Social Networking Goes Big Business

PreacherTom writes, "It is no secret that sites like Facebook and MySpace are big hits among students. Big business is catching on to their possibilities too. Even in the wake of online stalking scandals, companies such as JP Morgan Chase, Apple, and Burger King are building whole marketing campaigns around social networking sites, to the tune of an estimated $280 million in 2006. It appears to be working: take the King, for example, who has amassed more than 120,000 'friends' that opt (for rewards) to associate themselves with his profile." These marketing drives are aimed at younger consumers, but (from the article): "About 36% of MySpace users are people aged 35-54, as are 30% of Facebook users."

Comments

A marketing wet dream

[Colin Smith]

Your customers tell you all about themselves, voluntarily and for free.

Contrary to most geek's ideas, marketing is bloody difficult. It's actually very expensive, very hard work. You're essentially trying to model human society. That's why they'll pay you to answer questions.

Re:A preponderance of knowledge

[Krater76]

This isn't an EBay or a Google, it's just entertainment and no one is more fickle than the 18-24 demographic. Besides, it's just a matter of time. Kids grow up, trends change. Think about one of the hottest fads that were around when you were 18 and think about how much they affect you now.

I honestly can't think of any fads at all. Maybe that's because 18-24 was college and college was a pretty good time on it's own :)