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Page 1: Global Social Media: 20 Networks to Know in 2012

Global Social Media: 20 Networks to Know in 2012

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Page 2: Global Social Media: 20 Networks to Know in 2012

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Global Social Media:

The World Beyond Our Borders

As social media evolves, brands and

marketers alike are facing the

realization that successful global

marketing programs will need to

grow beyond the mainstays of sites

like Facebook, Twitter and YouTube.

While this can seem a daunting

challenge, to explore the digital

world beyond the platforms we

know, there are a few global power-

players with which social media

professionals should get acquainted.

To that end, we have assembled an

overview of social networks we

believe will start playing an active

role in brands’ global marketing

programs in 2012 and beyond. In

the pages that follow we provide a

brief look at 20 networks (each with a

minimum of 10 million registered

users) from around the globe that

showcase social media’s

powerhouses.

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Page 3: Global Social Media: 20 Networks to Know in 2012

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Spring Creek Group Methodology

Our research was informed by publicly available information, analyst

commentary from those publishing in-market and, when possible,

firsthand experience using the networks.

While this has shaped our initial analysis of these networks, we recognize

that elements like membership totals are in flux and are often reported at

artificially inflated rates.

Our information is based on the most widely reported and commonly

accepted figures for the end of the third calendar quarter in 2011.

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Profiled networks in this publication include: Bebo, Cyworld, Friendster, Habbo, Hi5, Hyves,

Kaixin001, Mixi, Me2Day, Nasza Klasa, Odnoklassniki, Orkut, Pengyou, Q Zone, Renren, Skyrock, Sonico, Tuenti, V Kontakte and 51.com.

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The Birth of Social

Networks:

Launches from 1999 to

2010

For many, social media’s

original social network was

Friendster, followed closely

by MySpace. However,

Cyworld and Habbo were

founded much earlier,

offshoots from traditional

chat rooms.

For others, it was

Facebook’s launch that

catalyzed the era of social

media for the U.S. – this is

true, though Latin America,

Western Europe and Asia

each saw their own social

media platform emerge.

By the time Twitter joined

the globe, the landscape

had already grown

cluttered. In the years that

followed, the space

continued to grow and

fragment, as we can

observe in today’s social

landscape.

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The Behemoths: Dynasties and Upstarts

The largest of the networks we profiled, those we deemed the

“Behemoths”, maintained registered user totals at or above 100 million,

as shown in the chart below. This set was diverse, representing most of

the globe and showcasing both the oldest and newest social networks.

From a geographic perspective, the group was dominated by some of

the largest Chinese social networks including Q Zone, RenRen, 51.com

and Pengyou. Eastern Europe’s flagship sites, Odnoklassniki and

Vkontakte, were also highlighted due to their remarkably large user

bases.

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The Small Giants: Powerful Regional Players

Though smaller than their counterparts on the previous page, our

“Small Giants” are social networks with user totals between 10 million

and 99 million that demonstrated the success that can be had by

focusing on a single linguistic or geographic region.

This group also underscored the truly global embrace of social media.

Spanning from Asia to Europe, this group captured the variety of

successful approaches from reinventing virtual banking and credit

transactions (Hyves), to providing a highly closed and controlled

network (Mixi), to focusing on students (Nasza Klasa).

75M

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The Behemoths:

Signs of Consolidation

With Facebook clearly established as

the first true global social network,

many of the older sites’ stars will

wane. For players like Tencent

Holdings this may mean rolling up its

family of social networks into a single

portal. For others, success will lie in

earning a reputation as industry-

leading in an area like virtual

payments, social gaming or location-

based mobile offerings.

The Small Giants:

Innovation Will Be Key

For smaller regional networks the

pressure is even higher to retain and

expand their user base, or else they

will quickly lose mindshare to their

larger rivals. This has translated into a

continued push towards innovation

and differentiation, an environment

where networks must carve out a

loyal niche to remain competitive.

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Page 8: Global Social Media: 20 Networks to Know in 2012

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Social Network Profiles: A Quick Readers’ Guide

The profiles of each network on the following pages include basic

information about the networks as well as brief summaries of their

history, value to the marketplace and any significant factors that will

impact the sites’ success or growth.

Each profile also highlights the network’s primary geographic region(s)

on a map in the upper right hand corner.

