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On Wednesday, Marketing Land founding editorDanny Sullivan gave an in-depth presentation at Business Insider's IGNITION conference about what's going on with Google's search business — both what we know and what we don't.
Here's the full presentation he gave discussing his thoughts on the company's cash cow:
Search is the biggest slice of the pie of all online ad spending in the US. It's about 50% of all ad spending, when you take into account mobile and desktop ads.
Danny Sullivan / Marketing Land
Digital ad spending is about to overtake TV — largely fueled by search. So, Google's in a great position, right?
Danny Sullivan / Marketing Land
Danny Sullivan / Marketing Land
"It's a disaster, everything's terrible!"
Danny Sullivan / Marketing Land
Not quite.
Danny Sullivan / Marketing Land
Danny Sullivan / Marketing Land
Danny Sullivan / Marketing Land
Lesson:
Danny Sullivan / Marketing Land
How do you make sure that you sell more ads? A few ways ...
Danny Sullivan / Marketing Land
Google used to allow merchants to list their products in its shopping section for free, but in 2012 it changed its rules. Amazon is one notable retailer that refuses to pay, so it won't show up in Google Shopping.
Danny Sullivan / Marketing Land
Sullivan on the move: "This was a huge, huge change for Google. It was a 180-degree reversal on something that they had previously literally called 'evil.' When they went public they said, 'You should never do shopping search and charge people to be in it. That would be an evil thing.' But then they decided, 'This kinda works out really well. We can make a lot of revenue off of that.' So they completely switched it over."
Ditto with other things.
Danny Sullivan / Marketing Land
You can now book hotels on Google.
Danny Sullivan / Marketing Land
Danny Sullivan / Marketing Land
Danny Sullivan / Marketing Land
Danny Sullivan / Marketing Land
Danny Sullivan / Marketing Land
Cost-per-click is one of the few metrics Google gives during its earnings reports, but:
Danny Sullivan / Marketing Land
You never really know what's causing lower CPCs.
Danny Sullivan / Marketing Land
Danny Sullivan / Marketing Land
Danny Sullivan / Marketing Land
Danny Sullivan / Marketing Land
We never get raw numbers for either of these.
It's all thrown into one big pot.
Danny Sullivan / Marketing Land
Danny Sullivan / Marketing Land
Danny Sullivan / Marketing Land
Danny Sullivan / Marketing Land
Danny Sullivan / Marketing Land
Danny Sullivan / Marketing Land
Danny Sullivan / Marketing Land
But if you go through "top apps" on iTunes, there are very few search apps, with Amazon as a big exception. But Google is on there.
Danny Sullivan / Marketing Land
Danny Sullivan / Marketing Land
Danny Sullivan / Marketing Land
Google use is strong from its app as well as on the mobile web.
Danny Sullivan / Marketing Land
"This is a sign of how smart and forward-looking the company really is."