Here comes the shameless social money grab

By , Computerworld |  IT Management, social networks

The site EdgeRank Checker, which monitors and tests the activity of EdgeRank, reported that "the typical Facebook Page in our data set was experiencing 26% Organic Reach the week before the 20th. The week after the 20th, these same Pages were experiencing 19.5%. These Pages lost approximately 6.5% of their Reach after the 20th."

The Ogilvy post came right out and said it: "The change comes at a time when Facebook is trying to maximize the amount of paid advertising it has on the platform, in an effort to bump its share price after a struggling stock share post-IPO."

Facebook's constant "tweaks" to EdgeRank are secret, as are their motives and objectives for doing so. But it appears to me that they're using EdgeRank non-delivery as a control to dial up incentive for paid delivery of Facebooks posts.

And that's wrong, especially since users are almost totally unaware that any of this is happening.

Tweetbot

Tweetbot For Mac is a nice feed aggregator from a company called Tapbots that runs on your Mac desktop and shows you streaming content from Twitter. After being in alpha and beta testing phases, they finally shipped. The cost? $19.99!

It's a ridiculously high price for the kind of application that would normally cost zero or, at most, maybe $3.99.

And, in fact, it's even far higher than the developers would like to charge.

The reason for the high price, according to a company co-founder, is that Twitter has recently limited the maximum number of users that third-party apps and clients can allow.

Because Twitter is artificially limiting the number of customers Tapbots can make money from, and because they've got to limit the number of users anyway, they're using price to implement that limitation. Only a fraction of the potential user base will be willing or able to pay.

I'm not sure whether to blame Twitter, Tapbots, both or neither, but I don't like this turn of events.

Like the Facebook EdgeRank fiasco, scarcity is being artificially manufactured, and the result is that people are given access to a social resource based on willingness or ability to pay the artificially inflated price.

App.net

A Twitter-like social site called App.net was created as a reaction by entrepreneur Dalton Caldwell to being strong-armed by Facebook and disillusioned by Twitter.


Originally published on Computerworld |  Click here to read the original story.
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