Speaking about Facebook for business at PodCamp London a couple of weeks ago I rounded out my talk by explaining why I thought the social networking giant's entry into the location game means trouble for smaller players like Foursquare and Gowalla.

With a user base exceeding 450 million I was of the impression that Facebook could really bring the appeal of LBS (location-based services) to the masses (and therefore to more marketers).  It still might, but I'm not convinced.

Taking a closer look at why I enjoy Foursquare has caused me to change my thoughts around Facebook and LBS.

When I look at the people I'm connected with on Foursquare I see a set who are early adopters, key influencers, and ardent supports of the things they find valuable.  To brands such as Pepsi, Ford, and General Motors this demographic has a strong appeal and offers a compelling reason to focus on niche communities as opposed to Facebook.  Personally, I enjoy the gaming and achievement aspect of Foursquare and welcome it as a respite from legions of Farmville updates and ridiculous copy-and-paste status updates.

From a mobile perspective the lean focus of Foursquare allows me to very quickly find nearby tips without navigating through pictures, status updates, chats, wall posts, events, and groups.  Gowalla is great for following a guided tour using nothing more than a mobile device, something that has recently been recognized and adopted by organizations such as National Geographic and The Washington Post.

I'm a firm believer in the notion that 'riches are in niches' and quite frankly Facebook doesn't occupy a niche, at least not when it comes to LBS (or social networks in general for that matter).