Is there any money in web video?  That question has been forefront on my mind of late.  I think the short answer is: some people are.  We’ve all heard the stories of people like Michael Buckley making a living from YouTube.  But let’s face it, Mr. Buckley’s YouTube success story is the exception, not the rule. Plus he’s an acquired taste.  As I played the video while writing this, my wife said: “make it stop or I’m going to come over there and smash your computer.”

Frankly, I’m more interested in people and companies who have created sustainable business models in this ecosystem – networks with a portfolio of successful web shows.  As two leaders in the world of web video startups celebrate notable milestones – Next New Networks, its one billionth video view and Revision3, its 5 year anniversary – the economic infrastructure of web TV seems to be maturing.

Can I Really Make Money Doing This?

In terms of how one makes money from web TV, the simplest answer is advertising/sponsorship. Regardless of what people say about “dialogue with community”, “marketing is a conversation”, “unmarketing” and other web 2.0 platitudes – the money transaction in video is audience for dollars. Trouble is, on the web, those dollars just aren’t adding up.  In this interview with Paid Content’s David Kaplan, Next New Networks CEO Lance Podell bemoans the disparate valuation of web vs. TV video viewing audiences.

We’re constantly being asked to educate and consult advertisers. And we’re more than happy to do it. Ultimately, advertisers have to put their money where their mouth is. The only way they’re going to find out what really works is to start trying new things. While we have brave advertisers, who have come back time and again—Warner Bros., Samsung, Frito Lay, Unilever—but we haven’t seen the number of advertisers that is commensurate with the pace of the viewers we are attracting.

- Lance Podell, CEO Next New Networks via PaidContent

That said, I think the key is to balance targeted, niche content (you’re not going to win on the commodities of generalized content) with a desirable level scale, demonstrating those key elements to potential customers (advertisers), and creating a price point that sustains your efforts and satisfies your customers.

In my mind, you need to create a sustainable competitive advantage in order to be successful.  TV is tricky in that regard.  There are always new shows nipping at your heels and audience taste is mercurial.  But part of being competitive in media is anticipating those challenges and creating new offerings.  While big media relies on celebrity, the web often derives value from social currency or trust.  Many successful web shows are hosted by trusted sources in their topic or niche.  A few years ago it would’ve been simple enough to just start creating video awesomeness and aggregate a sustainable audience.  Now there are just too many players.  So, if you’re thinking of creating web video for profit,  I would say to you:

• refine, with laser focus, what your show would be and who you would want to reach
• define how it is differentiated from competitors
• look where advertisers are spending now and create an offering that appeals to them (baby boomers?)
• do market research
• create a concept statement about your show and shop it around to potential customers
• from positive feedback, I’d write a business plan and take a hard look at costs/revenue projections

Thinking it Through

It is a complex ecosystem with a lot of moving parts – giving the prospective media entrepreneur a lot to think about.  But such is the life of a micro-media-mogul.  As you think about your show idea,  you’ll need to really define why people need to watch your show.  You’ll also need to consider the expectation for higher production value in web TV.  Many people are watching video “over the top”,  via devices connected to big screen TV’s.  It takes a few more steps to “tune in” to a web video show.  How are you making it worth the extra effort?  Why do people need to come back to your show?

These are just some thoughts that I’ve been kicking around.  Do you have a web show idea?  Are you thinking of launching one?  Have you thought it through?  What have I missed here?

There’s been a lot of movement in the web video world of late, and as a micro media mogul at my very core, I’ve been paying keen attention to it.  Broadband proliferation, the rise of smart, connected TV’s, set-top boxes from Google, and PC to TV app-based systems like Boxee, are all driving forces behind these shifts. Now, with web entrepreneurs like Jason Calacanis jumping into the fray on the content side, there are some indicators that a new, vital marketplace is emerging for web TV content.

The long term vision is to have 30 shows that each have a natural audience of between 10,000 and a million people, Maybe they have on average 100,000 views each which means we could have 3 or 4 million people a week watching these shows pretty easily I think.

- Jason Calacanis, from LA Weekly post

For some time, I’ve had this idea to create a stable of niche market shows that appeal to passionate, targeted audiences – and build on a social web component to help viewers be more engaged with the content.  Now I’m certainly not the only person who’s had this idea -Revision3, Next New Networks, and TWiT, among others – have been enjoying successes as trailblazers of this medium.   At the same time, the field of battle is littered with good web shows that failed to get the traction needed to become self-sustaining.  Here’s a couple “good” failures I created myself.

Crafty Nation Episode

Pregnantly Plump Promo

The reasons these failed are instructive and manifold, but thankfully we failed fast.

New Marketplace – New Risks and Complexities

Never in the history of television has it been easier to bring a show to market.  Gone are barriers to entry of FCC licenses, prohibitive transmission facility costs, large staffs, and high priced talent.  Just about anyone – this very minute – can launch their own web TV show.  As with the blogging market, the cream rises to the top. Those with more resources, higher volume, and better content get more traffic and are as a result, more successful.

I’m operating under the assumption that any content play like this will have advertising as the primary revenue model.  Premium content models would depend on the niche and the quality and utility of the content in question.  I believe that there is a delicate balance between niche and scale here.  Beyond that, you have to take into account whether the segments that you target are broadband connected and inclined to watch web video.

New web TV delivery platforms are opening up new distribution pipes for content producers, and as more people watch web TV on their “smart” connected TV’s, the more indistinguishable the experience will be from watching regular TV.  Having said that, I believe the more viewers blend the PC to TV experience – pushing web video to their 42″ flatscreen HDTV’s – the more they will gravitate toward higher production value content – separating the wheat from the chaff.

