First of all, it's not clear that social media advertising is going to fail, just because the author is not happy with results he gets. It was announced today that Oracle purchased Vitrue http://techcrunch.com/2012/05/23/more/
a company with close to 100 million a year in revenues. Presumably, for many people, it works.
Secondly, the title of the article is After Facebook fails - which implies it will fail and will do so because it's advertising model will fail - but who says facebook primary business model has to be advertising? If they continue to grow to over a billion users - who says that the "like" button on sites all over the web now shouldn't be charged for? who says users shouldn't be charged for premium services? more photo filters on instagram - just pay!
the possibilities are endless, and advertising, for now, is just one of them. my gut says it will become less and less important as a revenue generator over time.
and personally I will welcome that change, cause with all the ads adjacent to the chat bar, the site is looking pretty messy.
Secondly, the title of the article is After Facebook fails - which implies it will fail and will do so because it's advertising model will fail - but who says facebook primary business model has to be advertising? If they continue to grow to over a billion users - who says that the "like" button on sites all over the web now shouldn't be charged for? who says users shouldn't be charged for premium services? more photo filters on instagram - just pay!
the possibilities are endless, and advertising, for now, is just one of them. my gut says it will become less and less important as a revenue generator over time. and personally I will welcome that change, cause with all the ads adjacent to the chat bar, the site is looking pretty messy.