Will The Most Valuable Company Be The Most Innovative?
An amazing prediction was made this week by a professor of marketing at NYU and head of investment firm Firebrand Partners, Scott Galloway. Speaking at the American Magazine Conference in New York (and as reported by The New York Post) Galloway said that within two years, Facebook will become the most valuable company in the world. Since Facebook, which is privately held, is valued at $80 billion currently, according to the Post, while Apple tops $345 billion and the current world’s most valuable company, Exxon Mobil, stands at $354 billion, topping that that would be an amazing feat. But just the sheer thought of it is pretty amazing, that a company that manufactures nothing but is instead a platform for social connections and disseminating content by individuals would be the most valuable company in the world! Not to get too excited, but he also predicts that in the next 10 to 20 years, Facebook will fall so precipitously that it would not even be in the top 100 of most valuable companies.But wild gyrations in its potential valuation aside, Galloway also pointed out another interesting fact that may in actuality be a clue as to why Facebook holds such potential. The top fashion destination on the site, he said, is not Vogue or Glamour, but Burberry. The fashion brand has more likes by far – 8.5 million – than Vogue, which has 1.7 million. And that’s where the interesting bit lies.
Facebook has evened the playing field to cultivation of an audience that obliterates the traditional time, effort and distribution that a Vogue has taken decades to build and enabled a Burberry to digitally exceed it. Now, granted, Burberry is a terrific, very well known brand with a cult following. But it does demonstrate that with Facebook any innovative entity has the potential to develop a mass audience. With the acceleration of cloud based content, that potential will only be enhanced for those who can creatively innovate in-and-around the TraDigital media world we live in today.
And that’s why Facebook might very well become the most valuable company in the world.
image credit: modellion.com
Dean DeBiase is the Chairman and CEO of entertainment.com, the leading provider of the most recognized and purchased consumer discount, promotion and coupon service. He is known as an expansion phase CEO with a track record scaling emerging growth companies and embedding entrepreneurial-grade talent into multinational corporations. He’s a co-author of the best-selling The Big Moo.