Tuesday, July 31, 2012

Google += Wildfire

Google announced today that they are acquiring Wildfire for about $250 million.  This is hardly a surprise.  Wildfire is forth social media marketing companies to be snapped up this year following Vitrue, Buddy Media and Involver.  Rumor has been circulating about Google in bidding war with Salesforce to buy Buddy Media earlier.

Where there is smoke, there is fire.  Series of social media marketing startup acquisitions confirms that there is demand from marketers.  Google is responding to increasing social media marketing budgets from their customers.

There are lot of social media marketing skeptics out there.  Just yesterday there was a post from Limited Pressing claiming that 80% of their Facebook ads were clicked by bots instead of actual users.  It started to go viral on Hacker News and Slashdot, and many discussions ensued about effectiveness of Facebook Ads.


As eMarketer reported, many companies are increasing their budgets on social media marketing in 2012.

 

But many are not yet sure whether they are getting satisfactory analytics to measure their metrics.  These uncertainties are what's fueling 80% bot click claim on Facebook Ads blog entry.


It will be interesting to see how Facebook responds to this.  Earlier acquisitions by Salesforce, Oracle and Adobe were from enterprise software companies who Facebook does not directly compete with (yet).  But with Google it is a different story.  Google+ is competing directly with Facebook for user's attention, and Facebook now has to decide whether to provide same level of access to Wildfire as it has been.

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