Monday, July 03, 2006

Their sense, your cents

I'm a systematic business innovator, so I use systematic methods to reverse engineer the business model (i.e. cashflow design) of successful businesses.

Google's AdSense, for instance, is a highly successful business model. But what is the essence of that business model exactly?

This:

THEIR SENSE = YOUR CENTS

Right now, Google only uses the world's sense of vision, but it's just a matter of time before all our five senses are used to direct us to the right (relevant) ads, so that both Google makes money and AdSense participants make money.

For instance, if you're part of the AdSense program, you currently make money with your blog or website. But it's fairly easy to see how people could ALSO make money, in the near future, with their podcasts (downloadable or Web-based, as with Odeo), or any media they use publicly.
And Google won't be the only player offering to connect publishers and advertisers.

The ultimate, though, is to connect buyers and sellers directly. Of course, eBay has mastered this art.

But there are ways also to connect buyers and sellers of not-exactly-liquid items.

The bottom line (success secret perhaps) is to realize that advertising that is blind and dumb, will soon perish. People want products and services just in time, so they can achieve their goals in life. Programs like AdSense, which provides relevant ads of products and services, will likely move the world closer to the almost magical point where a person who needs something will, somehow, magically find a provider of such a thing appear before him and make an offer that is too irresistible to ignore.