Tag Archives: Social Products

Facebook, its time you fix yourself and be relevant!

I have seen Facebook as product scale up since 2006, there was a time I believed this one could never go down. Unfortunately, I don’t see myself using Facebook everyday now. In tech world, products that reach this scale do not fail, they become irrelevant.

Facebook is fast becoming irrelevant and replaceable in our life. I love Facebook and really admire Mark Zuckerberg for building it one. I still think Facebook can still turn around and be that important part of our lives again.

Here are few things that Facebook needs to fix in its product:

1. Feeds & Notifications

Feeds and Notifications are (were?) the lifelines of Facebook. Both are quickly losing its relevance to create engagement.

The challenge with Facebook is you are subscribed to multiple content units. This includes updates from –
a. Friends & Contacts
b. Pages you ‘Liked’
c. People you ‘Follow’ or ‘Subscribed to’
d. Open Graph Integrations & Updates through Social Plugins
e. Promoted Posts

There is clearly too much of information that user gets subscribed to and its obvious that the Edgerank is failing to discover the most appropriate post for its users.

Edgerank has multiple flip points! It works on the fact that people / pages that you interact recently or regularly show up more frequently in your feeds, or the ones in your social circle that has higher engagement. That results in missing out other important updates from friends / contacts, missing that important update from your favorite band and so on.

Same with notifications, there are many irrelevant notifications that are shown on Facebook which over a time lose value for notifications all together. Facebook should restrict notifications only to posts / updates important to the user.

Facebook’s Edgerank struggles to discover the best post for you hoping that you will engage. Twitter simply says you missed it if you didn’t see it, so if you don’t want to miss any update – stay logged in. Twitter clearly works well here.

Facebook needs to fix its Edgerank to sustain itself. Maybe completely moving to a Twitter like time line will make more sense for Facebook.

2. Instant Messaging

Have read a lot of posts about how Facebook should be worried about Instant Messaging Apps like WhatsApp, SnapChat and others. While most of the posts put up the metrics like number of messages shared or photos uploaded or so on to compare them with FB, they miss a simple and crucial point on what makes them successful.

Facebook is a network that connects your family and friends. Instant Messaging apps like WhatsApp ‘connect them faster’. This was the perfect way to disrupt Facebook and it worked! Its no surprise that younger generation does not connect with Facebook- why should one sign-up, create a profile, upload status & photos and so on? Just download a Instant Messaging app and get started. Honestly, Facebook today is delayed WhatsApp’ing.

WhatsApp should have been acquired by Facebook long time back, there were rumors. But to continue to be relevant, its time that Facebook should now stop looking at its ‘messaging’ feature as a feature – but as core proposition!

Update: Few people pointed out that Facebook Messenger lets you sends instant messages like WhatsApp to anyone. I checked this again, but it looks that FB Messenger works with users who have registered their phone number with a Facebook Account. The Instant Messages are sent through to the Facebook messages in your profile. Nevertheless, the point I wanted to suggest here is Instant Messaging should become the core proposition of Facebook who wants to connect the world, and not its feature.

3. Developers

Its been more than 2 years that the last F8 conference was held, clearly Facebook does not have anything great on its plate for developer community. This is bad news for thousands of application developers who use Facebook (Connect) as primary platform to build their applications.

Distribution on top of Facebook is almost non-existent now (Read: Rethinking Facebook Connect). Eventually this will lead to developers looking for other platforms to build on top of it.

Twitter will stand to gain the most out here at this point of time. Google has been silently integrating Google+ to many of its services, if Google can provide ‘distribution’ as incentive to developers, there might be still hope for Google+ (of which I had been skeptical from day 1)

4. Facebook Pages are Dead.

When Facebook Pages were introduced, there was a gold rush among Marketers and Brands to get as much Likes or Fans as possible build an captive audience and engage with them on a regular basis.

Facebook pages are dead now, its effective reach is reduced to mere 2% of audience and practically they drive zero new likes / fans to the page as virality is almost dead. As a marketer, I would expect the posts shared on my pages to reach majority (if not all) of its audience.

If the only way to get any sort of engagement now is paid posts, marketers will soon realize the same and will start abandoning the Facebook. Instead Marketers will prefer sending traffic to their own website over Facebook Pages. Facebook should fix this.

