<![CDATA[Gawker: valleywag, comscore]]> http://tags.gawker.com/assets/base/img/thumbs140x140/gawker.com.png <![CDATA[Gawker: valleywag, comscore]]> http://gawker.com/tag/valleywag/comscore http://gawker.com/tag/valleywag/comscore <![CDATA[It's New York Times official: e-commerce has shrunk]]> Brad Stone blogged the bad news: "During the first 23 days of November, according to a report to be released later on Tuesday by the research firm comScore, consumers spent $8.19 billion online, a 4 percent drop from the same period last year. That marks the first annual decline since e-commerce took off." You can read the rest of the tragic stats in ComScore's press release.

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<![CDATA[October e-commerce up a humiliating 1 percent]]> The accompanying chart from TechFlash says it all: Online sales just aren't growing anymore. October's 1 percent growth over October 2007 is the worst performance measured by ComScore since they began tracking stats in 2001. TechFlash quotes Gian Fulgoni, chairman of the research firm: "We can only hope that the recent sharp drop in oil prices will cause a continued easing of inflation and a strengthening in consumer spending as [we] enter the critical holiday shopping season." We can only hope? Dude, we can get down on our knees and pray.

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<![CDATA[iPhone's image being tarnished by poor people]]> The Jesusphone is no longer just for privileged white folks. "The strongest growth in users is coming from those earning less than the median household income, particularly since the launch of the iPhone 3G." So says a report from ComScore, which concludes that "lower-income mobile subscribers are increasingly turning to their mobile devices to access the Internet, email and their music collections." Awesome. Now I can buy an iPhone 3G without feeling I'm being extravagant. But I can't shake the feeling this study was secretly paid for by RIM. (Photo by r.f.m II)

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<![CDATA[Porn and ads account for two in five videos watched online]]> That's what the addition by subtraction equals when you compare comScore's 10.8 billion unique video streams counted in June to Nielsen's 7.5 billion — because of the two Web usage statistic compilers, Nielsen refuses to count "pornography" and "advertising" in the company's total. At first I though, "There's a difference between porn and ads?" And then I remembered: I generally like porn and I usually hate ads. No wonder it's so hard to chose between loving and hating American Apparel. [Silicon Alley Insider]

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<![CDATA[ComScore ruins ad networks' favorite scam]]> Web metrics firm ComScore says it going to begin tracking ad networks' "potential reach" and "actual reach" for online-ad buyers and sellers. A translation: Ad networks, in theory, can place ads on all of a Web publisher's pages, and those are the numbers they trot out when luring ad dollars. Operations like Glam Media compound the confusion by portraying some of the sites they represent as if they were websites they owned. In practice, publishers of a respectable size use networks only to fill a small percentage of their least valuable inventory. The net effect: industrywide, advertising inventories look much larger than they actually are, leading ad buyers to drive harder bargains. If ComScore can expose this part of the ad-network scam, publishers may benefit from higher rates. Ad buyers? They won't complain: As soon as they've spent their clients' online budgets, it's time for a two-martini lunch.

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<![CDATA[Google loses search market share to Yahoo, Microsoft]]> Reversing a long trend, one research firm says Yahoo and Microsoft have posted gains in search market share — at the expense of industry leader Google. ComScore reports that 61.5 percent of all U.S. searches went through Google in June 2008, 0.3 percent less than in May 2008. Yahoo saw 20.9 percent of the searches in June, up from 20.6 percent in May. Microsoft went from 8.5 percent to 9.2 percent. Does this argue for a Microsoft-Yahoo merger? Not especially, since those small, hard-won gains would likely evaporate while the combined entity fumbles for years in post-deal internal politicking.

