By Dennis Yu, The Co-founder and Chief Executive Officer of BlitzLocal
You may have read these HitWise numbers on how Facebook has overtaken Google as the most popular site in the United States– now at 7.07% of all visits versus Google at 7.03%. At 400 million users and 25% of all traffic (not visits), it’s not just teenagers anymore. Did you know that Facebook serves 150 million search queries a day? Industry estimates place Google at 250 to 400 million queries per day.
Thus, “search” is not a website– it’s a function that occurs across any site or application. Think of websites as vertical bars, while applications such as search, commenting, and user participation as horizontal slices that go across these sites. Even the concept of a “website” is being blown away– note that most users of twitter are interacting not at twitter.com, but via a 3rd party tool or within another blog. Whether it’s @anywhere or even the APIs being released by CitySearch and Foursquare, it’s clear that there’s a increasingly shared data layer underneath these websites. Think of the sewer and electrical grid that is below Manhattan.
I had a chance to sit down with Alex Schultz, who runs online marketing for Facebook– he is also in charge of Facebook’s SEO. He mentioned the concept of “interestingness squared, boringness squared”. Let’s say you have 500 friends and each friend, on average, has 20 things they do each day that could be shown in the feed. Thus, with no filter, you would see 10,000 items in your feed on your Facebook homepage. Impossible to sort the noise on what’s important or most relevant to you.
Facebook must choose what to show, based on the influence of each user, their track record (are they spamming others or is their stuff being actively shared and commented on), and general “karma” FriendRank-like factors. Thus, the things that are interesting get promoted in the social graph– to quickly become viral. And things that are boring get buried, never to be shown in activity stream.
This morning, Facebook released some insights into how their search works. It’s worth a read if you some time, but let’s just say that they’re serving personalized search results based on proximity (of the many “Jose Gonzales” in the world, show the one that has the most mutual friends in common), popularity, and context. I’m in Boulder today, so my search for cosmetic surgery here should ideally yield a different result than someone searching from Chicago. Google’s Caffeine and the introduction of personalized results from your friends only starts to approach what happens on Facebook.
5,000 new businesses join Facebook each day. Google has about 570,000 advertisers on AdWords. Do the math. Who has the deeper relationships and has 50% of visits from users that log in at least once a day? Facebook is on track to hit a billion dollars in annualized revenue, if they haven’t already.
Are you using Facebook’s self-serve ad platform yet? For the 2.5 years, we’ve treated Facebook PPC as another paid search channel, just behind Google, while ahead of Yahoo! and Bing. And the results for Facebook lead gen and consumer product have been phenomenal. They will continue to be so long as the territory is still new to advertisers and agencies– and clients understand that social media, properly targeted, and integrated with other channels, is quite effective.
Google has discussed that they’re incorporating social signals into ranking factors. An article that a couple years ago might have generated 50 links might today generate 10 links and 300 mentions on twitter and Facebook. Facebook now opening up pages to be indexed, along with many other previously private default options, means that you should be sending stronger signals in social media to influence search results not just on Facebook, but in traditional search engines, too.
So what does this mean for your business?
1. Create and pimp out your fan page immediately. When you get to 100 users, grab your vanity url at facebook.com/username. Get customers and friends to comment and participate regularly, knowing this can generate a viral effect, plus generate links to your fan page (links between pages are votes for Google, while fanning on fan pages are votes for Google).
2. Start testing Facebook’s PPC. Run traffic to both your fan page and site, to build up a fan base and generate a viral effect. Use proper analytics and attribution, determine the effect of the “assist” on organic search traffic and direct traffic, much like a view-through conversion.
3. Run demographically targeted ads on the Google Content Network– this is a good proxy for what will work on Facebook and MySpace self-serve, given your display creatives and demographic targets are in alignment.
4. Focus more on offers and “interestingness”. Remember what Alex Schultz said about “interestingness squared” earlier? With the rise of local, social, and mobile games– or platforms like Gowalla that effectively are video games, make sure what you are saying doesn’t sound like a shameless ad. Make it cool, interesting, or perhaps even offer a coupon. Is it funny or shareable in some other aspect?
5. Begin reaping the rewards for being a first-mover. The spammers were first, but your legitimate brand is still early in the game.
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Dennis Yu is an entrepreneur and internationally recognized lecturer in search engine marketing. Areas of expertise include search marketing technical analysis and pay-per-click (PPC) ad campaign development and optimization. He is co-founder and chief executive officer of BlitzLocal, a Denver area firm that provides local search solutions for enterprises of all sizes. Dennis is also a regular speaker at leading industry events like AdWords Advantage Online Summit and the upcoming PPC Summit Presents…Search & Social Media Success.