Is This Really What The People Want?

Consumer demand for this type of content also appears to be mercurial.  While by some accounts, web video – and not just the short form kind – is seeing increased consumption rates during traditional prime time hours, much of it via some PC-to-TV connection.  At the same time though, Nielsen research says overall online video consumption is down for the first quarter of 2010.  I wonder if the reason for the decline might be that people are becoming more selective about the online video choices they make, especially for those watching on their big screens.

The success of video content networks like these hinges largely on the availability of broadband.  The expectation is a seamless viewing experience between regular TV and web delivered video on your TV.  As Verizon is ending their FiOS deployment and AT&T threatening to slow their broadband rollout, that leaves cable companies wiring houses with fast pipes.  Unless they can find a way to make money off of “over the top” video, they have a vested interest in seeing it as a threat.

So this is a very complex marketplace with a lot of moving parts.  My hat is off to those who have had success thus far.  As demand for this content rises, it will be instructive to watch the market levers that drive successes and setbacks for web video ventures.

What’s Next

As I said in this interview with Don Martelli of Shamable, “Good ideas and good products aren’t enough”.  As the web video ecosystem matures, new players taking the field will have to balance startup cost containment with immutable, inevitable burn associated with creating high production value TV.

Me? I’m sitting on the sidelines for now waiting to see who enters the fray next.  So readers, are any of you closet micro-media-moguls?  Are you watching video “over the top”?  What kind of shows would you watch?

We just got FIOS at my house this past week.  It’s BLAZING fast, the HD looks nice, and so far we’re well pleased with our decision to get it.  We opted for the 25 mbps up/down package.   That’s INSANELY fast.  What will I do with that upload speed?  Funny you should ask.  Watch this for clues to my plans for WORLD MEDIA DOMINATION.  It’s two minutes of your life you’ll never get back.

Verge New Media – Video Blog 5/15/10 from Verge New Media, LLC on Vimeo.

Awakening

While I’m an early adopter of technology in many respects,  when it comes to  technology with a price tag,  I often let others blaze the trail for me.  By the time I crack open my wallet, the trend has gained enough momentum that it will soon percolate up to the mainstream.   Based on that unscientific hunch, my awakening to IPTV, cord cutting, and over the top video should be an indicator that this thing has legs.  What I’m seeing now is broadband proliferation pushing a move by consumers to cut the cord with their TV providers, a rise in web only TV channels, and indicators that this will create challenges and opportunities for those of us in the TV business.

Cord Cutters and PC to TV

A Yankee Group study released in April predicts that 1 in 8 consumers will eliminate or reduce their pay TV service in favor of  “over the top” content delivery over the next 12 months.  While a recent Parks Associates study makes a more modest assessment of the threat posed by online video,  I think we are in the early stages of this disruption.  In fact Revision 3 CEO  Jim Louderback penned a challenge to the study over on GigaOm.  Regardless of whose prognostications you believe, something is afoot here and it’s only going to get bigger.

Drivers here are the  proliferation of broadband and devices that act as TV tuners.  Blue Ray players that stream You Tube, Pandora and Netflix – game consoles that run media center software – media center software platforms that offer that “lean back” couch potato experience making you forget your watching web video … all of these are moving the goal posts.  Yesterday I bought a Mac Mini – it’s sole mission: to deliver a elegant viewing experience that suspends my disbelief that I’m watching shows originating from the web.  I like it.  I’ve got it running Boxee and plan on loading Plex and XBMC.  My TV, my way.  Here’s Boxee’s intro video:

Boxee Alpha Web Intro from boxee on Vimeo.

I’m not alone here.  While still on the horizon are new set top boxes from Boxee and Google, many, like me are dipping their toes into this new way of watching. I informally polled my Twitter and Facebook friends for some vox populi and came up with, as always, insightful views.  While it’s easy to get giddy about the potential of this viewing experience,  Twitter friend Christian Burns points out, only people with access to broadband can enjoy this experience.

The future is here now, but it’s just not evenly distributed. I chose to go ahead and live like it’s 2014 instead of 1997.

- Christian Burns, via Facebook

Still, from those with broadband, I was amazed at the numbers of people who have cut the cord.

Have cable, it came free with the Internet fo a few months. Since it was installed I have not watched a single minute. I only watch some stuff on the Internet. Why? Less commercials, or no commercials and i can watch whenever I want and…it’s free!

- Cima Mondanlou, via Facebook

I have cable, but every month when I see my big ugly bill, I think about cutting it. I can stream Netflix on my TV and Hulu via HDMI cable from my laptop. After Fringe and Lost seasons are done I’ll have even less incentive to keep the cable. Looking forward to reading your post, Jim.

- Sukhjit Ghag, via Facebook

When CNN first arrived on the scene, some of my broadcast colleagues looked down their noses at the upstart news network – calling them “Chicken Noodle News”.  Mark Cuban has flat out stated that the future of TV is TV and not over the top.   And who can for get anchorman Ron Burgundy’s dim view on the future of an all sports network.

So what do you think?  Are you a cable cutter?  Do you use Plex, Boxee or Apple TV?  Are you planning on being the next Rupert Murdoch?