Beyond this, we highlight through an on/off button system (shown

above) which focus areas the network appears most heavily invested in,

those that are considered competitive differentiators.

Each profile closes with a summary of the site’s primary competitive

opportunity, that which would most likely contribute to the network’s

continued marketplace success.

Network’s Primary

Region

Global Map

Chat Privacy

Controls Gaming File

Sharing Business

Virtual

Payments

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Users

Competitive Focus Areas

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20 Global Networks to

Know in 2012

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Page 10: Global Social Media: 20 Networks to Know in 2012

Registered Members: 530 M (approx.)

Primary Region(s): China

‡ Achieved acclaim as the largest Chinese network by

piggybacking on parent company Tencent’s QQ

Messenger

‡ Nickname-based network alternative to sister site

Pengyou

‡ Popular with teen audience, though lagging with

older adults

Opportunity:

Better integration with other Tencent networks could consolidate and

better unify segments of the Chinese social market.

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URL: qzone.qq.com

Launch Date: 2005

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Registered Members: 230 M (approx.)

Primary Region(s): 31 countries

‡ Fading from its heyday, still attracts high-profile

sponsors and celebrities due to teen-centric focus

‡ Several “hotels” (region-specific portals) merged or

closed due to low activity levels

‡ Experienced moderators for age-specific site, well-

managed and reliable payments/credits system

Opportunity:

Potential to leverage exclusive content and promos to drive

membership growth in key teen demographic.

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URL: habbo.com

Launch Date: 2000

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Registered Members: 160 M (approx.)

Primary Region(s): China

‡ Well-earned reputation as “The Facebook of China”

and has completed the transition from a college-

centric site to an open network

‡ Recent IPO has drawn attention to network’s

continued compliance with state censorship

‡ Clear power player in the Chinese market, even with

acknowledged inflated membership totals

Opportunity:

Increased membership from Kaixin001.com integration could

reengage inactive members and attract a broader audience.

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URL: renren.com

Launch Date: 2005

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Registered Members: 160 M (approx.)

Primary Region(s): China

‡ Fading in popularity but still widely popular with rural

users in China

‡ Lackluster innovation and increased competition has

drawn comparisons with MySpace’s rise and fall

‡ Will maintain social gaming focus with increased

investment by MMO leader Giant Interactive

Opportunity:

Potential to revamp network leveraging MMO features to expand user

base and increase time spent on site.

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URL: 51.com

Launch Date: 2005

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Registered Members: 135 M (approx.)

Primary Region(s): Eastern Europe,

Central Asia

‡ One of the first Facebook copycats, now the dominant

Russian social network

‡ Maintains a wildly popular integrated torrent file-

sharing feature

‡ Recent language build-out indicates market

expansion, but site now requires invitation to join

Opportunity:

Expansion into 67 languages is fueling speculation that the network is

planning for an IPO in 2012.

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URL: vkontakte.ru

Launch Date: 2006

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Registered Members: 129 M (approx.)

Primary Region(s): China

‡ Growing quickly in targeted Chinese white-collar and

middle class audience segments

‡ Requires that users provide real names, testing

enterprise version for inter-office communication

‡ Recent exclusive local game contract with Zynga

indicates social gaming is a clear priority

Opportunity:

Enterprise offering could open up new user base, while traffic levels

and game exclusivity may catalyze site to lead Chinese market.

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URL: pengyou.com

Launch Date: 2010

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Registered Members: 117 M (approx.)

Primary Region(s): 17+ countries

‡ Once a power player, now lagging in innovation and

facing stagnant membership numbers

‡ Recent entrant into social gaming but titles have

gained popularity quickly

‡ Introduction of Facebook-compatible APIs now allow

game porting

Opportunity:

New ownership could refresh the brand and articulate a more

concentrated focus on gaming or traditional social networking.

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URL: bebo.com

Launch Date: 2005

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Registered Members: 115 M (approx.)

Primary Region(s): Southeast Asia

‡ Re-launched in 2011 as a social gaming platform,

though still carries legacy as a failed social network

‡ Successful virtual payments system embraced by

users for in-game purchases

‡ Multi-lingual single platform with millions of

grandfathered accounts

Opportunity:

Legacy user base that, if reactivated and coupled with new game titles

and micro-spending, could quickly scale up earnings.

