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ChaCha
Founded September 1, 2006 (2006-09-01)
Founder(s) Scott A. Jones and Brad Bostic
Headquarters Carmel, Indiana, United States
Industry Internet
Services Web search, SMS-based question answering
Employees 56[1]
Website chacha.com

ChaCha is a mobile question answering service which uses a technique known as the human search engine. ChaCha was created by Scott A. Jones and Brad Bostic. The company is based in Carmel, Indiana, a suburb of Indianapolis.

Contents

[edit] Name

The name ChaCha comes from the Mandarin Chinese word, cha (simplified Chinese: traditional Chinese: wikt:查pinyin: cháWade-Giles: ch'a), which means "to search." [2]

The number users send text message questions to is 242242, which corresponds to the company name "ChaCha" on a standard mobile keypad can or call 1-800-2-ChaCha to send a voice question.

[edit] History

The alpha version of the ChaCha was launched on September 1, 2006. A beta version was introduced on November 6, 2006.[3] ChaCha said 20,000 guides had registered by year end and that it had raised US$6 million in development funds, including support from Bezos Expeditions, a personal investment firm owned by Jeff Bezos, the entrepreneur behind Amazon.com.[4] By January 2008 AP reported that ChaCha had 5,000 freelance guides with no less than 500 working at any one time.[5] Washington Post partner mogonews.com reported that ChaCha's first round of equity financing was actually US$ 14 million plus a US$ 2 million grant from 21st Century Technology Fund.[6] ChaCha announced on March 17, 2009[7] a new round of equity financing totaling US$12 million[8] while also laying off 25 employees and a 10 percent reduction in the remaining 56 salaries.[1][9]

[edit] Products

[edit] Desktop search

ChaCha had originally been founded with the intention to offer human-guided search from within a web browser and for the search engine to learn from the results provided by their independent contractors.[10] The system offered a chat on the left side of the page where users could chat with the guides and conclude their search.[10] The center of the page contained the results that a guide could add or remove (later users could also add or remove these results). The right side of the page contained ads that were relevant to the search.[11]

Desktop search was phased out in April 2008 in favor of mobile products.[12]

[edit] SMS search

In January 2008 ChaCha launched a new text service that allowed users to ask questions and receive answers via text message.[13] Unlike similar Mobile search services ChaCha does not require special character codes to get results as searches are answered by humans instead of computer interpretation. A plain sentence question will get an answer along with a link to a short URL that takes users to a page that contains source information along with the guide's name.

ChaCha's question limits vary by customer based on what it calls "complex algorithms."[14] ChaCha does not impose a limit on certain abbreviated questions [15] and those who call in questions to 1-800-2ChaCha receive answers by text message.[16]

[edit] Voice search

ChaCha launched its beta version of a call-in search service on April 1, 2008, while discontinuing its less effective guided web search.[12] Users call a toll-free number, and their questions are answered by a human via SMS messaging.

[edit] Mobile marketing

In July 2008, ChaCha launched its first mobile marketing campaign with Coca-Cola to promote its My Coke Rewards program to users interested in NASCAR racing.[17] Fox News reported that ChaCha planned by mid 2008 to charge $5–$10 per month once 10 queries was exceeded[18] (as of December 26th, 2009 no additional fees have been implemented).[19]

In November, 2008, ChaCha launched its SMS Advertising Platform at ad:tech New York.[20][21]

In March 2009, ChaCha reports 30 million "impressions per month" and "3.6 Million users" since January 2008.[22][23] An ESPN article stated that ChaCha gets about 600,000 questions each day.[24] A former Yahoo executive opened a New York office for ChaCha in hopes of increasing advertising.[1][25]

[edit] Guides

ChaCha uses independent contractors it calls Guides.[26] There are four main types of guides: Expeditors, Generalists, Specialists and Transcribers.[27] Expeditors categorize questions, convert them into standard form, provide direct responses for certain question types, and also make sure that an answer doesn't already exist for that question.[28] The purposes of a Generalist, "the original and basic ChaCha Guide role," are to: determine what the customer's question is, find an answer to the question using the internet, format the answer into a text message, and add "magic" to the answer which gives it a human quality.[29] Specialists are a more selective group of guides. They have all of the same purposes as a Generalist but they sign up for specific categories of questions based on their interest in and knowledge of those categories.[30] The duty of Transcribers is to listen to questions recorded by customers who call into 1-800-2ChaCha then convert the recorded message into text form so that Generalists and Specialists can answer them.[31]

Expeditors receive $0.03 per question[32], and transcribers receive $0.03 to transcribe a message.[33] Effective February 18, 2009, text guides receive between $0.10 and $0.22 for each answer, based upon the difficulty of the questions. Andrew Berg of WirelessWeek.com reported on March 18, 2009 that ChaCha's reduction in pay rates to guides resulted in a "huge outcry on message boards" including predictions of the massive exodus of the many thousands of existing guides.[34] Berg also reports that ChaCha tells potential guides that the average earnings are $3 to $9 per hour.[8][35] Wages are based on active time only, and do not include idle time spent logged in when questions are not available. Since 2008 there has been a drastic cut in job availability. As of December 2009, ChaCha is hiring new Guides again.[36] ESPN columnist, Rick Reilly, joined as a Guide for sports questions temporarily and joked he was "Lucy working the chocolate-factory conveyor belt" making usually over $4 per hour once he got trained.[24]