Let my start by saying that my career in media has been paying the bills since 1988.  So I firmly embrace corporate media, advertising revenue and all media endeavors that enjoy commercial success. The lure of a life in TV (i’m a news cameraman by trade) was its combined appeal of an adventurous lifestyle and comfortable livelihood.  This is what prodded me to take my plunge into TV news.  But as with many things in life, my timing was off.  I came up in the ranks of cameramen well into cable’s affront on broadcast dominance,  admiring the legendary lenslingers before me, or more precisely their glorious tales of lavish travel and limitless budgets. Those were the glory days of TV news, and I got to see the vanishing apparitions – the vestigial remnants of those times.

Disruption Past

As a child of cable’s disruptive power,  I understood that challenge, that shift, that imperative for change.  So when blogging, podcasting and social networking emerged on the radar screen of my consciousness,  I wasn’t prepared to grasp their nascent and then unrealized impact on mainstream media.  Not until an unlikely series of events prompted the purchase of an iPod, did I come to realize that great numbers of people out there were dissatisfied with passively consuming mainstream content and advertising.  They were out there creating their own content and speaking to each other and were quickly becoming disintermediated.  With revolutionary zeal, web-preneurs sprang up like weeds creating platforms empowering people to share content and ideas.  Brands, of course, took note and migrated their messaging and their spending from TV, print, radio to the then “new” media.

Join the Conver$ation

This media revolution made YOU Time magazine’s Person of the Year back in 2006 – and was at once an empowering energizing force, but at the same time, made me fear for the future of my career.  Back then, it was all about the “conversation”.  As a brand, one couldn’t just stumble in and “sell”, one had to honest, transparent, conversational.  As social media has matured,  I get the sense that we have moved beyond that – and now we’re back to where we once were.  Brands just want access to us and the transaction remains the same.  Look, I understand that companies need to make money and that investors need to get returns on hopes of 10x exits.  But i’m struck by the rapacious speed with which social media, its adherents, and platforms are pursuing the buck.  Ironic to me, considering that it was dissatisfaction with traditional media and “push” advertising that in many respects gave rise to social media.

It’s strange, but I still haven’t completely shaken my nostalgia for the salad days of old media as I begin to feel twinges of longing for new media’s simpler times.  When old media was king it was advertisers buying access to passive audiences.  Now, marketers are paying to become part of this:

Power Shift

The mantra of the Social Media Club, “If you get it, share it” has been modified by “ninjas”, “gurus”, and “experts” in the field with the following addendum: “for a fee”. Meanwhile, tech/Web 2.0 headlines point to leaner, meaner more competitive times. Here are some trends pointing to a shift in social media from being people-powered media to corporate driven:

In a move akin to ABC News recent staff slashing, popular, free social network platform Ning is free no more and has cut its staff by 40%.
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How Facebook shares private information with third party companies is being scrutinized by Washington now, prompting one Senator to urge the FTC to get involved.
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Twitter has announced “sponsored tweets” prompting some to point out – if companies were using Twitter right, they wouldn’t need sponsored tweets.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Pepsi passed on Super Bowl ads this year in favor of a $20 million social media campaign, and it’s probably not just about meeting new Twitter and Facebook friends.

So while this post may seem wistful, and perhaps critical of the direction that “people-powered” media has taken – none of this should be terribly surprising and it is perhaps inevitable. I still believe that successful, profit-motivated media can coexist with the community/individual driven kind. For my part, I’m just trying to stay ahead of it all and finding my place in this ever evolving landscape.

Most good blog posts, or at least the ones that attract the most traffic, draw a line in the sand – taking an unequivocal position. So just on the heels of the iPad launch, scores of tech bloggers are taking that stand against the onerous, closed nature of Apple’s latest offering. And the Church of Open Media has issued it’s doctrine against the iPad decreeing it a heretical, “retrograde” device.

The iPad is retrograde. It tries to turn us back into an audience again. That is why media companies and advertisers are embracing it so fervently, because they think it returns us all to their good old days when we just consumed, we didn’t create, when they controlled our media experience and business models and we came to them.

iPad danger: app v. web, consumer v. creator -Jeff Jarvis, Buzzmachine

Update – The Chorus of Returns Begins

Your humble blogger here, updating as I sit in an airport terminal waiting for a flight to Mexico City to cover the First Lady’s visit. I felt I had to update what I published yesterday as we’re now seeing the chorus of “I’m Returning my iPod” posts.  Jeff Jarvis even made a video outlining his reasons.  Maybe this is a shift that will ultimately prod Apple to re-think pricing and exclusivity agreements with publishers.  Maybe it’s a few high profile bloggers using their influence and reach to voice concerns that are valid and point to salient shortcomings in Apple’s offering.  Maybe folks should’ve read the label before they bought it?

Why I’m Returning My Apple iPad ($AAPL)

Why I’m Returning The iPad

Look, I’m no iPad fanboy. I may eventually buy one, but I’m not suffering from the technolust that swooned those first in line to get theirs. I’m more interested in how the device will change the worlds of publishing and advertising. And now, the conversation is being framed as either/or in terms of participatory vs. walled content. I think that’s a false choice, and that there always will be choices in how we consume, create, share and interact with content. It’s perfectly fine to simply, passively consume media and that is precisely what the device is designed to do.

Lean Forward – Lean Back

I’m not sure who originally coined the terms “lean forward” and “lean back” media, but the premise is simple. If you’re not familiar with the terms, lean forward media is the kind we create, engage with, mashup, share, link to, comment on, embed in our blogs etc. Lean back is the kind we passively consume.

