November 23, 2007 -- (WEB HOST INDUSTRY REVIEW) -- The past couple of years has seen a significant rise in the popularity of social networking, thanks to websites like MySpace, Bebo and Facebook. And although many of these sites are finding a strong following throughout Europe, there is still considerable room for growth.
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The greatest challenge for these North American-based social networks in increasing their European market share is overcoming the cultural differences between North Americans and Europeans.
Internet research firm JupiterResearch (jupiterresearch.com) recently explored this issue in its latest European Content & Programming 'Vision Report', entitled "Social Networking Across Europe: Using Localization and Personalization to Drive Growth".
The 28-page report analyzed how localized site launches by sites like MySpace and Bebo have helped drive European adoption of social networking sites, and how the trend toward user personalization will ultimately lead to the demise of existing providers' applications and content.
"There's room for growth in some of the European markets where the disadvantage to UK markets is that US-based social networks haven't been adapted much to UK users," says Nick Thomas, lead analyst of the JupiterResearch report. "But in order to grow across Europe, they need to offer localization which MySpace is rolling out."
JupiterResearch set out to determine the differences in social networking activity across Europe and the varying user characteristics, which factors drive adoption across Europe, how increasing localization strategies affects stakeholders, the impact social networking will have on the media landscape, and finally, how media companies should respond to its growth across European markets.
Among its key findings, JupiterResearch discovered that regular European social networking use varies significantly from country to country, ranging anywhere from 10 percent in Germany to 21 percent in the UK.
Additionally, the report found that the overall adoption is higher in the UK than it is in the US, in which 18 percent of online users visit sites at least weekly. Meanwhile, social networking in Europe has reached a mass demographic of ages 15 to 24, accounting for 32 percent of those surveyed.
Based on these findings, JupiterResearch concluded that young online consumers will increasingly use these social networking sites as their primary online portals. Users will also increasingly personalize social networking profile pages.
The report also suggests that stakeholders in social network sites need to integrate and localize content to engage European social networking users, including the use of widgets.
"The key change is the tendency towards users personalizing their pages," says Thomas. "So the key trend is about social media rather than social networking. That kind of behavior will impact users across Europe."
The impact is two-fold: adding social networking elements to sites will strengthen relationships with users, while deconstructing content for other sites will broaden reach to new customers from social networks.
Ultimately, social networks are catering more to the differing markets in Europe, optimizing content for each territory to reflect not only the language, but also local tastes and sensibilities.
The report shows that only 30 percent of sites offer fully localized versions, but estimates that 70 percent of European users have access to localized social networks.
"The growth comes down to appealing to local users," says Thomas. "The question is whether the US sites can adapt to the local market to compete. The cultural variations are quite significant. The education system is quite different in Germany, for example."