5. Publishers

Millions of publishers use the Facebook Social Plugins, more particularly Like, Share widgets on their websites; the motivation here is to drive more traffic (users) from Facebook. It worked earlier as Facebook was a awesome discovery platform to know social actions of friends & contacts.

As engagement and virality of Facebook platform has decreased, these social plugins are proving to be lesser effective in driving more users / traffic to publishers.

6. No Mobile Presence

Post IPO Facebook (and analysts) were worried that Facebook did not have a solid mobile monetization strategy in place. Its solved now as mobile revenue contributes significantly to Facebook’s revenue. However I think it was not so much about mobile revenue, Facebook missed the mobile ecosystem completely. It does not own any of the core-experiences on mobile.

Look at smartphone on device strategy –

Calendar is owned by Google (Calendar).
Contacts are owned Google (Gmail).
Messaging is owned by WhatsApp & others.
Camera was owned by Instagram (acquired by Facebook) but faces intense competition from other apps like – Twitter, SnapChat, FrontBack, WhatsApp and others.
Location is owned by Google (Maps).
AppStores are closed. Owned by Google or Apple.

While Facebook Home was a great attempt at ‘hijacking’ the phone experience, but with no value attached for users the product dried down quickly. With no deeper integration on phone, Facebook is just another app. And as other apps deliver more value while communicating with friends, Facebook is very vulnerable to being an ‘optional app’.

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Concluding Notes:

Facebook needs to re-think its strategy and focus on making its product relevant. Not just for its users, but also for other stake holders like Developers, Marketers, Publishers and so on.

Out of context, but I find Facebook’s intention of getting the entire planet online (Internet.org) ridiculous and a big distraction for both – Facebook & Zuck. Facebook did an amazing job of getting over 1 Billion Users on its platform, but to think that Facebook and its partners (of Internet.org) will manage to get the next 2 Billion Users online is absurd.

Unfortunately for Facebook, the next Billion users will come online because of instant messaging apps. For now, Facebook should just concentrate on its product.

15 Steps towards Building a Great Product!

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Note: I recently gave a talk at The Startup Leadership Program and shared thoughts on Product Management and how to go about building great technology products. The deck I shared is embedded w/t the post.

This for all founders & product geeks (that includes me too) who want to build the next great product. Sharing all this for #StartupKarma (Heard this from Bowei – ‘Continue to give away and help other entrepreneurs with a hope that it comes back to you someday!’)

15 Steps towards building a Great Product! from P J

The Background:
As a startup founder, one gets bombarded with advice on pitching, raising investments, growth hacking, marketing and so on. It comes to us through one-on-one interactions, posts we read or multiple startup events and meetups. Unfortunately there is very little or no advice that actually helps you build your product.

Over months, I have studied product patterns in several successful products (like Facebook, Twitter, Quora and so on). This has made me believe that building great products is not just about picking random ideas and shooting in the dark, its a art and science both put together.

Here is a step by step guide for building a great product. I have taken Twitter in this case to demonstrate the examples, however you will be surprised to see the similarities with other products.

Note: Don’t proceed without understanding #0; and without finishing #1 & #2.

#0 | Think: Product does Marketing
The thumb rule for any great product is that you don’t need to market it; it requires zero marketing spends. Instead, it is the users who spread the word, acquire more users which leads to high growth. High virality and strong engagement are the two striking characteristics of a great product.

So here is the step by step guide towards building the next great product!

</end 0>

#1 | Think: What product are you building?
Have clarity about the product you are building. Make your product statement!

Here are the rules:

Define your product in < 10 words. This is not your pitch statement, its your “product statement”.
Be grammatically correct, include name of your product in these 10 words.
No references with other startups / products. This cannot be “AirBnB for Cars” or “Facebook for Companies”.

Share this product statement with others. Does it communicate ‘everything’ your startup is going to build? If it does not, work on this again!

</end 1>

#2 | Think: Vision
Most startups have beginnings over a random idea (usually this sounds like a billion dollar idea then). Once those ideas get built in 3-6 months, the founders are lost and clueless on what next!

