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Bluefin Labs is a company that monitors and measures social TV usage such as how the audience are engaged. The company was started by Michael Fleischman and Deb Roy in 2008.
It came as a result of a three-year project by Roy of installing cameras in his house to monitor his son’s activities and speech. He used the recorded videos and audios to show how his son learned how to speak. However, it is Michael Fleischman, his research partner who gave the suggestion of using a machine to show how consumers viewed televisions content. Bluefins innovative products such as social television measurement and added advantage of being the first to venture into this market are what have enabled it to be the market leader. Bluefins concept has transformed social TV, and despite some competition from Nielsen, its superior ability to monitor viewership makes it beat its competitors leading to its merger with Twitter.
In February 2013, Bluefin Labs merged with Twitter. As a result, it was able to have an active role on social TV. In addition, the company was able to broaden its scope to working with satellite television. Bluefin’s major stakeholders are TV networks that sell advertising space. In addition, they are the main beneficiaries of its data. The company also provides consumers’ feedback to broadcasters who then sell it to advertisers. From the feedback, the corporations knows what the consumers think and their reactions. The firm also analyzes the impact of mentioning a specific brand in an advertisement. Simply, it measures if the mentioning of a brand in one program is better as compared to another program.
Bluefin faces competition from Tender and Social Guide Company. Social
Guide Company was bought by Nielsen; a company whose work is to measure the size and demographics of a program’s audience. Social Guide uses data from Twitter just as Bluefin. Currently, Bluefin complements Nielsen’s role by analyzing the thoughts and reactions of the market. However, Twitter partners with Nielsen complementing its existing TV ratings. Therefore, Bluefin’s merger with Twitter solves the competition problem because Nielsen stops being a competitor to a collaborator.
To sum up, the entrance of Bluefin into the social media industry was based on its innovative product that involved monitoring social TV viewership and providing market data to advertisers. As a new entrant in the market, and the first in TV monitoring, the company has grown rapidly. Further, its merger with Twitter has increased its presence in the social media industry.