The Internet has started to mature in terms of its potential for monetizing advertisements on a number of platforms. One need only look at Facebook to see how in a few short years a multi-billion company can be built on this sort of business model. However, online advertising is coming into its own, and we can expect a lot of changes in the near future. Google has always played long game when it comes to monetizing its services, but in a recent interview with a Wall Street analyst, CEO Sundar Pichai suggested that advertising on Google Maps may be around the corner.
The key, according to Alexei Oreskovic’s article in Business Insider, is Google’s philosophy of posting ads that users will find useful. Nobody wants to encounter a barrage of spam whenever they open up Google Maps, but a few non-intrusive suggestions based on user searchers and feedback may turn out to be a huge revenue stream for the company. Even though Google Maps has been around for a long time, it is one of the company’s fastest-growing services due to the continued growth in the use of mobile devices in emerging economies.
Making a profit online was a huge challenge for early Internet companies who struggled to find viable business models. Google understood that it needed to win over the mass of users first and the money would follow in time, and they had the know-how and financing to do it. Now that mobile Internet is widespread in developed countries and growing fast in developing ones, the giant has not hesitated to use its position to find ever more revenue sources, such as the explosive growth of YouTube content in languages other than English.
For Pichai, finding new markets for Google will undoubtedly be an ongoing challenge. Advertising on Google Maps may become a key part of Google’s growth strategy as the company searches for new opportunities and as Android continues to break new ground in emerging markets.