| Replying to both your comments here. Agree on your point that barrier to entry is higher for G+ than FB Search (if it launches). Regarding Search: I would ask, how many people overall use Google search and how many use Facebook in the world. I would guess that the number is sort of equivalent, with google search users being slightly more than FB users. And if that's the case, then what is to make people not use google search and shift to FB search (which is yet to be, BTW!), unless the quality is vastly superior. Which in my opinion is not an easy thing to achieve. Also regarding any generic feature X, I doubt if people who are very new to Internet can start flashing their credit cards, if FB asks them to. Yes, they could be perhaps made to click on any thing, which again means just Ads. But, even in this, I think, we could be underestimating the intelligence of an avg. Internet user. Also Google Adwords has a strong knowledge of user intent. And hence the Ads are useful for sellers. Over here, they are like TV Ads, but with a difference. And that difference is they can be ignored. edit: minor rephrase |
The point is, I don't think facebook has to do anything fundamentally better than google to win many converts. The results just can't be obviously worse. And for what most people search for, I don't think this is hard. Celebrities, sports, products, etc; I'd say that's low hanging fruit considering the amount of brainpower facebook has on its payroll. The long tail search that google is famous for isn't likely to matter to the facebook user targetted here.
An obvious case study to a company leveraging their userbase to grow out of their original business model is Amazon with its kindle. It was a great product certainly, but the benefit having it advertised on the top of their landing page can't be overstated. So many people are intent on putting facebook in a social box and saying "well they can't monetize social so they're doomed" is short-sighted. Social is just the hook, there are literally endless ways they can monetize all those eyes.