Have a vision around this product you are building. You can run out of ideas, but you can’t run out of vision. Build a product roadmap around this vision. (I mentioned it last year too – point 5 )

Make a note of the vision for your startup / company. Check if the product statement you wrote in Step 1 is the right to achieve the vision you just stated.

Now lets start with building!

</end 2>

#3 | Think: Atomic Unit of Product
I picked this up from Fred Wilson’s post which got me thinking for days on my our own product and even inspired me to rethink on our product / vision.

What is the atomic unit of your product? Example; Atomic unit of Twitter is a ‘Tweet’. For Facebook it is a status update. For Instagram it is a photo. For Gmail it is a email. For YouTube it is a video.

Simple rules about Atomic Unit of your product:

It has to be owned by you.
It should be only one. More than one atomic unit? Signs of trouble!
Your product statement and vision should be centered around this atomic unit.

</end 3>

#4 | Think: Features

Were always confused on figuring out which features to build and which to let go? Answer is simple – build features only around the atomic unit of your product.

Example., Twitter’s core features – reply, retweet, favorite & follow (a user who tweets) are build around its core atomic unit – “tweet”.

Rules to remember:

List down all features you can think / build around the atomic unit of your product!
Strip down all the features you have on your product that are not centered around this atomic unit.

</end 4>

#5 | Think: Engagement
Want your users / customers to engage with your product – ensure that features you have selected to build around the atomic unit lead drive engagement.

Example., In case of Twitter, the engagement is Retweets, Favorites and Conversations that one can have around the atomic unit ‘tweet’. Similarly for Facebook it is – Likes, Comments, Shares and so on.

Don’t getting fascinated by engagement features around popular products and force-fit them on your product. Example., force-fitting the favorites like functionality from Twitter on your product.

Rules to remember:

Drive engagement around the atomic unit of the product.
Be innovate. Try multiple options to figure out the perfect fit around your product.
Engagement should be measurable! (Example., 35 Retweets)

</end 5>

#6 | Think: Flexibility

Most startup founders I meet are not flexible. They don’t want to change their product and want users to follow a certain flow which they believe which is right. When asked why, most of the times the answer is “we don’t want to let user play around the product”.

Think twice. Your product should be flexible and your users ‘must play’ with your product. Your product should be flexible at its core – at its atomic unit! Example., Twitter lets you tweet text, a photo, video, post, location & in multiple languages. Others., Facebook lets your post a status that is a text, photo, video and so on. Same for Quora, Tumblr and the rest.

Rules to Remember:

Give freedom to your user to play with your product.
List down all formats in which a user can express the atomic unit of your product.

</end 6>

#7 | Think: Distribution

Key to success of any platform – distribution. Why does this come so late? – You need to build your product right before you even think distribution.

Most founders think distribution is ‘sharing on other platforms’. It is not! Before you even get to allow users to share & distribute to other platforms like Facebook or Twitter, get users to distribute on your own product.

Example., Retweet on Twitter, Share on Facebook, Upvote on Quora, etc are the best examples of on-site distribution.

Rules to Remember:

Distribution should be centered around the ‘atomic unit’ of your product.
If a user has not distributed anything on your product, very rarely would be distribute something outside of it.
Don’t force-fit social in your product. Users will figure out way to share if they like something!

</end 7>

#8 | Think: Endorsements
Don’t we breath and live endorsements in our every day lives? Why do we forget to build that in the products we create. Great products use endorsements in every element – it brings out relevance & context to information.

Example., If you notice every element of Twitter has a endorsement if you are logged in. This includes – Retweeted by, Follow Suggestions, Profile Views and Search Results.

Rules to Remember:

Endorsements work 100% of the time. Build them in your product.
Anything that is not context is spam. (Said this earlier)

</end 8>

#9 | Think: User Psychology
Most entrepreneurs want users to love their product. Truth is, users don’t love your product. They love the content (or data) on it!

Example., We love to express ourselves on Twitter. Discover best answers on Quora. See moments shared by friends on Facebook.

So if you are building a product, remember to allow users to create their own content and discover relevant content. Don’t try to get users forcefully share something to Facebook or Twitter, it will not work.

Rules to Remember:

Content should be expressed in the atomic unit of your product. Nothing else.
Creation of content is much more valuable than sharing of content.
If a user has created some content on your product, has something he owns – he is engaged.

