Gmail is once again unavailable this morning. Normally I’d let it go – fail happens – but it’s part of a disturbing trend that looks a lot like neglect. The service has been getting slower and slower over the last few months, with search taking ridiculous amounts of time.
Why is it disturbing?
It’s important to understand that Google doesn’t directly make money on email. Think of it as a loss-leader of sorts.
Yes, I know there’s advertising on there. I also know a bit about advertising systems.
Gmail brings in a relatively a much smaller amount of revenue than Adwords and Adsense, and the margins are much lower. You have to pay for all that Gmail infrastructure, and click-thru rates on email ads (or ads placed next to most other compelling content) are very low.
Google is smart enough to know where their money comes from, and they go to great pains to ensure their search remains superior. They invest a lot in search.
But what do you do with properties that make money, but at small amounts and with much lower margins?
For example, Yahoo Finance, Small Business, My Yahoo, and many of the other businesses are nice, profitable business, but not large enough or high-margin enough to get a lot of love or resources.
You neglect them. You put resources on projects that move the top or the bottom line.
My concern with Gmail is the trend that looks like neglect. It’s a relatively large property for Google, but it’s been experiencing problems. I know fail happens, but I also know that if Google put their mind to it they could make it much more available than it has been.
As Google branches out into more new and different products, it needs to be very mindful of neglect. Rot at the edges of your systems deteriorate the overall perception of your offerings. And search market share is very dependent on perception: witness the studies that removed branding from Google, Yahoo, and Microsoft search results and found nearly identical user satisfaction scores.
So Google’s outlook has to be: if we’re going to do something we’re going to do it extremely well. The apple philosophy.
And if we’re not doing something extremely well, we need to fix it or shut it down.
It’s a tough balance – how do you foster innovation and allow people to quickly create and launch projects, while maintaining a commitment to long term maintenance of quality?
It’s crucial to identify your core offerings, mark the rest as alpha, beta, “labs”, or any other label that signals the service might go away, and be absolutely fanatical about the quality of the core offerings on a continuous basis.
Here’s hoping Gmail gets its act together so I don’t once again have to switch providers.