How to Make Money with Blogs: the Basics

The purpose of this blog is to discuss technological effects on commerce so I thought, this week, instead of talking about some technology that may not affect you till much later, I will blog about something applicable now and something that we all love: how to make money!

In this entry, I will attempt to elucidate you on basic matters on how to make money by blogs. I myself have made tens of dollars in 2 weeks so I guess my methodology works, in another few weeks, hopefully I’ll be looking at a cheque.

Step 1: Know what you want to write about.
Most bloggers write about personal experiences (like how amazing that movie was or how bad traffic is in KL, etc). While this is not a bad idea especially if you talk about a range of issues, such as social issue that affect a big audience, it may restrict your loyal audiences among very close friends (or stalkers :S). Instead, try to blog about a specific topic, if possible, one that very few blog about: an example would be “the latest updates on lawn bowling”.

Step 2: Get a website.
There are two free webhosts that are popular amongst bloggers: Blogger (blogspot) and Wordpress.
If you are an absolute beginner in computing, using a Blogger account would be the safest measure. The interface is succinct and concise, with layout presented as WYSIWYG (What You See Is What You Get). As a note, it is easier to implement adds using 
this feature. This blog is done on Blogger.

If you have intermediate computing knowledge or if you are willing to learn, WordPress is my recommendation. While initial installation must be done via FTP (if you have your own domain, if not, via the WordPress page), the range of themes and plug-ins enable you to customize your website for a professional look. An example of a WordPress site is my other page: What’s Up Notts. You can see that I’ve implemented a Facebook theme – themes are free and easily uploaded, the only problem you may face is the need to upload it.

Step 3: Get Your Money-Maker
Using Google’s Adsense is recommended. There are three types of ads: content, search and referrals. You get paid as follows: Content is when people click your ads, Search is when a user uses the search function and clicks a sponsored link and Referral is when a user clicks and perform a purchase or download (it varies by companies).

Adsense’s contract states that when implemented, the website is not allowed to use any other advertising tool which is contextual. This means that Adsense users are not restricted to use Nuffnang. While Nuffnang also provides a CPC (Cost Per Click, meaning you get money when people click your ad), it may also enable you to have Cost Per Unique Visitor, which basically means you get money simply with people viewing your site. What this ultimately means is that, using both Adsense and Nuffnang will enable you to double your income.

Step 4: Get a website counter
Get Google Analytics. Its very comprehensive as a site monitor.

Step 5: SEO (Search Engine Optimiser)
This is what makes your website appear at the very top of search engine results. If you are using WordPress, make sure you download any SEO plugin and fill in the appropriate details. In this way, when users google specific keywords, your website will appear at the top.

If you do not use WordPress, do not fret. Join websites that are communities which discusses blogs. What I can recommend is SpicyPage. Just register and fill in the details of your website and in about 24 -48 hours, if you google your website name, it’ll be there!

So, all the best to all you bloggers in making money online. I’m no expert myself, I have yet to make my thousands from blogging so if you have any pointers to share, do comment!

Future of the Internet: Semantic Web vs Web 2.0

If you understand what Semantic Web and Web 2.0 means, skip to the dotted line.

To those of you who do not follow the advancements of the internet, I shall try to give you a ‘The Future of The Internet’ 101 in one paragraph (if only all classes are like this :S). To begin with, the Semantic Web and Web 2.0 are two candidates that are deemed to be the future of the Internet.

The simplest way to understand Semantic Web is to appreciate that at current standards, computers do not understand the meaning of words, it is not unlike a non Japanese speaking person reading Japanese text. If you were to Google ‘cool shops in KL’, the search engine will search for matching texts without understanding that the ‘cool’ does not refer to the temperature but is in fact a colloquial term. Web 2.0 is the term given to the ongoing transition of the Internet to a more collaborative environment where user input enables better data services; such as wikis, social networking sites and blogs.

------------------------------------------------------------------------
There is a certain perception that the future of the Internet must be either one of the two. This however, is a misconception as even by definition, the scope of study that the two affects are two very different things. If anything, the future of the Internet would more likely be the amalgamation of the two.

If these two are the shortlisted candidates to be the future of the internet, an interesting question would be when and how the change would take place. My personal take on the matter is that there must be a certain business demand for its change and with classic demand-supply models, a change will surely take place. As to who would be powerful enough to have such an impact to this business demand, other than private web owners (who individually shall provide and propagate Web 2.0 interests), mega corporations such as Microsoft, Yahoo and Google, whose services and standards are adhered to by some many, can hasten this change by prompting for a this new Semantic Web/Web 2.0 compliance.

On another note, Semantic Web’s use of ontology faces standardization issues. One important issue to point out are the tags that ontology uses – imagine if HTML wasn’t standardize and tags could be customized, person A could label ‘cool’ as ‘temperature’ while person B could label it as ‘weather’ and ultimately semantic search engine will still not be able to differentiate the two or detect its similarities. Ultimately I do believe a body must be made to standardize the specifications of Semantic Web before its widespread use can be propagated (this is not unlike the case for Bluetooth as a standard).

An interesting thought would be if collaboration and the enabling of computer interpretation are the next step of the Internet, what would be the next step after that?

Brand Logos and Your Behaviour

Have a look at the above logos.

In creating a business, perhaps one of the more difficult decisions one must make is the creation and selection of the brand logo as it will represent the company. According to researchers at Duke University’s Fuqua School of Business, your exposure to the above logos actually influences your behaviour. To be precise, a 30 milliseconds exposure to Apple’s logo makes you more creative than a similar exposure to IBM’s logo.

These findings are anathema with traditional marketing beliefs that subliminal advertising may in fact be effective. Some market researchers had tried to put the motion forward, such as James Vicary in 1957, who claimed that his Coca-Cola’s sales are boosted by flashing ‘Drink Coca-Cola’ ads. The marketing community dismissed this finding at the time but recent researches are starting to suggest otherwise.

A test done on 341 university students, where they are exposed to logos of well-known brands and their behaviour then gauged using a series of tests reveals surprising results. 30-millisecond exposure to Apple’s logo makes you more creative than an exposure to IBM’s logo and an exposure to Disney’s logo prompts you to be more honest than exposure to E! Channel logo.

As a note, researchers on the matter discovered that these exposures are not supposed to be like TV adverts, where the length of the TV ads enables sufficient time to set up their mental defences. This behaviour priming only works with brief exposures to brands.

This recent finding, surprising as it is, also raises more questions. Such as, if Apple’s logo really does make one creative, will exposure to the logo be helpful, say, before an art exam? Perhaps the Disney logo could be used to instill honesty to aid the police during interrogation?

Social Networks: Balancing the Act of Privacy Loss and Socialising

Few years ago, the scenario of knowing a friend of a friend, how the person looks, his education background and his interests is an uncommon one. Today however, the frequency of this scenario is rapidly rising: this is one of the effects of social networking phenomenon.

By definition, a social networking website is online social network for communities of people who share interests and activities. Some of the notable social network websites that you readers are likely to be part of are Facebook, MySpace, YouTube and Friendster.

The creation of a social network that holds private individual information enables the increased scenario where strangers can intimately know another depending on the level of information provided. Though the level of access to strangers can be varied from no information to full disclosure, the concept of ‘keeping in touch and making friends online’ is a pretext to the diminishing levels of privacy. This is particularly true as reported by The Independent, where judicial courts are now expanding their jurisdiction to search social networks to find out information regarding cases, where it is common for people to reveal intimate personal information on their blogs and profiles.

However, despite the knowledge of reduced privacy, many are addicted to it, with Facebook’s statistics showing it is the 6th most visited website in the US. Furthermore, the availability of an audience makes it a good business decision to expand business functions for both business-to-customer (B2C) and customer-to-customer (C2C). An example of the former is the marketing of brand products on YouTube channels and an example of the latter would be Facebook’s Marketplace, where you are able to advertise items for sale for other members of the social network website.

On a personal note and a user of social network websites, I am aware of the amount of privacy that is taken away from me by signing up with these websites. However, by careful selection of what information and pictures I put up and the people I interact with on these websites, I believe it this loss is justifiable for the function it provides: for keeping in touch with friends, especially those who are overseas. As for the business aspects of these websites, I do believe it is an efficient way to market products and ideas to the youth. This is particularly apparent with politicians, especially the US Presidential candidates, having a profile of Facebook and spreading the awareness of the importance of voting.

The phenomenon of social networking websites is unlikely to fade away so soon. It ultimately comes down to the user to decide what level of privacy is worth the value of socializing. So what’s your take on it?

Presidential Candidates’ Stand On Technology

In the past two decades, the significance of information technology has appreciated rapidly to the point it is generally accepted that it is the way of the future. Another accepted fact is the influence of US Politics as a determinant of world politics. With the US Election primaries currently on going, it is interesting to see what the future leaders of a superpower nation of the world has in mind for the future of IT. This article will attempt to analyse the policies and stand of the leading candidates of the current election.

Starting off with the Republicans, John McCain’s focus on innovation is, as he stated, “fueled by risk capital, skilled workers, incentives for entrepreneurs, a light regulatory framework and open access to markets”. McCain supports the increase of immigration to the US by the expansion of the H-1B visa programme. He also supports embryonic stem cell research. The stem cell research, controversial due to its nature of manipulation of human cells, the devaluation of human life and in conflict with pro-life movements, however, has the potential to treat a variety of degenerative conditions and genetic diseases. The implication of these policies as a whole on digital business is the increase influx rate of high tech employment in the United States along with a more favourable Oval Office response to funding of various bio-tech endeavors.

