Top 5 Reasons Google Gives Away Email

Since GMail's casual release in 2003, more and more users are getting these email accounts. The registration used to be association invite only, but has slowly opened up through a number of avenues. Several friends and family have heard of or seen the GMail address but didn't realize that it's a product of Google. "Isn't Google just for search?" they've asked, "Why would they want to give away email?". Afterall, how can giving away 2.8GB+ of storage with 100's of messages and spam be worthwhile?

Being in the search and email industries, I'm keen to their tactics. So here it is...

The Top 5 Reasons Google Gives Away Email:

5. Provide internet users a simple one-stop shop.

Google wants to give everyone from the elderly to the young, an easy way to use the internet easy. They're product are consistently made simple enough for almost anyone to understand as groups have found (see Golden Triangle study). But why? Google is estimated to already control over 25% of the internet advertising revenue through its own and partner websites. That effectively means for 4 every users; Google at least receives the benefit of 1. At this point their growth opportunity is in attracting more consumers. This is demonstrated by Googles free metropolitian wi-fi plans which undoubtedly will bring more people online.

4. To take advantage of the #1 usage of the internet.

Email is, and has always been, the largest reason people go online.

3. Gain user attraction to Google search.

Email search and Web search from one text box.

2. To provide contextually relevant advertising.

If you didn't notice, those ads on the side are matched to the content of your messages. Most people don't realize that this was disclosed in their term of service.

1. To gathering marketing data in real-time.

New trends can be extrapolated quite rapidly. While its unclear if Google is doing anything with this today, it could be sold in the future. Afterall, selling popular keywords is what the search giant does best. Many consumer advocacy groups have cried foul, but the fact is that the wire (tapping) protection act does not cover media transmissions which are stored such (i.e. email messages on a server). For a futher analysis of this see EPIC.

EPIC

If you haven't already seen EPIC, you should. This 8 minute video is a documentary of future events surrounding the evolution of Google, Microsoft, Amazon and the NY Times. It predicts the establishment of wide social networking via Blogging and fall of printed newspaper media. EPIC is perhaps a bit far on aspects of conspiracy theory, nevertheless its basis is conceivable; even more daunting is the fact that Google is doing many, many other things which aren't even identified here... making one wonder how far it will really go.

What role will private communications (via GMail) play in further establishing dominance in the overall social networking? Probably a lot. The union between blogging and email is already a fuzzy line. Blogger and Gmail have some associations such as publishing via email and email alerts, however the integration is certainly in its infancy. As GMail tools and plugins continue to evolve, we can imagine that the messaging industry at large might be threatened. Of immediate concern are those provisioning towards the consumer experience such as Yahoo, Hotmail, and nationwide ISPs; and in the future could be email service providers and applications such as: Microsoft Exchange, Lotus Notes, Laszlo Systems, Everyone.net, Mail2World, BlueTie, Outblaze, etc.)

GMail Revolution

In 2004 Google unveiled GMail and forever changed the email industry. Google touted 1GB (now 2GB) of free email storage with a novel, yet elegantly simple interface. What they offer, no other free email provider can profitably match. And yet the pressure to match the same level of service is compounding costs for the ISP industry. How can Google offer such services without charge? Are they just burning excess cash from their high value market capitalization or do they have a master plan?

This GMails blog is an open forum to discuss the GMail offering, related tools & services, contextual ad serving, privacy, and the impacts towards collaboration and communications. Additionally we'll discuss how Google will leverage GMail into their repertoire of products and services; considering the strategic impact to competitors in multiple industries.