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Facebook Algorithm



Facebook releases its new algorithm which is a must to know, understand and follow for all marketers. This is going to change the way Facebook marketers have been tapping their targeted audience.

The News Feed algorithm responds to signals from you, including, for example:

  • How often you interact with the friend, Page, or public figure (like an actor or journalist) who posted
  • The number of likes, shares and comments a post receives from the world at large and from your friends in particular
  • How much you have interacted with this type of post in the past
  • Whether or not you and other people across Facebook are hiding or reporting a given post


Story Bumping:

Say a friend, but not a close friend, had an awesome post at 8 a.m., but it didn’t show up on your News Feed when you checked at that time, because it was too far down. With Story Bumping, Facebook is borrowing from NBC with the idea of, “If you haven’t seen it, it’s new to you!” That post you missed from a friend at 8 a.m. is eligible to be bumped back up toward the top of your News Feed when you check again an hour or two later.

This gives a second chance for posts from users and pages who didn’t have their content shown shortly after posting.




Lars Backstrom, Facebook’s Engineering Manager for News Feed Ranking, discussed Story Bumping with reporters:

What can we do to make it so people aren’t missing these important stories? Maybe the position 1 and position 2 stories were a little bit better, but that story that was just below the fold, we really would’ve preferred to see that rather than (another story) … which just happened to be the newest thing. So we had this idea, “Let’s change the model slightly.” Before, I said, whenever you come to feed, we’re going to take all the stories that are new since your last visit and put those at the top. Let’s just tweak that a little bit, and instead of taking all the new stories, we’ll take all the stories that are new to you.

Facebook has already tested this among 7,000 daily active users in July. With Story Bumping in place for these users, there was a five percent increase in stories seen from friends, an 8 percent increase in stories seen from pages, and a jump from 57 to 70 percent in overall stories read. Facebook also tested the Story Bumping change with 80 percent of its own employees, and Backstrom said that there was only one complaint. Right now, Story Bumping is in effect for roughly 99 percent of desktop News Feed users, but the team is still tweaking it on mobile.

Last Actor:

Another change Facebook announced Tuesday is Last Actor, which takes into account the last 50 interactions a user has done, such as liking a page’s post or writing on a friend’s timeline. This information is wrapped into the News Feed ranking system, so people with whom you’ve engaged most recently will be given more weight. For instance, if you’ve been liking and commenting statuses from your new coworker or best friend (or sharing posts from your favorite restaurant’s Facebook page), Facebook will push those posts up higher in News Feed.


When Last Actor was tested among Facebook employees as well as select users, Backstrom noted that there was a bit of a bump in engagement and positive reaction, but more modest than Story Bumping:

This change was less impactful than (Story Bumping), but still a nice change for feed relevance. So how does this work? Essentially what we wanted to do was try and capture your current state of mind as you’re consuming News Feed and using Facebook. A lot of the important symbols that we have in feed ranking are kind of long-term things: what’s my relationship to my friends and that kind of thing. We wanted to make this more real time, “What am I consuming right now?” So we built this new signal where we take into account the most recent interactions that they’ve had.

Facebook also tested something it called Chronological By Actor, where there’s more chronologically-ordered posts from people users have engaged with most recently, but Backstrom said that this led to less engagement from users in tests, so Facebook is still playing with this.

Backstrom noted what many users have been saying, that people still want to see things in chronological order. However, Chris Cox, Facebook’s Vice President of Product said that there’s a vital difference in operation between Facebook and Twitter.

Conclusion:

Its very important and critical for each Facebook marketers to know who are their influencers and who can be. People with more number of friends and who are more active on facebook ( by not posting but by liking/sharing/commenting on others's posts) can be the biggest assets in achieving a wider reach.

My Quotes - Creativity


Creativity without skill is useless...unless you have the skill to apply creativity without skill

My Quotes - Shopping


Best part of taking ur gf or wife shopping is waiting outside the trial room


PayZippy by Flipkart


Many of you might not be aware of PayZippy - a payment gateway which is being built by Flipkart; the eCommerce giant of India.

What PayZippy offers to Merchants:

  • Higher conversions with less abandonments
  • User experience
  • Great merchant support - available for 12 hrs on all 7 days
  • Payment gateway for mobile as well
  • 100% secure
  • Better pricing - no sign up fee, no annual maintenance
In India most of the players revolve/aspire around CCavenue, EBS, Paypal, DirectPay. The most important factor while choosing a payment gateway is Security(for merchants and customers both), followed by the Pricing (Debit card, Credit Card, EMI)