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URL: friendster.com

Launch Date: 2002

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Registered Members: 100 M (approx.)

Primary Region(s): Eastern Europe,

Central Asia

‡ Consistently ranks as a top 5 Alexa-ranked site in

Eastern European/Central Asian countries (e.g.

Armenia, Kyrgyzstan and Uzbekistan)

‡ Features social gaming and tight integration with

popular email service Mail.ru

‡ Faces stiff competition from local player Vkontakte

and global player Facebook.

Opportunity:

Growth has been slow but steady and has remained the preferred site

for highly-educated users in former Soviet states.

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URL: odnoklassniki.ru

Launch Date: 2006

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Registered Members: 75 M (approx.)

Primary Region(s): China

‡ Early and dominant player in Chinese office worker

user base for social gaming

‡ Plagued by slow game development, recently opened

platform to select partners for app expansion

‡ Users spend twice as much time on this site versus

competitor sites

Opportunity:

Opening its platform should increase title development and may

attract a broader user base while retaining existing members.

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URL: kaixin001.com

Launch Date: 2008

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Registered Members: 66 M (approx.)

Primary Region(s): Brazil, India, Japan

‡ Saw little traction in the U.S. market, but quickly

flourished in the BRIC region

‡ Tight integration with Google products, especially

Gmail, Gchat and YouTube

‡ Fraught with spam profiles and often the target of

worm/hacking attacks

Opportunity:

Established in several emerging markets; with Google backing, there is

potential to earn mindshare before other networks enter the market.

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URL: orkut.com

Launch Date: 2004

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Registered Members: 46 M (approx.)

Primary Region(s): Latin America

‡ Rebranded in 2010 as a social gaming site with rapid

(non-exclusive) title release schedule

‡ Newly launched proprietary monetization platform

(Sociopay) and distribution channel (Sociopath)

‡ Introduction of Facebook-compatible APIs now allow

game porting

Opportunity:

Monetization and distribution efforts may increase profits while new

titles could continue to draw new members.

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URL: hi5.com

Launch Date: 2003

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Registered Members: 27 M (approx.)

Primary Region(s): Poland

‡ Originally student-centric, now an open network with

near-complete market saturation in Poland

‡ Active player in the social gaming market though

game titles are fading in popularity

‡ Has publicly emphasized expanding users’ mobile

experience in future development

Opportunity:

Mobile emphasis tied with gaming expansion could create innovative

take on mobile/social/gaming intersection.

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URL: nk.pl

Launch Date: 2006

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Registered Members: 25 M (approx.)

Primary Region(s): Western Europe

‡ Associated with the French radio station of the same

name

‡ Popular with self-styled musicians seeking

collaboration partners or looking to be discovered

‡ Foothold in Western Europe and French-speaking

nations especially among youth, but little adoption on

a global scale

Opportunity:

Skyrock radio station offers opportunity for integration or promotion;

user base ripe for UGC campaigns.

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URL: skyrock.com

Launch Date: 2007

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Registered Members: 21.6 M (approx.)

Primary Region(s): Japan

‡ Controls membership by requiring a Japanese mobile

phone number to join

‡ Recent partnership with Twitter perceived as effort to

counter Facebook’s market entry

‡ Popular with celebrities/tarento who maintain official

profiles on the network

Opportunity:

Twitter partnership may loosen up the closed nature of the network,

opening up opportunity for expansion to new markets.

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URL: mixi.jp

Launch Date: 2004

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Registered Members: 20 M (approx.)

Primary Region(s): Latin America

‡ Popular throughout the Spanish-speaking world,

recently expanded into the Portuguese market

‡ Offers users unique and separate personal,

professional and public profiles

‡ Slow innovation has led to losses to both Facebook

and other regional networks

Opportunity:

Successful Portuguese-language expansion could be replicated across

new target markets.

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URL: sonico.com

Launch Date: 2007

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Registered Members: 18 M (approx.)

Primary Region(s): China, South Korea,

Vietnam

‡ Smaller than other regional networks, though user

base is loyal to Gaia Online-like customizable design

‡ Failed market entry in Germany, Japan and the U.S.

led to abrupt portal shutdowns

‡ Successful premium item marketplace for decorating

“rooms” (personal pages) popular with users

Opportunity:

Monetization model could be replicated in new market launch,

though expansion would need to be limited to target geographies.