Examples of “lean forward” media

• blogs and the comments on them
• embeddable video
• links to content within a blog
• Twitter

Examples of “lean back” media

• books
• movies
• certain TV shows
• certain iPad content

Both of these types of media have intrinsic value and I don’t think we need to frame this as one replacing the other.  This blog falls into the category of lean-forward and I hope all of you enlightened readers here engage me and each other in a robust dialogue in the comments.  But what is it that makes people think that ALL media has to be like this blog?

What is wrong with people wanting to just be part of the audience?  I don’t buy this notion that every bit of content needs to be open to some online peer review,  or worse – the ill tempered trolls of the interwebs.  I further don’t buy the notion that all content – from blog comment, to link,  to twitter mention – is sacrosanct. Most critics of the iPad seem to hold this belief. To them I say: if you’re REALLY worried about the iPad hobbling your generativity… DON’T BUY ONE.

Walls, Windows, and Doors

Apple is building walls around it’s media empire. It want’s to set the price for apps and subscriptions and much of the content thus far doesn’t allow for much by way of sharing or commenting.  So what?  Apple is a company that’s in the business of delivering value to their shareholders.  How they get there – whether by open source or DRM ensconced walls -is up to them, not us.  The iPad is not a tool of individual media empowerment and as such, I’d equate it to a really great piece of stereo equipment.  It’s an entertainment appliance.

That’s just fine for most people.  If you’re reading this blog, you’re exceptional (on many levels).  Not just because you’re reading my blog, but that’s certainly a plus. You are part of my social graph, and I have to get your attention on Twitter or Facebook first to get you over here.   But most people aren’t this connected on the web.  In that respect, we are exceptional. We are the digerati.  But the self-ordained high priests of the Church of Open Media would have us believe that everyone is out there contributing content. That’s where I and others are given pause.

This is the place where this brand of critics fall most deeply into the same kind of echo-chambered trap as the news industry — by thinking that most people should think and behave like themselves. But most people are not and will not ever become creators of sophisticated media. Instead they’re working in bakeries and insurance offices and having babies and teaching people to play the fiddle.

Have iPad critics fallen into an echo-chambered trap like the news industry? -Howard Weaver

The social web allows us to create, collaborate and connect in ways constantly being innovated.  Social media, citizen media – whatever you want to call it – at the minimum, gives us a window into power structures like media, press and government – transparencey.  At it’s most open, we’re allowed through the doors and given an opportunity to help shape and create content.  Increasingly traditional media are opening windows and doors and extending their brands to online audiences. By and large these are good things.

But I think there will continue to be a strong desire for people like you and me to lean forward, engage, share, embed, post, comment and shout out to the world.  I also think there are more people in this world, who are just as happy to read, watch, absorb and ponder while leaning back.  Both of these approaches are just fine and I simply don’t understand all of the histrionics of this non debate – debate.  Am I missing something here?  Please lean forward in the comments below.

Related Reading

Consumers vs. Creators (or Will the iPad Destroy the World?)

Here Is Why The iPad Won’t Save The Magazine Industry

The iPad Luddites

The pace of change in media is happening so fast, most of us have barely wrapped our minds around current accepted notions, just as they are swept aside by technology driven evolution.  All of this overwhelms me, and I grasp that it is well out of our control.  But observing these patterns emerge is instructive and that’s why I think these four media trends are worth watching.

The iPad Changes How We Consume and Publish Media

I was at the local coffee shop the other day and a woman looking at the newspaper stand caught my eye.  As I stirred my coffee, I watched as she stood hunched over reading as much as she could above the fold.  I wondered if she’d be moved to buy the paper, but when here latte was ready on the bar, she grabbed it and left.  It occurred to me that there are folks who simply don’t want to have to deal with stacks of paper anymore.

The iPad is a further step, started by readers like the Kindle, towards an infinite world of  rich personal media consumption that lives in the palm of your hand.  The iPad is also forcing publishers to adopt HTML5 standards and has drawn a line in the sand on Adobe Flash.  From the White House to legacy media, web publishers are scrambling to re-tool their sites to be “iPad compliant” – and develop content apps for the device.

Thanks to HTML5 the iPad loves WhiteHouse.gov http://bit.ly/bSk1zX PLUS new mobile site looks nicer on phones – @Macon44

So this simple device has created a huge shift in how we create and consume content.  That’s power.

If the tablet device and Apple’s associated online shops become popular enough, the company could have a chokehold over publishing technology and content itself. It could become as central to the future of print media as it has become to the future of music..

How Apple Is Dogfighting To Control Your News – Ryan Tate, Gawker

Apple’s disdain for Adobe Flash also means that publishers who monetize with flash based banner ads are going to face considerable challenges. But Steve Jobs has a plan for that as well it seems.  A report in Ars Technica reveals that Apple is planning to launch a mobile ad network.  Now I won’t be one of those people standing in line when the iPad is released for sale in stores, but I will be paying attention to it’s impact on the publishing industry.  Here’s a look at the elegant iPad version of Popular Science. (HT Jason Kotttke)

Mag+ live with Popular Science+ from Bonnier on Vimeo.

Web TV Set Top Boxes Liberate the Living Room From Cable Box Tyranny

In 2006, friend and web entrepreneur Jeff Pulver launched Network2, a web video network that he hoped would  come to rival traditional TV networks.  Network2 never developed as hoped, and TV networks, while facing challenges, are still standing.  I think he and others in that space were just a tiny bit ahead of their time.