Moving on to the Democrats, Hillary Rodham Clinton’s focus on improving science and technology is through innovation. She plans to do so with increased funding for R&D and emphasis on science, technology, engineering and mathematics (STEM) education, specifically tripling the number of National Science Foundation Fellowship and increasing each size by 33% and increase financial support for minorities and women. Clinton’s technological platform also focuses on ensuring adequate funding for e-science research, which will link Internet based tools, collaboration tools, supercomputers, high speed network and software for simulation and visualization. She will also invest in the speedier development of the next generation technology required to replace the aging Space Shuttle. As an analysis, Clinton’s policies on technology will possibly lead to a more interesting development in the field of information technology compared to other candidates and her emphasis on education bodes well for the future development of the sector in general.

Barack Obama’s stand on technology and innovation is similar to Clinton on the STEM education front. As a differentiating factor from Clinton, Obama plans to create a new position of Chief Technology Officer to ensure the government has the most updated technology available and improving the H – 1B visa program to attract highly skilled talents. He also plans to expand access of broadband connections and computers to public schools as well as investing in programs like the Defense Advances Research Projects Agency (DARPA). This is particularly interesting as DARPA is credited with some of the most important innovation that brought information technology to where it is today, such as computer networking, NLS – the first hypertext linking system and a precursor to the graphical user interface. As an analysis, Obama’s focus on innovation, with its amalgamation of strong policies present in both McCain and Clinton’s, makes it one of the more promising policies for the future of the industry.

Has Blu-Ray finally triumph over HD-DVD?

Kyodo News of Tokyo reported on Saturday, February 16 2008 that Toshiba is considering dropping its HD-DVD format. The Toshiba HD-DVD is currently competing against the Sony Blu-ray format, it is not unlike the VHS and Sony’s Betamax video format battle during the 1980s. Only one format is expected to be the standard – Sony lost this battle with its Betamax and the VHS continued to be the industry standard. Today, Sony is on a different playing field, with its Blu-ray gaining market share with the support of five major Hollywood movie studios and the Friday, February 15th announcement that Wal-Mart Stores will only carry Blu-ray in preference over the HD-DVD. Furthermore, Warner Brothers, the only Hollywood studio to carry both formats, announced last month that they will no longer support the HD-DVD. With Blu-ray continuing domination, if Toshiba does pull out its HD-DVD, it will be a victory for Sony in this latest format war.

An analysis of the victory of VHS over Betamax reveals that Sony’s mistake was in its lack of anticipation of customer needs. Though the Betamax had first-mover advantage and offered quality recording, market research later revealed that consumers preferred lengthier recording time as oppose to quality and ease of information transfer. The mistake was made due to the fact the video recording market was a new one and competitors sacrificed on research and development for first mover advantage. Ultimately, the Betamax lost to VHS though it was a superior format. The advent of the DVD manages to contain an outbreak of another format war as all major electronics corporation agreed to use it the single format for playback.

Sony did not repeat its mistakes with the Blu-ray. With the release of the Blu-ray, Sony managed to convince major film studios to carry this format, some even exclusively. As both Blu-ray and HD-DVD suffer from lack of playability from normal DVD players, Sony ultimately has an advantage with its grasp in the gaming industry. The Sony PlayStation 3 was to use Blu-ray as a format, giving gamers bias towards the Blu-ray format and removes the need of purchasing a HD-DVD enabled player. Statistics show that as of January 2008, PlayStation 3 sales have reached 10.49 million worldwide.

Ultimately, Toshiba’s pulling of its format will finally put an end to the latest series of video format wars.

Why E-Commerce Is Not A Successful Business Model in Malaysia - Problems and Solutions

The advent of the Internet brought with it the opportunity to do business beyond the scope of its physical boundaries. A proper implementation of an e-commerce page will enable companies to expand their client range to an international level. It is with implementations that companies such as Amazon and eBay has started and become multi-million dollar businesses. Today, it is not uncommon to have boutique shops prioritizing their expansion into the World Wide Web as oppose to simply opening a new physical boutique. However, the e-commerce equation takes for granted, one element, which many Malaysia feel uneasy about: the process of paying online.

The process of online payment usually takes the form or using credit cards or an electronic wallet of an individual’s bank account, like PayPal. Banks in Malaysia currently do not offer its account holders connectivity to PayPal and the closest of its kind is the Maybank2U account, which is not accepted world wide. This leaves the only efficient payment option as credit cards. A number of websites that attempted to use ecommerce in Malaysia had a money postal order concept or an upfront deposit of cash into certain bank accounts which is technologically inefficient. As an analysis, I do believe the fear in the use credit cards online is mostly due to the rampant fraud cases prominent during the late 90s. Though many measures are now implemented to improve credit card authentication and reduce fraud, the fear of its use remains and takes its toll on the full potential of e-commerce in Malaysia. This perhaps partially explains the limited success of websites such as eBay Malaysia and Lelong.com.my.

A remedy to the problem, I believe, would be to introduce the use of electronic wallets; a bank card which automatically doubles as a debit card and accepted nationwide (an EFTPOS implementation) or the introduction of an internationally accepted debit card by a major card issuer company, such as the VISA Debit Card, as available in many developed countries.