Internet future

In insight, news, Uncategorized on October 4, 2010 by e1saman Tagged: , , , ,

Is facebook the new google? If you believe the graphs maybe yes, but another strong argument in favor of  facebook is that new users of facebook are also new to the internet, or as techCrunch puts it Facebook is the web.

How Facebook Can Become Bigger In Five Years Than Google Is Today

Facebook has figured out itsbusiness model, and wants to keep it out of thepublic eye as long as possible. Facebook’s alleged revenue has grown from$275 million in 2008 to$635 million in 2009 to a rumored $2  billion this year, which is much higher than the also-impressive $1.2 billionnumber circulating earlier this year. Let’s pause and reflect for a moment. Facebook is allegedly already earningdouble the revenues Google reported when it filed to go public. For many consumers, Facebook is the Web.

Facebook Ads employ demographic characteristics (Age/ Sex / Location and Interests), which corporate brand managers and television ad buyers have been accustomed to purchasing for half a century. By contrast, Google AdWords target on the intent revealed by search queries, a practice that has seemed odd and new to Madison Avenue for the past decade and frankly has many of them worried for their jobs.

So the question is; is the old ad industry going to win?

Of course the other strong argument is credits

Facebook Credits are poised to be this generation’s American Express: an “affordable luxury” lifestyle brand and credit card with reward programs, frequent flier miles, and other incentives built right in so that the more you use it, the more you earn.  ”Facebook Platinum”, anyone? I would have thought they’d need a better brand name than “Facebook Credits” but then again, I would have thought they’d need a better brand name than “Facebook”.


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