Product You: With free online services, you’re the product!

Posted by Erin

This is a special guest post by BizBrain.org!
Product You
Source: BizBrain.org

Product You:

With free online services, you’re the product.

How Google Sells You:

Adwords provides a link between you and products
Top Cost-Per-Click’s for adwords:
1.) Insurance: top CPC of $54.91
24% of keywords
2.) Loans: top CPC of $44.28
12.8% of keywords
3.) Mortgage:top CPC of $47.12
9% of keywords
4.) Attorney: top CPC of $47.07
3.6% of keywords
5.) Credit: top CPC of $36.06
3.2% of keywords
6.) Lawyer: top CPC of $42.51
3% of keywords
7.) Donate: top CPC of $42.02
2.5% of keywords
8.) Degree: top CPC of $40.61
2.2% of keywords
9.) Hosting: top CPC of $31.91
2.2% of keywords
10.) Claim: top CPC of $45.51
1.4% of keywords
11.) Conference Call: top CPC of $42.05
.9% of keywords
12.) Trading: top CPC of $33.19
.8% of keywords
13.) Software: top CPC of $35.29
.8% of keywords
14.) Recovery: top CPC of $42.03
.7% of keywords
15.) Transfer: top CPC of $29.86
.6% of keywords
16.) Gas/Electricty: top CPC of $54.62
.6% of keywords
17.) Classes: top CPC of $35.04
.5% of keywords
18.) Rehab: top CPC of $33.59
.5% of keywords
19.) Treatment: top CPC of $37.18
.4% of keywords
20.) Cord Blood: top CPC of $27.8
.4% of keywords
Turns out you’re worth a lot:
96% of Google’s revenue comes from online ads
$38.6 billion[3]
More than Panama’s GDP, and the 31 poorest countries in the world combined.
Or a third of all advertising revenue online.[3]

How Twitter Sells You:

The average Twitter user follows 5 or more brands.[4]
With Twitter mobile users likely to follow 11 or more brands.
With $316.9 million in revenue
($269 million in ad revenue, 85% of total)
Mobile users are 53% likelier to recall seeing an ad on Twitter than the average Twitter user.
How do you use Twitter?
You use Twitter for entertainment: $.63 per user
You use Twitter in search of deals, clicking on ads:$3.16
(based on revenue/active users)
With Chinese ads leading the way:
[twitter users by location][5]
China: 35.5 million
India: 33 million
U.S.: 22.9 million
Brazil: 19.6 million
Mexico: 11.7 million
With 77% of monthly active users coming from outside the U.S.
(Even though the Chinese government has blocked Twitter!)
With Twitter earning $200,000 per promoted trend:
Such as :
[from March 2013][6]
(3/8) #TheNextBigThing (Samsung)
(3/9) #TheBible (History Channel)
(3/11) #FeedTheBeat(Taco Bell)
(3/13) #BurtWonderstone (Warner Brothers)
(3/14) #501s (Levi’s)
(3/15) #TheCallMovie(Sony Pictures)
(3/16) #3dollarsub(Subway)
(3/18) #BatesMotel(A&E)
(3/19) #TheHobbit(The Hobbit Movie)
(3/20) #HotNSpicy(McDonald’s)
(3/21) #BracketBusters(University of Pheonix)
(3/20) #NickyFlash(AT&T)
(3/23) #RallyCry(Capital One)
(3/25) #Blackberry10 (Blackberry)
(3/26) #ItsNotComplicated (AT&T)
(3/27) #NYIAS (Toyota)
(3/28) #TheHost(Twilight Movie)
(3/29) #GiJoeRealiation(movie)
(3/30) #OrphanBlack(BBC America)
(3/31) #TheWalkingDead(AMC)
Adding up to $5.2 million that month in the U.S. alone.[8]

How Facebook Sells You:

