jump to navigation

Social Commerce – The Holy Grail? January 18, 2007

Posted by Vijay in Business, Innovation, Internet, Social Commerce.
trackback

Social Commerce.. that seems to be the Holy Grail now. Communities like MySpace, Orkut etc have built huge social networks. Now how can that be monetized? Currently its only advertising and as social sites grow, the advertising largesse will get spread around.

Looking at it from an individual’s point of view, how do social networks help me… rather help us?

As an example, lets take a look at the Blog Group that I have gotten to know.. I have met people I didn’t even know a year ago … there would have been no other way to meet. As a group, we went to a play (ok the rest of the group did.. I didn’t), went to a restaurant.. so we are enabling some commerce.

Now here is a thought. Because I know person X, I would value his/her recommendation on a particular product and be inclined to buy it. Maybe the next step would be when we as a group are able to negotiate a better price with a vendor to buy something. So, suddenly this group becomes a “buying” entity with negotiating power.

I think thats a start… now how can we monetize it as individuals?

No wonder the so called social networking sites are seeing huge valuations.

Advertisements

Comments»

1. praneshachar - January 18, 2007

yes it is true in the time to come this will be formidable group
bulk buying group bookings etc., will get them power to negotiate and in this competitive world they will succeed too.
good idea to plan group booking bulk buying etc.
food for thought

veena is off to mysore as her paternal aunt expired this is news from the other blog mukta our condolenses to the bereaved family

2. M O H A N - January 18, 2007

A very very good idea vijay.

Infact, the immideate fruits of social networking is evident in personal lifes in terms of aquiring new leads for sales, availability of services, their ratings etc. Many a times this factor of networking and communicating far outweights inherent talent and skills itself!!

If what you describe gets to be true, it would be a revolution because people are allways trying to get as much as possible from such multi level teams!!!

In a way this hydra in amway etc is allready at work eating into the ad makers revenues!

3. Vijay - January 18, 2007

Mohan: I agree… however I feel an Amway model is not condusive to social networking… I had friends who used to sell Amway stuff… not a very pleasant experience when they visit you not as friends but always looking to sell something…

4. M O H A N - January 19, 2007

VIjay: Yes, that is where the danger of social networks turning commercial ventures is. As long as there is only inquisitive knowledge sharing regarding product or services it should be good for customers but once they HAVE to buy in bulk – there will be coercien somewhere. Multi level sales have taken this to the other extreme and definetly Not condusive…

Checking out possible fitments is one side of the story but the next step of actual going thru the aquirment is the pain point here… how like minded groups can go and do it is the challenge.

5. Vijay - January 19, 2007

Mohan: That is the challenge… but here is a scenario for you… assume none of the members of the social network are in any kind of selling… however collectively they have interest in a particular area say recreation… the kind of social commerce I was talking of was where a company offering services in the recreation area could target this group…

Of course I am not discounting the fact that if Mohan liked “MTR” I could also eat at MTR .. I would get a discount there if I mentioned that Mohan sent me.. and wouldnt mind if Mohan got a little commision from MTR (again I used MTR as an example.. this could apply to Nokia phones as well)…

6. M O H A N - January 19, 2007

Interesting vijay….

There is a great vision in this article here..probably you can open up for comments. This is about ambani and agriculture in india.

http://in.rediff.com/money/2007/jan/19inter.htm

7. Vijay - January 19, 2007

Thanks Mohan… will check it out..

8. Murali Partha - January 19, 2007

This is a good example of social networks and what could be done… http://www.kiruba.com/2007/01/extrabed.html

9. Veena Shivanna - January 22, 2007

Not too sure if this happens to everybody.
When we know each other like how we know now, certainly its a dirty feeling to ask for favours. I am not too sure whether I am afraid about my portrait getting spoiled or my EGO is stopping.
Certainly this kind of group is not for the business drives.

Today I face some financial problems, I feel so easy to ask my other friends but never ever I talk about it here. Its just an example ashTe…

Blog meet cancel aaytu antha gottaytu. 26th is the next tentative date. Mohan, sumne blog nalli ishTond active ashTe, meeting kardre maatra yaavaglu ‘In Absentia’… I am not too sure why!!

10. Murali Partha - February 3, 2007

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: