hi5 just went 3-D. Kind of. A redesigned user interface for the social network includes an avatar for every user. The avatars, called hi5 Stars are Flash-based. They are fully customizable, and do not require any additional add-ons for users to view or interact with the new creation.
The virtual twist to the hi5 social network isn’t entirely surprising. hi5 has been moving towards a more virtual-based economy that can interact with and monetize users on a more direct level. In the past year hi5 has begun to build out its virtual economy that relies heavily on games and the exchange of their virtual currency for exclusive content. In all, hi5′s transformation realizes a merging of the traditional social networks and entirely virtual networks in an environment that can better monetize users directly.
That’s not to say that such a virtual environment cannot improve its ability to monetize users through advertising as well. Virtual environments present a unique opportunity for brands to market to users. Depending on a brand’s dedication to such an environment and that environment’s ability to deliver a brand to its users, such a campaign could be monetarily rewarding.
That is largely the plan for the new hi5 Stars, as premium merchandise for them gives hi5 and brands a way to further monetize users. Combining so many aspects of new services with the budding virtual economy on hi5 has been a strategy for the company. This can be witnessed with much of the development that has gone on around hi5 games and the partnerships with game developers, portals and providers for distribution through hi5′s network.
What I am curious to know is whether or not hi5 can jump start a trend for the merging of virtual and traditional social networking environments. Is such merging a necessary or even expected move forward, or will the two remain largely separate entities on the social networking gradient?
If the merge continues to evolve successfully, such an achievement would be of great value to hi5. As a second tier social network hi5 loses some of the limelight to larger networks such as Facebook and MySpace. All three of these networks are seeking better ways in which to monetize users, extend similar opportunities to brands an establish a market base around their respective platforms. hi5, however, is taking a different route than Facebook or MySpace.
While Facebook and MySpace have an application approach towards the democratization of a monetizable platform, hi5 is incorporating a more uniform structure to its platform implementation. Setting out to be a leader in its own right, hi5 has been aggressive in its virtual economy push. Time will tell whether or not the aggressive push will work. hi5 has been at it for some time now, and the forging of various partnerships with brands and other companies confirms the growing interest in virtual environments.