"5 Kinds of Companies That Facebook’s New Search Engine Could Crush" (FB)
From Wired:
Facebook’s Graph Search is supposed to turn the social network into one massive engine of discovery. That’s good news for Facebook and its investors, but not so great for companies whose bread-and-butter is social interaction.
The problem for all those companies is that Graph Search allows users
to easily tap into the preferences and social lives of those closest to
them. Unfortunately for companies that have used Facebook as a business
accelerant, those are the opinions people tend to care about most. That
gives Facebook a leg up in recommending things as varied as finding the
trendiest dinner spot in the city or a comfortable used couch.
It’s a reminder that building a business on top of Facebook requires a
delicate balance between leveraging the social network’s massive
distribution, and maintaining some independence – don’t forget what happened to Zynga.
Companies that start to feel the pressure from Graph Search might opt
to splinter off from the social giant, like Zynga did. Others might
find different ways to monetize Facebook’s new search capabilities. It
might be as easy as paying Facebook to show up in sponsored search
results, which could put their brands in front of users who are already
primed to use their services.
Whatever path they choose, a good number of companies are going to
have to make some tough choices as Facebook rolls out Graph Search more
broadly, especially when it starts to tap the data for revenue. Here’s a
list of the industries and companies most vulnerable to Facebook’s
Graph Search. If we missed any set to appear in the Facebook crosshairs,
please call it out in the comments.
Job Recruiters
Facebook was not shy
about Graph Search’s potential usefulness in searching for new hires,
which should worry sites like LinkedIn, Monster and CareerBuilder. Right
now, Monster recommends that its users sign in through their Facebook
accounts, and CareerBuilder also has social sign-in features. It will be
interesting to see how long they keep it that way.
On the flipside, for those looking for a new gig, it might make it
easier to search for, or learn about positions at companies they or
their friends like on Facebook. Employers routinely look through the
profiles of applicants they’re considering for jobs. But Graph Search
could help them identify those candidates in the first place. In a way,
it makes rising to the top of the digital resume pile more organic.
It’s easy to imagine companies paying Facebook to scour their
database for potential hires. Then when those hires sign in to Facebook,
a little blue megaphone pops up with an alert that so-and-so company is
looking to hire. Presto, it’s a job connection!
Dating Sites
It costs money to find love on sites like Match.com and eHarmony.com.
Why pay when you can search for Mr. or Ms. Right on you own and your
friends’ networks, and conveniently throw a party so you can meet your
potential mate accidentally on purpose, for free? Even the no-charge
OkCupid can’t compete with that.
Let’s just hope that Facebook doesn’t start culling your best matches out of the search results unless you pay up.
Recommendation Sites
Sites and apps like Yelp, TripAdvisor and Delectable
are popular because people want to know what the best places to eat,
drink, shop and stay are. But often you wonder how independent the
reviews actually are. Those kinds of concerns are mostly non-existent on
Graph Search. If you have any questions, you can simply call or
Facebook message your friend for clarification....MORE
