Three numbers explain why Google has taken the "mobile first" approach to application development, why it has chosen to lose some money on Android and create mobile devices.
A recent survey by Strata Marketing of 1,000 advertising agencies that together process $50 billion in media buys annually found 69 percent focused their digital spend on social media.
That's more than those who focused on search (65.5 percent) and just short of online display (71.3 percent), Strata says.
Keep in mind that Google built its business on search advertising. So leading ad agencies now are placing inventory on display and social more than search.
Within social media, the majority of advertising agencies (85.1 percent) said they and their clients focused most on Facebook, 44.8 percent on YouTube, 39.1 percent on LinkedIn, 24.1 percent on Google , 9.2 percent on Foursquare and 1.1 percent on MySpace.
The YouTube figures are helpful, but the fact remains that Google has to do better in display and social advertising, as well as mobile, to remain a force in advertising. And it is mobile where the opportunity is greatest, and the market as yet unconsolidated.
Friday, May 4, 2012
Why Google Has to Go "Mobile First"
Gary Kim has been a digital infra analyst and journalist for more than 30 years, covering the business impact of technology, pre- and post-internet. He sees a similar evolution coming with AI. General-purpose technologies do not come along very often, but when they do, they change life, economies and industries.
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