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It’s no secret that social networks have had a difficult time integrating advertising that has a bang for its buck. IDC has released some data showing what social networks - and advertisers - are faced with.

Only 57% of social network users have clicked on an ad in the last year versus 79% of all users in the rest of the web.

When it comes to purchasing, only 11% of social network users will actually make one compared to 23% of the rest of the internet.

“The thinking has been that the popularity of SNS will attract a big audience and generate a lot of traffic, which in turn will produce enormous amounts of user-generated content (UGC) and therefore advertising inventory – without any expenses for editorial staff or content distribution deals,” said Karsten Weide, program director, Digital Marketplace: Media and Advertising. “All of the above has proven true – except that almost invariably, SNS have had a hard time selling this inventory.”

Related Reading:
The Number of Small Businesses Using Social Media to Double in 12 Months
MySpace Launches Self-Service Ad Platform
93% of Americans Expect Companies to Have Social Media Presence

Okay, I understand that we’re all trying to “give a jolt” to the economy. But I was still surprised today when Lycos provided a list of Christmas gift ideas two days before Thanksgiving Day. Aren’t we all supposed to wait until Black Friday?

Nevertheless, for shoppers who like planning ahead — or for online retailers and etailers looking for what will be hot this holiday season — Lycos just announced its ninth annual list of the most popular toys and video games, based on web search activity.

(For a complete list and commentary of the Lycos Top Toys and Video Games of 2008, go to the Lycos 50. You can also voice your opinion on this year’s list, and weigh in on weekly Internet trends and pop culture on the Lycos 50 Blog or follow the Lycos 50 on Twitter.)

It shouldn’t come as a shock that Apple’s iPod holds the top spot as the #1 most-searched for toy this holiday season. But this year, the Apple frenzy includes hot-searched items like the iTouch and iPod Nano.

Harry Potter, at #11, makes a fifth consecutive appearance in 2008, with Harry Potter games, books and DVDs dominating Harry Potter-themed searches.

New in 2008 is KOTA, the Triceratops Dinosaur (#15), generating more search interest than Fisher Price’s New Elmo Live (#19). Meanwhile, not so hot in 2008 are Hannah Montana-related toy items, which made a big splash in 2007, but fail to make this year’s list.

Spongebob Squarepants (#14) takes over as the top licensed character-themed toy of 2008. Spongebob was last seen on the Lycos Top Toy list in 2005. And when it comes to dolls, Barbie (#6) continues to reign, extending her run on the annual Lycos list of Top Toys and Video Games to nine consecutive years of appearing in the Top 10. But there’s not enough data on Caribou Barbie to see if that will be a big hit this year — let alone in 2012.

Gaming consoles see a big resurgence in search popularity in 2008, with the Nintendo Wii (#10) capturing the most search interest, generating 25% more search activity than the Xbox 360 (#12) and Playstation 3 (#13). Also seeing a resurgence in 2008 are old school classics like Monopoly (#17), despite the current housing market.

Five of the top 25 toys in 2008 originate from the popular world of anime including Naruto (#3), Pokemon (#4), Dragonball (#5), Inuyasha (#7) and Gundam (#16). Meanwhile, one new toy making the 2008 list may be unfamiliar to most adults, but if search activity is any indication, expect the Bakugan Battle Brawlers (#24) to be flying off the shelves this holiday season.

On the video game front, the massive multi-player game RuneScape (#1) scores big with web users for the fourth consecutive year as the most-searched video game of 2008, while Final Fantasy makes its first appearance on the list since 2005, with Final Fantasy XIII (#3). Also racking up points online, making first-ever appearances on the top video games list, are war-themed games including Call of Duty: World at War (#9) and Gears of War 2 (#14), while Guitar Hero World Tour (#8) and Wii Fit (#15) are the most popular Wii-themed games based on web searches in 2008.

Also new in 2008 are Xbox 360 and PlayStation 3 games Fable 2 (#17), Fallout 3 (#18), Street Fighter IV (#10), Dead Space (#19), Far Cry 2 (#22) and BioShock (#25). This also marks the fourth consecutive year the Madden football-themed games fail to make Lycos’s Top Toys and Video Games list.

