Google.cn down, Koolanoo PR up

Well, if nothing else the past week has certainly been interesting.  Google’s blog post declaring a new approach to China has also resulted in a flood of interview requests for comments from Koolanoo CEO Dan Brody, so far including CNN, ABC, VRT Nieuws (Belgium) for TV, and for print Financial Times, Wall Street Journal (blog), Washington Post, New York Times, and Gulf News.

Since lots are asking for comments on this, we’ll just repeat the basic points here:

  • This came as a shock to Google’s employees in China. Many have commented on something to the effect of, “Imagine waking up to see that your employer might be exiting the market.”  Bummer. Lot of resumes getting updated now.
  • It’s a shame if Google does “leave the market” in some way, as they were the last man standing in terms of large foreign internet companies still operating in China, and lots of techies like to use google search.
  • Google is most probably not actually “leaving the market” but just stopping filtering results on google.cn, then it’s up to China to see if they allow google.cn or google.com’s Chinese language search to be allowed to be viewed in China or not. This makes Google’s future decision tree much simpler: we launch how we want to launch, and China decides if they want to block it or not.
  • Even if Google.cn is blocked, or even if (egads) Google.com is blocked, there will still be a large number of Chinese enterprises targeting the export markets of US, Europe, etc that will want to advertise on Google. Therefore, keeping Chinese employees from online sales operation and customer support for other channels makes sense.  In addition, business development for helping partners implement Google search or ads, either Adsense Online or BD, also makes sense. After all, there were thousands of websites using Google ads even before Google had an office here.  Also, engineers working on global products will obviously have things to do, either located in this office or others. Only folks looking to be re-tasked are those who worked on Google.cn specifically, or on China-oriented products (of which there are still quite a few). Still, those people won’t have much problem finding a job I’m guessing — send resumes here to our Xoogler head of HR ;)
  • This (ie, the attack) seems like the last straw after many years of angst and hassle.
  • China product launches had to satisfy difficult demands from both Chinese government and (sometimes more onerous) internal procedures. Once it was decided that the basic policy was no personally identifiable information allowed in China (ie, no Gmail servers, no login, nothing incriminating left onshore so not even the possibility of having to hand something over), meant that every little product needed to be tweaked, to a lesser or greater extent, in order to launch in China.  That’s not even considering changes necessary to comply with Chinese law.
  • The rumors about an “inside job” by a Google engineer in Shanghai sound spurious at best. Even if source code could be taken (and that’s a big if, considering internal controls), my understanding is that would only allow someone to replicate offering the Gmail service…provided they had thousands or millions of machines in order to run that code. Not necessarily to “hack it.”  Plus, it seems like the attack was phishing based, ie emails to random employees saying “click on this,” and the public information indicates the attack came out of Rackspace in Arizona after hopping through Taiwanese IP addresses.  But hey, we’re not security experts so check out what other people are saying.  Ars Technica has the most interesting roundup we’ve seen, especially the part about “why only subject lines” near the bottom. Check it out.

End of the day, if there’s a silver lining, it’s that this is easily the most international PR exposure the Koolanoo Group, 360quan, iQ browser, and shimao.tv have ever seen, so at least we’re making the most of our 5 minutes of fame. ;)

Comments welcome.

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Games, webgames, social games…everybody’s doing it

Seems like everybody in China is jumping on the gaming bandwagon these days. Today’s JLM Pacific Epoch update had no fewer than 3 major groups announcing they’re all getting into webgames. CCTV.com announced partnership with Shanda, Golden Eagle (the online arm for Hunan TV, China’s 2nd largest TV group) announced it would be launching webgames in Q1, and Kongzhong CEO Wang Leilei says that half their revenue next year will be from games, both online and mobile.  Seems like everyone is catching the online gaming fever.

As for us, we’ve seen a nice uptake in usage and revenue from games on 360quan.com as well. In first half of 2008, we launched over 30 social games of our own, which contributed to much of the traffic growth in the first half of the year. And in Q3/Q4 we’ve launched a series of webgames in cooperation with some external game studios, which as much deeper games with monetization built in from in-game virtual goods purchases, have resulted in good and stable revenue growth from users since launching.  Interestingly, we’ve seen much better performance from fun, cute “ka wa ii” style games instead of smash-grab kill ‘em all type of games, which upon reflection makes sense given that 360quan’s demographic of post-90s generation kids trends younger and more female.

Here’s to great success in gaming for the next few years. I fully expect a round of strong gaming IPOs on ChiNext and several regional markets in the middle / end of next year, since these “gaming aggregator” sites are pulling in some serious revenue numbers already.

number of view: 140
 

Sinotech takes Vogue website to task

 Kudos to Matt McDougal at the Sinotech blog for an interesting post comparing the performance of various high end luxury websites in China, specifically Elle, Rayli, Cosmopolitan, and Vogue. He takes Vogue’s Chinese website to task for it’s poor performance in various cities, longer loading time and heavier page.

