Transcript Google

BUS 550 Case Study
Textbook Chapter14
Google: Search, Online Advertising, and Beyond
Anthony Palanca
Google and Online Advertising
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Online Ads have positive
growth since 2006
Google controls internet
search market share
Success through
matchmaking
Most valuable media
company in the world
Company Profile
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Founded by Sergey Brin
and Larry Page in 1998
Headquartered in
Mountain View, CA
Green facility
Fortune’s Best Place to
Work For 2007-2008
Encourages innovation –
“20 percent time”
Internet Search
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Google uses organic search and PageRank
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Server farms needed for web index
Over 1 trillion URLs!
SEO is essential for marketing
Why Online Advertising?
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Increased time spent online
Better ad performance tracking
Easier to target specific markets
Google’s Revenue Model
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AdWords on Google search (2/3)
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CPC and budget
Ad Rank
Automated auction with every search
Geotargeted
AdSense network (1/3)
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More refined targeting
Various media formats
CPM and CPA
Customer Profiling and Targeting
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Use of cookies
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Computer profile
Retail shopping carts
Demographics
Privacy
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Opt-in option and opt-out cookies
Interest-based ads
Missteps with Google Docs and Buzz
Online Fraud
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Clicks and impressions
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Enriching and Depleting
Click farms and Zombie networks
Rank-based impression
Disbarring
Link farming or spamdexing
Keyword stuffing
Business Challenges and Competitors
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What happens when maturity hits?
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Google’s competition
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Emerging outlets such as mobile and social networks
Take bigger risks
Antitrust laws lead to less software bundling
Apple’s acquisition of Quattro Wireless
Bing and Yahoo
Google’s solutions
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Increase internet access with O3b
Android
Multiple Choice
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What are the names of Google’s advertising applications
and primary source of revenue?
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A. AdWow and AdSensation
B. AdWare and AdSoft
C. AdWords and AdSense
D. AdMe and AdYou