The Softening: Google Ad Revenues?
January 19, 2012
I don’t have a dog in this fight. No stock. Not working on Google stuff. Zippo. I learned from “Google’s 4Q Earnings Growth Slows as Ad Prices Fall During Holiday Marketing Season”:
Google executives traced part of the decline to technical changes aimed at delivering more ads that attract people’s interest. Those tweaks apparently paid off as the total clicks on Google’s ads increased 34 percent from the previous year. The lower prices still contributed to a dramatic slowdown in Google’s earnings growth. The performance fell well below analyst estimates.
Is this the beginning of a softening at Google? My thought is, “Yes.” The phrase “more ads that attract people’s interest.” Yep. Synonym expansion, off point mobile ads, and various loop the loops such as the self referential Google Plus content.
Softening. No meltdown. Yet.
No further comment needed.
Stephen E Arnold, January 20, 2012
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