RSS Feed email updates Email Updates

The Gold is In The Picks And Shovels

FacebookMy recent article about Facebook not being a viable marketing tool has created quite a stir.

Many people agreed with me. But some people didn’t, and I respect that. However, while a few were scathing and harsh in their remarks, others posted some excellent rebuttals on their own blogs.

This topic seems to be as controversial as the long-versus-short-copy debate in copywriting circles. Déjà -vu? Well, it’s no wonder because, just like the copy length debate, both sides are right.

It all depends on how you use them and with whom.

That’s why I agree with most of Facebook’s proponents. That might sound like a contradiction, but I believe it’s because many misunderstood my post. So I wanted to take a moment before hopping on the plane to clarify a few things.


First, some people have lumped my remarks with my feelings toward Web 2.0 as a whole.

They say, “Fortin is anti-Web 2.0.” Huh? If you know me, and if you read my recent white paper, “The Death of The Salesletter,” then you know that I’m pro-Web 2.0, and probably more so than any other copywriter out there.

And some people commented that us Internet marketers are looking at Web 2.0 as just another way to pitch our wares. But since Web 2.0 is more of a conversation than it is a medium, that’s the reason why marketers fail — or fail to see the “real potential.”

Let me be clear.

When I was referring to social networking sites, and particularly Facebook, I didn’t lump it with Web 2.0 as a whole (and Web 2.0 is a lot more than just social networking sites, too).

In fact, I talked about blogging and forum marketing as being great Web 2.0 tools you should have in your marketing arsenal.

And when I said it wasn’t viable, I said it wasn’t for me. But it could very well be for others.

(Some people commented that they made a ton of money with social networking sites, and a few have said this in a snarky attempt to cut me down. My only explanation is that they misunderstood my post, they didn’t read my post, or they just wanted to brag.)

Again, I didn’t say Facebook wasn’t viable for everyone. It simply isn’t for me. At least, not at this time. But that might change very soon, and I’ll come back to this.

Ultimately, the point of the article was not entirely about Facebook (which was, admittedly, used as a hook since it’s so controversial) but about “viability”. That was the point I wanted to drive home.

It’s about testing.

And what I found through my research was that, the real money, I believe, is not Facebook in itself but through the creation — and ownership — of platforms like it… or of applications one can use through these social sites.

Just like the gold rush a century ago, the money is not in prospecting for gold but in the ownership of land rented out to these prospectors, and especially in the sales of picks and shovels.

Similarly, Web 2.0 is just another gold rush — not a gold mine. And there’s plenty of money to be made with the rush itself. (Morever, it doesn’t mean that some people won’t find gold. Some already have. In spades.)

Here’s an interesting video by my friend Jason Moffatt on the same subject, and his thoughts echo mine — but I must warn you, Jason uses strong, sometimes coarse language. So this is not for the easily offended.

(He calls it “The Meat Report,” to which you must subscribe to view it. In it, Jason made a great analogy where marketing from within these social sites is akin to renting versus owning a property. Very appropriate.)

Bottom line, creating platforms and applications for these social sites is where the real money is, as Jason Moffatt pointed out in his video. (In fact, its open platform is what differentiates Facebook from other social sites.)

Can money be made with these social sites proper? I mean, without developing applications and such? Sure.

But that’s the laborious part I was referring to. And in this case, it’s not so much Facebook in itself that might prove beneficial but its Groups.

For example, common-themed and interest-based Facebook Groups are great locations for attracting and targeting markets of like mind, and are no different than, say, niche-centric or topical blogs, forums, or communities.

(As Dan Kennedy says, it’s about “gathering the herd.”)


That’s why, at the very least, I believe that Facebook Groups seem more viable than Facebook itself, as a whole.

Aside from Groups, its open platform, allowing applications to interact with it, is what makes Facebook different than many other social networking sites out there, like MySpace.

(But now we’ve got another phenomena occurring. How many times are you hit with new applications every single day? From SuperPokes to Zombie Bites? Me, at least two or three a day. So the new application arena will become — if it isn’t already — just as spammy, I fear. But that’s for another day.)