We recently bought a 42 inch LCD TV and a BlueRay DVD player.  Both of these devices have network connectivity.  The DVD player has Blockbuster, Netflix, YouTube and Pandora built in.  Now that Google and a host of others have introduced set top IPTV boxes,  I think there are new opportunities to build new Network2′s.  Like Apple, Google has the strength of a well established ad network behind it.  People are hungry for web content on the big screen.  “Digital living technologies” research firm Parks Associates just released their Digital Lifestyles: 2010 Outlook report.  In it they find that consumers are hobbling together game consoles and PC’s to deliver web content to their TVs.

consumer interest in Web-on-TV applications is so strong that households are making their own connections via PCs and game consoles. From 2008 to 2009, the number of U.S. households using Web-connected game consoles increased by 64%, and the number connecting a PC to a TV increased by 36%, according to the firm’s latest report Digital Lifestyles: 2010 Outlook.

Whoever delivers an easy to use system of delivering web content to the big screen will create new opportunities for content creators and audiences alike.  “Flipping channels” on the internet seems to be in our not too distant future.

Location Based Apps Unlock Highly Targeted Ad Opportunities

Earlier this year the technology world was abuzz with the revelation that Facebook had won a patent on its news feed. While somewhat overlooked and of equal significance, Google was awarded a patent for Determening and/or using location information in an ad system.  As location based apps continue to rise in popularity,  brands, consumers and media are discovering new and useful ways of interacting with one another.  Marketing strategists have long been predicting the death of display advertising on the web.  From clutter, to intrusiveness, to infinite inventory – those banner ads are pretty useless and easily blocked.

We’re moving away from interruption marketing and enter a world where advertising blends harmoniously with consumers in their everyday life. - Samir Balwani, Morpheus Media

Local, relevant, targeted, location based mobile ads do exactly that – usually when the consumer is near the point of purchase.  Or as Ryan Sholin puts it, it’s advertising “Street by Street, Block by Block“  Still,  Google and ComScore have given publisher reason to believe there’s room for improvement – and perhaps hope for unlimited creative potential in display advertising’s future.

3DTV is a Visual Game Changer

photo credit: Tom Murphy

While 3DTV made quite a splash at CES this year,  the technology sounded a bit faddish to me.  But the more I hear about it, the more I’m coming to beileve it’s the real deal.  My friend and fellow news cameraman cum new media trailblazer, Tom Murphy, recently had the chance to see the technology firsthand out in Burbank.  Tom, also a skeptic initially, has been made a convert.

The difference here is that this is more than just incremental change.

I am writing this as a convert. Just a few days ago if anyone has asked me what I thought of 3DTV I would have grimaced a little, murmured a few niceties and ended my answer with a sentence containing the words “marketing gimmick”… TV in action I can honestly say that this is not some incremental change in technology, but has all the signs of being a complete game changer. – Tom Murphy from “3DTV: Not a Marketing Gimmick, Rather an Awesome Viewing Experience”

And because Tom is someone I trust, I’m in 3DTV’s corner now as well.

This last example of transformative technology will require creation of new libraries of 3D content.  Panasonic has developed a prosumer HD 3D camera for those early adopters who want to get ahead of the curve.

So these are four technology trends I see shaping how we create and consume media in our daily lives.  How do you see these new trends shaping your media habits?  Or if you are a content creator, how will these change your approach to content creation?  Are there media trends that I’ve overlooked?  As always, I look forward to your input.

Race to the Finish

Everyone loves a horse race. Whether ponies, politics, or tech startups – when the best and brightest pit their talent, passion, and strategy against one another in a high stakes challenge – it makes for high drama. As Foursquare and Gowalla appear to be emerging as leaders in the location wars, things are starting to get interesting. And in this humble blogger’s opinion, one of them is bound for the winners circle.

As location based apps enjoy a post web-technology-Woodstock bump – having had their requisite coming out at SXSWi -the discussion now is simply being framed in terms of Foursquare vs. Gowalla. I’m reminded of Twitter’s ascendancy to it’s place in popular culture, when competitors were nipping at their heels. Then it was a horse race between Twitter and Pownce. Pownce was more feature rich and more stable, yet the simpler and then technically flawed Twitter ultimately dominated.

To Scale, Make Converts Out of the Dubious

Right now, the cool kids are the lab rats for location based services. I’m one of those lab rats. Yet, most of my friends and colleagues have no idea why I or  anyone else would engage in this type of online activity. They doubt the utility of these apps and harbor serious concerns about privacy. The real winner in the location wars will be the one first able to make converts of doubters. How?

Let’s go back to Twitter’s early days, when most folks I encountered would say of the service: “that sounds dumb!” It wasn’t until Twitter reached celebrities and mainstream media that “twitter” and “tweet” became part of the public lexicon. Twitter’s dominance was sealed when broadcast industry trade press touted partnerships with network news organizations – and was further propagated and amplified when local news anchors started encouraging viewer conversations around their newscasts.  Now, we’re beginning to see Foursqaure making a splash in the mainstream media trade press.

I predict we’ll be seeing local TV news stories about location based apps within the next six months.  The platform that gets their name there will be the dominant player.

So, will be that the strategy that propels services like Foursquare and Gowalla into the mainstream? Partly, but I think it will take more than that. Much of the data being shared on these platforms is information about where we shop and eat. We’re opting in to mobile market research, while sharing our brand loyalty with our respective social networks. So, there has to be a something in it for us.

This, I think will be the sweet spot where local media, local business, and consumer/users will all benefit.