[edit] Press

The Wall Street Journal’s personal technology columnist, Walt Mossberg, characterized ChaCha as having "fast, accurate, useful answers" in his April 24, 2008 column If You Have ChaCha and a Cellphone, You Have Answers.[37]

In April 2009, ESPN's Rick Reilly spent some time working for ChaCha for an article on ESPN The Magizine. Reilly says:

ChaCha, as most people under 103 know, is the highly addictive mobile answer service that responds to any query you send (text "ChaCha" or "242242") with a real answer from a real person, usually within three minutes, for free. Is this a great world or what?[24]

[edit] See also

[edit] References

  1. ^ a b c "ChaCha Streamlines to Become More Efficient" March 18, 2009 by InsideINdianaBusiness.com
  2. ^ , 2009, http://www.chacha.com/question/how-did-your-company-get-the-name-chacha, retrieved 2009-05-24 
  3. ^ ChaCha press release, BusinessWire, November 6, 2006.
  4. ^ http://www.chacha.com/press/chacha_funding-01-08-07.pdf "ChaCha secures $6 million in private funding from Jeff Bezos, Rod Canion, Jack Gill and others", ChaCha press release, January 8, 2007.
  5. ^ "Review: ChaCha's Text-Message Search Engine"Thursday, January 17, 2008 at FoxNews.com quoting Candace Choi with AP
  6. ^ "ChaCha Secures $12M in Financing, Reduces Staff"by Tricia Duryee of mocoNews.net on Wednesday, March 18, 2009 quoting "peHUB"
  7. ^ http://partners.chacha.com/2009/03/17/chacha-secures-12m-in-equity-financing-and-reduces-costs/
  8. ^ a b "ChaCha Secures $12M in Financing, Reduces Staff"By Andrew Berg WirelessWeek.com - March 18, 2009
  9. ^ "ChaCha Cuts Staff, Salaries To Make $12 Million In New Capital Last Longer"Washington Post March 18, 2009 quoting mocoNews.net
  10. ^ a b http://www.usatoday.com/money/industries/technology/maney/2006-09-06-google-chacha_x.htm
  11. ^ http://www.srajaram.com/images/chacha_m.jpg
  12. ^ a b "ChaCha Ditches Guided Search Model. I Love To Hate This Startup", Techcrunch.com, March 31, 2008.
  13. ^ "ChaCha gives you answers via text message", News.com from CNET, January 3, 2008.
  14. ^ http://guideblog.chacha.com/2009/05/07/a-few-updates/
  15. ^ http://answers.chacha.com/about-chacha/how-it-works/#learnThumbsavers
  16. ^ http://answers.chacha.com/about-chacha/how-it-works/
  17. ^ "ChaCha Cofounder Describes How the Company Is Making Money", U.S. News & World Report, August 8, 2008
  18. ^ "Review: ChaCha's Text-Message Search Engine"Thursday, January 17, 2008 at FoxNews.com quoting Candace Choi with AP
  19. ^ http://content.chacha.com/MonthlyUsageInfo
  20. ^ http://www.adtechblog.com/blog/detail/akamai-chacha-announce-parties-at-new-york-adtech/
  21. ^ http://partners.chacha.com/blog/index.php/2008/11/24/podcast-released-our-adtech-making-mobile-work-workshop/
  22. ^ "ChaCha press release March 17, 2009"
  23. ^ "ChaCha Secures $12M in Financing, Reduces Staff" By Andrew Berg in WirelessWeek.com - March 18, 2009]
  24. ^ a b c http://sports.espn.go.com/espnmag/story?id=4088415
  25. ^ "ChaCha's CEO, Scott Jones, on layoffs, new funding and sales staff increases"March 18, 2009 audio by InsideINdianaBusiness.com
  26. ^ ChaCha Guides FAQ
  27. ^ Guide Roles
  28. ^ Expeditor|ChaCha
  29. ^ Generalist|ChaCha
  30. ^ Specialist|ChaCha
  31. ^ Transcriber|ChaCha
  32. ^ http://www.chacha.com/question/how-much-do-expeditors-get-paid
  33. ^ http://forums.online-sweepstakes.com/showthread.php?t=698929&page=51
  34. ^ "ChaCha Secures $12M in Financing, Reduces Staff"by Andrew Berg WirelessWeek.com - March 18, 2009
  35. ^ http://becomeaguide.chacha.com/faqs/#question2
  36. ^ http://becomeaguide.chacha.com/
  37. ^ http://ptech.allthingsd.com/20080424/if-you-have-chacha-and-a-cellphone-you-have-answers/

[edit] External links




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