Now, that said, here’s a strange piece of news that might change all this…

Facebook just announced on the same day I posted my article (funny that!) it will launch it’s new public profile system.

That is, your profile can be seen and indexed by the search engines, like Google, allowing you to be in them and creating a potential source of organic traffic.

Now, that is interesting!

(Hmm, I see another test coming.) ;)

Nevertheless, I don’t pretend to be a social marketing expert. Not by any stretch of the imagination. Some of my friends have made several tens of thousands with Facebook and swear by it. Good on them.

In the end, it’s too labor-intense and untargeted for me and my business.

So if you can outsource it to someone, then do so. It would be no different than, say, having moderators work your forum, ghostwriters writing content for you, or freelancers doing article and forum marketing for you. (And that’s a whole other ball o’ wax.)

Speaking of which, some people said I contradicted myself by saying that you can outsource it, and therefore it wouldn’t be any different than article marketing, which I prefer and would outsource anyway.

True, article marketing requires work, too.

But it’s not as labor-intense as social marketing. And the keyword word here is “intense.” Article marketing has a lot more residual payoff than these social sites, which require constant maintenance.

But if Facebook does what it announced today — i.e., being indexed in search engines — then Facebook might indeed become viable for me and equally productive as, say, article marketing.

And that is my next test.

About the Author

Michel Fortin is a direct response copywriter, author, speaker, consultant, and CEO of The Success Doctor, Inc. Visit his blog and signup free to get tested conversion strategies and response-boosting tips by email, along with blog updates, news, and more! Go now to http://www.michelfortin.com.

Last 5 Posts by Michel Fortin

Share This Post

Share this post with a friend by clicking "share this" below. You may freely reprint or redistribute this article, provided the content and links are left intact, and the "about the author" section is included. Get notified of new posts by RSS or email, below.

RSS Feed email updates Email Updates
One-Hour Salesletter Secrets!  

One-Hour Salesletter Secrets!

New! Programmer and uber-geek Robert Plank discovers the secrets to writing stunning sales copy in just a few hours or even less! If you hate writing copy and want to save money paying a high-priced copywriter, this is for you. Click for more »

Other Related Posts

14 Replies to “The Gold is In The Picks And Shovels”

Comments

  1. From Andy Beard

    I have a feeling one ideal use for Facebook will be managing joint ventures and product launches within private communities.

    Facebook can facilitate better interaction, high signal to noise ratio cooperation, it is just no one is really doing it yet.

    Author's Website September 7th, 2007

  2. From JP Maroney

    Andy,

    I agree with you… I’ve given a lot of thought to that recently.

    And, have tentatively “penciled” some ideas related.

    To me it’s just like the internet in general… it’s a tool.

    Profitable Regards,
    JP Maroney
    Business Growth Strategist, Author & Speaker
    http://www.jpmaroney.com - main
    http://www.jpmaroney.net - blog

    Author's Website September 7th, 2007

  3. From Gavin Ingham

    Nicely said Michel. Facebook is becoming “massive” and this argument is one that will no doubt run and run. Probably right up until the point that Facebook either decides who it wants to appeal to or splits it’s offerings up into niches perhaps including a separate “business Facebook” (which would be a shrewd move perhaps?).

    As it stands at the moment I am not sure that fending off a zombie, a headbut from a mate and some other mad invention is the best forum for doing business!

    There is no denying however the buzz surrounding Facebook at the moment… Go to dinner parties and people are talking about it! Meet your friends and they tell you that they are on it! Go to an internet cafe and kids are logged into it!

    Not surprising then that many people are diving in, holding their breath and looking for sunken treasures…

    Will they be right or will Facebook lose the wave and the surfers move on elsewhere? Only time will tell.

    Author's Website September 7th, 2007

  4. From Alexey Dvoryaninov

    I agree with you. Cool info…

    Author's Website September 8th, 2007

  5. From Jason Moffatt

    Great stuff Michel.