Why I Think Foursquare Will Come Out On Top

Gowalla and Foursquare are both making brand and media partnerships. Gowalla currently has a better looking interface, is more feature rich, and has more of a social gaming approach. Some folks prefer the depth of the feature set. But personlly, I’m not a a big gamer and I much prefer simple. Foursquare delivers on simple.  And as with Twitter, Foursquare’s successes with adherents may be pegged to the that simplicity.

And this is where I think Foursquare has shown indicators that they’re poised to win this.  They’ve focused on strong media partnerships, and with their data analytics panel, they’ve demonstrated that to users, media, business and investors that they’re in it to create value for all.  And for their part, investors have responded to Foursquare’s positioning with agreeable valuations.

The Field Narrows

Still, my observation based hunches aside, both of these platforms are in very early stages and haven’t really scaled to a point where a definitive winner can be picked.  Foursquare and Gowalla are run by capable teams, and at the end of the day, it’s about providing the most meaningful, enjoyable experience to the greatest amount of users.  Many of my Twitter friends use one or both of these services.  As always, their (your) insights on the location wars likely inform outcomes.  Here’s a sampling.

shanebarnhill

@newmediajim I think 4S is building its user base so fast that it’ll attract the mainstream & separate from Gowalla. Best doesn’t always win

iconjohn

@newmediajim My vote goes to @gowalla. Look at all the junk FourSquare loactions, and no pics or comments.

rjamestaylor

@newmediajim – wider adoption, “noise” limited to ppl in same city, Gowalla alerts on all friend activity with no discernable way to squelch

smcgrat

@newmediajim foursquare will land into the mainstream first, which should help it secure a win. I personally prefer gowalla.

alexdc

Foursquare b/c Dennis has more experience RT @newmediajim: who do u think will win “location wars” and why? PS RT & reply @newmediajim

alexdc

@newmediajim More experience with location-based apps, after creating and selling Dodgeball to Google. Also great partnerships w Warner, etc

Foursquare b/c Dennis has more experience RT @newmediajim: who do u think will win “location wars” and why? PS RT & reply @newmediajim

Brad_King

@newmediajim to assume a “winner-loser” scenario is to mis-understand the importance of the each company, IMHO

lenire

@newmediajim what is more important then loc. Wars, is when will google pick up on this. WP added geotagging to the app, when will it be SEO

DaveTitle

@newmediajim amen. as to why, b/c 4sq taps into childhood/playground/nostalgia for key demo, also the idea of “play” in general. Gowalla? No

anniemal

@newmediajim I think there’s room 4 both. @gowalla looks cool 4 planning travel and @foursquare is my everyday check-in & connect spot.

It’s still early in the life cycles of these startups and a lot can happen to shift advantage to one or the other of these smart, scrappy companies.  And my opinion, while informed to a degree, is just my observation based opinion.  Plus there’s probably key data, ideas and alternative viewpoints that I’m missing here.  Help me fill in the blanks in the comments below!  Thanks for stopping by

Further Reading and Alternative Viewpoints

Foursquare vs Gowalla. Too early to pick a winner, or have you decided?

Checking-In: Foursquare At SXSW Music

Why Gowalla Will Beat Four Square In The Location Sharing War

foursquare VS GoWalla Checkin Social Media map

Some Crazy Postbellum Data From Foursquare And Gowalla

The Employee Blogger – Manage the Risk and Reap Reward

I wrote my very first blog post here three years ago, nearly to the day.   In 2005, I had an awakening to just how disruptive the empowered social web was to my industry, and ultimately my job.   So rather than just sticking my head in the sand, and hoping all of you would stop using the interwebs and start being better TV citizens, I dove right in and began exploring new communication channels.  My blogging, Twitter and experimentation with emerging mobile trends – such as location based services – have all been a part of my continuing media eduction.  To be honest, its also about positioning myself favorably in a troubling and uncertain career landscape for those of us who still toil in legacy media.

While anonymity was my cover early on, a modicum of web notoriety and Google ranking has put me in a position where those who employ me pay attention to what I say here and on Twitter.  Whether it’s this blog, what I say when I speak publicly, or my behavior  on the job – interacting with people face to face – it’s important that I represent the brand of my employer favorably.  I hope I do that here, but while we’re on the topic, I wanted to point you to my blog disclaimer, so that you know that these are MY thoughts, observations, and views.

Disclaimer 2.0

So, as you can see, I’m hoping that this “living, breathing disclaimer” can be an opportunity to demonstrate that I’m doing it right.   Thoughtless online behavior by a CEO or the lowest ranking worker, can put brands in a negative light.  Sometimes an insightful employee’s blog, like former Forrester analyst Jeremiah Owyang’s Web Strategy,  can take the spotlight off of the employers brand.

Recently,  Forrester Research laid out new guidelines prohibiting their analysts from blogging about research ares that they cover.  To some it’s a smart move that prevents their employees from diluting the brand.  To others, it’s seen as “Epic Enterprise 2.0 Fail” – a way of jealously preventing their personal brands from getting larger and more relevant.

Forrester CEO George Colony is well aware of that savvy analysts can build their personal brands via their positions as Forrester analysts amplified by social media (see the post on “Altimeter Envy”). As a consequence, a Forrester policy that tries to restrict analysts’ personally-branded research blogs works to reduce the possibility that the analysts will build a valuable personal brand leading to their departure. -  SageCircle

Employers struggle with the notion of their workers having a voice on the web.  At the extremes, there are two tribes – one that espouses a social media utopia where every worker has open access to social networks, and another that operates in fear and pushes to silence the rank and file.  Hopefully, a more pragmatic third tribe recognizes the risks and rewards of their employees social media use and provides a set of guidelines for them.  NPR has an approach to all of this that I admire.

