Foursquare still struggling to become more than a niche app
When was the last time you played Foursquare? Not the mobile app that lets you check in at a coffeeshop or store in hopes of becoming its “mayor”. But the original game involving a red rubber ball and a grid chalked onto asphalt.
For me, it’s been years since I played Foursquare, and I’m tempted to get a game going with some of my friends who live nearby. That is more than I can say for the mobile app Foursquare. It’s been months since I’ve check in anywhere – in fact, I’d forgotten entirely that I deleted it from my iPhone – and after reinstalling it and trying out its new features, I’m still not crazy about it. It still feels more like a chore than a game, an act of discovery or a way to connect with friends.
According to Compete.com, I’m not alone. In a blog post entitled “I’m the mayor! So what?”, Karen Costa showed some figures suggesting that the number of unique visitors at Foursquare has dwindled from a peak of 1.8 million this summer to less than 1 million last month. Its rival Gowalla has seen its unique visitor count tread water at around 200,000 for several months.
It’s not that Foursquare and Gowalla aren’t popular, it’s that they are emerging as niche apps. A number of users loyally check in and make recommendations on Foursquare. But even Foursquare’s defenders know that the company needs to hit on some secret sauce to win over a bigger audience.
In an interview with GigaOm, Foursquare co-founder Dennis Crowley acknowledged the work that the company needs to do to become more mainstream. Crowley compared it to the slow adoption of cell phones, although the early bulkiness and high cost were barriers to cell phone sales that Foursquare, which is a free app, doesn’t have to contend with. But he maintains that patience is a part of its business plan for now.
I think of what we’re doing is sort of interesting now, but it’s going to be super-interesting 24 months from now when more people are aware of things that we’re doing and aware of the value that comes out of it. We’re a little bit early.
Foursquare has made some small steps toward a more useful app, adding in photo-sharing as well as access to recommendations from all users and not just your circle of friends. But the most immediate promise may be in its marketing potential. Crowley says the company is working on combining “location-based services and social media to empower local merchants to connect with customers in different ways.”
Gowalla shoots for 1 million users with new version of location service
Location service Gowalla launched within days of rival Foursquare in March 2009, only to see its competitor grow to more than 4 million users while Gowalla seemed left in the dust. This summer’s introduction of Facebook’s location service, dubbed Places, didn’t help the perception that Gowalla was on a challenging road.
But Gowalla, which says it has “north of 600,000” users, has not given up. The Austin, Texas company released a revamped version of the service on Thursday that co-founder Josh Williams says will help bring its number of users to the million-mark by year’s end.
So what’s new in Gowalla 3? For one thing, you can now view check-ins by friends who use other location services, including Foursquare and Facebook Places, directly within Gowalla, as well as check-in to those services from Gowalla. That could provide a common window to keep track of the whereabouts of friends currently kept apart on separate location services.
Gowalla is also developing tools designed to make checking-in more useful, such as a new feature that lets people leave notes at specific locations. Someone checking-in to a restaurant might see a friend’s note warning them to steer clear of the egg-salad sandwich, for example, or a note recommending the margaritas.
And Gowalla has done some work to make checking-in easier and quicker, so that you don’t have to waste 45 seconds fiddling with your cell phone.
While many of Gowalla’s rivals are partnering with merchants to offer discounts to people who check-in, Williams says Gowalla is keener on content than coupons. The goal, he says, is to make Gowalla a sort of social networking-enhanced travel guide.
The new version of that travel guide, Gowalla 3, is initially being released only as an iPhone app.
Google unveils new ads in bid to tap into local merchant market
Google is revamping its efforts to court local merchants, as the Internet search giant faces a growing band of rivals aiming for a piece of the lucrative small business market.
On Monday, Google introduced a new way for local merchants to advertise on its Web site, as well as a variety of additional features to entice small and medium-sized businesses to use Google more often.
Google’s local business center, which allows merchants to provide more information about their business listing on Google, is being re-branded Google Places. According to Google, some 4 million businesses worldwide have already “claimed” their listings among the 50 million generic business listings in Google’s directory of Places Pages
The move comes as a new crop of Web start-ups like Foursquare and Gowalla are gaining prominence among local merchants through popular services that encourage consumers to “check in” to bars, restaurants and other local places of business.
Last week, microblogging sensation Twitter announced a new Places feature that will allow Tweets to be organized and displayed in the context of specific businesses or places, and Facebook may unveil location-specific features at its developer conference this week.
Google, which last year held unsuccessful talks to acquire Yelp, the user review site for local businesses, said it is providing additional free features for businesses that claim their listing on Google, including photo shoots of a business’s interior.
The new type of Google ads, dubbed Tags, allow a local business to pay a flat, $25 a month fee to append additional information alongside the standard listing that appears on Google’s local search results. A pizzeria, for instance, could offer a coupon alongside its listing to make it stand out from all the other pizzerias included in the search results for a particular region.





@johncabell
There is nothing wrong with making niche apps, and there are companies building stables of them. I just think that Foursquare has set its sights much higher.