The 'Hub': Wal-Mart Launches Imitation MySpace

Let's face it: Wal-Mart is the most dominant retail chain in North America.

By importing cheaper Chinese wares and selling them to U.S. and Canadian consumers for slightly less than the competition, the massive all-in-one department store franchise has choked out small business pennies at a time.

Yet there is one demographic that has not yet contributed fully to Wal-Mart's tremendous growth: Youth. In an attempt to act on the popularity of MySpace, Wal-Mart has launched its own similar site, "The Hub", a social site with the intention of raking in as much disposable income as possible.

So, what's the Hub-bub all about?

MySpace has become one of the most popular sites on the web, and Wal-Mart's attempt to tap into that potentially huge advertising market is, in business sense at least, understandable.

Unfortunately, critics are blasting "The Hub" for both its strict limitations and "corny" approach. The site itself screens all content, informs parents of their their kid's joining, and actually prevents emails between "Hubsters". (Source: adage.com)

Exploitation

The draw? For kids, it's the possibility of creating their very own web page. For Wal-Mart, it might just be the perfect opportunity to exploit children in the search of advertising gold.

Not only are youth members exposed to Wal-Mart ads on The Hub, but some of the most celebrated "prizes" for joining are participation in Wal-Mart commercials. In other words: it's very cheap (or perhaps, free) advertising for Wal-Mart.

Most tech insiders covering The Hub have lashed out at the retail giant for "scripted videos" enticing kids to join. Without a doubt, the most descriptive and popular word for The Hub is clearly "lame". (Source: arstechnica.com)

By launching a site imitating MySpace and so desperately seeking to exploit children, Wal-Mart may have forever scared away youths (who know better). Fortunately for Wal-Mart, every single other demographic seems to visit their retail stores on Saturday mornings, rain or shine.