We do these metrics all the time internally, it’s interesting to see other website’s data, and easy to draw some simple conclusions. For instance, Vogue certainly only has a server in the north, not in the south. And in July it looks like they served regular ads for a couple weeks, no ad for a week, then a really big ad for the last week.  (Click thru to view the graphs here)

Curious about their various traffic, I check out trusty source Google Trends which shows that actually these websites are not even on the same level. Rayli is way above the rest (of course), but what I didn’t realize before was that Elle China was a notch higher than the rest. See the graph here.  Also interesting, trends.com.cn has come up to be about the same size at Elle China (admittedly, they rely on 4-5 titles aggregated traffic), and the Elle team evidently launched an SNS project at elle.cn a few months ago (as evidenced by the copyright name at bottom of the page) that seems to have been abandoned after a couple free pages in the magazine a few months ago (check out GTrends of their traffic). Interesting, to see convergence between high end magazines and SNS in China. Will have to follow this one closely… ;)

number of view: 198
 

CNNIC publishes SNS survey; users want mobile version

CNNIC just published a new report on Chinese netizens SNS usage habits here (Chinese only). I’ve summarized the highlights below

CNNIC estimates 124M SNS users in China, out of a total internet population of 300+ million, with each user maintaining accounts on an average of 2.78 different SNS.  QQZone is the largest (of course), with Renren and Sina Blogs basically tied for second (is Sina Blogs an SNS? that seems a bit odd…). Compared to overall internet population, SNS users are highly concentrated in the 20-29 year old category, in terms of revenue are concentrated in the 3000+ RMB per month and <1000 RMB per month categories, and tend to be much more highly educated than the general internet population. 60% of SNS users get on at least once a week, with 34% getting on every day.  The most closely watched activities are the pictures and updates posted by friends (no surprise there), and the most used features are leaving messages for friends, posting pictures, and blog entries.  The most commonly cited reason for joining an SNS was recommendation by friends, while the top reasons for going to an SNS were to kill time and play games.  The most commonly requested features by users were to be able to get on their SNS using their mobile phone, and the most effective ad techniques were questionnaires and editorial events.

Useful stuff! Glad to see that 360quan launched mobile version already (check it out on PC or mobile at m.360quan.com), congrats to the team to launching it before the survey! ;)

number of view: 153
 

Shimao.TV and Fashion TV celebrate the first annual China Top Fashionista Awards

 Shimao.tv (www.shimao.tv) is a new high-end fashion video website owned and operated by the Koolanoo Group. On 4th of Novmeber , Shimao.tv has joined hands with global fashion media icon Fashion TV (FTV) to announced the first China Top Fashionista Awards on November 4, 2009, in Beijing.
Shimao.TV Chief Editor-Hemmy Wang

Shimao.TV Chief Editor-Hemmy Wang

The launch party held in one of Beijing’s most glamorous locations, the Legation Quarter. The well-attended event saw a host of celebrities, designers and media executives attend the glitzy evening. During the course of the evening Shimao.tv, a strategic partner of FTV, showcased some of the website’s newly expanded fashion video, news, and social networking functions. Shimao.tv holds the exclusive license for online and Mobile distribution of Fashion TV content in China.  

Shimao.tv launch party

Shimao.tv launch party

Mr. Yaron Jakubowicz, CEO of FTV international said that FTV is the only 24/7 international TV network dedicated to Fashion beauty and style that is broadcast more than 350 million households worldwide. In the past 10 years China has grown to become one of the world’s top luxury brand and fashion markets. We are happy to collaborate with Koolanoo Group’s new website Shimao.tv to co-host this award ceremony. FTV has authorized Shimao.tv as their exclusive content provider in China.

The ceremony finished with prizes awarded to China’s Top Fashionistas for 2009. Winners included:

he Most Fashionable Stylist Dongtian Li

The Most Fashionable Stylist Dongtian Li

 

The Most Fashionable New Talent:Yanfei Shi

The Most Fashionable New Talent:Yanfei Shi

 

  • The Most Fashionable Young Director: Yimeng Jin  (金依萌)
  • The Most Fashionable Young Fashion Designer: Xander Zhou    (周翔宇)
  • The Most Fashionable Multi Platform Designer: Baobao Wan   (万宝宝)
  • The Most Fashionable Stylist: Dongtian Li   (李东田)
  •  The Most Fashionable Photographer: Man Chen   (陈曼)
  •  The Most Fashionable Male Model: Zhenggang Fu  (傅正刚)
  • The Most Fashionable Female Model: Danni Li   (李丹妮)
  • The Most Fashionable New Talent: Yanfei Shi    (施艳飞)
  • The Most Fashionable Musician: The Super VC  (果味VC)
  • The Most Fashionable Face: Bingbing Fan (范冰冰)
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Koolanoo Group reaches 63M users

So usually we’re not ones to toot our own horn, but there hardly seems a better place to do it than a corporate blog, so…

We decided to start integrating our sales offerings to advertising across the half dozen or so properties that Koolanoo Group runs, so first we needed to analyze how many people we’re actually touching (ie, our reach).  When all of our properties were put together, we found that we reach 2.2 million users daily for an average engagement time of 2 hours 40 minutes per user, for a monthly reach of 63 million users.

