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Interview with Craig Calle, CEO of Common.net
Ben Bradley recently sat down with Craig Calle, CEO and Founder of Common.Net to talk about balancing the relevance of social networks with the spam-like interruptions caused by social networking software. Prior to forming COMMON.net, he was the EVP and CFO of IPWireless, Inc., a leading broadband wireless technology company backed by a group of prominent venture capital firms. He holds BA and BS degrees from the University of Pennsylvania (1981) and an MBA from Harvard University (1985).

BRADLEY: Tell us more about Common.net

CALLE: My original motivation to start COMMON.net came from a lofty notion that our society could benefit greatly by connecting good ideas with those who could make best use of them. At the same time, I was profoundly disappointed that the only social networking products entering the market seemed like online dating sites masquerading as business applications. I thought the facilitating relationship capital had enormous business potential, but demanded far greater innovation.

Having leveraged my network in other careers, I understood how business people network successfully in the offline world. We’re expressing that now with technology.

BRADLEY: Where did the social networking sites go wrong?

CALLE: To start, they created a virus that made an industry sick. Most social networking sites for business are driven by viral marketing tactics. People are first introduced to these products through unsolicited invitations from others. Early adopters may appreciate the added utility these apps have to offer, but as the sites mature, they become spam-like when people invite those they don’t know well, or don’t know at all.

Viral marketing can be powerful, but social networking CEOs see only the benefits and are naïve about the consequences. I have seen luminaries crow about zero cost of customer acquisition. This belief is attributed to the beauty of the viral marketing process or the willingness of users to send invitations to other people. The problem with that thinking is that it overlooks the negative consequences when such invitations are perceived as spam. These social network chain letters create large groups of people who are only associated through chains of emails, but that activity may not result in a consistently actionable networking experience.

Finally, these sites they adopted someone else’s model rather than create something innovative. Friendster was successful in using social network theory to revolutionize online dating. That model worked well because it created a plausible rationale for a stranger to connect to another stranger who had a consensual desire to participate. The profiles offered a means by which participants could satisfy their voyeuristic tendencies. However, most of our competitors simply used the Friendster model and called it a business application. Online dating and business networking are very different animals, requiring different solutions.

BRADLEY: What are some of the technical problems with social networking sites?

CALLE: Simple. First, they place too much emphasis on viral growth. The method of inclusion used by social networking sites are vitally dependent on spam-like invitations to join one’s “trusted network.” Socially awkward situations arise when someone receives an invitation to join from someone they know but with whom they don’t wish to be linked.

Second, social networking sites operate with flawed trust mechanisms. Users must scrutinize one another’s personal profile to infer whether there is a basis for trust to be established between members. Many early adopters of such systems are comfortable with this kind of display of information. I feel that the growing desire for privacy will compromise these public profile displays and reduce their effectiveness as part of a trust mechanism.

Users are aware that their multiple online personas may conflict with one another. A profile on a dating site may be very different from a professional persona, and the lines get blurry. This kind of “multiple persona disorder” can have awkward or even harmful consequences.

Finally, social networking sites bet the farm on the idea that my friend is also your friend because we both know each other’s email address. Why they don’t consider is the fact that a friend-of-a-friend could be an enemy, a real jerk or at least indifferent to their cause.

Trust mechanisms must be far more discrete and comprehensive than the process used in social networking sites. We find common ground and discretely compare two members’ affiliations with the people, places and things that constitute their relationship capital. Interacting members see only the shared affiliations, which mimics the guarded act of discovery two people go through when they meet in the offline world.

BRADLEY: How does social currency work in the online and offline world?

CALLE: Social currency is a very important aspect of offline networking. It follows that online networking should mimic the way people interact in the real world.

People recognize the value received from those who help them through indirect means. It would be unthinkable to write someone a check or give them cash for help. Instead, someone might acknowledge a favor by bringing a better bottle of wine when invited for dinner or even invite them for a weekend at their lake house. Social networking sites require a user to approach someone with a rather formal declaration that they wish to engage in a networking relationship going forward. The same sites also assume that people will help others simply by tracing their linkages through a chain of relationships. Tracing linkages can be entertaining, like the famous Kevin Bacon game, but it does not lead to a consistently actionable networking experience.

BRADLEY: What are you doing differently?

CALLE: At COMMON.net, we’re working hard to mimic the dynamics of the offline world in an online site. In the offline world, an asymmetric relationship exists between the person asking for help and the person who considers giving it. We replicate that relationship between Seekers and Advocates in our online world. Seekers are the people looking for a connection and Advocates are the people who can help connect them with their desired Contact. Seekers don’t know who the Advocates are unless the Advocate wishes to be known. That means no more socially awkward situations for people with great rolodexes. We’ve also eliminated the spam-like methods of inclusion.

Seekers and Advocates do get to see the common ground they share, which helps establish whether a motivation for cooperation exists, and they can see their reputations as measured with others they’ve dealt with in the past which helps keep everyone honest. The Seeker also sees the Advocate’s professed strength of relationship with the Contact before sending a message to an Advocate asking for help.


Ben Bradley is the managing director of GrowingCo, Inc. and The Bradley Group. Do you have a question or topic you would like Ben to address in an upcoming column? Please send your comments to ben@benbradley.net.

 

 

 

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