Above is another take on Google’s earnings miss. Although
the assertion that Google could be a marginal player in the next 5 years is media hyperbole, the author does address a more salient
point—that of whether Google can figure out a strategy to move beyond its CPC
revenue model and find a way to more effectively monetize mobile search.
Given Google’s history of innovation, it would be surprising
if they can’t figure out a way to leverage their extensive insights into
consumer behavior into more effective mobile ads that target users based on
location, the activity they are engaged in, or probable destination. Given
insights from past searches and contents from a customer’s email message (if on
Gmail), Google could easily tailor ads to fit a person’s needs from moment to
moment, much as Target has been able to do through careful statistical analysis
of consumer purchasing behavior. The key to success in this space is in not
seeming overtly big-brotherish and irking potential customers. I would guess that moving forward, mobile
users will begin to see surprisingly relevant ads on mobile devices for things
we may not have even known we wanted…and at the perfect time to boot.
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