How YouTube Could Make Money with Viacom, some thoughts

Wednesday, July 23rd, 2008

As CNet reports today, Hollywood and YouTube may be edging towards their own version of Pax Romana. Meanwhile, beyond the learned walls of the law courts and Google’s battle with Viacom, we here at Social Cache have been scratching our heads over Viacom’s position.

Obviously Viacom is up in arms over what it argues is copyright infringement whenever one of its artists’ songs are used in a user-generated video. Their lawyers are even arguing that in most cases they want to set aside the notion of fair use. That in itself is ridiculous as in a lot of circumstances Viacom has stepped over the edge of copyright boundaries. In 2007 Viacom sent YouTube 100,000 takedown notices! And as this video from the EFF points out, many of those videos that Viacom had asked YouTube to remove, were not infringing anyone’s copyright.

EFF versus YouTube

We ourselves received a takedown notice and had a video removed from YouTube. The video was of one of our numerous snowboarding expeditions to Mt Hood and it included a clip of a song by the group White Zombie. We could have argued that under the law if we had used the music for parody, for comment, for criticism, for news reporting or for non-commercial use then we’d be in the clear. In this instance it was the latter - non-commercial use. We couldn’t be bothered, we weren’t that attached to the video and anyway, like millions of other folks, we put up videos at an alarming rate. Here’s our latest.

So here’s the Nemo and Social Cash POV. By removing our video Viacom denied thousands of people the pleasure of hearing a White Zombie song. One of its own artists! And no money was changing hands. One solution - Viacom should provide YouTube with a license from a roster of its artists who agree that their music can be used in a video for non-commercial use. In return YouTube provides its users with a simple license that allows users to add music from these artists to their amateur videos for non-commercial use for a small fee of, perhaps $3.00. Now Viacom and its artists get a share of this revenue, YouTube users won’t receive takedown notices, and Viacom can go a long way to recouping its, no doubt, millions of dollars it is spending on these lawsuits.

You’re welcome. Let me know why it won’t work….

Meanwhile over at MySpace, Rupert Murdoch’s News Corporation has a business that’s built on the backs of thousands of unsigned musicians. Who is looking out for them?

New York Times and LinkedIn Team Up, A Social Media Coup

Monday, July 21st, 2008

LinkedIn New York Times

This is serious news when it comes to business networking and social media, I see a serious win-win here for both parties. There has been some debate recently about Facebook and how seriously it can be taken when it comes to businesses using the Facebook network to extend their social media ambitions as well as advertise across it. I would argue that the LinkedIn/NYT partnership steps up the ante for both Facebook and MySpace; the NYT, one of the world’s great media institutions that has seriously embraced the internet to further its business, may be on a path to shaking off its “Grey Lady” image and LinkedIn, which, although having only 25 million registered users making it small by social network standards, is by far the doyen of social sites for serious business users. We’ll see how this one unfolds.

Kudos, once again to Marshall Kirkpatrick for breaking the story.

Why Does Corporate Social Networking Fail?

Saturday, July 19th, 2008

Social Media Advertising
Q. How do we reach these young people? A. You don’t, you wait for them to invite you

The social media folks and their blogs have been buzzing lately over a story that seems to have come from Deloitte but perhaps was more widely circulated by the WSJ. Josh Catone at Sitepoint drilled down further into the story from where it got picked up by Marshall Kirkpatrick on ReadWriteWeb.

Both Josh and Marshall have great points and their posts are a good read. Marshall’s post had the most provocative headline - Corporate Social Networks Are A Waste of Money, Study Finds. I thought I’d pick up the story there - A Waste of Money. Companies have a bad habit of throwing money at everything that moves, especially if it looks like “something we should be doing.

Here are my thoughts distilled from my own writings on the subject and insights borrowed from Josh and Marshall’s posts:

Here’s an extract from my essay ‘On Social Media, Blogs and Advertising.’ - To understand and embrace social networking is to place the idea that says “technology makes this possible” to one side and embrace the idea of the basic human need to stay in touch with other like-minded people at all times. As Clay Shirky says “The desire to be part of a group that shares, cooperates, or acts in concert is a basic human instinct.” Read the rest of this post here.

With that thought what follows is:

Businesses can not “build a community” however much money they throw at the idea. They merely need to look outside of their own walls, find the influencers who are already championing their products and join the communities that already exist.

Businesses can not attract “visitors” as measured in traffic to their sites. People who enjoy their products will be talking about them elsewhere in other communities. See above.

Businesses have to realize that having a Facebook page for their products makes them look ridiculous and could actually harm the brand. See my post about Spraychel and “her” Facebook page brought to us by the folks behind I Can’t Believe It’s Not Butter®

It is the way of businesses to make predictions about their market. They should not invest in software that makes predictions, or even social-networking technology, unless they have discovered a clear market need.

Positive word of mouth marketing by online communities that enjoy a businesses’ product is a far better metric than the ratio of visits to the corporate web site or its community.

Online communities led by influencers that champion a businesses’ products are doing just that, championing the products not the corporation that brought them to market.

So what should businesses do? Here’s a list that I have reworked to address businesses as it was originally written with rock bands in mind.

