consumption of network TV as more and more choices have become available and cable broadcast systems have increased their global penetration. There has been a significant decline in the consumption of newspapers, magazines, radio, and most other forms of mass media. The amount of time spent online by the average citizen has steadily increased every single year for 15 years as more and more people spend more and more time online. © John Wiley & Sons Canada, Ltd.

26 ONLINE ADVERTISING SPENDING
© John Wiley & Sons Canada, Ltd.

27 CHANGE IN ADVERTISING REACH
© John Wiley & Sons Canada, Ltd.

28 © John Wiley & Sons Canada, Ltd.
RECAP What is Web 2.0 and why does it matter to an organization? What features can make a social website more successful? What are the risks and rewards of this technology for society and the organizations and businesses that operate within it? © John Wiley & Sons Canada, Ltd.


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