As for me, I don’t do any Christmas shopping until the very last minute. That way, I don’t have to figure where to hide presents where my three kids (or wife) can find them before December 24th. Yep, when I say “last minute Christmas shopping” I mean last minute shopping. You’d be surprised how simple decisions are on Christmas eve.

Women are planning to spend less according to two surveys released today.

In a survey by the Marketing to Moms Coalition, moms plan to cut spending on holiday gifts. Offline is expected to be hit the hardest, with an 8% drop over last year. Online will decline by 2%.

• 87% of moms plan to shop at big discount retailers like Wal-mart and Target
• Department stores come in second at 37%.
• Shoe and specialty clothing retailers come in third at 35%.

“Older kids tend to want expensive presents like cell phones, video games, trendy clothes and computer equipment,” says Maria Bailey, a founder of the Marketing to Moms Coalition, and author of the book, Mom 3.0, Marketing with Today’s Mother by Leveraging New Media and Technology. “Moms are telling their older kids that this year, they’re just going to have to wait.”

Another survey from Frank About Women shows that women (not just moms) are planning to cut holiday spending. First on the chopping block? Themselves.

62% of women are asking friends and family to forgo buying them a gift this year due to the economy.

They asked survey participants who would be cut from the gift list that normally would be on.

• 57% of those who normally give gifts to their neighbors plan to forego the gift this year
• 53% will skip their bosses
• 52% will cut employees and service providers (i.e. hairdressers) from their list
• 50% won’t give gifts to co-workers this year

So, who is getting a gift this year?

• 96% said they won’t let a bad economy stand in the way of giving gifts to their kids
• 86% will give gifts to their parents
• 85% will give gifts to their spouse or partner (Stay out of the dog house, guys!)

“Not only are women planning to spend less on others, they are actively encouraging their friends and family to omit them from the gift list this year,” says Nicole Green, senior strategic brand planner at FAW. “This self-sacrificing mindset represents a significant cultural shift as a renewed sense of fiscal responsibility and frugality trump spending and splurging for many women. Marketers who speak to the real meaning of the holidays are more likely to resonate with women this season and benefit from their spending power.”

Related Reading:
Microsoft Study Reveals Online and Digital Behavior of Women
Mom Bloggers Prove Powerful Resource to Marketing and Branding Success
Moms See Search as Task-Oriented; Websites as Entertainment

The new Yahoo! front page went into testing a couple months ago. The redesign effort also coincides with the new user interface, YUI 3.

Here’s a peek:

Nicholas Zakas of the Yahoo! User Interface team expanded on the UI efforts by explaining the goals for the framework of YUI 3:

1. Eliminate global dependencies. We wanted each part of the page to operate separately from all of the others. Each part should have no knowledge of what else is on the page and therefore can’t depend on objects to be globally available. The 2.x library is based on the global YAHOO object, which we would have had to abstract away; the 3.x concept of YUI instances that could be individually manipulated worked perfectly to achieve this goal.
2. Make it small, make it fast. The Front Page can’t afford to be slow, so we needed to have as little code as possible to get everything up and running. YUI 3 impressed us with its organization into small, atomic units that allowed us to specifically include parts of the library that we wanted while eliminating parts that were unnecessary. Further, one of the goals of YUI 3 was to optimize for runtime execution and make it faster than the 2.x version. Once again, YUI 3’s approach was directly in line with the Front Page’s goals.
3. Create version independence. From the start, we didn’t want to have dependencies on specific versions of YUI components as this can lead to maintenance issues. What we really wanted was for each part of the page to be able to use whatever version of the components that they wanted. The sandboxing feature of YUI 3 opened up the possibility of having two (or more) YUI instances each loading different versions of various components while not interfering with each other.
4. Allow code portability. Having worked at Yahoo! for a combined five years, Steve and I knew that anything we put on a Yahoo! property could be a candidate for porting to someplace else. We knew that this possibility meant the code had to stand on its own and not make assumptions about the environment in which it was placed. We thought about the most difficult environment possible: a locked-down browser environment where the JavaScript code has no direct access to the DOM. Since YUI 3 can abstract away the DOM through its Node interface, we had the entrypoint necessary to make this requirement a reality.
5. Be forward compatible. The project to create a new Front Page is an incredibly long one and we wanted to be as forward-looking as possible. We knew that if we created the framework on YUI 2.x that we’d be hard pressed to get time to upgrade later on. By building on YUI 3 from the start, we eliminated the need for developing an upgrade path later on.