Facebook has the largest database of personal information ever compiled.
With 1 billion Facebook profiles, a vast number of engaged users in a social graph becomes a real asset.[11]
If Facebook users were citizens of Facebook nation.
Facebook would be the 3rd most populous country in the world
After China, and India.[9]
88% of Facebook’s revenue is from ads
But Facebook is losing out on the ad’s game:
With marketing referrals from Facebook dropping 20% in 2013.[10]
While Pinterest and Twitter jumped substantially.
But Facebook makes money as a payment provider.
Facebook Credits, used to purchase virtual goods (like Farmville) [10]
Were 18% of Q1 profit in 2012: or $200 million[10]
With marketing targeted by free services, and data mining companies.
Building profiles of internet and spending behavior, as well as interests.
Acxiom Corp. is a “database marketing” corporation
- 23,000 servers in Conway, Arkansas
- Holds 1,500 data points on 500 million online consumers worldwide
- Reviews 50 trillion data “transactions” yearly
- Consumer rankings
PersonicX
- Categorizes consumers into
- 70 clusters, and
- 21 life stages
- You aren’t a number, you’re a pithy phrase, such as:
- Early Parents
- First Digs
- Collegiate Crowd
- Young Workboots
- Rolling Stones
- Married Sophisticates
- Children First
- Career Building
- Spouses & Houses
- Outward Bound
- Truckin’ & Stylin’
- Home Cooking
- First Mortgage
- Resolute Renters
- Mobile Mixers
- Cartoons & Carpools
- Cluster 62 Kids & Rent
- Urban Scramble
- Pennywise Mortgagees
- Resilient Renters
- Shooting Stars
- Hard Chargers
- Dynamic Duos
- Savvy Singles
- Kids & Clout
- Tots & Toys
- Country Comfort
- Soccer & SUVs
- City Mixers
- Solo and Stable
- Modest Wages
- Rural Parents
- Metro Parents
- Rural Rovers
- Summit Estates
- Skyboxes & Suburbans
- Lavish Lifestyles
- Solid Single Parents
- Apple Pie Families
- Midtown Minivanners
- Farmland Families
- Country Single
- Fun & Games
- Mid Americana
- Metro Mix
- Urban Tenants
- Established Elite
- Corporate Clout
- Career-Centered Singles
- Country Ways
- Acred Couples
- Work & Causes
- Community Singles
- Humble Homes
- Downtown Dwellers
- Pennywise Proprietors
- The Great Outdoors
- Rural Retirement
- Still Truckin’
- Sitting Pretty
- Full Steaming
- Platinum Oldies
- Clubs & Causes
- Suburban Seniors
- Raisin’ Grandkids
- Devoted Duos
- Family Matters
- Rural Everlasting
- Thrifty Elders
- Timeless Elders
And Rubicon, a competitor:
Crafting ads that 97% of internet users deal with in a month.
The Internet offers an unparalleled opportunity to monitor and mold user experience, pulling you towards purchases. If a product is free, you’re probably the product.
Product-You_THUMB
Citations:
  1. http://searchenginewatch.com/article/2095210/How-Google-Makes-Its-Billions-The-20-Most-Expensive-AdWords-Keyword-Categories
  2. http://www.investopedia.com/stock-analysis/2012/what-does-google-actually-make-money-from-goog1121.aspx
  3. http://mashable.com/2013/08/28/online-ad-revenues/
  4. http://www.huffingtonpost.com/lili-balfour/how-much-are-you-worth-to-twitter_b_4099327.html
  5. http://www.forbes.com/sites/victorlipman/2013/05/01/the-worlds-most-active-twitter-country-hint-its-citizens-cant-use-twitter/
  6. http://www.mediabistro.com/alltwitter/promoted-trends-earnings_b39637
  7. http://www.mastersinit.org/digital-afterlife/
  8. http://www.technewsdaily.com/16515-facebook-personal-information.html
  9. http://www.biztechmagazine.com/article/2012/06/dollars-and-cents-behind-facebook-apps-infographic
  10. http://www.washingtonpost.com/business/technology/facebook-earnings-report-the-details-are-in-the-ads/2013/10/30/ee6280be-418a-11e3-a624-41d661b0bb78_story.html
  11. http://www.businessweek.com/articles/2012-05-18/nine-things-you-should-know-about-facebooks-ipo

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