Flipkart is definitely a trusted name when it comes to selling online, but would they be equally successful with PayZippy? Well this would completely depend on the robustness of the tool and how useful it turns out to be.
Another question which comes to mind is - would the aspiring start-ups in eCommerce space want to use Flipkart Payment Gateway. Though we do not know the answer, however we can speculate. If people would have flocked knowing its Flipkart then the name might have been shouting Flipkart name all over.
  • The "Merchant" section does not mention Flipkart owns it
  • The "Customer" section does mention this - and it sounds as if Flipkart is trying to tap their customer base. But here the VOC won't help the new founders in choosing a payment gateway. Is this desperation or the only way Flipkart could attract people ?
  • PayZippy's facebook page is the only place which mentions "PayZippy by Flipkart". Twitter also has a mention but not that prominent
  • Most important - the site www.payzippy.com does not have a 'Privacy Policy' and a 'Terms & Conditions' page. What does that signify ? Why did Flipkart choose to ignore this ?
  • PayZippy at this point of time does not support OpenCart, Magento, Wordpress - which is nearly 70-80% of the market share.
  • Given an understanding, its clear that PayZippy is a B2B model, still PayZippy is more active on Facebook and not at all present on LinkedIn - am wondering why.
PayZippy is not the 1st business model which Flipkart has ventured into, apart from online store. Flipkart owns a brand named DigiFlip. Surprisingly, there is no brand website for DigiFlip

Chennai Express Game Preview


Chennai Express - Game Preview - released for Android and iOS

SRK launches 'Chennai Express' game, challenges Rohit Shetty - this has been the talk of the town today, since morning and no wonder that in its 1st day itself this game has been downloaded by more than 10k users in android alone with a user rating of 4.7

Chennai Express is an upcoming movie of Shah Rukh Khan and this game is one of their marketing strategies to promote the movie. It isn't the 1st time that a Bollywood movie promo has take the 'gamification' road. In the past there have been few other movies as well who have gone the same way.

This inspiration / strategy has been picked by many industry leaders and trend followers who have seen major brands in US tasting great success by building android/iOS apps to promote their brands/products by engaging users to play their favorite game.

The point to ponder:
It has always been that whenever a brand wants to promote their products/brand or a launch and take the gamification route, they always pick one of the most popular games in the market and copy the same game with a complete make-over.

Chennai Express game is a copy of Subway Surfers (one of the most popular games on android) with more than 50 million downloads in its 1st month itself and a star rating of 4.7

Inference:
Did SRK and Rohit Shetty did the right thing in picking the game to copy and leveraging the gaming platform to promote their movie ? The answer is Yes.
Shouldn't many other brands too think on similar lines ? The answer is Yes.

This leaves us with a question to debate on.
If all would want to go the gamification way, this could bring in a flood of games on android platform (in India). Would this bog the users, could this back fire?
Lets think....

Mobile Presence In India


Many might not be aware of this fact that India has world's 2nd largest mobile network in the world, in terms of number of subscribers and handsets both for mobiles as well as fixed lines.
India has world's 3rd largest user base with access to internet over mobile, is approximately 150 million.

Let's compare the above with the other facts we are aware of:
  • Facebook penetration in India is approx 65 million - this means that mobile internet users are 2.5 times more than facebook users. This also means that most of the facebook users have internet on their mobile. Hence while running an ad using power editor, the marketers should choose to display ads on mobile and computer both platforms.
  • Gmail penetration in India is more than 100 million. This again shows us a high potential email marketing targeting mobile users
In next few years time India will be at 1st position across globe in number of mobile handsets, subscribers and mobile internet users.

A strong mobile presence is very much required for every large scale business at national level. Though we cant expect a great ROI in terms of revenue and the buyers from a mobile would be quite few, atleast till the end of 2014. 
Let's see how others have progressed in the mobile arena:
  • ZipDial - A new and innovative concept which was seen gaining users few years back. Today its an established concept. Surveys, Votings, Demographics are the key deliverables - all it takes is a missed call. Many organizations are using this concept including reality shows seen on Indian Television.
  • Facebook is allowing free access to its portal over Airtel
  • From 1st July onwards, Indian Railway would be giving an option to book railway tickets through SMS
  • Google is about to release a new algorithm which could bring down the ranking of your desktop site if your mobile site does not have a proper SEO done
Businessess need to look at mobile as an integrated platform. Limiting ourselves to only mobile internet users would mean opening up to only 10% of the crowd.

Facebook getting rid of few features


Facebook recently launched the #hashtag with a hashtag feed URL With the advent of this new feature. Facebook also announced that out of the 27 types of ads currently running on Facebook, more than 50% of the ad types will be removed.

The above 2 announcements are really a boon for the marketers and the brands making their job easier. What sad is that Facebook would soon be getting rid of features like 'Questions' and 'Offers'. Now this is a bad news. Let's analyse the situation:

Facebook Questions is definitely a great feature and it saw extensive use post its launch. But then, slowly it started dying. Number of people using this feature kept going down with time and finally Facebook thought that there are hardly people using this feature hence lets get rid of it. This is where Facebook went wrong (atleast I think so). Instead of trying to find out what's causing its death, instead of finding out how they could revive such a powerful tool - they chose the easier path; to get rid of it.
What I would have done - If I were Facebook, I wouldn't have thought of killing this feature, infact would have tried to make it stronger. For Example - 
  • When you create a question, you don't get a URL. Having a URL for each question could have helped a lot in sharing the question apart from just using the Facebook Share option.
  • Each Facebook Question should also generate an html code which can be embedded on a blog/website. This tool then could turn to be the most extensive free 'Poll Tool' available in the market.
  • Facebook users aren't allowed to ask questions anymore, its only the pages which can do so.
  • We have an option to 'boost' a question but can't schedule it
Facebook says that marketers can still ask questions on posts, but then, will that give a report to the marketers as to how many votes were cast for each answers, is Facebook expecting us to keep counting all the answers ?