As NPR grows to serve the audience well beyond the radio, social media is becoming an increasingly important aspect of our interaction and our transparency with our audience and with a variety of communities. Properly used, social networking sites can also be very valuable newsgathering and reporting tools and can speed research and extend a reporter’s contacts, and we encourage our journalists to take advantage of them. – NPR Social Media Guidelines

Policy Evolution

These policies and guidelines will continue to evolve as new technologies and communications platforms further push the boundaries of openness and transparency.

I’m interested in hearing your experiences – as a worker or an employer – with disclaimers, social media policies and the like.  I’ve already gotten some good  feedback on Twitter and Facebook.

QUESTIONS:

This is my livelihood

I come from a tradition where creating video requires expertise.  The web has changed that, both for traditional media and emerging, evolving media.  Now that we’re all brands and we are all the media, McLuhan’s “the medium is the message” rings true more than ever before.

In simpler times, when web video pioneers like Casey McKinnon, Zadi Diaz, Steve Garfield, Amanda Congdon, Justin Kownacki and Jay Dedman were trailblazing an upstart path to this new brand of storytelling.  Few knew just how disruptive these simple, honest, first person stories would be to the worlds of media and technology.  Years later we see an explosive growth in web video.  But as more an more videos are created for the web, how do you – as a media maker or a brand – make your video stand out.. in a good way?  There is enough crappy video out there already.  Before adding to the noise, take some time to learn how to do it right.  This blog post does NOT attempt to do that.  I can’t encapsulate everything that I’ve come to imprint on my brain as instinct into a single post.  I will provide some perspective,  some resources, and some examples of good and bad web video.

The State of Web Video Today

Recently released comScore data shows the continued growth in the  consumption of online videos.

..nearly 173 million U.S. Internet users watched online video during the month. U.S. Internet users watched 32.4 billion videos in January.. -comScore

The proliferation of inexpensive production tools, simple to use, free distribution platforms combined with Cisco’s recent announcement of their new routing system all point to  continued rise in web video.

Cisco’s CEO John Chambers said the CRS-3 Carrier Routing System is aimed at the huge growth in video on the Internet, a trend that has also caused slowdowns. – from a report by Kara Swisher, All Things Digital

Cisco, interestingly, is a company very big into videoblogging.

Good Video vs. Bad Video

Folks like Michael Rosenblum have long preached, much to the chagrin of the broadcast TV cameraman, that small high quality cameras and laptop based editing will usher in a new era of solo, video journalists.  The origin of this revolution is pre-web, but but smaller tools like the Flip camera and platforms like YouTube, have mainstreamed video as a communication tool.  And as much as it imperils my career, I have to admit there is some quality, engaging video work being done out there.  Still, some will embark on a video marketing or other storytelling project with no experience, or at best a “bootcamp” under their belts, and the results will be disastrous.

Quality – let’s talk about quality for a bit.  To me, quality, especially when using smaller, simpler tools, comes from the authenticity of the message.  Take a look at this very compelling video by Chris Brogan.  Chris walks us out of his building very early in the morning, clearly exhausted, talking about what it takes to be an “Overnight Success” (New York Times best-selling author and #1 on the AdAge Power150 blogs).  I know those early hours and short turnarounds so this video resonated with me.  Plus I just loved the cinematic quality of the long tracking shot.

To Chris, video is about making a personal connection.

But it really opened up a feeling that I’ve yet to tap since, which is that very personal interaction between lens and you.  I use video to make a personal connection so that people see me in 3 dimensions and not just read my blog. – Chris Brogan

Now take a look at this video produced by TurnHere for custom printing house Hello Lucky.  This video has a much higher level of production value or “polish” than Chris’ video, but still maintains authenticity as a fine example of marketing cum storytelling.

Tools

Both of these cameras are valid storytelling tools

I’m not going to get into makes and models, or some technical discussion about the merits of the Flip over the Kodak Zi8.  Anyone who truly understands the medium can tell compelling stories regardless of the tools used.  See that little Canon Powershot camera I’m holding in the picture?  Well it shoots video as well as stills.  I used it to shoot this video of A Day in the Life of the White House Press Corps.

Next Steps

Before you decide to embark on any kind of video project, ask yourself the following.

• Can this information better be conveyed by text or audio?
• Is this simple enough to do myself or should I consult with a professional?
• Will the video I produce represent me or my brand well?
• Does my video need to be live or recorded?

Underestimating the complexity of video – whether it’s the nuance of the grammar of film, challenging lighting and audio issues, or the respect for your audience’s time and attention – is a sure way leave a very bad first impression.  Please don’t add to the din of crappy video out there.

Resources and Further Reading

an exhaustive online video resource for business

Friend and fellow media maker Steve Garfield has been called the first videoblogger.  Over the years he’s been at the forefront of web video,  advising companies and encouraging everyday folk to apply best practices as they create content for the web.  He has amassed is experience into a very exhaustive survey of online video strategies calledGet Seen: Online Video Secrets to Building Your Business (The New Rules of Social Media)
It’s well worth checking out if your serious about creating and distributing web video.

