Personalization of search results and display ads
Wouldn't it be great for Google if people told the company what they're doing, what their interests are, who they're friends with, etc.? We already do that partly through our search behavior. With a profile on Google Plus, Google learns a lot more about us. What we do. Where we are. What we share. We tell everything and Google reads along. To then use that data to personalize search results and ensure that we get the right banners in front of us. Without us even realizing it. Advertisements become more relevant in this way. And therefore more valuable to advertisers, which means Google can charge more money for them. Everyone is happy.
Except perhaps for the privacy-sensitive consumer. But then you shouldn't put your entire life online. A profile on a social network is free, but developing and maintaining such a network costs a fortune. The most obvious way to finance that and still earn something from it is with advertisements. Even though Google has indicated that there will be no Adwords advertisements on Google Plus for the time being, there is nothing that prevents them from using the data about users elsewhere to personalize advertisements.
Google saw its profit increase by 36% in the 2nd quarter of this year. A fantastic result. But what do kenya phone number list shareholders want and expect in such a case? More! Google cannot rest on its laurels. The shareholders expect further growth. Every year, every quarter. But in search, at some point, the ceiling will be reached. Google already dominates the market in the US and Europe. China is an impregnable fortress for the time being, thanks to the opposition of the Chinese government.
In terms of market share, Google has nothing left to gain in many markets. In the Netherlands and the United Kingdom, for example, Google is well above 90%. Further growth with search is only possible in those markets if the search volume grows. The good profit figures show that the ceiling has not yet been reached, but sooner or later the growth in search will level off. High time to have more irons in the fire.
Conclusion: Google has no other choice
As can be seen from the above, Google has no other choice than to launch its own social network. The company has been trying to do this for years. So far without success. Will things turn out differently with Google Plus? For now, that is anyone's guess. Everything depends on whether the rapid growth of the network continues in the coming months. Google Plus has got off to a good start, but the race is not yet over. And if Google Plus does not work out? Then Google will certainly come up with something else next year. Because no matter what, that own social network must and will come.