Wednesday, January 25, 2006

Don Dodge on the Search Market

Don Dodge has a great post up about the search engine market. He highlights three areas that the big guys are not doing right yet: Mobile Search, Local Search, or Classified Listings Search.

From the post:

"Mobile Search is potentially the largest and most lucrative opportunity but also the hardest to do well. There are hundreds of millions more phones and mobile devices than there are PCs. Mobile devices will become the communication and computing platform of choice within 5 years."

"Local Search is an enormous business opportunity that has been germinating for more than 5 years. It is about to pop. In fact, mobile search may be the catalyst to growing the local search business. Again, local search has been around for a while. No one has done it well or completely. No one has a business model that makes sense for the local merchants or advertisers."

"Classified Listings is the largest advertising business in the world. Newspapers make more money off simple classified listings than they do from the fancy display ads. Ebay is basically a giant classified listing service with an auction service attached to it. Craig's List is probably the biggest on-line classified service, but again there isn't a solid innovative business model associated with it. This is a fragmented market with poor data sources, that needs automation, scale, user interaction, and an innovative business model."

"These are huge markets that could be bigger than Google today. There is no dominant leader and there is lots of room for innovation. The perfect environment for The Next Big Thing."

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