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The discussion about Facebook experienced a tipping point last week: third-party data confirmed what many observers had been suggesting, that Facebook exerts a powerful influence on how consumers are using the web.

Sheer scale is the first hurdle. Compete released data that showed Facebook outstripping Google in terms of web visits in January, a significant accomplishment.

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Then, generating measurable activity across the web from that scale is the second hurdle.

SFGate, in an article using Compete! data, concluded that Facebook is driving more traffic to web sites than any other site. In fact, Facebook is the single biggest source of traffic to the web portals, like Google and Yahoo.

Using a snapshot of Web traffic from December, Compete’s director of online media and search, Jessica Ong, found that 15 percent of traffic to major Web portals like Yahoo, MSN and AOL came from Facebook and MySpace. The lion’s share of that traffic, 13 percent came from Facebook.

Google, which has profited handsomely from directing Web surfers to their destinations during the past decade, was third with 7 percent, just behind e-commerce site eBay, which had 7.61 percent. MySpace was fourth with just under 2 percent.

These two data points illustrates that a consumer’s internet experience has evolved from being self- directed to group-directed. Typing search terms into Google is becoming a secondary activity to following the map of the web that is being constantly updated by your social circle.

“People are spending less time navigating the Internet on their own and are now navigating the Internet based on their friends’ recommendations or their friends’ activities,” said Dave Yovanno, chief executive of Gigya Inc., a Palo Alto firm that offers social-media services. “That’s one of the big trends we started picking up on probably four or five months ago.”

One of the reasons that consumer behavior is shifting is because of the innate authenticity of their social circle. This experience of authenticity is increased the reliability of the information that people provide about themselves. The University of Texas at Austin recently released a study showing that profiles on social networks are generally very truthful.

“I was surprised by the findings, because the widely held assumption is that people are using their profiles to promote an enhanced impression of themselves,” study co-author Sam Gosling, a personality and social psychologist in the department of psychology at the University of Texas in Austin, said in a statement. “But these findings suggest that online social networks are not so much about providing a positive spin for the profile owners, but are instead just another medium for engaging in genuine social interactions.”

We’ve been talking about a new web paradigm. Clearly, it is here.

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Rupert Murdoch declares he’s going to shun Google.

Google says, We don’t care.

The world cries out that Rupert is misguided.

An enterprising blogger goes onto Compete.com’s site and tries to sort out just how dependent Murdoch’s web properties are on Google’s traffic. His answer? Not as dependent as it might seem:

Screen shot 2009-11-10 at 9.27.30 AM.jpgThe screenshot to the right shows the News Corp. assets for which Google is the top referrer, and News Corp. assets for which other sites are the top referrer.

The conclusion is that News Corp. is as reliant on Google traffic one might assume, and, as blogger Vedrashko observes, is less reliant than other news sites on Google.

A look at ComScore’s source/loss analysis for the Wall Street Journal support Vedrashko’s observations. Of WSJ.com’s 6.7 million unique visitors in September, 30% came from Yahoo, with 70% of the Yahoo traffic being driven from Yahoo’s home page. 13% of WSJ.com traffic was driven by Google search.

One other interesting note from the Compete figures: the biggest referrer of traffic to MySpace is Facebook.

Also, don’t miss Mark Cuban weighing in on the issue.

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Some highlights from Move.com’s earnings call

August 6, 2009

Move.com is the 10,000 pound gorilla in the real estate internet market, and the long-time player has been making a number of changes under the leadership of new CEO Steve Berkowitz. The company’s quarterly earnings call is a good opportunity to check in with the direction of their strategy and to assess the potential [...]

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Google continues to dominate search, but sponsored links are down

May 20, 2009

The web tracking service Compete posted some interesting data on Seeking Alpha today looking at the performance of search engines in April.The story is of one giant and a bunch of dwarfs as Google extended its dominance as the leading search engine.The share growth came during a month that search volume dropped 5%. [...]

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Search marketing investment focuses on brand awareness, online sales, survey shows

March 30, 2009

Search marketing spending is focused on brand awareness and leads, and largely committed to paid search vs. developing organic search.

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Yahoo, Newspapers & the economics of Content

March 2, 2009

Yahoo’s partnership with newspapers highlights the emerging challenging of ad pricing and local media on the Internet

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Simplify things too much and you’ll make mistakes

February 24, 2009

Real estate agent marketing needs to work for the entire market, not just a small section: Don’t make the problem too simple and hurt your business long-term

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