Not bad for a group only a couple years old…congratulations to all the Koolanoo properties that made this possible!

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Chinese youth have more online friends than offline

Thanks to Thomas Crampton for an excellent post and graphic (below) on how many online / offline / close friends the youth in different Asian countries report themselves to have. Most interesting for me: China is the only country where youth report having MORE *online* friends than *offline*, testament to the power of online networking and “friend-making” 交友 websites in China.

how many online friends do you have - asian youth

Full trackback, Thomas pulled the slide from a slideshare presentation by Ian Stewart of MTV in a ppt about youth and social networking in Asia. Good stuff in there. There’s another cool slide showing how many social networks youth belonged to, saying 4 networks on average for China (see below). Hmm, so let’s see, that probably means most people would say some combination of QQ, Renren, and Kaixin for at least 2 of those slots for most people, leaving 2 other slots for specialized or more niche networks. Seems like good room for growth, especially as so many of the specialized SNS have disappeared or run out of money in the last year (more on that in a later post)

how many social networks do you belong to - asia

number of view: 200
 

“Happy Farm” developer acquired? UPDATE: NO

Press reports indicate that Five Minutes, developers of China’s most popular SNS game Happy Farm, are being acquired by Tencent. If true, it certainly represents a great move by Tencent to lock up a dynamic and impressive game developer. Ellison and Season, founders of Five Minutes, are very active and extremely well respected in the community, seeming to know anyone who’s anyone in both Chinese and international social gaming circles.  More impressively, they are credited with launching a reverse copycat phenomenon, ie usually we see press reports about Chinese copying game or business ideas, and there are thousands of knock-off Farm games on Chinese platforms to prove it, but more impressively this time we saw the emergence of a bunch of Farm knock-off games on Facebook also, as foreigners tapped into the proven success of Happy Farm to create Western copycats of a Chinese game on an international platform.  How’s that for ironic?

Press reports indicate that it’s a one-time purchase, and that Tencent and Facebook account for about 80% of the revenue being generated for Five Minutes these days. If true, then that’s truly impressive, as industry rumors were that Happy Farm as early as Spring 09 was already generating up to RMB 50K per day (gross probabaly, ie before revshare split, and who knows how long the payment terms were on that) from Xiaonei mostly but UC Home, 51, and a few other platforms, but before they launched on FB and Tencent.  And although FB doesn’t take a revshare cut, everyone assumes that Tencent took a pretty large chunk of the revshare in exchange for access to its massive user base, so being brought in-house makes sense for both companies.

Since Tencent culture is usually to build rather than buy, this is a testament to a great product and a strong team. Kudos

UPDATE: Seems press reports are, as usual, wrong ;) Tencent not acquiring Five Minutes, the boyz in Shanghai continue on their quest to build a world-class company on their own.

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new approach to recruit developers

Everyone who had to recruit people know, Its hard!!!
Maybe its me but when I interview a candidate I expect to see few things:

  1. Passion for development
  2. Learning ability
  3. Curiosity

These 3 are the most important indicators for a code developer. These are what, I believe, separate a developer from a code monkey. The search for these indicators requires lots of time and many man interviews. Most people I meet lack all 3 of them and also has pretty bad coding skills. Screening resumes is little help if at all since most resumes (at least here in China) are being "fixed" by headhunters and recruitment companies.

We tried provide a written test for candidates, this didn’t went well. Candidates answered in one/two words, didn’t understand the questions or just ignored them. Going over these tests was a nightmare, even worse than doing the actual interview.

So what to do? continue interviewing more and more people is tedious and might cause standards downgrade.

Few months ago a friend introduced me to a company called codility, they created a system that allow us to setup an online test for candidate. For each candidate we choose 2-3 questions and create a test. The candidate receive a special code and can access the test from any computer (meaning: he don’t need to be here to take the test) and finish the test in a language of his choice (C, C++, Java, PHP, Python etc). After the test complete we receive a complete report of the candidate performance. The system actually compile the code (if needed) and run it against many data sets. Some tests the correctness of the code, some the performance (by introducing a huge data sets) and some tries to trick the candidate with special scenarios (empty sets). The results of this is pretty good analysis of the candidate coding abilities.

One thing I really like is the ability to see how candidate thinks. For an example, one of the questions requires the candidate to look for 3 numbers which fulfill the following:

A[i] + A[j] > A[k]
A[i] + A[k] > A[j]
A[j] + A[k] > A[i]

The average developer will try to solve it by nesting 3 loops which result poor performance. Sorting the array before doing the check will require only one loop and there for better performance. If the candidate doesn’t understand it than probably we don’t want him in the team.

How this system relates to my 3 indicators? Simple, when I interview a candidate I already know he has good coding ability and i’m free to check the rest…

number of view: 279
 

Label placement in Web Forms

Going over my old bookmarks (I tend to renew them from time to time) i found this fantastic article about label placement in web forms.

Let me sum it up for you:

  1. Try to place labels above the input fields – it helps users to focus on the label and the field at once.
  2. Prefer right aligned labels on left aligns
  3. Use drop down boxes for less important content while using the default option as the label
number of view: 160