From NY TIMES: Kristen Nagy, an 18-year-old from Sparta, N.J., sends and receives 500 text messages a day. But she never uses Twitter, even though it publishes similar snippets of conversations and observations.

“I just think it’s weird and I don’t feel like everyone needs to know what I’m doing every second of my life,” she said. Read more.

In my previous article on Facebook’s usage in Asia Pacific, I compared Facebook with Kaixin001 and Xing in China. But it turns out that there are even bigger social networks in the Middle Kingdom. (Which just goes to show that if you aren’t as tuned into a particular market as you should be, you’ll miss important information!)

Thanks to a pointer at Plurk (which has since been deleted for some reason), someone mentioned that I should look at Xiaonei. That was a forehead-slapping moment! I had heard of Xiaonei, but for some reason, it didn’t cross my mind then to take a look at its usage.

That led to another forehead-slapping moment of realisation (and a really painful forehead!). I had forgotten about the other social network giant in China: QQ! QQ, of course, is more than just a social network. It has morphed into this giant portal-social network-instant messaging service, something that one would be hard pressed to find anywhere else (except perhaps in South Korea and Japan).
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Mention “social network” to anyone — especially a marketer — and you’ll probably get this response: “Facebook”. Facebook, the poster child for so-called Web 2.0 sites/services, has become so synonymous with the phrase “social network” that you will be hard pressed to think of another similar web service.

But while that may be true in a large and generally homogenous market like the United States, it does not necessarily apply in a fragmented market like the Asia Pacific. In this growing economic powerhouse, marketers have to consider the many different countries and languages, and the associated individual cultural eccentricities.
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Social media marketing has become the latest “in” thing for marketers to do. So it should be of great concern to learn that such tactics could be a marketing “grey area” or, at worse, downright illegal. SEOmoz has an article that discusses the legality of social media marketing from a U.S. perspective. The Federal Trade Commission (FTC) has guidelines about disclosure for paid endorsements, as part of its rules about “stealth marketing”. Basically, this means that if you’ve been hired to say something good about a product or service, then you need to state that commercial relationship obviously.

This concern couldn’t come at a better time. Social media marketing is picking up steam in Asia Pacific. In Singapore, there have been many so-called “blogger events” to promote new products and/or services to key local bloggers. While the bloggers are usually not paid in cash, they could be paid in kind, e.g. sample products and contests (does free food count?). Depending on how strict the court wants to be, that could be construed as being paid to endorse.

Of course, the first question you should be asking is: is there a law or ruling in the local market that is similar to the FTC’s stance? I’m not a lawyer nor a legal expert, so I don’t have a clear answer to this. But I also realise that I — and any modern marketer — should be aware of it now.

So to all the legal mavens who are reading this, what do you think: is social media marketing legal in the Asia Pacific region?

This entry was written by Balasingam-Chow Yu Hui. He has worked as a Marketing Analyst at XM Asia Pacific since 2006.
You may remember him as author of “What is Web Analytics?” or from within the Singaporean social media circles. When he’s not working on Web Analytics, he can be found analysing how to improve his performance at Mario Kart Wii.