Classifieds is another buzz word in the market today and the latest entrant, in my knowledge, is click.in. We saw some heavy advertising during the month of October for the site which has been started off by the same guys running Oneindia.com.
But has it as a category really taken off? I strongly believe that this is a pretty touch category to make a mark in. I am a regular user, both as a buyer and sometimes as a seller, of such sites and a few things come to mind:-
1.A visitor might never have loyalty towards one. From the perspective of the seller: – the more sites which he can cover the better. As a buyer research by you would be carried out on multiple sites as well, hence loyalty might not be something to strive for at all here
2.The primary distinguishing factor will be the variety and extensiveness of the listings. Rediff was pretty smart in this regard and tied up with Infomedia Yellow Pages and pretty much brought the whole directory online to its P4C platform…but the problem in that is having a huge bunch of sellers never replying, updating products, services, contact details etc because they don’t have the relevant knowledge to do so and never did so to begin with.
3.A strong search feature is another important consideration. Be it within product categories or geographically – the ability for a site to get a visitor in touch with the products he wants as fast as possible is necessary
I sleep through most things, which i consider to be a tremendous advantage and strength, but even i was rudely awakened at 4:30 AM today i.e 26th November with one of the strongest earthquakes i have felt ever, possibly.
A 4.3 on the Richter Scale ,with the source at the Delhi Haryana Border , Delhi University, GT road , hit Delhi in the wee hours of the morning. While i cant comment on other areas of Delhi, Defence Colony had a few people stepping out of their houses and a few car alarms going off.. while the magnitude of the earthquake was not very high , the strength and intensity was much higher owing to the closeness of the epicenter i guess.. barely 20 kms from South Delhi… while ceiling fans shake at the smallest incentive, what did surprise me was that a fully loaded cupboard ended up oscillating….. and this was a first !
While details are still unavailable currently, no injuries or deaths have been reported.
Another rumor floating around which has been been squashed a while ago.
Network 18, through its Capital 18 arm has bought stake in one of India’s most creative agencies Webchutney. The stake though substantial, is in a minority. The funding will be primarily used for expansion – infrastructures, people , Social Media and Rich Interactive applications.
The majority stake i hope will help Webchutney retain full freedom and independence in its operations , creativity and planning , for which it is known. Hopefully this extra funding will see them really shoot ,aggressively, further into the industry.
Read chutney’s own blog post on this here.
The first time i heard a buzz in the market with respect to HT acquiring a social media site was 30th November 2007 post a report on contentsutra. contenders included myindospace , Jhoom , Hi5 and surprisingly no one mentioned Desimartini…… but as it turns out Desimartini it is.
How big an impact is this going to have on HT and its presence on the Internet remains to be seen but i am striving very hard to come up with advantages and strength factors but just not able to.
The deal is reportedly under 10 Million USD but a quick calculation gives us the following – HT has paid around 40 USD , or 1600 INR , per user acquisition ( taking 10 million for the deal and divided by the registered DB of 250,000) ….. now i might not have a very strong financial bent of mind….but who else thinks this is a bit crazy… 10 million really seems to be a “bit” too much..and i agree with Rajesh from alootechie on this totally. Its far too expensive considering the quality of the overall inventory or the users which social networking sites typically tend to have.
Additionally how does this help HT out. Sure they have a online property now over and above what they have but i am very curious to know the path which they have . hopefully , laid down to leverage this… is it purely an acquisition to control and try and take a bigger bite out of the online spends in India…. are they planning to possibly sell the DB , use it for internal marketing… ?
Amit Garg might be under the impression that this fortifies their entry as far as the Internet is concerned but 3 out of 4 people who i brought it up with burst into giggles. To quote him “expanding our Internet base” , and that it might appear they are getting into the Scoial networking a bit late but that the Internet is still in its infancy in India….basically stating that its ok as far as the timing is concerned.
The problem lies in the fact that everyone is unsure where social networking is going to go and secondly Desimartini was never really a contender, in my opinion, within this genre of sites to begin with. So i dont see the point, the advantages and hope that HT has not made a blunder. While Mr. Pahwa’s ROI has definitely skyrocketed all that it appears to be for me right now is another traditional media company getting into something without a comprehensive understanding of either the industry and the vertical.