Google Adwords Revenues Soar.

[Rubber Duck]

See the latest at:

http://news.bbc.co.uk/1/hi/business/4362490.stm

Net income up 7 fold since last year! Turnover nearly doubles.

Best Regards
Dave Wrixon

 

[Limit$]

So does this mean higher adsense? I am using yahoo publisher now.

 

[Rubber Duck]

So does this mean higher adsense? I am using yahoo publisher now.

As Google's revenue is a function of the number of clicks and the average price per click, either on or both have increased substantially. If there is more competition for Keywords, then as this is effectively an online market the cost per click will rise, and hence the value of each click passed on.

The only way that the cost per click could remain static, is if there is a broadening of the markets being geo-targeted or if the scope of keywords being bid for is broadening. Both of these are likely, as the Far East Markets open up and there is a dramatic increase in the number of local character Keywords being bid for. It could well be that, as less of the growth is focused on the US, the cost of English Keywords is not dramatically affected.

What do the punters think? Are click revenues rising, or is Google growth due primarily to greater globalisation?

Best Regards
Dave Wrixon

 

[khuldun]

Well just read on CNN, Google Shares prices increase after it announced its Q3 profits.

 

[Rubber Duck]

Well just read on CNN, Google Shares prices increase after it announced its Q3 profits.

Well, even those dopy twirps on Wallstreet are capable of working out that higher incomes means higher asset values!

Best Regards
Dave Wrixon

 

[Mr. Pim]

http://investor.google.com/fin_data.html

There's been talk of how Google seems to be dropping the amount of money publishers earn for each adsense click. Much of talk came from publishers looking at their adsense stats and noticing changes in their earnings over time. I wondered if there was more concrete evidence of this, and after digging through Google's financial data, came up with the folling findings. I think the information is an average of everything since I'm pretty sure they don't pay all publishers the same percentage. However it's interesting to note that there's a 7.85% difference in the % revenue share from the 2003 Q1 high of 86.35% and the current 2005 Q3 figure of 78.36%


Google network web sites Revenue

Revenue Shared - TAC

% AdSense Revenue Shared

2003 q1 $81,218.00 $70,131.00 86.35%
2003 q2 $117,583.00 $96,559.00 82.12%
2003 q3 $174,444.00 $143,487.00 82.25%
2003 q4 $255,354.00 $216,356.00 84.73%
83.86% Avg % Shared

2004 q1 $333,752.00 $271,002.00 81.20%
2004 q2 $346,226.00 $277,034.00 80.02%
2004 q3 $384,285.00 $302,932.00 78.83%
2004 q4 $489,993.00 $377,708.00 77.08%
79.28% Avg % Shared

2005 q1 $584,115.00 $461,807.00 79.06%
2005 q2 $630,242.00 $494,320.00 78.43%
2005 q3 $675,012.00 $529,874.00 78.50%
78.66% Avg % Shared