Introduction into Google s business Matti Leppänen mattil@google.com
Google today
Organize the world s information and make it universally accessible and useful
Google s philosophy 1. Focus on the user and all else will follow 2. It s best to do one thing really, really well 3. Fast is better than slow 4. Democracy on the web works 5. You don t need to be at your desk to need an answer 6. You can make money without being evil 7. There s always more information out there 8. The need for information crosses all borders 9. You can be serious without a suit 10. Great just isn t good enough
Video examples http://www.youtube.com/watch?v=oyrqnfliv6y http://www.youtube.com/watch?v=bp9kbrh8h04 http://www.youtube.com/watch?v=bu927_ul_x0
Google s revenue (Q4 2010) 97% 3% Advertising sales Other revenue
Google s Enterprise Products I looooove the Google Search Appliance
Google s advertising products Search advertising Content advertising YouTube Mobile advertising
Google s quarterly revenue development
Search is a database of intentions John Batelle
Google searches mirror real life events
A short history of AdWords Top Ads AdWords Premium - Sold as traditional advertising - Advertisers pay per ad impressions Side Ads self service - Initially sold as CPM - Self-service model - Advertisers sign up directly on page
A short history of AdWords Top Ads AdWords Premium - Sold as traditional advertising - Advertisers pay per ad impressions Side Ads AdWords Select - Auction model introduced - Second price auction - Advertisers pay per click
A short history of AdWords Eventually all ads priced through auction model and quality score Introduced: P1 = (B2*Q2)/Q1 - Top slot reward for high QS
Marketing is the new finance
Example: How a company can utilise Google s products to help their business Google Confidential and Proprietary
Example - how a company can use Google s advertising products www.elektroniikkanettikauppa.fi A new Finnish online store that sells all sorts of consumer electronics. Elektroniikkanettikauppa How can this company use Google search in order to create business and utilise other Google products in order to improve their services? Stereot Televisiot Pelikoneet Tietokoneet Kodinkoneet Lamput Kaiuttimet Tilausehdot FAQ Ota Yhteyttä Tietoa meistä
#1 Organic Search Traffic: Ensure your website is findable and indexed by Google SEO = Search Engine Optimisation Search engine optimization (SEO) is the process of improving the visibility of a website or a web page in search engines via the natural or un-paid ( organic or "algorithmic") search results. Source: Wikipedia www.google.com/webmasters
#2 Paid Search Traffic: Acquire high quality leads through AdWords Example keywords: SEM = Search Engine Marketing Search engine marketing (SEM) is the practice of bidding for relevant keywords and paying for traffic to your site. - portable MP3 player - 42 inch led tv - good speakers - cheap alarm clocks www.google.com/adwords
#2 Paid Search Traffic Example of account set up Ad Group 1 Ad Group 2 Ad Group 3 Televisions Home Stereo Refrigerators televisio televisiot telkku telkut tv tv:t samsumg televisiot sony televisiot plasma tv lcd tv led tv... stereo stereot stereoita reteot kenwood stereot cd soitin uudet stereot kaiutin kaiuttimet mankka vahvistin... jääkaappi jääkaapit edulliset jääkaapit uudet jääkaapit jääkaappipakastin upo jääkaapit pakastin sub zero jääkaappi kylskåp jää kaappi...
#3 Online Branding: Increase awareness of your website by using Google s content partners Ilmainen kuljetus! Ilmainen kuljetus! Elektroniikkanettikauppa.fi Elektroniikkanettikauppa.fi Elektroniikkanettikauppa.fi Elektroniikkanettikauppa.fi Ilmainen kuljetus! www.google.com/adwords/displaynetwork
#4 Use Web Analytics to Discover Insights www.google.com/analytics
#5 Track Sales on your site and attribute them to marketing activites Example Traffic Source Reporting: Source Visits % visits Bounce% Sales AOV Value Value/visit Google Organic 5,000 60% 32% 10 500 5,000 1 Newsletter 1,825 21% 20% 1 700 700 0.38 Banner 890 11% 40% 2 550 1,100 1.24 Google CPC 1,800 7% 20% 6 567 3,400 1.89 Bing Organic 70 1% 33% 1 650 650 9.29 Totals 9,585 100% 30% 20 543 10,850 1.13 Example Keyword Reporting: Keyword Clicks CPC Cost Sales AOV Value televisio 1,000 0,40 400 2 500 1,000 tv 500 0.35 175 0 0 0 sony televisio 200 0.30 60 3 550 1,650 plasma tv 100 0.20 20 1 750 750 Totals 1,800 0.36 655 6 567 3,400 ROAS ( 655/ 3,400)*100% = 520%
#6 Optimise Website to Drive Conversions Original Picasa download page 24
Case Study: 3 areas of focus + 4 simple hypotheses Hypothesis Hypothesis #1: #1: It s It s always always better better to to describe describe user user benefits benefits than than product product features features Hypothesis Hypothesis #2: #2: Links Links receive receive more more clicks clicks than than buttons buttons Hypothesis Hypothesis #3: #3: Free Free offers offers are are more more desirable desirable than than trial trial offers offers Hypothesis Hypothesis #4: #4: If If you you have have an an attractive attractive product, product, flaunt flaunt it it
Case Study: Three simple experiments Original (A) New (B) Find, organize and share your photos. OR? The easy way to share and manage your photos. OR? OR? No Picture
Case Study: Assumptions were wrong Hypothesis Hypothesis #1: #1: It It is is always always better better to to describe describe user user benefits benefits than than product product features features Hypothesis Hypothesis #2: #2: Links Links receive receive more more clicks clicks than than buttons buttons Hypothesis Hypothesis #3: #3: Free Free offers offers are are more more desirable desirable than than trial trial offers offers Hypothesis Hypothesis #4: #4: If If you you have have an an attractive attractive product, product, flaunt flaunt it it
Case Study: Simple test increased downloads by 30% New Picasa download page New page increased conversions by 30%
#6 Optimise Website to Drive Conversions www.google.com/websiteoptimizer
#7 Analyse Demand Abroad and Go International http://translate.google.com/globalmarketfinder
Summary - Increase targeted traffic to your site - Ensure potential customers find you - Optimise site to receive search traffic - Ensure Google can index your site Stereot Televisiot Pelikoneet Tietokoneet Kodinkoneet Lamput Kaiuttimet Elektroniikkanettikauppa - Improve awareness of your site across the web - Drive qualified traffic to your sire Tilausehdot FAQ Ota Yhteyttä Tietoa meistä - Discover insights about your website - Analyse and measure site traffic - Optimise your marketing efforts - Discover new areas to move into - Learn about search behaviour in other markets - Improve your website s conversion paths - Drive more sales and get the most out of your traffic
Android Market Share of Smartphones (U.S.) Source: ComScore February 2011
Change is cyclical and happening quicker iphone Internet TV Radio Number of Users (Million) Years Source: econsultancy.com 2009
Development of Mobile Queries in Finland 2008-2010 +179% Annual mobile query growth in Finland between 2008-2010 Source: Google internal data 35
Mobile Search is growing as fast as Apps Number of US Smartphone users who have used Mobile Browsers / Apps (millions) 2x Search is the most popular usage of Mobile Browsers 48% of US Smartphone users have used a browser 90% of apps are deleted within 30 days of downloading Source: Morgan Stanley
Should I do a mobile site or an app? 37
Future trends
Q&A
Reminder! www.google.fi/jobs www.google.com/jobs