What does Yahoo and Big Tobacco have in common? Children.

September 17, 2012

Yahoo, once a golden child of the internet it has plunged into obscurity almost as complete as Friendster and MySpace. Having lost relevance across its entire product line,  Yahoo is now taking a lesson from Big Tobacco and targeting children.

I am a social media consultant through my agency PRDA. The advice I give clients follows common sense and good business practice. Target your demographic and those that will most likely be loyal consumers. All statistics show that:

  • Ages < 24 are large consumers of online time, but represent a small portion of money spent online.
  • Ages > 24 spend less time, but spend a much more significant amount of money.
  • 35 -54 is where the real cash is. They spend a significant amount of time online and spend the most money.

So why has Yahoo decided to target the youngest age group with the lowest spending potential? The most obvious reason has been mentioned; they were competitively shut out of the more lucrative areas. But there may be something to this. Historically big tobacco made a killing (pun intended) off of addicting children to the brand. McDonalds’ success is due to the influence kids have on their parents’ wallets. And more recently, apps such as Instagram have seen stratospheric valuations based on zero revenue but fanatical Gen Z members.

The problem comes from Yahoo being a mature business. They are unlikely to get a stupid valuation based on a surge of activity from kids on their site. So how long can they go without paying the rent?

Business is in business to make money. It is unclear why fundamentals often go out the window when something flashy and exciting comes along. I will cheer the success of Facebook and Instagram, but I have a better chance of winning the lottery than repeating those achievements.

Much success,



July 23, 2010
作者: Mavis Fan (香港)
根據調查顯示,2010年之前”80後”的一群年青人會超過嬰兒潮的數目,他們當中的96%會加入社交網絡,而更有趣的是社交網站將取代色情工業成為網路首要活動,我可不知道原來色情網站一直是網路的首要活動!你們又知道社交網站比其他傳播媒體的優勝地方嗎?那你們要看看以下的數據了: 廣播(radio)花了38年才達到500萬人門檻電視花了13年達到5000萬人門檻網路只花了4年就達到5000萬人門檻,IPod呢?只花了3年就達到5000萬人門檻facebook在過去9個月增加了一億用戶,而apple的應用程式在9個月內下載了10億次。可以想像,如果facebook是一個國家,它是第四大的了!而以現在統計,八成Twitter用戶是透過手機隨時隨地更新內容最近看到一段短片,很搞笑的呈現了Twitter這類的微網誌世界。

Twouble with Twitters: SuperNews!




Marketing Minute: Business and Social Media from Prosperity Research

February 20, 2009

http://www.so-u.tv/socialMedia.php – Business needs Social Media. Douglas White illustrates the value of consumers flocking to and talking online. By listening to consumers and contributing value to the conversations, companies can both promote and protect their brand. The next episode will be about taking your brand online.

http://www.so-u.tv/socialMedia.php – 網上社交平台是各行各業所需的推廣平台.Douglas White 將會講解一群消費者在網上聚集及交談所存在價值. 透過聆聽及參與交談,可以推廣及保障品牌. 下一輯將會講解關於如何將品牌放到網上.

http://www.so-u.tv/socialMedia.php – 网上社交平台是各行各业所需的推广平台.Douglas White 将会讲解一群消费者在网上聚集及交谈所存在价值. 透过聆听及参与交谈,可以推广及保障品牌. 下一辑将会讲解关於如何将品牌放到网上.

Prosperity Research Marketing Minute: What is Social Media Marketing?

February 18, 2009

http://prosperity-research.com Douglas White explains in easy to understand terms what Social Media Marketing is. Business engaging consumers with video, blogs, forums and other channels. The next episode is on the compelling reasons business should be in social media spaces.

http://prosperity-research.com Douglas White 簡單地解釋什麼是網絡社群行銷.這是利用影片, 博客, 討論區等的途徑來進行推廣. 下一集將會講解為何要在網絡社群中進行推廣行銷.

http://prosperity-research.com Douglas White 简单地解释什麽是网络社群行销.这是利用影片, 博客, 讨论区等的途径来进行推广. 下一集将会讲解为何要在网络社群中进行推广行销.

Prosperity Research: The Power of Social Media Marketing

January 7, 2009

http://prosperity-research.com: Dazed and confused about social media choices? This quick and informative video explains the basic process of internet and word of mouth marketing.