Vodacom: off The Grid
Vodacom is currently in the process of discontinuing its venture into mobile social networking, The Grid.
The Grid is a location-based mobile social network that allows users to chat to friends, see where they are on a map and share photos or videos with them. Users are also able to view photos and videos relevant to the area they are in.
The social network platform started up in 2007 alongside real-time, presence-based Instant Messaging (IM) service, Meep, and was fully funded and supported by Vodacom, which provided the infrastructure and resource support.
The Grid was officially launched in South Africa in 2008, and in 2009 it launched into both Tanzania and Nigeria. In 2010, the mobile social network was made available globally, with Vodacom reporting two million users at the time.
However, according to Vodacom, its mobile social network’s days are drawing to a close.
“The Grid was a great learning exercise for us, but other applications like Facebook have ultimately overtaken it,” said Vodacom spokesman, Richard Boorman.
“We’re in the process of discontinuing the service and redeploying the platforms for other projects, where possible. We’re also working to retain the registered user base.”
Stalled activity
While The Grid is not yet dead, activity on the site has dropped over the years, with posts, or “blips” appearing numerous hours, if not days, apart.
In November 2010, the DMMA‘s stats recorded 118,444 unique browsers accessing the mobile site. In August 2012, that figure declined almost 50% to 60,000 (globally).
However, the stats show that the sites – both online and via mobile – are still attracting users, with close to 80% of unique mobile browsers accessing the social network from within South Africa (47,551), alone.
DMMA Unique browsers for The Grid (South African stats) August 2012
DMMA Unique browsers for The Grid (Worldwide stats) August 2012
Making money?
Vodacom did not respond to queries about how much money the venture brought in for the company, nor of the size of the intitial investment into the social network.
However, it’s worth noting that the service is free to users, except for the intital SMS and download link fees attached to signing up (which were charged at standard SMS rates).
Further income is generated through standard data charges involved with accessing and streaming multimedia content, according to the site’s frequently asked questions (FAQ) page.
The site’s FAQ further explained that businesses were free to advertise their companies on the network through “blips”, free of charge “for now” – indictating that there may have been plans to monetize that aspect of the platform at some stage.
Off The Grid
The discontinuation of The Grid follows Vodacom’s activity surrounding its mobile video platform, Zoopy, which has gone offline until a planned re-launch in November.
Vodacom had previously admitted that it was looking into selling a significant stake in Zoopy, though a spokesperson told BusinessTech that discussions were ongoing.
“We’re still in discussions with respect to our stake in Zoopy. Nothing has been finalised,” Vodacom said.
“[We’re] looking at options for Zoopy that include bringing in a partner to invest and help grow the business”.
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