Thursday, March 26, 2009

Return on Weblog Investments ( ROWI ? )

I originally wrote this entry on September 8, 2004, and published it on

Sharij asks whether the economic returns on (company) Weblogs are justified by the required investment to produce them. In other words, is the bang worth the buck when it comes to weblogs?

Not everything done by employees or a company is for direct purposes of making a sale although almost everything that a company and its employees do will have some effect on its sales and revenues. The key phrase here is "market perception" and the key concept is the role business entities play in influencing the way market perceives them.

Furthermore, the improtant thing about Weblogs is the fact that they enable human beings (hopefully, with some expertise, interest or concern) to participate in the formation and digestion of (mostly random) information.

So, while there has been a lot of hype about search, nothing can replace a good dose of reality. For example, see a recent weblog by Colm Smyth who has written on bridges to and from RSS. No amount of search would have enabled me to have access to the type of information Colm has put together in a simple paragraph. This is the irreplaceable, human-factor part of weblogs.

The effect of company weblogs on sales is subtle, unpredictable and uninformative at best.

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