</end 9>

#10 | Think: Content Dynamics
Once you let users create content on your site, ensure you understand the content dynamics – most importantly that user’s need for that content to be seen! This is step 2 of user psychology – he needs activity around it that will keep him engaged through the features you have built around the atomic unit.

Example., If I tweet something on Twitter, who consumes that content? Not all of my 1000+ followers on Twitter, many of them may never notice it. But there are few followers who will retweet that and amplify the tweet.

You need to have features (again around the atomic unit of the product) that amplifies / distributes the content. And users who do these are your content curators! That is all one needs to know about content dynamics!

Rules to Remember:

Great content is created by just 1% of your users; That is amplified by 10% content curators – their actions make things go viral!
When content from your product goes viral, in in true sense your product goes viral.

</end 10>

#11 | Think: One Point of Discovery

Building product with above elements is important, and now crucial is to package that all in to a exemplary product design. The thumb rule here is simple – user should be able to do everything that has been mentioned here (till now) on one screen.

Example., the logged in interface of Twitter, Facebook or Quora (though imo Quora still needs some improvements).

Rules to Remember:

Don’t build a product around design. Build design around the product.
Minimize page views, clicks. User should be able to complete 75% tasks / actions of your product from the screen he is displayed where he logs in.

</end 11>

#12 | Think: Privacy
This point is intentionally left blank. That is all I have to say about privacy!

</end 12>

#13 | Think: MVP
Stop building minimum viable products, users won’t adopt them. Instead build more valuable products, I wrote a full post on this topic – the minimum viable product trap!

Still not convinced, here are some examples –

Bing is a good search engine (if you have not tried it lately, you should). Still we continue to user Google regularly and did not shift. Why? Because there is nothing more valuable it has compared to Google.
Outlook, is now probably as fast as Gmail and with most (of the commonly used) features that users would expect. Yet Gmail continues to lead because Outlook provides nothing more valuable than Gmail.
We did not move from Dropbox to Google Drive. Same., not more valuable.
While in case of WhatsApp, we all moved not just from text messaging to WhatsApp, but also dumped Facebook Chat, GTalk and many other products. Why? – because it is more valuable!

Rules to Remember:

Build something of value to users, that will drive adoption of your product.
Build your product for real users, not for early adopters.

</end 13>

#14 | Think: Growth
If building the right product is the toughest thing to do for a startup, distributing it right is even more tougher. If your distribution plan includes advertising or spending $$$s – then you need to rethink your strategy.

As a startup, you need to completely rely on any existing network to bootstrap your initial growth. Even the existing successful products have, some examples –

Twitter: Live tweets at SXSWi conference displayed on large TV screens.
Facebook: Opened initially in Harward, and more schools later.
YouTube: Nike Advt went viral. Plus many users embedded YouTube videos on then popular MySpace.
Gmail: It was a mail service from Google. Invitation Only. Anyone searching for email services on Google.com was shown advts for Gmail.
Quora: Initially opened to Facebook Alumni network
Zynga: Facebook Feeds.
Dropbox: Invites by Email + Connect Facebook & Twitter accounts.

Rules to Remember:

Bootstrap your growth on other existing successful & large networks.
The networks could be online or offline. Focus on only one!

</end 14>

#15 | Think: Shipping Fast
Many entrepreneurs / founders keep delaying their public beta as they wait endlessly to build a perfect product. This can be very frustrating since the perfect product is always 2 or 3 more features away. Some of the common reasons I hear is – “What if early adopters don’t like the current version of product? what if they rant about it on Twitter?”

Founders should also know that early adopters are very considerate – they know this is the first version of product that is being shipped. In my case, I rarely rant about early stage startups. To communicate something or to share feedback I shoot a email to the founders. In case I really like a product I spread the word for it. Yes, but I do rant if a startup has raised a Series A, in this case I assume you should have a product where silly mistakes are not acceptable 😛

Rules to Remember:

Ship a Imperfect Product. Its OK!
Collect feedback and ship changes fast. Ensure your write to your users and update them when feedback is implemented.

</end 15>

Concluding Notes:
Building products is not easy! Most of the time its shooting in the dark with no clear modelling that lets the product manager believe if a feature you are building will work or not. As startups, we are pressed on time and a wrong feature can cost us time & money.