Jerry Yang told attendees at the Web 2.0 Summit yesterday that a deal with Microsoft is still the best option for Yahoo.

To which I say: Then why didn’t you accept the $31 per share acquisition offer made earlier this year?

And then I read this: “People who know me know I don’t have an ego about remaining independent versus not remaining independent.”

Wow. I have to admit that asking for $35-37 per share earlier this year seemed a bit egotistical on the “Let’s stay independent front.”

To be fair, with both sides having slung a fair amount of mud, it is difficult to know what really went down. And really, any CEO who isn’t at least somewhat egotistical about his own company isn’t worth his weight in gold.

Matters of ego aside, it seems that a white flag might be flying over the Sunnyvale campus. Now, we’ll wait to see just how low that Yahoo stock goes before the white knight of Microsoft comes by to do the rescuing.

When writing a eulogy for a grandfather it can be very difficult to find the right words. A eulogy, in essence, is very different from other types of writing. You can’t grab a bunch of words out of th…
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how to write a respectful and insightful eulogy for a grandfather

Facebook was first used as a tool to help students, faculty, and staff to get to know other people on campus. Now it’s used to do the same on the Internet campus. In today’s SEM.edu column, “Facebook: Get Educated on the Hottest Social Media Platform,” Ron Jones outlines some ways educators are using the social network as a way to get students ready for participating in today’s corporate world.

» Full story

Lawrence Lessig, a Professor of Law at Stanford Law School, will be giving the opening keynote at Search Engine Strategies Chicago on Monday, Dec. 8, 2008. The title of his keynote is “Remix: Making Art and Commerce Thrive in the Hybrid Economy.”

And, if you read the description of Professor Lessig’s keynote in the conference agenda, it says: “The content industry has convinced industry in general that extremism in copyright regulation is good for business and economic growth. That’s false. In this talk, Professor Lessig describes the creative and profitable future that culture and industry could realize, if only we gave up IP extremism.”

What is he getting at?

Well, “Remix: Making Art and Commerce Thrive in the Hybrid Economy” also happens to be the title of Professor Lessig’s new book, which just went on sale on Amazon.com.

And, according to the editorial reviews on Amazon.com, “The author of Free Culture shows how we harm our children — and almost anyone who creates, enjoys, or sells any art form — with a restrictive copyright system driven by corporate interests. Lessig reveals the solutions to this impasse offered by a collaborative yet profitable ‘hybrid economy’.”

It goes on to say that Professor Lessig, who is the reigning authority on intellectual property in the Internet age, “spotlights the newest and possibly the most harmful culture war — a war waged against our kids and others who create and consume art.” It adds, “America’s copyright laws have ceased to perform their original, beneficial role: protecting artists’ creations while allowing them to build on previous creative works. In fact, our system now criminalizes those very actions.”

How does it do that? Well, Professor Lessig argues that “biting” riffs from films, videos, or songs shouldn’t be crimes. Why? It makes felons out of some of today’s most talented artists.

Professor Lessig argues that the way to end this war is to embrace what he calls the “read-write culture,” which allows its users to create art as readily as they consume it. And he can already see glimmers of a new hybrid economy that combines the profit motives of traditional business with the “sharing economy” evident in such websites as Wikipedia and YouTube.

Wow. That’s strong stuff. And, if we play buzzword bingo at SES Chicago 2008, then there are a couple arcane business concepts that we can use on our bingo cards.

But, this short blurb may not do justice to Professor Lessig. So, I emailed him some questions about the topic of his opening keynote. And he emailed me his answers — quickly, I might add.

Here is our Q&A:

Q: Who benefits and who is harmed by extremism in copyright regulation?