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<![CDATA[Google's Ad Planner announcement like a rusty shiv to ComScore's kidney]]> ComScore's stock dropped 23% on Tuesday when news broke about Google's Ad Planner — because now you can get demographic info from the same shop you can buy Web ads from. However, that's exactly the reason ad agencies and marketers might be wary to take Google's information at face value. [Silicon Alley Insider]

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<![CDATA[While Microsoft and Yahoo talk, Google takes more search market]]> Why is Microsoft so desperate to acquire Yahoo's search business? According to ComScore, Google's video-sharing site YouTube and Google's other subsidiaries alone attracted more search queries than all of Microsoft's properties combined in April. Comparing total searches for each company is similarly lopsided; Google controls 61 percent of the search market to Microsoft's 9.1 percent, which is a decline from 9.4 percent in March. Problem is, buying Yahoo might not help. Yahoo lost search market share last month, too, dropping from 21.3 percent to 20.4 in just one month.

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<![CDATA[Revolution Health lays off an entire business unit]]> Revolution Health, the company founded by former AOL Time Warner chairman Steve Case, has laid off its entire business-to-business unit, according to a tipster. In the rest of Revolution Health, there's little sign of its original mission — helping consumers lower healthcare costs. Instead, it's operating a series of vaguely health-related websites, and selling banner ads against them, a push for traffic for traffic's sake which began last year. But most recently, another source tells us, Revolution's pageview games have started to look desperate:

According to my sources, Steve Case's Revolution Health has signed a deal to act as the exclusive ad rep for DailyStrength.org and its 40 MM+ pageviews with minimum quarterly revenue guarantees. The deal reportedly includes traffic assignation in comScore.

However, word is that Revolution may not issue a press release on the deal because they may be afraid ComScore is looking at whether Revolution really fits within the Health category. The representation of advertising and traffic for Daily Strength, a social networking platform that could be best described as a "feel good Facebook-lite," isn't likely to help their case.

A ComScore rep says that DailyStrength is still categorized in "Health," so what Revolution is doing is legitimate, barely. But advertisers are skeptical of the value of social-network traffic. While the deal could boost Revolution's traffic figures, the guarantees will likely prove costly, which could lead to another round of pink slips. And it's never a good sign for a Web startup when developers bail. I really hope the rest of the workforce has put money tax-free into healthcare savings accounts, and read up on Cobra law. That is, if Revolution Health even offers those programs to employees. It only recently started offering group healthcare to employees, we hear. (Photo by Christopher Carfi)]]>
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<![CDATA[ComScore plays Google whipping boy, but Web statistics firm actually saved search giant's bacon]]> In February, ComScore reported underwhelming growth in clicks on Google ads in the U.S. Google shares sank below a 52-week low for the first time in the company's history. Then, yesterday, Google reported 42 percent year-over-year revenue growth, surpassing expectations. Burned, Wall Street traders reacted harshly toward ComScore, dropping the company's shares by 8.4 percent after hours. Today, ComScore wants to remind the world that it never said Google's revenues would sink and that it only measures clicks on Google ads in the U.S., not internationally But really, Google investors owe ComScore a large debt.

WIthout making its numbers so readily available for analysts such as Citi's Mark Mahaney to misinterpret, expectations for Google's first-quarter revenues never would have sank to numbers the search giant so easily reached. All it took for Google to blow past them was a smidgen of international growth coupled with a plunging dollar.

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<![CDATA[Brooke Hammerling, online-video PR rep, weighs in on online-video audience debate]]> brooke_hammerling.jpgBrewPR's snacky flack Brooke Hammerling penned a guest column for Silicon Alley Insider, arguing that the Web video industry needs to come up with a strict viewership metric. Though she doesn't mention it in the piece, New York-based online-video startup NextNewNetworks is a Brew client. (It's disclosed, in tiny type, at the end.) We could ask why Henry Blodget is giving a self-interested company rep a soapbox, or why they couldn't fix the red eye in Hammerling's photo. But the real question is why Hammerling suddenly cares about online video analytics.

