zoltan - 8:48 am on May 3, 2011 (gmt 0)
We all depend on google's various services, the most important ones being Google Search and Google AdSense. Unfortunately, if google decides not to work with you on any of the above two services, you are affected a lot resulting in loss of revenue and possibly going out of business. The worst case scenario is when you lose both services in the same time or in a relatively short period of time. Are you prepared for this? Have you ever calculated what is your google dependency? It is quite simple. Let's suppose you receive 60% of your traffic from google and 30% of your revenues are coming from AdSense. In this case, your google dependency (if all other aspects are linear and all traffic and other aspects are treated the same) is calculated this way:
100% - ((100% - 60%) * (100% - 30%)) = 72%
So, your google dependancy is 72% because if you lose your google search traffic and your adsense revenue you remain with only 28% of your previous revenue!
This can be even more striking if your google traffic is 80% and your adsense revenue is 80% as well. In this case your google dependency is 96%!
So, what is your google dependency?