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A Framework for Disrupting SEO

kidmercury | 14 January, 2006 22:31

The next few posts will be a "case study" of sorts that takes a closer look at the search engine optimization (SEO) industry. There are two main reasons why I feel the SEO industry is particularly useful for entrepreneurs and business strategists to study:

  • The SEO industry is one with high and rising prices. High and rising prices are great for disruptors looking to break into markets; they are especially susceptible to disruption. In such markets, the key is to disrupt them in a way that allows the business to successfully develop by focusing more on quantity of transactions processed rather than the quality of a few high priced transactions.
  • The SEO industry is a quite fragmented. The Internet has, generally speaking, fragmented every industry and produced fragmented industries. Studying this situation can shed great light into potential value-creating opportunities.

This series of blog posts will proceed as follows:

  • The first post will aim to clearly illustrate the underlying economics that are fueling the rising costs of SEO.
  • The second post will analyze the SEO industry to see how costs can be lowered in a way that makes the market more elastic, so that the incumbent's strategy can center around lowering prices and profit on quantity.
  • The third post of this series will explore business models that could introduce disrupt the SEO market via quantity-centric strategies.
Other ideas related to disrupting SEO can be found in the Searchonomics category of this blog.

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