It took me quite some time to study and understand these unique patterns in several successful products which includes Facebook, Twitter, Tumblr, Quora and others; finally had a chance to put that on a deck and now on this post.

While this product management process has been personally very helpful for us at Wishberg; I plan to update this over time as I learn, understand and implement more. Would also want to hear your thoughts on this, please write to me on pj @ beingpractical.com on your learnings and inputs.

Thank You!

Why Consumer Social Products should monetize at Scale

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This post is written in context of – why consumer social products should never monetize without scale.

1. Because Users sign-up in context of Product –
Every social product is more about users and their connections / contacts together with a context (its product use-case). Users expect to interact with their contacts with this context.

For Zynga, the context is playing games; for Quora, the context is asking questions. At this stage – nothing is more important that making the context important. Focus on building the product.

2. Because Engagement is more Important –
Only value a social product should provide to users is engagement (both frequency and quality is important). Hence, the only metric that matters for any social products is engagement. That should be prime focus for any social product in its initial 24-36 months.

Over a period of time this engagement should evolve in to habit. Habits are tough to break. Facebooking, Tweeting, Checking-In are habits.

A QnA site like Quora with about 1 Mn ‘engaged’ users is more valuable that 50Mn+ users on Google+ who don’t talk to each other..

3. Because you need to Learn from Others’ Mistakes –
Learn from successes and failures of other products. All (successful) social products monetized at scale, till then they were just building the product and even continue to do so today.

Majority (if not all) of social products who tried to monetize early have hit the dead pool or pivoted.

Don’t want to name any specific failures, but look around – there are many social products that attempted to monetize in its early days.

4. Because your Users won’t like it –
You like it or not – large social products & platforms eventually monetize with advertising products but with its own product context. Facebook did with advts targeting by demographics; Twitter with promoted accounts, tweets & trends; Foursquare by local advertising deals for check-ins; with a exception of Zynga that sells virtual goods.

At early stage, users would expect a better product experience; not advts. If you plan to monetize with transactional services like eCommerce – think about it. Will users want another service that spams them through sms / email or advertisements? You don’t want to put off your users.

It is a tough decision with a simple answer – Focus on what users want; not what you want or what your investors want.

5. Because your Merchants or Business Owners won’t be happy with you –

This is strange but true. Let me explain this with example – Imagine a hypothetical social product for shopping with 100,000 registered users. You sign-up with the top-20 eCommerce sites in India for monetization through affiliate model – you pat your back and give yourself a thumbs-up.

– Assume decent engagement levels @ 50% user base (50% of users login minimum 2 times a month).
– That is 12,500 users per week logins
– Take standard 1% ratio of conversion at merchant end
– Gives you 125 transactions per week; 500 per month
– That is about 25 transactions per merchant ~ approximately less than 1 transaction per day for eCommerce partner.

Consumers will not do eCommerce transactions every month. Next month, this picture might be more difficult.

4 of these 20 eCommerce services says, “Sorry! its not worth our efforts on integration and time spent. Please delist us.” Community is small, people change jobs fast and the word spreads quickly amongst the partners – “This product does not work!”

Now, the same scenario at scale;

– On a 1Mn user base: 8-10 transactions per day to every partner
– On a 10Mn user base: 80-100 transactions per day to every partner
– On a 100Mn user base: 800-1000 transactions per day to every partner. OMG!

Exercise extreme caution when you decide to monetize your social product. The timing is as important as how your monetization plan.

Also because Sean Parker said so –
From the movie – The Social Network. When Mark Zuckerberg, Sean Parker and Eduardo Saverin discussed on TheFacebook’s monetization in its early days –

Eduardo Saverin: Hey, you know what? Settle and argument for us. I say it’s time to start making money from TheFacebook, but Mark doesn’t want to advertise. Who’s right?
Sean Parker: Um…neither of you yet. TheFacebook is cool that’s what it’s got going for it.
Mark Zuckerberg: Yeah.
Eduardo Saverin: You don’t want to ruin it with ads because ads aren’t cool.
Mark Zuckerberg: Exactly.