They should:
01. Run a blog to which actual company members post regular updates.
02. Ensure that the blogosphere is alerted to any new and breaking news or important posts.
03. Offer early access to special offers and discounts for their customers loyalty.
04. Give away free samples of their product.
05. Be active in their customers online communities.
06. Never push unwanted messages to their customers.
07. Ask their customers to interact directly with their product, for example through competitions and giveaways.
08. Allow the sharing of their products amongst a community.
09. Work closely with influencers.
10. Embrace radical transparency. Openly discuss their problems with their customers and allow negative comments to remain on their blogs.

That’s the top ten; number 11 in my list would include - have dedicated staff working on your company’s online communication 24/7.

Read more of our thoughts on Social Media here.

Billionaires and Their Basic Uniforms

Friday, July 18th, 2008

In his article Rich Men in Uniform, Christopher Tennant details the looks of a handful of the world’s most powerful men. Interestingly enough, these billionaires seem to stick with the same dressed-down looks, no matter the occasion.

Apple’s Steve Jobs prefers the soccer dad classics of a mock turtleneck, Levi’s 501 jeans and white sneakers while grocery store kingpin Ron Burkle looks the part of a weekend warrior in his unchanging black Ralph Lauren polo, boot-cut jeans and classic black Chuck Taylors.

Perhaps the lesson to be learned is that when you’re a billionaire many times over, you have nothing to prove to anyone. And, you probably have bigger fish to fry than trying to decide which pair of handmade Italian loafers you should wear.

Can An Airbus A380 Be Green? Truth in Advertising?

Wednesday, July 16th, 2008

Airbus A380

The engineers and technologists who designed and built the giant Airbus A380 may well be proud of their accomplishments in attempting to reduce this huge aircraft’s environmental impact. As their web site says “[they took] a fresh approach to its environmental impact, too. With a new wing design and composite materials accounting for 25% of its structural weight, the A380 is a much more efficient aircraft all round. And by producing only about 75g of CO2 per passenger kilometre, the A380 is contributing to the aviation industry’s commitment to constraining greenhouse gas emissions.”

Airbus A380

So, a full A380 carrying 525 passengers between London and Los Angeles, a distance of 8750km, will produce 344,531,250gms of CO2. Yes that’s 344 million - I’m just saying…hat’s off to the marketers for using grams instead of pounds. They’re European, so they can.

The site also mentions that “The A380 burns fuel per passenger at a rate comparable to that of an economical family car.” All I can picture here is 525 cars driving 8750km. And what is an “economical” family car?

They go on - “There’s the extra space per passenger afforded by its twin, full-length, wide-bodied cabins. The cabin air, recycled every three minutes to keep the atmosphere fresh. The natural light provided by 220 cabin windows. And while the A380 feels more natural inside, the environment outside benefits too. From the dramatically reduced external noise levels. From the lower fuel consumption and significantly improved CO2 emissions per passenger kilometre. From the increased capacity at airports and the reduced need for expansion.”

Airbus A380

I love that phrase natural light provided by 220 cabin windows because every flight that I’ve been on the attendants can’t wait to tell the passengers to please lower your window shades as the “entertainment” i.e bad movie or TV, is about to begin. Whether you like it or not you are forced to sit in a dark stuffy tube while people with headphones on guffaw at lame jokes. Good use of “natural” though.

And this is a good one - “From the increased capacity at airports and the reduced need for expansion.” The boast here is that the ‘planes are so big they can deliver more folks to be packed into your airport’s long lines at immigration reducing the need for the airport authorities to expand their airports. Brilliant! What a relief for those in charge of our comfort while we struggle through their over-crowded airports, they don’t need to do anything but allow Airbus A380’s to land.

It gets better - “Some operators might, for example, choose to seat their First and Business class passengers on the upper deck –providing a corporate jet-like environment for these clients – while configuring the A380’s main deck for an all-Economy layout.”

Dear Airlines, when you configure the ‘planes for your fleet, why not put the great unwashed underneath with the freight and be done with it?

Summer Reading, Not Very Light

Tuesday, July 15th, 2008
John Gray Black Mass

Other than an elongated literary adventure through Cormac McCarthy’s ‘Border Trilogy,’ reading ‘All The Pretty Horses,’ ‘The Crossing’ and ‘Cities of the Plain’ in the summer of 2005, followed in 2006 by reading McCarthy’s masterpiece, the aweful ‘Blood Meridian‘ [and I use aweful by way of its true Middle English definition - "Filled with awe, especially: 1. Filled with or displaying great reverence.",] I’m not inclined to reading novels. McCarthy’s ‘The Road’ and ‘No Country For Old Men’ were both outstanding and Martin Amis turns out great work but I prefer non-fiction; currently I am buried in E.O.Wilson’s ‘Consilience’, re-reading Robert Wright’s ‘The Moral Animal’ and am halfway through John Gray’s ‘Al Qaeda And What It Means To Be Modern’ having finally finished his ‘Straw Dogs: Thoughts On Humans and Other Animals’ for the third time. This summer’s less than light reading list just grew by two - the Amazon package today contained John Gray’s ‘Black Mass: Apocalyptic Religion and The Death Of Utopia,’ and ‘Heresies: Against Progress And Other Illusions.’

Otherwise I’m keeping an eye on the Madonna - Guy Ritchie marital farce.