MocoSpace’s Winning Formula for Feature-Phone Social Networking

5/20/09Follow @wroush

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invest multiples of six figures for the next level up, and worry about adding more disk space and having it become a big potential point of failure. So moving to the cloud makes sense both from an internal-resources perspective and a financial perspective. We had some trepidation at first, but we’ve found that [S3] has been excellent in terms of performance and uptime.

X: You mentioned that thousands of people are uploading photos to MocoSpace every day. What kinds of community standards do you try to maintain for those photos, and how do you enforce them? We’ve written about a locally-based photo sharing service called SnapMyLife that crowdsources photo moderation using Amazon’s Mechanical Turk system.

JS: The main standards are no nudity, no violence, no hate speech, and no drugs. We have a full-time staff that’s working 24/7/365 to pre-screen every photo and video that goes live on MocoSpace. We don’t use Mechanical Turk, because at our volumes, it is not cost effective. Even paying a penny a photo would not be cost effective for us. So in addition to our community management team here in Boston of four people who deal with general customer support, content issues, harassment issues, legal issues, and all of those fun things, we have a full-time team [doing photo and video moderation] in Vietnam.

X: How big a part does mobile gaming play in the MocoSpace experience?

JH: Gaming is not one of the core experiences on MocoSpace, but over time we have evolved that area. Our most recent game is a multiplayer poker game. In general, people find Internet-based games on feature phones less engaging than downloadable games or games like those in the iPhone app store. But still, we find people who will engage with them, and we think it holds a lot of potential for encouraging social interaction. We’re most interested in things that have a multiplayer aspect. But we’ve done very little to date—we have maybe seven or eight games. We will probably be doing more in the future.

X: Advertising is your main revenue stream, but one of the most frequent complaints you hear from developers and publishers in the mobile world is that the advertising market is not very mature yet on the mobile side. Where do you get your ads, and how are sales going?

JS: We work with all of the mobile advertising networks today. We plug them into a platform that allows us to pick and choose and match our inventory to the different ad networks as we see fit. We are considering hiring a direct sales force, and we will probably hire at least one person, and see if we can sell a bit of our inventory directly. The reality is—and this is being written about a lot—that the ad networks are in a race to the bottom in terms of CPMs [the price advertisers will pay per thousand impressions]. Not to be melodramatic, but it’s almost a death spiral. When an advertiser knows that they can buy traffic for 10 cents per click on Google, why would they ever pay a $30 CPM to be on your home page? And once the genie is out of the bottle, it’s very hard to get it back in.

X: Do you try to filter out the ads that go for really low CPMs?

JS: In theory, we try to do that, but the reality is that we’re so big and the ad market is so small that we suck down every bit of inventory. By the end of the day, we’ve worked through all the good inventory and the less good and we get to the bottom of the barrel. Unlike the Web, where there is a very robust marketplace, the number of advertisers on mobile is still relatively small.

X: Do you have enough information about your users to help your advertisers to any behavioral targeting?

JH: That is happening a little bit on mobile, but there is more talk than action. If you don’t have advertisers then it’s’kind of a hypothetical scenario. When 25 or 30 percent of the ad dollars are coming from ringtone providers, what do they care about targeting? Are you going to sell a different ringtone ad to a male or a female?

X: But I imagine you do have good data on your users—is that something that could benefit you in your direct advertising sales efforts?

JS: We do, more so than almost anybody in mobile. Ninety percent of our users supply very specific data about themselves. That will be one very clear approach that we take—that if you want access to this targeting data, you’ve got to buy directly from us. Ultimately, we think that’s how you get the genie back in the bottle.

X: How many of your users are paying for data by the megabyte, and how many are on flat-rate or prepaid data plans? Can you use that data to target ads?

JS: We can’t measure that, but we can back the data out from the carriers, because some carriers only offer pre-paid data plans, and others offer only unlimited.

JH: Everyone on the iPhone has an unlimited plan, for example. And we do see those people over-index, in terms of their mobile Web consumption.

JS: Advertisers are doing that kind of targeting on their own, to some extent. The iPhone is viewed as a high-brow, white-collar device. That will change—it will become a more ubiquitous device—but right now, the odds are that if you have a $400 phone and a $50 a month data plan, you are more economically interesting than if you are using a prepaid device.

X: So many companies are building iPhone apps these days. It would be a break from your browser-based model to do that for MocoSpace, but is it something you would consider?

JH: That’s an obvious discussion to have. Eventually we’ll do it. We don’t view it as an incredibly high priority, but it is a reasonably interesting opportunity. iPhone users are very active, but they are still a very small percentage of the mobile marketplace. Still, I would imagine that by the end of this year we’ll have an iPhone app.

