The most under-monetized asset on the planet!

With over 1 billion monthly users, active in 220 countries, estimated to generate revenue of $11 billion by 2023, Yahoo Maps, just kidding, Google Maps is considered to be the most under-monetised asset by Morgan Stanley analyst Brian Nowak.?(Btw, Yahoo Maps did exist!)

I remember on our trips to Himachal during the summer breaks, we used maps that were twice the size of a chart paper or asked people on the road what the way to the hotel was. Then, suddenly, Google Maps just took over. As an Apple fanboy in India, I wasn’t even aware that Apple Maps existed. Google has pretty much made me accustomed to its Maps and I'm not making the switch any time soon.

Today, so many give Google a pass on the horrible pronunciation of Indian roads and places, just because it has made life super easy. In a new city, pop out Google Maps and go from A to B just like a local. Check out the best-rated restaurants around. Introverts like me never had to ask anyone for direction ever again. Yay!

But what got me thinking was in a seminar, the ex-CFO of Vodafone India, Mr Madhav mentioned that if you aren’t paying for the product, people will assume they are the product. If I had to rephrase:

If you aren’t paying for the product, you are the product.

Whether us becoming the product, but not having to pay for Maps, is the best outcome or not is a separate discussion. But with a behemoth like Google Maps, with no competitor miles around it, there had to be a way they could monetize this asset.?

Till 2019, Google hadn’t monetized Maps. But Google decided to shake things up. Let’s map out all the ways Google Maps makes money today:

1) Sponsored Lists

See how on searching ‘electronic stores’ Croma is the first option. That’s because Croma has paid to be on the first spot.?

2) Teardrop v Squares - Promoted Pins

Take a close look at HSR Layout in Bengaluru, a famous shopping complex. There are 2 shapes Google uses to mark a location - teardrop and square. The square one has a logo on it while the teardrop doesn’t. Moreover, if you start zooming out, the square pins stay visible for longer. Wonder why? Because Taneira Sarees and Duroflex have paid Google for being visible for longer and over larger distances.??

3) Paid API

Any application which uses the Google Maps platform for its own navigation has to pay a fee to Google. It was reported back in 2019 that Uber paid $58 Million to Google for using the Google Maps API.?

4) Google Guaranteed (not available in India yet)

Google rolled out a new badge for trusted local businesses called ‘Google Guaranteed’. Businesses can apply to the program and promote themselves via ads. Google Guaranteed could potentially be a powerful tool in the Indian market. With an easily visible green badge showing a checkmark, these ads may draw customers’ notice more than others will.

That's all I had on the world’s most under-monetized asset. It would be interesting to analyse in a few years how we navigate around this floating rock. If fate would have it, maybe the Apple community convinces me to try out Apple Maps. I guess time will tell.

Do share if there are other assets out there yet to be monetized. I wonder if Chrome or Translate could be next?