Social Media And The Price Of Perception
While placing values on celebrity endorsers is a risky business, the same holds true for companies whose values - like celebrities - rely heavily on perception. Take the case of Bebo, an acronym for blog early, blog often. In 2008, when Bebo was Britain's leading social networking website - even more popular than Facebook and MySpace - it was snatched up by AOL for a whopping $850 million. AOL was hoping to use the acquisition to gain a better foothold in the global market. But less than two years later, the market had completely changed and Bebo had fallen far behind its competitors.