This IDC study provides a qualitative overview of the social networking market as well as a quantitative forecast of the social networking application market. The social networking application market is small but growing quickly, with market growth expected to hit 120% in 2007 and 153% in 2008. Social networking applications are being used for consumer, brand, and enterprise applications, all of which can benefit from the effectiveness and efficiency of social networking.

"Social networking is the new must-have communication application and is being used for both marketing and operational efficiency," said Rachel Happe, research manager for the Digital Business Economy at IDC. "Social networking applications drive engagement, information exposure, and conversions as well as reducing marketing and operational costs."