Could it possibly be because she's not happy with the numbers that ComScore is reporting for her client — or, worse, the numbers NextNewNetworks is asking her to pitch? I'd like to point out the Association for Downloadable Media is giving a presentation on video advertising standards tomorrow at Ad:tech. Maybe Hammerling should give them her support instead of taking passive-aggressive stabs at companies working in the space. That seems easier.

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<![CDATA[ComScore reports MySpace hit 109.3 million...]]> ComScore reports MySpace hit 109.3 million worldwide unique visitors in January. Facebook had 100.7 million, only 8 percent less. Last year, MySpace's lead was four times as large. [SAI]

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<![CDATA[ComScore backtracks on numbers that tanked Google's shares]]> Bear Stearns analyst Bob Peck laid waste to stock portfolios everywhere on Tuesday with ComScore metrics that said Google users clicked on only as many paid links in January 2008 as they clicked on in January 2007. On the news, Google's share price dropped 8 percent. ComScore's Magid Abraham and James Lamberti are sorry. To say so, they wrote a 1,152-word post. Here's a Friday-friendly version:

ComScore's report triggered reactions in the financial community on two concerns: a weak outlook for Google, and a soft U.S. economy. Our search data does not lend them direct support. Softness in Google's paid click metrics is a result of Google's quality initiatives. That resulted in a reduction of paid listings and the opportunity for paid clicks to occur. Reduction of paid listings existed throughout 2007 and was offset by improved revenue per click. Indicators point to the company continuing to do well. If this improved quality is real, should we expect an increase in the paid click rates? Not necessarily. If ads are more relevant, consumers need fewer clicks.

One-word version? "Oops."

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<![CDATA[Buyer of $200 million a year in search ads says clicks are up]]> SearchIgnite, which spends about $200 million each year on search advertising, says that clicks on Google ads aren't down or even flat as ComScore recently claimed. They're up 40.1 percent year-over-year. On all major search engines, paid clicks are up 45.7 percent year-over-year — up 65 percent for retailers and non-mortage-related financial services. So WTF, ComScore? The most likely answer: ComScore has surveys; SearchIgnite has invoices. (Photo by bitzcelt)

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<![CDATA[ComScore says social networks' growth is slowing]]> Creative Capital got ahold of the December 2007 ComScore numbers for the top social networks in the U.S. — and they are, on the whole, not good. Engagement — average minutes spent on the site per visitor — is down for MySpace and Microsoft's Live Spaces, but up for almost all the other sites. Unique visitor growth is ominously low for MySpace and, in the last three months, LinkedIn. Hit the jump to see the numbers for yourself.

dec07uniquesocialnet.pngMySpace has only added 8 million users since last year — and lost users since October. Valley darling Facebook has nearly doubled its user base, jumping from 19 million to almost 35 million users. Live Spaces and Hi5 have lost users, while Bebo and, incredibly, Friendster have added users, though they are still nowhere near the market leaders. The site with the big focus on business, LinkedIn, has more than tripled in size since last year — but shows almost no growth the past 3 months.

dec07minutessocialnet.pngLeaving aside December, which is a likely outlier for engagement thanks to the holidays, Facebook, Bebo, Hi5 and LinkedIn all show growth between December 2006 and November 2007. Only MySpace and Live Spaces show a drop during that time period — a particularly ominous sign for News Corp.'s MySpace. At 196 minutes per visitor, it's still light years beyond any of the smaller sites. Friendster, which had shown strong engagement growth, up to 109 minutes in October, fell to under 70 minutes in November before plummeting to 40 minutes in December.

As Creative Capital points out, the News Corp. earning announcement next week will give the first insight into the money numbers from MySpace — and we'll know if the slowing growth is affecting the bottom line.

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<![CDATA[Sears covertly spying for ComScore?]]> Sears, the department-store operator, is inviting visitors to its website to join an online "community." In the process, visitors may be unwittingly installing spyware from ComScore which monitors all of their online behavior "including ... filling a shopping basket, completing an application form, or checking your ... personal financial or health information." Sears defends this installation process as clearly and appropriately disclosed. Computer Associates, a Harvard Business School professor, and possibly the government disagree.

