Now that Facebook CEO has recapitulated his “Transparency is the default” stance on the world’s largest social media site (with more members than there are US residents), will the discussion about privacy die down?

Unfortunately, probably not. All social media sites will now be scrutinized with the same lense that Facebook was. Twitter who just launched its new in-house advertising team is likely to see this discussion resurface as advertisers demand more insight from Twitter as well. Start watching for your Twitter profile to change.

The Facebook changes were a triumph of the free market, after weeks of pressure, Facebook finally realized that its advertisers (who are its paying customers) wouldn’t be happy if users (who pay nothing) left in droves. But this is an important turning point in the evolution of social media and indeed the internet. Whose responsibility is it to protect user privacy? Do we agree with Zuckerberg that they backbone of the internet and in particular, is transparency and openness or are we not quite there yet? Most importantly, do we  think this is something the government should be involved in or would we prefer to continue to use our collective (and much faster) power as users? Or should social media companies adopt their own set of ethics by which all users who choose to participate can readily read?  Ethics being a “do no evil”-type mantra, a philosophy by which the company agrees to abide, not because its forced to via the law, but because they think its the right thing to do for everyone involved. An ethics agreement should look significantly different from the User Agreement most people skim when agreeing to use a social media site, an application or even software.

Further, the space between what is ethical and what is legal in this country continues to occupy a gray sinkhole in our collective imaginations. Advertisers will continue to push the envelope for more personalized, relevant ads. Arguably, there is even a benefit to users for relevant ads. But by drafting an ethical behavior models and practices, social media shows the its users that it isn’t afraid to be transparent about its motives.  Instead of the government getting involved with creating complicated, loophole-ridden legislation, social media companies who are proactive will head off government intervention that has almost never benefited delivery systems of advertising.

Perhaps this idea is Utopian, but not too long ago, the idea of Facebook was too. Maybe Zuckerberg has a point, maybe transparency should be more prevalent, but in return, maybe social media could follow the lead of “Do no evil” Google and change the face of corporate America and in fact, ensuring trust and therefore a more open community for both users, companies and advertisers.

What do you think the next step for social media should be? Should the government be stepping in? Should the free market continue its swift justice? Should social media companies adopt an ethics code?

More commentary on social media privacy from Mashable’s CEO Cashmore

Normally I talk about sponsorships and the power of events, but I have to digress a little bit this week because of the Well’s Fargo Incentive trip debacle that will resonate within ALL aspects of events, INCLUDING marketing events and sponsorships. Now that the spotlight is on, every time there is a sponsorship, a meeting or an event, eyebrows will go up. So, if you think that because you are in the sponsorships arena, not the incentive arena this won’t effect you, guess again.

As a tax payer, I can’t help but be outraged. As a business person, was frustrated to be in the industry being used as a scapegoat for the larger problems for an industry and economic woes. After all, sponsoring and hosting events is an industry too, and it employs a lot of people.

While Well’s Fargo had no choice but to cancel their trip to Las Vegas, I wish they had just been smarter about the entire thing; there are things that they could have done to have a respectable incentive trip without being “over the top.” Besides the fact that “extravaganzas” will be déclassé for sometime to come, it really makes sense to be smarter about this now anyway. But that doesn’t mean that events have to be canceled. They have to be smarter. I know of HUNDREDS of fantastic performers and musicians who put on a fantastic show, that do not charge $500,000 to entertain. I know of THOUSANDS of unique, exciting activities in areas all over the country that charge less than $50 for people to participate in.

This will not kill the event or incentive industry. The power of events, ESPECIALLY B2b events, is undeniable and people are still attracted to them, computers and phones not withstanding, most of us prefer the company of human beings. And yes, once in awhile, we even like to get together with them to “talk shop”. But here’s the deal: there needs to be less James Taylor and more Boogie Knights. There needs to be less Dom and more Vueve. You understand what I am saying here?

Here’s a simple suggestion for all those organizations who would like to host incentive opportunities: have them around an industry tradeshow which you sponsor. Hosting clients and company leaders together has innate benefits, and throw in a little education, some inter-industry networking and you have a recipe for business success. Utilize your sponsorships to get more attendees and less signage. Furthermore, work with the tradeshow (who undoubtably has already negotiated favorable rates at area hotels) to obtain a really nice block of rooms for your VIPS. This is a win-win situation for everyone. The trade-shows will be happy to have movers and shakers at their events, and will happily work with you to bring a block of 100’s people from your company to their event. Sponsor events in conjunction with the tradeshow (can anyone say co-host with other sponsors?!) and then extend your stay a couple of days to do the “blow steam, fun activities” that are inherent in incentive trips. Don’t want to host your incentive trip around a work tradeshow? Ok – here is another idea – review your current sponsorship for hospitality opportunities and wrap some fun, incentive activities around things you are already sponsoring.

Make your marketing dollars communicate with your incentive dollars. Make your employee enhancement communicate with your incentive dollars and marketing dollars.

By all means, save some money, but don’t stop engaging with one another with the most effective tool out there, that’s insane.

While we are all at it, let’s start reaching out to our clients with new ways to do these things. Let’s get smart. Together.

I heard today that the event industry is starting to organize, what is exactly afoot I can’t say now. When it becomes official, I’ll let you know about that too.