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URL: cyworld.com.cn or

cyworld.co.kr

Launch Date: 1999

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Registered Members: 12 M (approx.)

Primary Region(s): Spain

‡ Reputation as the “Spanish Facebook” earned

through minimalist UI and popularity with students

‡ Strict privacy controls and requires invitation for

membership

‡ Leveraged by parent Telefonica as testing ground for

its MVNO offering, overall very strong in mobile

Opportunity:

Hugely popular in Spanish market with potential to expand

mobile/social offerings outside core market.

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URL: tuenti.com

Launch Date: 2006

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Registered Members: 10.3 M (approx.)

Primary Region(s): Netherlands

‡ Comprehensive virtual payment program also offers

person to person and real-world payments, accepted

in most Dutch restaurants/bars

‡ Small footprint with no expanded language coverage

‡ Social gaming features remain competitive though

networking offerings are limited

Opportunity:

Payments program could rival traditional credit transactions,

especially when combined with mobile expansion.

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URL: hyves.nl

Launch Date: 2004

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Registered Members: 10 M (approx.)

Primary Region(s): South Korea

‡ South Korea’s Twitter alternative with a 150-character

limit and a mobile-focused interface

‡ Features official profiles and updates from well-known

Korean celebrities

‡ Until recently, single language portal; English portal

launched in late 2011

Opportunity:

With English portal launch, potential to expand beyond current

market footprint.

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URL: me2day.net

Launch Date: 2007

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From Dating to Job Hunting:

3 Additional Networks to Note

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Professional Networking:

More than LinkedIn

European rivals Viadeo and XING are

clear professional networking leaders.

While their user bases remain largely in

Europe, both are poised for large scale

expansion. As the blurring of

professional and social networking

continues, these sites are both worth

keeping an eye on.

Dating and Mobile Hookups:

Beyond Online Dating

Though online dating networks were not

included in our research, the massive

dating site Badoo emerged as a strong

rival to traditional social networking.

Badoo’s mobile integration and

meteoric growth based entirely on word

of mouth mean this network is one to

watch. However, note Badoo’s growth

has also been accompanied by closer

public scrutiny of the seedier side of

Badoo’s audience.

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Registered Members: 11.4 M (approx.)

Primary Region(s): 200 countries

‡ Largely European and German-language market

professional network, smaller than regional

competitors

‡ Closed enterprise groups for big-name businesses like

IBM and Accenture

‡ Successful premium vs. free model and well-respected

privacy/anti-spam features

Opportunity:

Enterprise group model could be replicated to support targeted

expansion.

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URL: xing.com

Launch Date: 2003

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Registered Members: 40 M (approx.)

Primary Region(s): Europe

‡ Largest European professional network, M&A activity

helping penetrate Asia and South America

‡ Recent acquisition of a contact management provider

indicates move to differentiate

‡ Profitable with steady revenue stream from premium

accounts

Opportunity:

Active M&A period quickly changing competitive position and global

footprint.

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URL: viadeo.com

Launch Date: 2004

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Registered Members: 125 M (approx.)

Primary Region(s): Latin America,

Western Europe

‡ Hybrid dating/chat site with reputation as a source for

casual hookups

‡ Remarkable growth based purely on WOM though

plagued with rumors of use in sex industry

‡ Successful monetization model with seamless mobile

integration

Opportunity:

Mobile model replication and continued viral buzz could lead to rapid

market expansion.

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URL: badoo.com

Launch Date: 2006

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Page 35: Global Social Media: 20 Networks to Know in 2012

Lily Croll Senior Strategist

[email protected]

@findlilyhere

F o r a d d i t i o n a l

i n f o r m a t i o n

a b o u t t h i s e B o o k

p l e a s e c o n t a c t :

Springcreekgroup.com

Springcreekgroup.com/blog

Facebook.com/springcreekgroup

Twitter.com/springcreekgrp F o r a d d i t i o n a l

i n f o r m a t i o n

a b o u t S p r i n g

C r e e k G r o u p

p l e a s e c l i c k

a n y o f t h e

f o l l o w i n g :