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Google cranks ad money machine to $8.58bn • The Register
Google's first quarter profits weren't quite as stellar as Wall Street expected, as the web giant boosted salaries across the company, hired an additional 1,900 minds, and continued to pour money into its worldwide network of data centers. The company's non-GAAP earnings reached $3.23 billion in quarter ending March 31, or about $8.08 a share. The Wall Street guessmen has anticipated $8.10 per share. Nonetheless, earnings rose 16 per cent over the same quarter last year. Revenues reached $8.58 billion, a 27 per cent leap from 2010.
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“Yahoo!’s US display ad revenues will increase by double digits each year from 2010 through 2012. Despite that, not only will Facebook’s display revenues surpass Yahoo!’s this year, Google’s revenues will exceed Yahoo!’
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The research showed that more than a third of portals are failing abysmally to attract users from both online advertising and free listings on Google and other search engines. The study also revealed that a staggering 91% of UK businesses are failing to do any pay-per-click (PPC) advertising on the internet. The survey, carried out by ClickScene, found that of 10,000 UK registered websites tested, only 900 (9%) had embraced PPC advertising, such as Google AdWords, as a means of getting their name, website address and marketing message in front of customers searching for their product. Amazingly, 4,002 (40%) of the sites do not get ANY visitors from either PPC or “natural” or free search engine results. It means the only people visiting these websites will be family, friends or those who know the actual website address.Netimperative | News | Today’s top stories
Tibor Bokor, an analyst at the bank, said his sky-high valuation was justified because he expects Facebook to control 20pc of the online advertising market by 2015.
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For 10 years we've been reporting about trademark disputes over keywords in search engines. Paid links for competitor trademarks, competitors brands in meta-data, optimising on the keyphrase of your enemy - we've covered them all. Now a new ruling in a Californian federal appeals court suggests selling search ads based on trademarks doesn't break trademark law. Confused? Here's how the court sees it...
The European Parliament voted on Thursday to enter into negotiations with the European Commission and European Council on a final text of the law. IMRG estimates that the draft amendments to the Consumer Rights Directive voted through last week will cost online retailers an additional €10 billion per year in delivery charges, which amounts to a staggering 4% of the estimated worth of the e-commerce industry in 2012, threatening to completely derail growth and prevent the development of the digital economy. The cost of EU returns to e-retailers without the new EU legislation is around €5.7 billion, based on the prevailing rate of 90% domestic and 10% cross-border returns. With the new EU legislation in place that cost is expected to soar to an unsustainable €15.7 billion.
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The findings, from the Advertising Association/WARC Expenditure Report, indicates that overall ad expenditure grew by 6.9% in 2010 to reach £15.5bn. This represents the strongest ad spend growth since 2000. The performance was partly due a higher than expected adspend increase in the fourth quarter of last year, which saw a 5.8% increase, with television (+12%) and direct mail (+12.7%) the strongest performing media. Those positive figures have be seen in the light of predictions for this year that growth will dip to 2.9%, due to a relatively weak economy and falling consumer confidence. The report predicted ad spend growth will slow to 2.9% in 2011 but rise to 5.5% growth the following year, boosted by spend around the Olympics.
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The number of online video views has increased by 259% in just three years according to Comscore. Today Yahoo! launches major research into how consumers interact with short form video online and what this could mean for brands. Patrick Hourihan, Head of UK Research at Yahoo! said: “Short form content - clips under 5 minutes - are being consumed by more than 25 million users every month. What we are seeing is the genuine evolution from the internet user to the internet viewer.
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Pitched as a way to report the GRPs of online, the tool is a heavyweight that comes from the research house famous for the large sample size. That scale of audience means ComScore is well-placed to unlock daily audience measurement approaches such as the traditional post-buy metrics like Reach and Frequency. Their dashboard plays to media planners who are pressured by brands to come up with adequate reach and frequency numbers for online campaigns, as well as the type of ongoing optimisation campaigns deserve.
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Dish Network, a provider of subscription-based satellite-TV services, said that it expected to pay only $228m for the company, after "certain adjustments" on cash and inventory are made. Once a network of more than 7,200 stores in the US and 17 other countries including the UK, Blockbuster declared bankruptcy on September 23 and went into Chapter 11 reorganisation with one billion dollars in debt. By that time, it's number of stores had fallen to just 1,700 worldwide. It fell victim to competition from low-priced mail delivery of movies by Netflix, kiosk rental outlets such as Redbox, and online on-demand movie and TV services from Netflix and others, including Dish Network.
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TradeDoubler’s Mobile Solution enables advertisers to extend online campaigns to users on mobile devices, including browser-enabled smartphones and tablets. The smartphone is forecast to replace the PC as the most common device for accessing the internet no later than 2013. If tablet devices are included, this milestone will be reached even earlier. This strong trend towards mobile is not yet reflected in online advertising spend. Gavin Ailes, Acting Market Unit Leader, North West at TradeDoubler, said, “Aside from the great interest and buzz surrounding mobile devices, e-marketers are rapidly learning that mobile audiences also provide significant opportunities.Netimperative | News | Today’s top stories
The data, from the British Marketing Survey, indicates that some sectors could be expected to get 40% fewer customers in the coming months, as purse strings tighten around the country. The British Marketing Survey began collecting data on response to marketing channels in March 2008. The survey is ongoing, with data collected every month by face to face interviews of a representative sample of the British Population. In addition to revealing who has responded to which channels, the data also identifies who recalls receiving each channel, who finds which channel acceptable and who is prepared to respond to each channel in the future. The constant tracking of this data through 37,000 interviews in the last three years provides a detailed knowledge base covering the relationship between the consumer and the marketing industry through a difficult period. First the ‘Credit Crunch’ now ‘Austerity’The study, from performance marketing company, Efficient Frontier, shows Google remains the dominant player, with 91 percent of the UK’s share of search spend (the same as at the same time last year), and 88 percent of the click share (one percent down on last year). The company’s Digital Marketing Performance Report for Q1 2011 alsi showed that return on investment (ROI) from paid search spend increased overall by six percent over the same time last year, but increased further in the travel sector, which saw an increase of 14 percent in ROI. Clicks on travel sector paid search links were also significantly up on the same period last year, by 23 percent. This indicates that the overall demand for online travel has increased and that the sector will see growth through 2011 as consumers’ intention to buy (rather than just research) holidays online has increased (as indicated by increased ROI).