• On CBS MoneyWatch: Don't do this: Dumb financial advice
February 28, 2007 5:37 AM PST

Webware trends: Social networking to build brand loyalty

by Caroline McCarthy
  • Font size
  • Print
  • 3 comments

The phenomenon of branded social networks was thrown into the spotlight back in January when Disney CEO Bob Iger unveiled the company's revamped Web site complete with MySpace-like features (or kid-safe, Disneyfied versions thereof). And there's been plenty of talk recently about how small is the new big (to use Seth Godin's words) when it comes to social networks: that sites centered around a specific niche or subculture will be the next major trend, as opposed to enormous, all-encompassing, and arguably cluttered sites like MySpace. From what we've been seeing, this push toward niche social networking is getting some extra momentum thanks to brands that are seeing online community-building as an effective way to build brand loyalty and improve its marketing strategies.

Recently we've seen a few new developments in this sector of social networking which seem to confirm that branded communities are on the rise. You have to remember that plenty of companies have been striking deals with big social networks like MySpace and Facebook--Apple, for example, runs a "group" on Facebook that numbered over 435,000 members at last count. But some companies want to host their own branded social networks, and start-ups are beginning to, well, start up for that purpose.

We wrote up Dave.tv last month; Dave.tv's parent company, Dave Networks, specializes in creating video-based social networking communities, like one for the TV show Stargate that features fan-made videos. Earlier this week, another one launched--Passenger, a platform that aims to "create collaborative relationships" between brands and their consumers through online social networks. Passenger is aiming high, explicitly expressing a desire to appeal to Fortune 500 clients. And its vision of a company-consumer feedback network is probably a bit utopian, as many corporations are likely going to prefer that their social networks consist of loyal followers rather than constructive critics. But Passenger has already attracted the likes of Coca-Cola and ABC Television, so it's probably doing something right.

The catch is that no brand can count on the collective power of the masses. The classic example of this--well, by "classic," I mean "over six months old"--is the Chevy Tahoe user-generated ad contest. General Motors gave Internet users the basic tools to make their own Tahoe ads, but liberal bloggers and grassroots environmental groups managed to turn the contest on its head and make "ads" to promote global warming awareness and criticize the culture of gas-guzzling SUVs.

GM probably didn't see that one coming.

Caroline McCarthy, a CNET News staff writer, is a downtown Manhattanite happily addicted to social-media tools and restaurant blogs. Her pre-CNET resume includes interning at an IT security firm and brewing cappuccinos. E-mail Caroline.
Add a Comment (Log in or register) (3 Comments)
  • prev
  • 1
  • next
Here's Another
by TheBikerWeb.com February 28, 2007 8:37 AM PST
And here's another startup that's offering branded network hosting/setup/
admin options: http://www.webbiographies.com/Privatelabelprogram.do
Reply to this comment
by haydabre June 12, 2008 2:03 PM PDT
Prev123456
Reply to this comment
by airforcenice123 July 8, 2008 12:52 AM PDT
Good article, thanks!!

-------------
drupal air force ones
Reply to this comment
(3 Comments)
  • prev
  • 1
  • next
advertisement

About Webware

Say No to boxed software! The future of applications is online delivery and access. Software is passé. Webware is the new way to get things done.

Add this feed to your online news reader

Webware topics

A CNET Conversation with Eric Schmidt

CNET's Tom Krazit and Molly Wood sit down with Google CEO Eric Schmidt to discuss the future of Android, the Chrome OS, the problem of real-time search indexing, and more.

Verizon tests sending RIAA copyright notices

The No. 2 phone company, known for its reluctance to intervene in antipiracy cases, strikes an agreement to forward copyright notices on behalf of the music industry.

Inside CNET News

Scroll Left Scroll Right