In today's world of computer ubiquity, we find computer not as a facilitator, or a product, or a service, but its a commodity. Commodity in the sense of 'commodization' of IT has a whole. Its no more a new product or service, its omnipresent and is a commodity.
Microsoft was able to extract oil in it, but Google extracted oil, took it out, made polymer, moulded it, sold products, bought them back , recycled them and sell it again. They did something which was never imagined and it cannot be termed as vertical integration, by no means is it that. THEIR MARKETING techniques, REVENUE MODEL and investment strategies go against the best ever talked about in the best of business schools.
They provide any service you can imagine of and all is free of cost or ARE THEY PAYING you to use their service in the sense that you do not pay for a product or service.
What are they doing? how do they earn?
Their users are not their customers, but their users are their products which they make, and they sell this 'user' to the 'customer' which is the advertisers.
So in a sense it is a win win situation for anybody who is in this circle.
Its the most unique business model ever thought of.
Imagine you get free food at Pizza Hut for just coming and having food there. May be this is what the world is coming to. Advertising expenditure will take over the necessities in our lives and make them free.
Is it not 'that' what Shahrukh Khan does? By actively coming in all interviews, news channels, other movies for free, he creates value for himself and viewers of such shows are products 'manufactured' by him. He goes and sells this to his film producer or whoever.
Are we coming to an age of free commodities?
I would expect active user and reader participation in this. MAY BE YOU CAN TURN MY BLOG TO SUCH AN ENTITY. :D
Shashank
Tuesday, 29 July 2008
Google and its commodization. - New marketing techniques
Labels:
advertising,
google,
managment,
marketing,
marketing guru,
revenue model,
shahrukh khan,
srk
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5 comments:
Gud job Shaka Bhai....keep it up...
wow Shaka i see that LSE has changed u?? writing blogs on what actually is quite interesting. Not bad. keep it up
darshan man.. thanks.... I do not think LSE changed me ... may be i found time for my ownself to give blogging a chance,,, hows job going? ,,,
The other thing which has the similar business model is the free London paper. I am not sure if we can compare google to news papers but the logic behind them seem to be the same (atleast from layman's perspective). It will be interesting to compare both these business models.
Keep writing interesting articles... atleast i will learn some business tricks and I will make sure that I click on the adds.....
Thanks for ur responses... yeah i will try to do that... london paper is exactly the same... but i wanted to write something to which EVERYBODY will connect .. cheers :)... hopefuly, next blog would be about SRK, Ekta Kapoor, Bollywood, Karan Johar or may be Anil Ambani, but definately the growing Indian entertainment industry and i invite everybody to write blogs on this page. pls send a mail to newbollymusic@gmail.com to become a contributor and we will have you on board.
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