So seeing as eventually I want to move away from production and into strategy and development, I’ve decided to try and find some work experience while I am back here at home. I also wanted to find out what the market was like out here now just out of curiosity too. Anyway, after a few weeks below is my answer to the internship question they have as part of their application process:
“Pick one of the following and explain why they are popular and what they indicate about the future of the digital marketplace: Flickr, The Huffington Post, Last.fm, or Habbo Hotel.”
Driven by its founders, a Canadian online game start-up Flickr was developed by programmers Stewart Butterfield and Caterina Fake originally as an add-on tool to a multiplayer game they were developing a “cool tool to share photos and save them to a Web page while playing” .
Flickr is not the only photo sharing site online, and it was certainly not the first to market but it could be deemed the most popular or at least the most well known within mainstream media when compared to others in the marketplace that offer on the surface a similar service such as Fotolog, Snapfish or Zoto.
Flickrs’ success in the popularity stakes is related to a number of social and business factors, the basis of which is the community behind the brand.
It has been said that while web 1.0 was the era of broadcast and inform, a one way relationship, web 2.0 is purported to be the development of ‘true’ interaction via the provision of online services, a two way street.
The rise of digital photography
In the last ten years, the rise of digital photography has prompted people to look at new ways to manage and store their photos using their own hardware and software but increasingly also online.
The digitisation of photography has had an enormous impact on empowering photographers to switch to digital, to capture and create instant memories and easily share these via email, blogs, as well as entities like Facebook and MySpace.
“A study by InfoTrends/CAP Ventures predicts that worldwide digital camera revenue will reach $24 billion by the end of 2004, and will exceed $30 billion by 2009. Europe, the United States and Japan top the table for digital camera sales this year while it is expected that Asia and Rest of World (ROW) regions, which currently has a combined share of 10%, will share 33% of the revenue by 2009”
For the ordinary ‘Joe’, traditional photography could be cumbersome in terms of learning how to use the camera, setting up a shot and developing film. Apart from the technical expertise and time involved, there are probably more barriers to sharing your work. As an amateur, you could promote a collection through a self-funded exhibition or a camera club however for the non-enthusiast; many print photos are probably still languishing unseen and uncommented on in archived albums and shoeboxes hidden under the bed.
Digital photography has provided greater accessibility and freedom for amateur and professional photographers. For some it is often emotionally less intimidating and costly to show your work online publicly than to a select group of specialists.
Flickr meets the basic needs of these photographers (amateur, professional and casual) to share their works with friends, family and others by providing the following services:
· A free account with limited space, essentially to enable users to try before they buy. Upgrading to a Pro account at $25 annually buys unlimited space and uploads for photos (capped at 100mb as a bandwidth limit).
· An easy to use uncluttered interface with useful features and tools
Keep it Social Stupid
Built by gaming programmers, Flickr evolved with the backing of an existing online gaming community as a core of early adopters.The Flickr team have used their past experience in managing and maintaining gaming communities in the methods they use to grow the business and adhere to the two goals listed in their mission statement.
1. Help people make their content available to the people who matter to them.
Flickr provides a number of channels to share user generated images both within personal social groups (family and friends) and public groups (interest groups). Products can also be made from photos such as books, calling cards and posters.
Within the site, people can create groups or join groups where users can share a pool of photos and engage in discussion. Groups can be public or private.
Individually, friends and family that you add as viewers can comment on your photos and you can see friend and family ‘photostreams’ or group photos once you login.
In terms of integration and greater collaboration, photos can be posted to external blog sites, as rss feeds or as ‘badges’ that can be added to web pages. In web 2.0 world, products have to mesh together as users will lose patience with applications and services that don’t.
Sharing the experience across differing levels of social groups and across platforms embeds Flickr within a person’s life as pervasively as email. If it’s useful we’ll keep using it.
2. Enable new ways of organizing photos and video.
A prime driver of the site, tagging enables users to classify their own work, using whatever keywords come to mind. One man’s ‘Red’ might be another mans ‘Auburn’. Flickr is well known as using this form of collaborative tagging or folksonomy.
Tagging enables users to attach keywords to their photos based on content and location. It also provides myriad methods in which to use these tags, you can search by most popular, by time or explore through groups of similarly tagged photos.
You can instantly find 89,344 results pertaining to beagles. More interestingly, you can also see where photos have been taken if they have been geo-tagged, so you can probably find a beagle in Sydney.
How does Flickr enable new ways? It relies on the alpha geeks.
As per other web 2.0 entities such as Wordpress and Facebook, Flickr has approached product development by using its Open Application Programming Interface. The API enables users to develop their own widgets and applications. Instead of relying on a crack team of expensive rocket scientists, Flickr take advantage of their user base, they listen.
Currently this is non-commercial however by providing an API Flickr can monitor how people use their product and take advantage of the free brain space and ideas that are produced. There is nothing that alpha geeks love more than the challenge of making and potentially breaking a piece of software.
Flickr also reinforces the relationship with its users, increases loyalty and retention by providing these opportunities and by providing widgets and features for the rest of the community.
Rather than providing just another ‘online service’ for you to subscribe to. To many users, it is more than a photo sharing site, more than just a place to save your photos to and create online albums. It’s a channel for photographic expression regardless of source and quality. Flickr is a community centred on the shared experience of images.
What’s next?
In the Flickr universe, you have access to photos worldwide from a variety of sources. You have photos that are tagged using keywords that users relate to. There is the ability to upload photos instantly and search on keyword and location. There is the ability to embed. What if the BBC or CNN or Reuters wanted to buy your photo? What if a design agency wanted your photo for a magazine cover?
At present, Flickr is staunch in staying resolutely ‘non-commercial’ with its services in that users can only use their services for personal reasons only. There is no functionality to enable people to sell their photos. Yet.
Could Flickr be the Getty Images? It could be argued that this would be both the rational ‘next step’ but also the death knell for the original community ethos.
The next YouTube?
Having been bought three years ago by Yahoo for an estimated $40 million dollars, it’s not clear as to what their strategy will be for Flickr. As of April this year, Pro users can now upload 90 seconds of video and share it in the same way as a photo. It’s similar material within the same context of shared experience. Is this a preamble to taking on YouTube? Possibly but only time and the user base will tell whether it’s a novelty or a feature that will proliferate.
What does Flickr indicate for the future for the digital marketplace?
Social Profiles
In web 2.0 world, users have evolved and are creating their own digital identity from publishing opinions on blogs, to networking on Facebook and LinkedIn to 24 hour updates via Twitter. Flickr is yet another facet to add to this personal web of sites and services that form who we are and what we do online.
Community based products and servicesIncreasingly products can be developed for communities and maintained by them directly or indirectly, building and growing the community will become the key focus rather than the development of the service itself.
Monetisation
Entities such as Flickr could threaten traditional photo and media outlets such as Getty, AP or Reuters.
Advertising will have to become more covert, how do you target an established community with a product that could benefit them?