The Difference in Ads on Google and Facebook

Ex-Googler writes about Google and Facebook

[Eurydice]

TechCrunch published a perceptive article about Google vs. Facebook.

Bindu Reddy argues FB could surpass Google in revenues and market cap.

She explains the differences between Google and FB and implication of those differences. She also points out why Google has been unable to innovate in advertising.

Bindu Reddy, an ex-Googler, is CEO of an ad network funded by other ex-Googlers. At Google, she managed the teams for Google Docs, Google Sites, and Blogger.

[techcrunch.com...]

[RhinoFish]

from that:
"The bottom line is that you are now trained to go to Facebook to discover things."

This is where they always lose me. It's true that I am (self-)trained to go to FB to discover things, but things about people I know. But if it gets too commercial (and it wouldn't take much), instead of feeling like the virtual water cooler or virtual neighborhood sidewalk, it'd feel like a virtual Tupperware party, and I'd be immediately untrained to go there.

So where the writer sees inherent advantage (paralleling their own career choices, by the way), I see it very differently.

[Eurydice]

Yes, I noticed that line. It was poorly stated. The purpose of FB isn't discovery. It's rather poor for that (the search tool is primitive.)

You go to Facebook to see what your friends and associates are doing. Sometimes, you may even discover something new.

She's right in the difference in advertising between Google and FB: Google ads are based on active searching, while FB is based on presenting ads to users in context of their interests. If I like hiking (by adding the term "hiking" to my interests and then clicking "Like" on hiking pages), then FB shows me ads for hiking.

Reddy argues that this point gives FB the advantage over Google.

[lfgoal]

And with their continued privacy issues, I don't get the feeling that they're going to benefit from user trust when it comes to seeking out relevant information. That and the fact that their search really does suck.

[onepointone]

I'd still rather target someone who is searching for a specific monitor or laptop on google, than someone who 'likes' computers on facebook. Of course, roi is the ultimate victor. JMO