Group 7

Amarjeet Baral
Arun John
Indupriya S
Parul Saraswat
Prashant
Sean Collins
ADVERTISING IS NOT A MARKET BUT A BUSINESS MODEL
 Google success key factors

●
Ability to easily grow at marginal cost
●
Applied to infrastructure: Ability to
adapt its size to high load & volumes
●
Applied to business models: Ability
to monetize millions of users

Scalability

●
Advertising is not a market but
a Business Model
●
Any Market that attracts
advertising is a target for Google

Business Model
 Google success key factors

●
Non-tradition actors become part of the
value chain
●
Users, content creators and external
developers are given tools to create new
markets and enrich services

Co creation

●
The utility of a good or service varies
with the number of users
●
The reach of a critical mass of users
constitutes a significant barrier to the
entry

Network effects
 Core Competency
Page Rank System – Harnessing Collective
Intelligence
Leveraging the “long trail”
Control Data Source
Open Source – Perpetual Beta
 Product Portfolio
Desktop Products
Standalone Apps (Chrome, Desktop, Earth, Picasa, Talk)
Desktop Extensions (Gears, Toolbar, Widgets)
Mobile Products
Online Mobile Products (Gmail, News, Reader)
Downloadable Products (Maps, Talk, YouTube)
 Product Portfolio
Web Products
Account Management (Dashboard)
Advertising (AdSense AdWords, DoubleClick)
Communication & Publishing (Blogger, Docs, Gadgets,
Gmail, Orkut, Picasa, Reader, YouTube, Voice)
Development (Android, OpenSocial, Code, Web Toolkit,
Chrome OS)
Mapping (Maps, Mars, Moon)
Search (Alerts, Book, Code, Dictionary, Finance, Groups,
Image, News, Scholar, Video, WEB SEARCH)
Statistics (Analytics, Trends)
 Pricing Strategies
AdWords – Sponsored Links or Ads by Google (Cost
per Click)
AdSense – Increase relevance of Ads displayed on
personal web pages using permission marketing.
(Cost per Action)
DoubleClick – Digital Marketing Partner
Enterprise Solutions – Mini, Search Appliance costs
based on number of documents searched.
 Distribution Channel
Advertisers Google Ads Consumer

AdWords, AdSense, DoubleClick

●
Ads
appear on
Google
●
Google search and
●
Company ●
Consumers
publishes ads various
approaches using Google
based on the
Google to other products
relevance of
publish their applicatio click on the
keywords
ads on the ads relevant
and bidding ns in
internet. to them.
on keywords. relevance
to the
searched
keywords.
 Distribution Channel
Enterprise Google Implementatio Support
n Services
Enterprise Solutions (Mini, Search Appliance)

●
Enterprise ●
Google
requests
relationship
●
Product is ●
Onsite and
Google to online
managers delivered
enhance support
discuss the and
search within services are
requirement
the firms
of the firm.
installed. provided.
intranet.
 Promotional Strategies
Google effort to promote itself largely revolves
around buying internet traffic
 Promotional Strategies
Google is exploring offline advertising Market
Online advertising account for only 8% of the total
advertising market

Ad Market
Television
Billboards
Radio
Internet
Daily press
News press
 How is Google making its presence in the offline Ad Market
• Ad transfer from online to offline (YouTube on TV)
• Entry on tradition offline markets (Radio, Billboards…..)
• Integration of offline techniques (Traditional fixed pricing)
• Partial adaptation of AdWords onto Radio & TV
 People & Processes
Google’s Philosophy
(Ten key principles of action for Googlers)

Focus on the user and all else will follow

It's best to do one thing really, really well
Fast is better than slow
Democracy on the web works
You don't need to be at your desk to need an answer
You can make money without doing evil
 People & Processes
Google’s Philosophy
(Ten key principles of action for Googlers)

There's always more information out there

The need for information crosses all borders
You can be serious without a suit
Great just isn't good enough
 n k Yo u
Tha