I was told to buy my own Adwords just for the experience from a random person I met in Florence. This article also really helped me understand them better. Maybe I should try buying Coates or something.
I struggle with this constantly. Quarterly profit is what a lot of publically traded companies focus on. Is it a appropiate? What about long term profits? Or other goals? I think this post does a great job summarizing some of my own thoughts with a little more experience than I currently have.
Gmail, I believe, was the first service to get negative press about cookie sniffing, and send taylored advertisements to you. I have never minded. When a friend emailed me about DJ equipment, a number of related advertisements showed on my Gmail account. Ok, they were reading my email, but I much rather see relevent advertisements. Advertisement is about consumer education, and I want to be told about useful products. On TV, we think most advertisements are rubbish because they are not targeted at us. Everyone wins in these cases. Relevent advertisements for you, and marketers get a focused market. However, they might be missing other markets, as not all their potential users will fit a certain profile. There could be a better market for them. What you need is a balance between targeting and a grand approach…and also some transparency for users (Google!).
This concept, usually referred to as the network affect is key to the success for brands, but it easier to understand like Facebook, Twitter etc. If everyone is using it, you have to. Why else did everyone get into Facebook? Becuase everyone else is there. It is not the best product. Facebook picked the right market, college students, and expanded from there.