    Great salesmen think alike. I view Facebook for fun and networking, but would never allocate all my time for these types of places if my goal was to put food on the table every night.

    However, here is a good reason why some should participate at Facebook or similar sites like Myspace….

    Nowadays it’s near impossible to get a guru or marketing superstar to respond to emails. Too many of us are just pummeled with email requests and such.

    But…

    If you send one of these marketing guys a message at Myspace or Facebook it is 10 times more likely to get answered. Don’t ask me why, but it just does.

    It’s the same as commenting on a particular marketers blog. All these dudes read the comments. It’s a prime opportunity to rub virtual shoulders with alot of these guys.

    But when it comes to making the cold hard money, I’ll stick to Google myself.

    Take care ya’ll.

    J-Mo

    Author's Website September 8th, 2007

  6. From Justin Bryce

    Well rebutted Michel.

    You always manage to communicate well with words!

    Well done.

    Author's Website September 9th, 2007

  7. From JP Maroney

    Spot-on… J-Mo!!!!

    Author's Website September 9th, 2007

  8. From Dave Zan

    And that is my next test.

    I’ll be darned if you write a favorable post on using Facebook et al soon. :P

    Author's Website September 11th, 2007

  9. From Pat Graham-Block

    The idea of joint venturing deals in online communities appeals to me! Thanks to everyone that shares their opinion on this blog! It makes it doubly rich in ideas! :-)

    Pat

    Author's Website September 12th, 2007

  10. From Benedict Manovill

    I think Facebook, and similar sites are going to evolve into something very different. And, with the speed of the Internet, this will happen soon. They will, perhaps, become serious marketing entities. Right now, they are fun.

    Benedict Manovill

    Author's Website September 12th, 2007

  11. From Dental Plan

    hi michel, well said. you have picturised me about face book here, well according to me face book is a social networking site like myspace, youtube etc., well i will use face book for fun and making friends. but there are so many people who make money a lot through this facebook, its quite amazing for me. Anyway web2.0 really has a good future(developing face book).

    Author's Website September 20th, 2007

  12. From shane

    I wonder when they’ll open up their api to allow all profile holders to post their own ads or affiliate product banners on their own profile. Right now as I see it the ads are still targeted at the teen and tween markets, with the ridiculous smileys bannersOr income sharing or even an affiliate program for getting and marketing to new “friends” I wonder how much money is being made by the CPA advertisers on facebook

    Author's Website October 1st, 2007

  13. From Cory

    I personally believe that any site with that many regular contributors, and that much traffic is a viable marketing tool. Sure, it may not be a long-term marketing tool, or even the best marketing tool. Furthermore, there are many products that people will have a hard time pushing on Facebook. However, if Facebook regulars fall within your target demographic and have an interest in products like yours, I don’t see the harm in adding it into your marketing mix. Just a thought.

    Author's Website October 30th, 2007

  14. From Sheena

    Michel, Thanks for sharing this interesting article with us. You are right the long term money making potential is in the pick and shovels business. Others are just fads that come and go. Lot of internet marketing gurus make money by selling picks and shovels or money making ideas as proven systems, while the newbies chase the next rainbow or new idea.

    Author's Website January 1st, 2008

Start Making $10K+ Per Copywriting Project!  

Start Making $10K+ Per Copywriting Project!

New! Brian McElroy's video lessons show you how to find highly qualified prospects for your services, sell them for instant cash and easily get top dollar. Perfect for copywriters! Click for more »

Leave a Reply




Comments will be sent to the moderation queue.

 

Home | About | Sitemap | Consulting | Members | Main | Forum | Ezine | Services | FAQ | Privacy | Legal | TOP

Michel Fortin, CEO of the copywriting agency, The Success Doctor, Inc.

© 1997-2008 The Success Doctor, Inc. All Rights Reserved
1707 Cara Crescent, Ottawa, Ontario (Canada) K4A1M4
Telephone/24-Hour Fax: (613) 482-4828 | Contact Me

RSS Feed