Wade Roush is a contributing editor at Xconomy. Follow @wroush

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  • http://www.wirelesswarriorblog.com Marty Keene

    Love the comments about the way carriers work internally…so true and I worked for Vodafone and its true!! :-)

    Still like to know if Moco will go to a paid or premium user model at some point as just don’t think there is enough many in advertising…and users will pay for mobile services if you ask

    Marty

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  • Jake aka jdtwentysix, jaydee26, twentysix

    I have been a member at mocospace for three years, and while this review paints the picture of a youth orientated friendly site, I do not believe that to be the case.
    Firstly, when I first signed up there, a culture of anything goes seemed to exist, especially within the forums.
    Moco chatters called it “roasting” and long drawn out chat fights were the order of the day.
    I have always been a forum chatter more than a blogger, and I was attracted to the site for it’s forums primarily. At first I chatted in General, but later I became a regular in the life problems forum.
    As a gay man, I often felt persecuted, but the friends I had made kept me coming back. That is no longer the case.
    The people in life problems forum form cliques, and target individual members for fun. That has been going on for a long time. I am a popular target, and whether I am online there or not, you will never visit that forum without seeing people chatting about me nastily, posting my photo’s that they stole from my accounts there, and impersonating me. I get called faggot everytime I log in. The word is not censored.
    The report system is a joke.
    If a number of people dislike you and report you, you’ll be deleted no matter how many times you report them back.
    To justin and jamie, it’s all about the numbers.
    And while I am on the subject of numbers, that 6 million users figure is a blatant misrepresentation of the truth. When a culture of “roasting” “trolling” and “fake profile making” exists so obviously there, it should be factored in. Precious few mocospace users retain just a single account. There are currently around 13 fake profiles there that were signed up purely to impersonate me.
    Additionally, every time the life problems group gets me deleted they steal my old profile and impersonate me. I would say that mocospace would be lucky to have one million genuine active users, the rest are fake profiles.
    As evidenced by the low participation in genuine forum debates. Ask any long term user and they will tell you the same thing. Mocospace user numbers are dwindling, not growing.
    The personal information posted there is also worrying. I get deleted habitually, but the fake profiles of me do not. Whatever information I have ever divulged in the forum is used against me, and I have had certain people there “investigate” me, posting photo’s, my full name, and other information they found about me off-site, with absolutely no ramifications.
    You would think if you reported a fake profile that was using your photo, your name, and pretending to be you it would be deleted, but sadly that isn’t the case.
    Admin only reacts to harassment if they receive multiple reports from multiple IP addresses. It’s very biased against minorities who are more likely to be targeted in the first place.
    Every time I have been deleted I have attempted to contact Justin and Jamie directly with these issues, and been ignored. I think, and its just my opinion, that unless you are an attractive female they are just not interested in protecting your civil liberties on mocospace.
    I am very angry about all of this, obviously. But I am not the only one. My friends there are leaving in droves. At this rate I predict mocospace will not last the distance. The only people who manage to keep an account are bullies and internet trolls. They act as an angry mob and only then do J&J or admin do anything.
    At that point they usually delete the victim of the harassment because it’s all about the numbers.
    Lastly, they have recently introduced a moco gold feature, where users are encouraged to spend real dollars on “gold” which can then be used to activate a group of features. The features include an option to see who is viewing your profile, and an option to be in invisible or busy status when online. Both these features appeal to users who are being harassed by other chatters, for obvious reasons. I have purchased amounts of gold to access these features, only to log in the next day and find my account deleted. On one such account, I did not even USE that username in the forum, much less do anything that conflicted with their terms and conditions. Yet a group of users still managed to report it and get it deleted. It seems like a money-making scheme to me, and a dishonest one at that. They shouldn’t sell people moco gold if they are going to delete their accounts without so much as a warning a few days later.

  • Jake aka jdtwentysix, jaydee26, twentysix

    I forgot to add, and I think it’s interesting to note, that the majority of the people reporting me were older than I am. Their ages range from 35 – 50. Additionally, there are to many scam artists, including one 47 yo South African woman I have personally witnessed phishing in Life Problems forum, and receiving jewellry and other stolen goods as a result. Youth orientated? I think not. But scam orientated? Most definitely. On my first account, which I put a lot of effort into keeping updated, rarely a day went by when I did not receive inboxes from nigerian princesses and the like, wanting me to transfer goods and money mule style. They include an off-site yahoo email usually, and god only knows how many mocospace users they have taken in. Yet when I report those profiles not even THOSE get deleted.

  • Dustin

    The site is a joke it’s not real

  • Lindsay

    I think this is horrible because someone is pretending to be me on this stupid network. You people should put up security measures! I can’t even delete the profile because I don’t have a password…
    You better fix it

  • Lindsay

    I will definately go to press with this if it is not sorted out soon. It is disturbing, the information they have about me. I want no part in this digusting site. I’ve read other comments about this site and am not impressed neither comforted. It seems nothing gets done about the fake profiles. This is going public

  • Aries

    This site is great as far as games, forums and the chat rooms but its so nerve wrecking when it comes to cyber bullying…Justin and Jamie do not investigate the reports they been sent…instead they receive and determine who they want to have their profiles…I have encountered having false reports in me, being harassed daily, having my profile hacked into, my personal information in chat rooms, threats, etc….its utterly ridiculous and and JnJ need to actually look unto reports about online bullying…they are so behind that this site do not take this matter seriously but they have no problem banning the victims pages and rewarding the bullies by staying online no matter how many times they get reported…I wouldn’t recommend this site to no one.