B-roll.net – The Professional Camera Crews’ Forum (Check out the tips&tricks section)

Creative Cow – Support Community for Media Professionals

Video Branding Strategies

How to Make a Great Web Video

Important Note

The motivation for this entry here was a blog post by communications consultant Steve Lubetkin.  What set HIM off were some really poorly done videos from last years PRSA International Conference in San Diego.  The videos are gone now, but Steve describes the shortcomings very well in his post

Hope This Helps

I wanted to show some examples of how folks were doing web video right.  I think we all know that there is some really bad video out there.  What are your experiences with creating video for the web?  What makes a compelling video?  I allow links in my comments so feel free to show off your productions.

I am the mayor of NBC News Washington on Foursquare

Late Development

Foursquare testing analytics dashboard for restaurants.  Details appeared in The Next Web after surfacing in  restaurant trade publication  Nation’s Restaurant News.  Next Web US editor Alex Wilhelm posted the news on Twitter.

If Twitter’s raison d’etre is  “what are you doing?”, then location based social network apps like Gowalla and Foursquare refine that to “where are you doing it?”  And as SXSWi fast approaches, people like Robert Scoble are dubbing this years’ web-geek spring break “the location based SXSW” Until recently, I’ve been reluctant to jump into these networks, letting others find utility before I take the plunge.  When Twitter first began to percolate up in the public lexicon, many thought it was dumb, and back in 2006, I was a skeptic as well.   I’m operating under the premise that if you’re reading this, you don’t doubt Twitter’s importance.  But now, why check in throughout the day and share the geographic details of your travels with your various social networks?  What precisely is the point? Still somewhat dubious myself, I polled my Twitter network.  How important are place based networks like foursquare and gowalla to businesses and users? What are their impact on  the social web? Are they moving the dial?  My always savvy and diverse Twitter friends came up with some very interesting answers.  What unfolds is a tale of risk, reward, and redemption.

Redemption – Opportunites for Consumers and Business with Brand Loyalty Programs.

The social storefront.

As Gowalla investor Chris Sacca pointed out to me, these apps are a big deal to brands.

sacca @newmediajim With @gowalla we’ve seen that brands are thrilled an app can finally show them if consumers show up somewhere. That’s huge.

Brand loyalty programs are a no-brainer for these mobile social network apps.  Remember those cards you’d get from your favorite coffee shop?  They’d punch or stamp the back, and after a certain number of visits you’d get a free coffee.  Now with these apps, the business gets your repeat traffic, plus the added benefit of their brand being promoted and amplified to your networks.  Win Win.

Web strategist Nate Riggs calls this a “low hanging fruit” strategy, emphasizing how this one just stares you in the face.

Serious potential falls into the lap of small businesses who are motivated (and brave enough) to begin experimenting with how they can utilize the application to tap into their mavens – the loyal customers who visit often and tell their real friends about the experience.

He outlines a strategy to drive customer retention, foot traffic, and return customers here – simple and useful.

Caitlin Thayer of the Mark Twain House and Museum plans on starting a Foursquare effort for the historic landmark.

CTinCT @newmediajim I’m just starting to promote/push @foursquare usage with @TwainHouse visitors. Excited about the possibilties!

CTinCT @newmediajim encouraging visitors to check in, I have a sign at the front desk with that, Twitter name and FB link. Thinking now about..

CTinCT @newmediajim ..giving free admission to whoever is the Mayor, or something similar. Haven’t advertised that yet. Great opp for brand recog.

Reward – You Have to Play to Win

The social gaming aspect of apps like foursquare,  silly to me at first, is a narcotic to me now.  I’m currently the mayor of nine venues on Foursquare – my jewel in the crown – my “mayor of the White House” crown.  Now, while no executive powers confer with this mayorship, it sure is a nice little feather in the cap.  Of course, now that it’s public that I’m the mayor, I’m sure to be ousted.  Incidentally, I ousted @Daroff from the White House.  He and I are now locked in mortal combat to be mayor of our local Starbucks.  Game on!

But frankly, people lose interest in games.  These platforms will only retain users if brands implement reward redemption programs for their mobile, networked consumers.

Risk – Are We Opting Out of Privacy and Safety?

In an interview with Gigaom’s Liz Gannes, Google’s engineering director David Glazer posits “Everything is better when it knows who I am,” – which immediately brings to mind this scene from Minority Report.

A potential, and even more nefarious risk of oversharing and geotagging is tech savvy, networked crooks.  By now, most of us who use Foursquare and Gowalla have been hipped to the Rob Me Now web site.

Moving Forward

Still, all of this is just an indicator of the explosive growth of the mobile web and apps that support it.  While everybody was crowing about Facebook’s patent of their news feed, there was not nearly as much fanfare for Google’s patent on location based advertising.  Gowalla and Foursquare are the two new shiny players in this space.  Brightkite has been around for a while and is currently developing a universal, location based checkin app that will allow you to update all three platforms.  Here’s how they shape up traffic-wise.

Ultimately, as with Twitter, success will be directly linked to mainstream adoption, which as in Twitter’s case required mainstream press, celebrity adoption and the like.  We’ll see if this years SXSWi conference will give these apps a bump.

So is this the time for these location based social networks to take off?  What do you think?

Further Reading

How Local Businesses Can Benefit From Mobile Social Networks

The Socialization of Small Business

You Are Now the Mayor of Starbucks!

A Few Ways Journalists Can Use Foursquare

Restaurant Owner Increases Sales by 110% with Foursquare Swarm Badge Party

Foursquare Introduces Minority Report-Like Analytics

Foursquare Introduces New Tools For Business