Facebook Offers is another excellent feature and an answer to Google Offer (at one point of time Google allowed businesses to create offers through local search listing). Why 'Offers' couldn't click :
  • You can't upload an image, it by default takes your cover pic.
  • Offer is a paid feature, you can't create an offer without proceeding to the payments. (Every business does not have a credit card attached to their account, and even if they have they wouldn't want to use it for every post/offer. If Facebook makes this as a free feature and gives an option to the marketers to go with a sponsored post or free offer then the number of people using this feature would grow exponentially
Integrated marketers/agencies who have been using this feature to promote offline stores, and more importantly track the number of offers saved, claimed and walk-ins. With this feature gone, though we still have lots of options to track online claims but this is the only social tool in the market to track offline claims. With no competition at all, still Facebook decides to bury this feature - Strange.


Amazon Enters India


Amazon entered India almost a year back with the marketplace Junglee.com
With the FDI discussions being the hottest topic of discussion in retail industry, people were anticipating that Amazon would sooner or later surely enter India market with its original brand Amazon itself.

Though not complete, but closely, Amazon launches Amazon.in
But its not direct selling, its yet again a marketplace like Junglee with only Amazon name.
As of now, Amazon India has been launched with only 2 categories - Books & Media (Movies & Music), with over 7 million titles in books and close to 15k Media titles.
Not just this, very soon they would everything what we seen on Amazon.com , hopefully Amazon Stores as well.


Strategy & Impact - 

Why did Amazon launch another marketplace in India when they already had one ?

This is definitely one of the most pertinent question making rounds amongst the e-commerce professionals in India.
Its very clear that FDI norm is still withholding Amazon from selling directly but the day is not far when Amazon will penetrate Indian market with a bang. While Amazon continues to sell products through Junglee & Amazon.in, its giving an earning opportunity to many re-sellers like uRead, BookAdda, etc But what will happen to these re-sellers once Amazon starts selling directly, there revenue will definitely see a huge dip.

The launch of Amazon.in is basically to create a shroud of confusion amongst Indian buyers. MANY Indian buyers think that Amazon has entered India market and is selling directly. The magnitude of this effect is big.
Many Indians are expected to ' Experience Amazon' and with no cap on free shipping for a limited time, we are definitely going to see a spike. Its alexa rank in India is already 651 which is much better than Tradus and few other key players. What more, almost all e-commerce player in India has seen a downward trend in traffic this week.

Does this mean bringing down Junglee ?
Well No.
Amazon would continue with Junglee letting people know that their marketplace is still there, while with Amazon.in it would continue making people believe (or leave people thinking) that Amazon is selling directly and has entered Indian market. Atleast, until Amazon is legally allowed to sell directly in India, it would continue this way.

Impact - Positive & Negative 
With a downward trend seen in web traffic of Indian e-commerce sites, the founders of key players have already started sharing their thoughts around.
What's best is that you can sense an uncertainty, confusion and fear in them, which they are trying to hide.

Sandeep Agarwal, founder & CEO of Shopclues (one of the leading ecommerce portal in India) in a talk says, " I personally feel that Government of India should have given two more years to start-ups before opening the doors for Amazon. This can back fire in terms of opening retail market to such a large E-Commerce company this early "
When such a big name is worried, what would be the plight of those thousands of new and aspiring founders who have or are planning to launch their portal. Would the VCs and Angel Investors be willing to invest in India (into ecommerce) at this point of time ?
This eCommerce boom in India gave birth to many start-ups who are either into selling or supporting an e-commerce portal - delivery, support, marketing, platforms, etc. If these start-ups would face a problem then wouldn't the agencies also face a downfall ?

Yes, mostly the impact would be negative except for the marketing segment. It is expected to be a boon for them. The current players will have to invest more into online and/or offline marketing to sustain their market share and place.

Truth & Facts
India being the 3rd largest internet population in the world and with population close to 1.3 billion people, India is expected to overtake China within couple of decades. This would mean that in few years time the number of internet users in India would be higher than that of United States(though the internet penetration is US is much higher than India).
This makes India one of the biggest online market in the world, hence Amazon & Walmart would definitely want to stay here. Having said this, they will definitely build expertise and 'localize' in India. A simple statement to help you understand this better would be the advent of Dell & HP brands. Can you name 5 Indian PC making brands ? :) In case if you are given an option to buy a laptop, majority would want to choose either an HP, Dell or Lenovo

With a permit to Amazon & Walmart, its for sure that Many people would definitely be effected. But who would benefit from it the most ? Its You - The Consumer :)
 
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