Considering how many billions are spent on less efficient methods of advertising, the growth potential seems real.
Google has been cleaning up the content network and adding confidence building features for advertisers for at least a year now. That product may be ready for growth.
Schmidt says history is on Google's side, however I don't think there is enough history to justify that outlook. What we're going through at the moment is a first. Correct me if I'm wrong, but I don't think the PPC ecosystem as we know it today has ever been through an economic storm of this magnitude.
|Considering how many billions are spent on less efficient methods of advertising, the growth potential seems real. |
Agree. If not growth at least sustain current revenue.
Of course they can handle it. They are still making a ton of cash!
Google is likely to do better in a recession than most. Their Adworks system makes it easy for advertisers to set up, run, pause, set budgets, or terminate their account. A lot more attractive to many businesses than have to contact a Media company and sign expensive contracts.
I agree. Google will be fine.
This logic doesn't make any sense -
|-1/3 of Google revenue coming from network sites which may opt out for other revenue streams if advertising revenue falls too much |
So you think only google is going to be impacted but not others? I'm sure if google is impacted, others will be also so it makes no sense others will be providing a better option all of a sudden.
Google has foreign investors and is a global company, it should be fine or at least do better than othets.
Just a thought.
handle, yeah, but how? Let's face it: all EU combined is less than US in economic terms.
A drastic economic downturn creates new consumer and business needs that are best met by highly-targeted, low-cost direct-response advertising -- i.e., AdWords.
Numerous examples are possible but the most obvious is the mortgage industry. While there are not as many slick ads for home equity loans, there is a landslide of ads for foreclosure rescue operations, credit counseling, etc.
AdWords is just about the most efficient advertising system imaginable. While big-bucks branding campaigns are likely to suffer, it doesn't seem plausible that Google will suffer too much. It may even improve its overall competitive position.
All this, of course, assumes the economic collapse is not truly cataclysmic, which is an open question right now. There's a difference between a train wreck and an earthquake.
|Google earns money internationally |
Only 30% of my visitors and customers come from the US now -- used to be about 90%. My advertising budget has not gone down.
Google will do just fine. They might make less... certainly less than they would have without an economic turndown but a few less bucks in there pocket will only affect google and their shareholders. Profit but less... doesn't worry me. What does worry me is the fact that I (not google) will see less revenue and I already have seen a drop in the amount of money I make from adsense.
Forget google they will be fine... send donations to me, I need them more than google. ;-)
I think targeted advertising will stay! And a company full of innovators will surely survive.
The dollar/euro rate drop is not helping my adsense revenue..
it will survive. what is worse, yahoo will die as they are not able to go overseas quickly.
after the recession google will be the only player....
owned by the Chinese!
|handle, yeah, but how? Let's face it: all EU combined is less than US in economic terms. |
This says the opposite... EU is richer than the USA, sorry...
>> This says the opposite... EU is richer than the USA, sorry...
my apologies. I didn't check but I remember reading it somewhere (maybe before a bunch of new states were aded or maybe it was just wrong).
Anyway, barely richer :) but that will become more pronounced IMO, as our bankers figure out even more great ways to lose money.
it changed during the last few weeks.
BTW. who said wikipedia knows the truth? don't we all manipulate the content to change the listings? ;)
>> don't we all manipulate the content to change the listings?
I KNEW it! Mikedee set me up ;). Actually, for empirical things Wiki seems pretty reliable; admins do change them back. Now stay away from wiki for anything related to Israel /Palestine, religion, Balkans and other hot issues.
Efficient business' can grow stronger in a recession.
I've seen it many times.
[edited by: Whitey at 6:26 pm (utc) on Mar. 20, 2008]