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Tag: platforms

Platform metrics: Some ideas

I was chatting with Lauri [1] about platform research. I claimed that the research has not that many implications for real-world companies apart from the basic constructs of network effects, two-sidedness, tipping, marquee users, strategies such as envelopment, and of course many challenges, including chicken-and-egg problems, monetization dilemma, and remora’s curse (see my dissertation on startup dilemmas for more insights…

Managing business development of an ad platform

Here’s a great example of a business development program of an ad platform: Google provides similar service through its AdWords Partner program. Facebook and Google are offering the free 1-on-1 help for one simple reason: It improves the quality of ads. Because of this, two positive effects take place: a) the users are happier. As two-sided markets, FB and Google need…

Thoughts on Remora’s Curse

Remora’s curse takes place when startup attaches itself to a large platform in the attempt to solve the chicken-and-egg problem of getting users. The large platform then exercises its greater power to void the investments made by the startup into the platform, essentially causing more or less deadly delays and needs for re-design. The idea originates from Don Dodge who…

Affinity analysis in political social media marketing – the missing link

Introduction. Hm… I’ve figured out how to execute successful political marketing campaign on social media [1], but one link is missing still. Namely, applying affinity analysis (cf. market basket analysis). Discounting conversions. Now, you are supposed to measure “conversions” by some proxy – e.g., time spent on site, number of pages visited, email subscription. Determining which measurable action is the…

Total remarketing – the concept

Here’s a definition: Total remarketing is remarketing in all possible channels with all possible list combinations. Channels: Programmatic display networks (e.g., Adroll) Google (GDN, RLSA) Facebook (Website Custom Audience) Facebook (Video viewers / Engaged with ads) etc. How to apply: Test 2-3 different value propositions per group Prefer up-selling and cross-selling over discounts (the goal is to increase AOV, not…

In 2016, Facebook bypassed Google in ads. Here’s why.

Introduction The gone 2016 was the first year I thought Facebook ends up beating Google in the ad race, despite the fact Google still dominates in revenue ($67Bn vs. $17Bn in 2015). I’ll explain why. First, consider that Google’s growth is restricted by three things: natural demand keyword volumes, and approach of perfect market. More demand than supply First, at…

Digital marketing in China: search-engine marketing on Baidu

Introduction China is an enormous market, amounting to 1.3 billion people and growing. Out of all the BRIC markets, China is the furthest in the adoption of technology and digital platforms, especially smartphones and applications. Perhaps the most known example of Chinese digital platforms in the West is Alibaba, the ecommerce giant with market cap of over 200 $bn. Through…

Platform strategy: How can media companies co-align their operations with incentives of social platforms

Introduction Platform integration is a major issue for publishers. The question, as interpreted by some of them, takes the form: friend or foe? Although it would be naïve to answer “friend”, platforms such as Facebook and Twitter are not foes either. At minimum, they are necessary evil to cope with, at maximum they are strategic leverage. But somewhere along this axis…