McKinsey on how businesses are embracing Web 2.0. But why are they afraid of blogs?

“The rising popularity of user-driven online services, including MySpace, Wikipedia, and YouTube, has drawn attention to a group of technological developments known as Web 2.0. These technologies, which rely on user collaboration, include Web services, peer-to-peer networking, blogs, podcasts, and online social networks.

Respondents to a recent McKinsey survey show widespread but careful interest in this trend.1 Expressing satisfaction with their Internet investments so far, they say that Web 2.0 technologies are strategic and that they plan to increase these investments. But companies aren’t necessarily relying on the best-known Web 2.0 trends, such as blogs; instead, they place the greatest importance on technologies that enable automation and networking.”

According to Bruce Nussbaum of Business Week, companies are afraid of blogs

“Only 16% of the companies surveyed said they were investing in blogs, compared to 63% for web services, 28% for peer-to-peer networks, and 19% for social networks.

78% identified web services as the Web 2.0 technology/tool most important their their business.

McKinsey doesn’t try to analyze why execs aren’t investing in blogs as a Web 2.0 tool but I will venture to suggest that most managers are afraid of blogs. Very few blog themselves and when they do, it runs through the marketing or PR departments. Managers in general still worry about loss of control with blogs. Letting their employees and consumers into the conversation and allowing them their say frightens them.”

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