The researchers argue that Sears fails to disclose its relationship with ComScore. Mentioning the tracking application and its purposes pages into a dense privacy statement and end-user l icense does not count, they say. Sears disagrees, but the Federal Trade Commission may well think otherwise. The FTC has recently set standards for disclosure and consent related to third parties installing tracking software on users' computers. The required disclosure should be clear, prominent, unavoidable, and separate from any other licensing agreements.

While Sears is taking all the flak for the tracking software, it's really the problem of its business partner, ComScore, and the entire Internet-tracking industry. Why the deception? Because the benefits from the software flow to ComScore and other usage trackers, not the users being tracked. If Sears flashed even a token $5 discount at these people, you can bet they'd gladly hand over their privacy rights.

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<![CDATA[Why Facebook, ComScore disagree on users' ages]]> Sound the alarm bells: CPM Advisors has uncovered a drastic disparity between the demographics Facebook offers advertisers and the metrics ComScore independently reports. ComScore reports that 13.6 million U.S. people ages 35 or older use Facebook. Facebook, however, puts that number at only 1.26 million. What gives?

Facebook and ComScore have yet to elaborate on the big discrepancy. But there's one possible explanation rooted in ComScore's panel-based methodology. The other big discrepancy noted by CPM Advisors was in the 18-24 demographic; Facebook counted 50 percent more users than ComScore did in that age bracket. Here's a possible reason why: ComScore's software tracks the sites a single computer goes to. If a parent gives his kid an old laptop to take to college, that's instantly someone in the 18-24 demographic miscounted in the 35+ category.

Inside the advertising community, this is a well-known problem: In September and October, as students return to school, the numbers from ComScore, NetRatings, and other panel-based measurement systems become inaccurate. Over time, the panels get corrected, and ComScore's numbers return to their usual level of accuracy. For people in the know, CPM Advisors has uncovered exactly nothing.

But it does raise another issue. With the rise of sites like Facebook, where users have motives to report their age and gender accurately, it's not clear how much longer advertisers will tolerate these seasonal discrepancies. The promise of online advertising is that media buyers won't have to treat numbers as a matter of faith. Who can you trust? In that answer lies dollars.

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<![CDATA[Holiday retail just fine after all]]> HolidayOnlineRetail2007.jpgJust when ComScore had you worried that the subprime mortgage crisis would slow down e-commerce, they come back today with good news. According to the she-loves-me-she-loves-me-not online-metrics firm, this holiday season's first 18 days saw more than $7 billion in spending, a 17-percent gain versus the corresponding days last year. Here's the chart.

HolidayOnlineRetail2007.jpg

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<![CDATA[Radiohead on ComScore numbers: Bollocks!]]> ComScore, the online traffic tracker, told us that 62 percent of the 1.2 million fans who downloaded Radiohead's latest album "In Rainbows" weren't willing to pay for it. Now the band's management wants to kibosh those reports.

In response to purely speculative figures announced in the press regarding the number of downloads and the price paid for the album, the group's representatives would like to remind people that ... it is impossible for outside organizations to have accurate figures on sales.

However, they can confirm that the figures quoted by the company ComScore Inc are wholly inaccurate and in no way reflect definitive market intelligence or, indeed, the true success of the project.

From here, the statement looks like an easy nondenial. Most advertisers consider ComScore metrics accurate enough to be useful. And if Radiohead really wanted to indicate the "true success of the project," why not just publish the numbers themselves?]]>
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<![CDATA[ComScore says Facebook traffic dropped in...]]> ComScore says Facebook traffic dropped in September. We didn't think that was accurate. It turns out that traffic was only "down" because ComScore's measurement panel (along with Nielsen and others) only measures traffic from home. As students return to school, they are removed from the panel and traffic "drops." Facebook says that active monthly users is still rising at 3 percent a week, as it has since January 2007. [GigaOm]

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