Two articles a must read; social shopping and network valuation

Real market value of Social communities and shopping as a social activity! So social shopping on your favourite network?! Time to brainstorm. What a profile could mean for you in terms of revenues. Got me thinking! Maybe could re-appear again and stop with the message “coming very soon!” Soon is now guys!!!

Shopping is social?

Pluck, which makes social media software, is rolling out version 3.3 of its SiteLife social media platform. The latest version of SiteLife, announced June 13, offers functionality to integrate social media capabilities into e-commerce sites.

“There are a lot of ways to facilitate a community in terms of what you’re doing on the Web,” said Adam Weinroth, director of product marketing for Pluck. “We take an integrated approach. We don’t create a community on a separate site or section of a site and point customers to it; we integrate it directly to the core site experience.”

It is all about valuation of social networks, why? time to sell? I would say; “time to make the big revenues!!”

Is MySpace worth $3 billion, or $20 billion? It depends on how you value a user.

It’s time to start comparing the big global social networks on something other than unique visitors and page views. I believe an effective way to value a particular user is based on the average Internet advertising spend per person in the country they live in.

The higher the spend, the more value the social network can get out of the user by serving them advertising and other products. That means that, for now, users in a handful of key countries are worth far more in terms of revenue potential than those in the rest of the world.

Published by Reinout te Brake

Reinout is a games investor and strategic business consultant specializing in the games industry. Reinout established his credentials through his own successful investments, start-ups, consulting and (advisory) board positions that led through time to strong bonds with key stakeholders in this fast paced industry. He is known for his outstanding results in the gaming industry. He has worked with many game studios around the globe and is therefore well known in the international gaming industry. Check out his games podcast;

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