A: Benefits: Lawyers (certainly). The record companies (maybe). Harmed: Artists, businesses, consumers — and a generation of (criminalized) kids.

Q: What are the “read-write culture” and the “hybrid economy”?

A: A RW culture is one where ordinary people are empowered to participate in the creation and recreation of their culture. Every culture in human history has been RW, save for a few dark years in the 20th century.

A hybrid is a commercial entity that tries to leverage value out of a sharing economy, or a sharing economy that tries to use a commercial entity to support it. Either way, two radically different cultures need to learn how to work together with each other.

Q: When will this war on our kids stop, the “read-write culture” be reborn, and the “hybrid economy” start to flourish?

A: When policy makers are woken up to the extraordinary cost this war is imposing.

Q: Where can we already see glimmers of a new “hybrid economy” that combines the profit motives of traditional business with the “sharing economy”?

A: I think everywhere around us. All of the interesting Internet businesses today are hybrid: Flickr, Second Life, Yelp!, even Amazon builds much of its business from the sharing activity of its customers.

Q: Why is IP extremism bad for business and economic growth?

A: Practice moderation. When the lawyers in the room start insisting that the licenses you create must impose perfect control over everything you have, ask them to prove it. Ask them to demonstrate that the business return from that relationship of antagonism is higher than its cost. Don’t give over your business’ future to those who don’t think like a business man or woman. Keep focused on the only undeniable truth: IP is an asset. Like any business asset, it should be deployed to maximize the value of the corporation.

Let me add that I’ve watched the 19-minute-long video of Professor Lessig speaking at last year’s TED Conference as well as the 4-minute 35 second video from OpenSourceCinema which is embedded below. So, I am confident that he will rock the house at Search Engine Strategies Chicago.

Lessig Remix

Professor Lessig was also named one of Scientific American’s Top 50 Visionaries, for arguing “against interpretations of copyright that could stifle innovation and discourse online.” He’s on the board of the Creative Commons project has served on the board of the Electronic Frontier Foundation. He was also a columnist for Wired, Red Herring, and the Industry Standard.

In other words, he’s a speaker worth coming to SES Chicago to hear. And, yes, I do think I’ll put some of his arcane business concepts on a buzzword bingo card.

Google is finally starting to learn that the Schoolhouse Rock song, “I’m Just a Bill,” forgot to include the part about lobbying.

Google opened up a Washington, DC office a few years back to handle the minimal lobbying it was doing. But according to a story in the New York Times, Google has been learning the ways of Washington through the school of hard knocks.

And they may not have graduated in time to address the current regulatory concern over their search advertising partnership with Yahoo.

Perhaps Google is just a tad too used to being the big dog in Silicon Valley. But DC is a different culture. Every industry is represented there, from sugar growers to plastic surgeons to the nuanced niches in tech.

And despite an increasingly digital culture, face time is crucial in DC. The NYT article says Google is getting poor attendance marks for its presence at political events.

Meanwhile, Microsoft knows how the machine works, and they’ve been keeping it well oiled in order to influence groups to opposed the Google-Yahoo deal. Even the Latino Farmers and Ranchers have climbed on board the opposition bandwagon.

Microsoft is now suggesting that Google is losing the debate and resorting to calling out lobbying as the reason why instead of regulation.

Of course, when it comes to antitrust regulation, Microsoft calling anyone out is like the pot calling the kettle black.

Yahoo and real estate search site are both planning to cut jobs. While Yahoo has been said to have a bloated work force, Zillow’s problems are due to the mortgage crisis and a decreased need for home valuations.

A Microsoft acquisition might not have saved these Yahoo jobs. Mergers are notorious for job cuts and many would have walked away. Much was said about the differences in the cultures of the two companies as being a reason against the merger. Of course, fewer people care about corporate culture when the economy is horrible and your company’s stock has plunged. Still, hindsight is 20/20.

Meanwhile, there’s just no way around the matter for Zillow. No one’s talking about bailing out real estate search and home valuations sites. It’s clear that the housing market was a giant bubble and that businesses built around it are going to suffer or need a new business model.