Posts Tagged ‘ DOTNXT ’

The Facebook Effect

I cannot believe it is almost the middle of 2012 and I have not written a single blog post this year. So much has happened I would not even know where to start. I guess when you start a new business you do not have all the time you used to have as a freelance consultant. So for those wondering what I have been up to, check out DOTNXT FACEBOOK PAGE

So this post has been sitting in my ” potential blog posts ” folder for almost 6 months, and with the listing of Facebook this past week and all the buzz around it, I felt it was a relevant time to finally post it. The Facebook Effect is a presentation I put together for a talk I did towards the end of last year. I am always interested in reviewing presentations I did months ago, to see how much is still relevant.

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Secondly, I always enjoy a business / financial angle when looking at the various different social media and other technology phenomenon’s shaping the business world of today. Technology has been my world for the last 5 years, and I am slowly making up my 10 000 hours of analysis. Some interesting facts to note for today:

1. In the Global BrandZ Report done by Millward Brown – technology companies ( including telcoms)  now form more than 70% of the top 10 brands, with McDonalds being the only non tech brand in the Top5. No surprize Apple is number 1 ofcourse.

Locally in South Africa, the picture is painted with a couple of different colours, with Telcoms, Banking and Retail still leading the way.

Read more about the above here: MOST VALUABLE SOUTH AFRICAN BRANDS 2012

2. FACEBOOK IPO: Is the company overvalued? And when will the social bubble burst, if ever? These are questions I cannot answer. According to Reuters debates continue over what Facebook is really worth. With the company valued at about $85 billion at the market close Tuesday, and a P/E of 60 for expected 2012 results, who knows. But one thing will always remain true, the Finance will fail, not the technology. As a very smart lecturer once told me, after the .com bubble burst, the Internet did not go away, in fact the opposite happened, it kept evolving and growing into a key ingredient in all of our lives. The finance of the companies merely enabled by the Internet burst. No difference with the new wave of Social Technologies.

I found the below article ( by the NYT, The Facebook Offering: How It Compares)  really insightful and thought relevant to share here. CLICK HERE FOR FULL ARTICLE

3. Lastly, what does all of this mean for me?

As I always say,

I think we often get so wrapped up in the marketing and technology side of things, and more recently the focus on ” Human Capital ” that the only real missing link for me is ” THE FINANCE ” . We need more Digital Business Analysts. We need more finance people in the technology / marketing industry in South Africa.

Last night on the plane to JHB I read an article about Roelof Botha, and it made me want to find the Sequoia Capital of South Africa. I realize our financial eco system is very different here in South Africa, but to me that poses more opportunity than anything else.

Time to try something new.

A space to innovate, collaborate and close the gap between finance, technology, marketing and people. This new world of DOTNXT where I find myself living in these days.

Till next time,

A