—

Sean Parker: “You don’t even know what the thing is yet.”
Mark Zuckerberg: “I said that exactly.”
Sean Parker: “How big it can get, how far it can go. This is no time to take your chips down. A million dollars isn’t cool. You know what’s cool?”
Eduardo Saverin: “You?
“A billion dollars.”
That shut everybody up.

This holds true for every social product. You don’t know really know how a product shapes up it its journey that starts from minimum viable product.

Note: Sean Parker has said that the movie The Social Network is work of fiction.

Google+ may be miles away from being a great Social Product!

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A Product Manager’s view – Why Google+ may be miles away from being a great Social Product!

There are various reports on super adoption of Google+, earlier about 10 Mn users and today it reaching 50 Mn users. The key question is – How many users are engaged there? Also echoed by The Lean Startup author Eric Ries while Facebook has 750Mn active and engaged users.

I am trying to tell myself that first signs of product usage and assumptions change over time. It happened with me for Groupon where the business model was innovative, but not scalable; for Quora post initial adoption; for Twitter (where I was a early adopter) but found no one else there and stayed away for 2-3 years before becoming active again.

Same happened with Google+ my first reaction was Facebook killer, then next was Twitter killer – and over a period of time with my Product Manager’s hat – I feel that it may be miles away from being a great Social Attempt!

1. What is Google+? No one cared to answer!

A standard product management and product marketing practice is to tell consumers what the product is. The world knows about Facebook, despite its 750Mn+ active users – every time you visit Facebook homepage it tells you what it is.

Facebook – Facebook helps you connect and share with the people in your life.
Twitter – Follow your interests. Instant updates from your friends, industry experts, favorite celebrities, and what’s happening around the world.
Flickr – Share your life in photos.
YouTube – Join the largest worldwide video-sharing community!
Foursquare – Check in. Find your Friends. Unlock your City.
Quora – A continually improving collection of questions and answers.

While for Google+ – No one cared to answer what product use-case it solves or what should users are expected to do on it.

2. How does a user access Google+ ?

Users access Facebook on www.facebook.com; Twitter on www.twitter.com; and so on – is it www.google+.com?

And to prove this point – look at Google+ suggestions on Search –

Accessibility is a big question mark for Google+. The correct way to access Google+ is plus.google.com – which a technology early adopter shall ‘probably’ remember – but even he or she will end up accessing (most of the time) Google+ from within GMail on the notification bar at the top.

This point is also related with next set of arguments – User Psychology & Naming & Identification Psychology. I feel these factors are extremely important to consider while building any consumer product.

3. User Psychology for Consumer Products

For any Internet or mobile product – consumers are quick to label it with its strongest product use-case – which is typically the recall product value of the user. Simply stated for a normal user –

“I visit GMail to check my emails!”
“I visit Google to search the web.”
“I visit Facebook to view what my friends are up to.”

Now it is extremely difficult for any product to have a “and use-case” for a product –

“I visit GMail to check my emails and Social Networking.” – No!
“I visit Google to search the web and Social Networking.” – No!
“I visit Facebook to view what my friends are up to and also searching the world wide web.” – No!

“And use-case” works for features that support any product’s core value. Features that would be to better manage emails (for Gmail), to better display search rankings (for Google Search), to show more types of friend’s activities (for Facebook) and so on.

Google is aiming to take on Facebook with a Social Networking product. But launched it like a feature on Google Homepage (Search) & Gmail (Notification Header). In current avatar, Google+ is a feature – and will gain traction as much as a feature can. It will not gain identity as a social-networking stand-alone product.

Also note the big failures of other “And use-cases” –

“I visit Facebook to view what my friends are up to and also Buy Local Deals.” – Deals was abandoned by Facebook
“I visit Facebook to view what my friends are up to and also to check-in in places” – Places as stand-alone attempt within Facebook failed, but as feature is gaining traction.
“I visit Gmail to check mails and Buzz up articles.” – Google Buzz… remember?

“And use-cases” work for B2B products, but have never worked for any consumer web product.

4. Naming & Identification Psychology

Social Graphs & Social Networks are all about giving identity to users. Currently, Google+ itself needs an identity. Users think and will continue to think of Search when they think of Google, and it is virtually impossible for them to perceive Google as a Social Network.

