Social networking sites eating into the email market share

It has been reported this week that the rise in traffic to social networking sites has coincided with a drop in traffic to web mail sites such as yahoo mail and hotmail. This has sparked discussion about the use of social networks for communication sparking of the demise of web based email. Obviously this is an overreaction, as tends to happen with the press, but it is an interesting point all the same. Where is the need for personal email accounts when you can be in touch with all your friends through myspace, facebook, or whichever else is the network of the moment. This led me to consider what are the limitations of social networks which could be the saving grace for web mail solutions? So I compiled the list below:

• Reach: although the social networks have huge user bases they are unlikely to cover everybody you know, yet most people will have a functioning email address. There is therefore likely to be at least a few people within your group of friends you cannot contact through your network of choice.
• Flexibility: you can write what you want in an email, and can attach any type of file you wish, making it a much more flexible solution than the networks. They are however catching up through the various plug ins and applications that are sprouting up daily.
• Privacy: emails are more private than wall post, although facebook has the facility to send private messages as well.
• Length of message: wall posts are more like the text messages with emails as the phone calls. more detail can be added and more information contained and explained, the phone call still isn’t dead despite the popularity of texts.

I’m sure there are more to add to the list but none that I can think of right now. It will be interesting to see if the trend continues though and what this means to the email portals. Falling usage must also results in a fall in advertising rates and available inventory??