The Vision: To Make Search Engines So Powerful They Would Understand "Everything in The World"
The Vision: To Make Search Engines So Powerful They Would Understand "Everything in The World"
The Vision: To Make Search Engines So Powerful They Would Understand "Everything in The World"
The Mission
To organize the world's information and make it
universally accessible and useful.
The Focus
Google continues to focus on innovation and on the
user experience.
The Industry Stats
Country Analysis
• Revenue Sources -
• Contextual Ads - Adsense.
• Adwords.
• Licensing Google search.
Global - By E-Marketer
• Number 1 – Advertising Medium in terms of growth
rate.
• Ad spending on the Web should net out at $21.7 billion
this year VS $20.4 billion on radio.
• E-Marketer predicts that online advertising will reach
$28.2 billion next year (an increase of 30 percent)
• Online advertising will account for a nearly twice as
many dollars - constituting a hefty $44 billion market
Global Market Share
in Search 13%
14%
Google
53.30% Yahoo
MSN
Others
20%
ANDAR KI BAAT
Leadership
• Dr. Eric Schmidt,
• Chairman of the Board and Chief Executive Officer
• Larry Page, Co-Founder & President, Products
• Sergey Brin, Co-Founder & President, Technology
Philosophy of Google
• Focus on the user and all else will follow.
• It's best to do one thing, and do it 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.
• 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.
Google’s Culture
• Heart of Small Company
• Hand’s on contribution to the Products by each employee
• Flat Hierarchy
• Each employee having several responsibilities in different departments
• Hiring Policy
– Non Discriminatory
– Preference of ability over experience
• Multilingual company environment
• Multidomestic culture
• Recreation along with work
• Common café for all employees
Google’s Global Presence
• 21 countries at present
Uniqueness about Google
SEARCH
• Speed, Accuracy, Objectivity and Ease of use of.
• Fit between their technology and the consumer
behavior.
• Page Rank technology – Orkut merged
• Solved the scale up problem
• Positioned as “Fastest Crawling Technique”
• Keeps the search “Up to date”
Uniqueness about Google
• 1st to get it right advantage
• Advertisers tie up as “CPC”
• Trade off between “Speed” & “Compression”
• Best asset utilization (Efficient storage space)
• R&D expenditure = 50% Net Income(10% of
Revenue)
Top Competitors
5 year Performance
5 year Performance
• R&D -> More than 10% increase Y/Y since
2002
– Continuous Innovation, creating new products.
– New products every year, Need Based Positioning,
Depth rather than Breadth.
– Ready to deal with dramatic change.
• Cost of Revenue – around 40% increase Y/Y
since 2003
– Find new sources of Revenue, margins reducing.
Recommendation
• Search : Competition from both big web companies and well-
funded startups will force Google to remain focused on
continuing to innovate in search.
• Contextual Ads – Continue good work
• Other Ad formats - With Google clearly intent on spreading
its advertising platform to the offline world, go for more
acquisitions.
• Video – Continue Good work. Consolidate position.
• Social Networking – Acquire other players.
• Office Suite – Continuous R&D
Recommendations
• Be Multi-domestic company
• Find new sources of revenue.
• Continuous Innovation is the key to maintain
dominance in such an aggressive
environment.
• Concentrate on BRIC nations.