How consumers relate with social activities – “Are you on FB?” “Can you tweet this?” “Let me share it on FB” and so on. The terminology “Google” or “Googled” is built over last 13 years – will be impossible to change from search to a social context.

For sake of Product identity or for its different product use-case, Google+ should have been outside of Google identity with its own identity (probably a www.plus.com if it was available). But the lure of exploring existing user-base is too difficult to give away – and if that logic was to succeed Yahoo! would have still been the largest internet company in this world. They tried to do everything under Yahoo! brand name (Yahoo! Search, Yahoo! Shopping, Yahoo! Finance, Yahoo! Hotjobs, Yahoo! This & Yahoo! That), but for consumers Yahoo! was and always remained a content play.

Even Google’s largely successful consumer products outside Search – Gmail & YouTube were successful because consumers saw it as an independent product identity outside the core of Google’s Search. While Google Video, Google Buzz, Google Answers – all failed. I am strong advocate of one-product = one-identity for consumer web businesses.

5. Social Graphs are occupied; No place for Google+ to fit in

I mentioned in my previous post Building Awesome Social Products – successful social products are reflection of people’s offline behavior in the real world. Similarly – successful social graphs are also reflection of people’s social relationships in real world. Social Products reflect activities, Social Graphs reflect relationships.

A typical user’s social relationships involve –

Close Relationships – Friends, Family, Friendly Colleagues (present and past) – more importantly people you know personally.
Professional Relationships – Colleagues, Business Relationships, Partners
Loose Relationships – People you know, but they probably don’t know you. Celebrities, known professionals, domain experts

Facebook covers Close Relationships, LinkedIn covers Professional Relationships, Twitter covers Loose Relationships. So if Google+ is trying to create a new Social Graph, it will be a struggle (big struggle) – simply cause there is no use-case for a new social graph. Social graphs are distinct; by nature, by user behavior and are established over a period of time.

Features don’t make a product success by itself and expect it to later evolve in to a Social Graph; Instead having a use-case for social graph is essential and the features should evolve.

6. It is important to know whom to kill – Facebook, Blogs, Twitter, or what -?

Google+ though it presently looks like a Facebook killer – it is not. None of my friends are using it the way they use Facebook, instead I see more updates from technology adopters in Silicon Valley – and the posts look like extended tweets (beyond the 140 characters). I follow these technology adopters on Twitter, and hence my own assumption that probably it is a Twitter-killer.

Google+ still does not have a clear proposition – and is trying to overlap between all three Social Graphs (Close Relationships, Professional Relationships & Loose Relationships) without taking a clear positioning against one of them.

I am personally not happy with the killer-suffix (no products killers have ever killed anyone – they are still trying to kill iPhone & iPad). But its also important to know who your competition or what your benchmark really is. Or you might just try running behind all, but never able to catch up with any one of them.

7. Developer APIs will not enable Social Graphs; Instead Gmail invite contacts are more powerful.

There has been lot of noise about speculated Google+ APIs for developers to build applications and its release dates or so on. Developer APIs will provide access to features – posting an Google+ update, ability to do +1 through applications, and so on – but this sounds (unfortunately once again) like Twitter APIs or FB app APIs that allow you to post status updates and share pictures and so on. Most importantly, Google+ will not be able to build a Facebook Connect equivalent.

Today Social Graphs when referred are mostly Facebook explored through Facebook Connect (unless you write some algorithms on top of them to bring context to your product). F-Connect allows applications & developers to enable Social Graphs (of friends); which clearly explains why 1000s of applications prefer to have Sign-up with Facebook buttons.

Google+ has multiple circles (friends, acquaintances, doctors, techies – and you can delete and rename any other circle); relationships in these circle are mutually not dependent on each other – and hence cannot be explored even if Google+ comes out with a API to access them. Let me explain this below –

a. A user Larry might add another user Zuck in friends circle; Zuck may add Larry in My Gang circle. Hence social relationship between them is not mutual (as friends).
b. Further Larry might name his friends circle as Buddies; Zuck names his friends circles as Pals; Hence the social graph definition itself is flawed.

This is a huge flaw – Through APIs the developer’s applications cannot reach mutually accepted graph of both connections (mutual friends) or an validated status of their relationships (close friends, professional or loose). Hence at this stage it would be more preferred to use the Gmail Invite Contacts module – for simple reason that it is more powerful and treats all contacts at a same level (a social graph of email contacts / connections).

