content model characterized by user collaboration and free-form experimentation. In addition to social networking sites, wikis, really simple syndication (RSS) feeds, blogs, and podcasts all figure prominently in the Web 2.0 landscape.

Despite their common classification, each of these tools has its own distinct business value proposition. Companies considering adopting a specific tool should consider the value it brings to the table relative to other marketing communication devices. Before a company devotes time to creating a blog, for example, it should first determine how the blog would contribute to meeting specific marketing objectives. Second, the company would do well to determine how—if at all—the blog format could be adapted to fit with its brand identity. And finally, the company should evaluate whether or not its target audience will even make use of the blog once it’s deployed.

Is the Marketing Value of Web 2.0 Overblown?
To gauge the value of this new Web communication paradigm, one only needs to consider the amount of money Microsoft recently paid to gain a small stake in Facebook. Though some skeptics claim that Facebook and other Web 2.0 startups are simply overvalued (after all, many of these companies have yet to turn a profit), it’s hard to ignore the massive following garnered by these sites. It’s estimated that Facebook has more than 60 million members. Clearly, Internet consumers—led by a vanguard of computer savvy teenagers and young adults—are increasingly embracing the norms of the social computing environment. In addition to joining and participating in online networks like Facebook, more and more users of all ages are maintaining personal blogs, posting product ratings and reviews, uploading photos, listening to podcasts, and using RSS feeds.

The results of a nationwide survey published in 2006 by a leading research firm indicated that 30 percent of all Internet users in the United States—more than 40 million people—had posted ratings of products and services on the Web during the survey period. That same survey showed that nearly 35 percent of respondents had uploaded photos to the Web to share with family and friends during that time period; and more than 25 percent of those surveyed had contributed content to blogs. As expected, when such studies focus on members in the 19–35 age demographic, the numbers are even more staggering. For example, a 2007 study by a top market research firm reported that 39 percent of youth create online content on a frequent basis.

After even a cursory examination of the data, the trend is obvious—more and more Internet users are embracing the Web 2.0 model of collaborative content creation. This leaves businesses looking to take advantage of this trend to face the question: to blog or not to blog?

Is Web 2.0 the Way to Go?
Performing analysis to determine if Web 2.0 tools can be practically incorporated into a company’s marketing strategy and brand identity is a critical first step in ensuring healthy return on investment. But it’s understandable why some companies are choosing to neglect this process. Fear of missed opportunities and the temptation to capitalize on the sheer volume of participation in Web 2.0 activities have led some businesses to create and deploy blogs, podcasts, and other devices without adequately weighing alternative ways to spend their marketing dollars. Though success stories abound, frustratingly poor responses to these initiatives in some cases have led companies to the conclusion that Web 2.0 is not the way to go—at least not yet.