Which are the five most used application in today’s world?
Google, Facebook, Instagram, Whatsapp or Twitter. All this applications have hundreds and millions of users and these applications do not charge a dime. How do they make money? How are these companies valued at billions of dollars ?
Because “If you are not paying for it, You are the product”
I personally find this creepy. Every time I google something, I start seeing product advertisement. Every website or application tracks all your activities and show you curated advertisements and make money through your data and in today’s world data is the most valuable asset any company can have.
Let us understand how does these companies make money through example of Facebook!Facebook is a social media website and application that connects people from all over the world. Started from connecting students at Harvard, the company has over two billion users and has been growing rapidly.
Facebook does not charge anything from its users to avail its services. A person can create an account for free, use all the available features. Add friends and play games. Facebook is probably the biggest social media success that the world has ever seen. With its billions of users, Facebook collects data of billions of users. What are its users searching for, what do their users want and where are its users going the most(Check ins). As much cool as it sounds we have seen how detrimental it was in 2016 United States elections. Facebook makes most of its money through advertisements but these advertisements are not just any normal means of advertisements. As Facebook knows almost everything about its users not only the information and pictures uploaded by users but also the things searched for and the places frequently visited, Facebook can cater to specific audience with hand curated advertisements. The important thing is that Facebook has made it extremely simple for anyone to run advertisements and even someone who knows nothing about advertising can choose its audience and segregate it by age, gender and location.
So next time you wonder how do you get advertisement from the company that you were searching for, you know that these companies are keeping a close watch on the things you are searching for even speaking(I’ll tell you about this in my next blog)
Hope this helps and makes you aware of how important it is to be careful of today’s technology.