8. Not the best attempt at Social Networking

Google already knows so much about its users – whom do you chat (on GTalk), whom do you mail (on Gmail) or who are my most contacted people in real world (on Android). Google could have actually used a lot of this data, recommended people with circles (I still hate sorting people in circle all the time, but pre-cooked circles by associations would still have been so much better).

With Google holding so much data and wanting to go ahead with a strong social product; it is expecting users to do it again from scratch. Makes one feel that Google+ is a half-baked attempt.

Facebook users usually have about 150 to even 5000 friends. Usually added over years, and all added at a same level – ‘Friends’. However cool the task of adding people to circle is in execution – to add those many people again to circles is a pain. While most people that users see on Google+ are those who are discovered through the people you follow. Every time to add someone to a circle is little more effort than just adding as a friend (on Facebook) or just following the user (on Twitter).

Circle looks like Twitter lists – People get added on them once, later everyone forgets which user is put in what circle. And while the News feed (or stream) stays common for all – the Circles might as well be forgotten just like Twitter Lists.

The next point makes it more clear – why it is not the best attempt at Social Networking.

9. Real Capabilities of Social Graphs (or Networks) are absent –

Get this right – Friends (or Connections!) are the minimum one expects out of a Social Network. What stands out are the capabilities to engage those connections. Remember Orkut? – it had all connections; but Facebook just made the engagement so much better.

Ability to discover Friends or Connections in context –
Google+ has done a simple job or fetching contact list from GMail and enabled it with the painful process (yes!) of adding to circles. But by enabling discovery of friends or connections who are active on Google+ – the suggestion engine for friends could have been so much better.
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Example –
1. I end of following lot of product enthusiasts & early adopters. There are mutual connections that could be added to my circles – which currently not recommended.
2. My Gmail contacts list have endless email addresses of people I really don’t want to follow in circles or on any social network. So a smart recommendation based on whom I chat with, mutual friends, top contacts on Android and others need to be made discoverable.
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Stream or Newsfeed –
The most important discovery tool on any Social Platform is Newsfeed. In its current stage – the Stream on Google+ is very Twitterish – a timeline of all people you follow.
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Facebook raised the standard with algorithms that help you discover feeds that is most relevant to every user, ranking every story contextually around a user. Newsfeed makes or breaks any Social Product and single most important activity & engagement enabler for any Social Product or Social Graph.
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Communication or Chat –
The most cut-copy-paste feature of Google+ is chat – where user can chat with contacts he otherwise can also on Gmail or Gtalk. Quite honestly, this is the most ridiculous feature, with no context to people any user has put in his circles.
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In context of chat (or video chat) – expecting users to do Hangouts with webcam is a big No. Hangouts are not conversation starters, but should be featured alongside as planned video conversations.
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Ability to drive Traffic –
Remember Google Buzz? There was nothing wrong in the idea – attempting a Digg or Facebook Share or Tweet Share. Once a user Buzz’ed an article – it was critical to reach his Social Graph and drive viral traffic to that article. This story failed cause of poor dissemination of activity in user Social Graph. Google should learn lessons from Google Buzz chapter.
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Social Networks like Facebook & Twitter are popular with publishers or businesses due to their ability to drive traffic to their own websites. While few publishers have added the +1 button to their webpages – still drives only an insignificant proportion of traffic to them; and lot of unclarity on how the dynamics of +1 button works for publishers and its benefits to them eventually.+1, Like, Share, Tweet this – are big distribution mechanisms for a Social Network. Should be given its required TLC.

As mentioned earlier – the product use-case should be driven by features; and not the other way round. Google can always come back and say – we are working on this. But hey, if a product is coming from a product & technology resource-heavy company like Google – even user expectations also very high.

Even these are early days for Google+, web is dynamic and consumer interests change quickly and Google can still do lots of changes quickly and innovate, possibly even work on the above arguments if they agree with it.

This post is written over last several days with some last minute additions on stats before hitting the publish button. Meanwhile Facebook has launched a series of new features, which looks like they are (over)reacting to Google+. Facebook, you are miles ahead, don’t make mistakes, please.

Building Awesome Social Products