As we all may know Google makes most of its revenue from
online ads. Google’s ad revenue climbed 16 percent year-over-year, and 5
percent from the previous quarter. That’s because the number of ads it showed
went up – 21.6 percent in the case of AdWords and 29.1 percent for its display
ads. Google is now making $3 billion a month in advertising — the majority of
which comes from little text ads next to search results. In 2000, Google
launched a keyword-targeted advertising program called AdWords, revolutionizing
the online advertising industry. AdWords made search engine marketing (SEM)
effective. AdWords showed ads on Google.com that were related to a person’s
specific search. Google disallowed pop-up and pop-under ads of
any kind. The success of AdWords allows Google to provide many free services
(including its top-ranked search service). In the 20th century, advertisers
diversified their advertising across many mediums – such as TV, radio, print,
and billboards – to promote their products or services. This diversification is
referred to as a marketing mix. As people began spending more time online, the
Internet became another channel via which advertisers can market their goods.
Advertisers design AdWords ads to target the user’s search (or wants or needs),
matching ads to the user’s query. Advertisers fi rst choose keywords that
relate to their website or product offerings. Then, when a user enters the same
or similar keywords into Google, the advertiser’s ads are shown. Price and
other factors also play a part in ad display.A team within the Google[x] group started Project Glass to build this kind of technology, one that helps you explore and share your world, putting you back in the moment.Project Glass is a research and development program by
Google to develop an augmented reality head-mounted display (HMD). Project
Glass products would display information in smartphone-like format hands-free
and could interact with the Internet via natural language voice commands. The
prototype's functionality and minimalist appearance (aluminum strip with 2 nose
pads) has been compared to Steve Mann's EyeTap.
Thursday, October 25, 2012
Thursday, October 18, 2012
Ch. 15 - Retailing
Google is a
search engine, not a store, but it is increasingly inching into e-commerce with
products like its comparison-shopping service, Google Shopping. Shoppers are
savvier than ever. They use social recommendations, web searches and smartphone apps to make informed purchase decisions. So how can a retailer stand out and
get a shopper’s attention? Retailers can now add promotions to their product
listings on Google Shopping to make them stand out. In addition, they can
distribute their promotions on other Google properties such as Google Maps for
Android and the Google Offers app, and attract shoppers to their store. In a
few simple steps retailers can create a promotions list, map it to the right
products in Google Shopping and upload to Google Merchant Center. Our system supports user specific redemption
codes and associated reporting, enabling retailers to measure the performance
of each promotion. Google has recently changed Google Shopping to require
e-commerce companies to pay to be included in shopping results, so product
listings are now ads. Inclusion used to be free. Although some retailers agree,
and say the move could even help their sales, others are panicking. Some say
they will not pay for listings or will include fewer products, which could
shrink the selection shoppers see on Google. The move is a way for Google to
make more money from retailers, some of its most lucrative advertisers, but it
also needs to improve product listings to keep valuable customers from going to
Amazon. “Google and
Amazon both have the same end goal, to be the destination that people go to to
do their product searches, and Amazon’s winning that battle,” said Michael
Griffin, founder and chief technology officer of Adlucent, which does search
marketing for online retailers and formerly managed Amazon’s paid search.
Thursday, October 11, 2012
Ch. 6 - Consumer Decision Making
Consumer behavior is an important consideration when
constructing a marketing plan. Businesses that cannot understand how a
consumer's mind works will have a more challenging time trying to figure out
how to target a campaign that will attract or catch attention. Can the internet
search giant distribute market and support hardware? The search giant will sell
a phone subsidized by a wireless carrier, probably T-Mobile. The Google-branded
Nexus One smartphone is set to launch early January. It's a radical departure
for an internet advertising company built on search terms and text ads to enter
the low-margin, cut-throat hardware business. Of course this increases the
rivalry with apple, as they already compete on browsers and desktop and mobile
operating systems. Google’s product will have a long way to go before it can
reach the iphone, and of course Google has none of Apple's chops in marketing,
retail and customer support, but, analysts and partners say, don't put it past
Google to draw on its rich arsenal of brand power and sheer will to disrupt and
experiment. Analysts say if Google was serious about selling phones in mass
quantities to consumers directly, it would have to quickly ramp up its
consumer-marketing efforts.
Thursday, October 4, 2012
Ch. 5 - Developing a Global Vision
Google's
chief executive stated in Berlin that the company plans to extend its Web television
service, Google TV, 1from US viewers to global consumers starting in 2011.
Samsung Electronics Co., the world’s largest television manufacturer, said that
it will make sets run by Google’s TV android software to compete with Sony and
Apple in the market for televisions that can access the internet, movies,
shows, and games online. In May 2000, Google launched the first foreign language versions starting with 10 European languages. By September of the same year, it expanded to include Chinese, Korean and Japanese.
It opened its first international office in Tokyo in August 2001, and in October 2004, it opened an office in Dublin, Ireland, It's workers were multilingual Googlers that serviced its customers across multiple time zones and languages. Google bought android in 2005, even though they didn't announce that they were going to join the mobile device market. The advantage for Google of developing an operating system, rather than a Google phone, was that many manufacturers could adopt the platform. Motorola, Samsung and LG were among the first brands to use the Android platform. As of Sept 2012 Google owns 81.8% of the search engine market share. Followed by bing with 8.37%.
It opened its first international office in Tokyo in August 2001, and in October 2004, it opened an office in Dublin, Ireland, It's workers were multilingual Googlers that serviced its customers across multiple time zones and languages. Google bought android in 2005, even though they didn't announce that they were going to join the mobile device market. The advantage for Google of developing an operating system, rather than a Google phone, was that many manufacturers could adopt the platform. Motorola, Samsung and LG were among the first brands to use the Android platform. As of Sept 2012 Google owns 81.8% of the search engine market share. Followed by bing with 8.37%.
Subscribe to:
Posts (Atom)