Stefan points folks to a new paper by DB Research entitled, "Blogs: The new magic formula for corporate communications". Some interesting charts in here. Also a nice chart of blog growth in Germany.
Fred Wilson On Geography And Venture Capital
Venture capitalist Fred Wilson has expanded on my earlier post related to the relationship of venture capital and geography. He outlines some concrete examples of board meetings and other f2f items that aren’t as effective remote. People shouldn’t get too discouraged by "location, location, location", however. Venture capital is not exactly real estate, but geography surely plays a strong role (accentuated for early-stage ventures) in ways too detailed to go into here.
As an additional note, remember that VCs are also networked, networked, networked. In a prior post, I related a prior recruiting encounter with a VC in another geography as brokered by a VC in a different geography. I’m not even sure my contact information was public at the time when the brokering occurred. Deals and information of all kinds get passed around (hopefully, not passed on). So one can’t give up just because of geography. Just be very sensitive to it and recognize the customer concerns.
What Are We Talking About? (Somewhat Long Post)
I think I’m getting dense. No doubt many non-bloggers will be confused too. I’ve been trying to make sense of all this business around:
- the fuss about A-list blogger lists
- most popular lists
- reinforcing wheels and how A-list bloggers are self-perpetuating (see here)
- how one should track links
- why links reflect popularity
- discrimination of certain bloggers (e.g., by virtue of a men’s club)
#1-3 basically have to do with introducing blogs to non-bloggers or new blogs to existing bloggers. OK.
I think I understand #6 too. A-list bloggers are protected by reinforcing and amplifying patterns in how other bloggers link to them. This sort of thing may discriminate against certain classes of bloggers (e.g., women). Makes sense to look at that for certain professions.
But #4 and #5 … what is this supposed to do for anyone? Blog readers at a micro-level do not care. And as for blog writers, at least what I care about are three things: a) finding out who is saying things about me, b) searching for relevant information to doing my job or carrying out a cause, and c) figuring out what people are reading on my blog so that I can write more relevant stuff. I’m not running the Intel computer of blogs, and most people are not. Why should bloggers care about either a global measure of popularity or how links should be tracked if you can answer the three things I’ve mentioned here?
The sad thing is that it is hard to measure readability through tools today. Inbound links only relate to bloggers and discriminate against readers/non-bloggers. There are way more than 3 times as many readers of blogs out there compared to bloggers. Although I could care less about popularity, if one is going to measure popularity, shouldn’t the measure include non-bloggers? Measuring stuff has also been complicated by RSS. RSS has created a situation that people don’t even have to visit a blog to read it, but then there’s not that many people that use RSS so if one gets metrics about RSS usage, one is still stuck with an incomplete answer. If one puts some software code veneer on the blog, it may be possible to measure stuff better, but you need a PhD in computer science to do this. I can barely teach long division anymore.
Don’t get me wrong. I’m not in a huff about this. I just know I’ve lost track about what folks are trying to accomplish in the blog search engine space and what the fuss about lists is all about.
As for something I do care about is how customer loyalty plays a role and how it may shift given the explosion of blogs. I’ve not come to any conclusions on this yet, but Jeremy Wright’s post on unsubscribing to A-list bloggers makes me pause to think about where the market will go. Is there a macroeconomic trend that we may see beyond the Long Tail stuff? I’ve seen a lot of blogs that I used to like to read move to del.icio.us tagging instead of blog writing. Maybe the information market is getting saturated in terms of bloggers as individuals.
Anyway, this post was triggered by Andrew’s post at Changing Way, and then a quick flurry of research on A-list bloggers by me. Suffice it to say that I think this post at Blogger’s Blog does a nice job of summarizing some of the A-list blogger issues and characterizing some of the things I’ve mentioned above. Mark Cuban’s post does a good job at providing some insight at what blog search engines are doing. Mark is a very smart guy, and I like the openess he is doing regarding exposing the code, but I have little clue how some of this search engine stuff helps the average blogger (provided one can get reasonably close to the three items I mentioned above).
On CIO And C-Level Blogging
Charlie Russo, News Writer for SearchCIO.com, recently interviewed me for his article "C-Level Bloggers Follow The Rules". The article includes some thoughts on why there aren’t more CIO bloggers out there. Regardless of public blogging, one has to wonder why there isn’t more intranet blogging in IT organizations given the benefits. Perhaps it has to do with the fact that it is more atypical for hosted blogging solutions to have built in intranets.
Calling Product Marketers In Software Companies, CIOs, & IT Managers
I need throw some change-ups over at The CIO Weblog. My projects and endeavors in the past 6 months have been outside of the backoffice operations space, and I’m lacking that first-hand practioner’s view as to what’s happening with CIOs, IT organizations, etc. I am in need of fresh material. In plain English, I’m getting stale. I’ve gotten feedback from folks that they liked my post on the NewsGator Enterprise Server and might like to see more posts like that in the future (e.g., on emerging software companies). Other things that people said that they would like to see are interviews with CIOs or other industry folks. Will try my best to seek these out, so if you are part of a software product company or consulting firm, a CIO, a manager in an IT organization, etc., feel free to pitch or contact me. Email preferred at sshu at s4management dot com.
Venture Flops, Missed Opportunities, and Burials
Just highlighting CNET’s new article on Top 10 dot-com flops along with two others in the vein of failures and missed opportunities:
- "Top 10 dot-com flops" (CNET)
- Bessemer Anti-Portfolio (MISSED big opportunities by BVP – hat tip: Zoli Erdos)
- Business Plan Archive of the dot com era (highlighted by me before)
And if we don’t remember the climate of the dot com era as well as we should, consider the WSJ’s tabular account of layoffs and shutdowns – they gave up tracking after Nov. 28, 2001.
On the CNET list, the one I have to say that I miss from a personal perspective is WebVan (which took the #1 spot of colossal failure). Didn’t have too much personal experience with the others on the list, but WebVan actually added value to my life. A shame.
King For A Day
Ten days ago I posted an innocuous link to something about "Ivy League Dating" and mentioned "The Right Stuff" dating website. Although my referral link traffic indicated that the search engines started hitting me just a day or two after I posted, I am the #1 search result on the MSN search engine today (when searching for the term, "Ivy League Dating"). I’m on page #1 for Google. There are many people that I talk with at 21Publish that are just learning about blogs and don’t believe how blogs and blog communities affect search engines. Although it may be a passing thing in a few years, it does seem to affect the engines now. And the trend does seem like it is going to stay with all of the search engine investments going on.
I have got to put up a hipper picture of myself on my blog if I’m going to be in this business.
Update (8/20/05): Now if you really want Ivy League sexy, you need to check out venture capitalist Brad Feld who noticed that the number of shares in secondary offering for Google are the same as eight significant digits of Pi.
An Excellent Post On Ventures And Worldwide Pressures
I’ve posted quite a bit about offshoring lately (e.g., here, here, here), and I’ve been more in tune with international business (now that I work for a German-HQed firm). This post over at SiliconBeat and the related threads are rich with information on deal sourcing, tides in the venture world, what macroeconomic tides many investors want to tap into, venture operations, the (un)scalable aspects of being the first resources in a start-up, plus much more (such as why later-stage deals have risen as of recent). The one thing that is not really covered in this post, however, and something I have not quite reconciled in my mind is the craziness of start-ups in the Valley right now. My hypothesis (which is neither complete nor a very constructive hypothesis) for the craziness is that the economics for certain start-ups has significantly changed (lower costs of entry), and that the reach of such companies can expand quite far. The utility of forming a hypothesis about all of this, however, gets at understanding where the money will be, where the money will flow out, where you want to be, and where you don’t want to be.