Analyzing Google's Revenue Model and Services

This article analyzes Google's revenue model and services, including keyword advertising, contextual advertising, and free products and services. It also discusses the potential benefits of Google Hire and Google Trends.

Running head: ANALYTICAL QUESTION
Analytical Question
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Author’s Note:

ANALYTICAL QUESTION
Google, one of the biggest internet leaders makes almost two thirds of its revenue from
advertisements served at its online site along with its organic search results. The major source
of revenue is from the “keyword advertising”; the way it prompts the advertisements through
different phrases or keywords typed in. Often Google makes its revenue from ranking order
of advertisements based on the display consideration of cost-per-click (CPC). The other way
it attracts is through contextual advertising whether it is related to geographical location and
the advertisements pertaining to that area or through issuing a third party cookie through
“AdSense” partner sites (Gallaugher, 2015). Google offers products like Nest Thermostat that
adjusts heating and cooling based on the habits of home owners. However, profiling data and
constantly keeping a tap on behaviours of human surfing has to be made so that the lives
become easier and interesting (Morey, Forbath & Schoop, 2015). Although, there is soaring
issue regarding personal data, just like Mark Zuckerberg (for Facebook) had been questioned
for tracking personal data through social media online as well as offline. However, it is not
the artificial intelligence but the algorithms that determine the optimal level of randomness
on the search buttons of Google (Ramos, 2018).
A number of free products and services are offered to people like a web browser, web mail,
cloud storage, hiring, blogger, analysis of trends, online software, language translation, laptop
and desktop computers, self-driven cars, drones that deliver goods to homes and many more
(Carlson, 2018). A large customer base is the key to success for a company to grow which
not only is the basic idea of their product development model but to develop into paid
enterprise solution just like “Google Apps” making it readily available for the customers with
owning customer’s familiarity towards it. In other words, Google understands the “social
graph” to keep the consumers glued and enable SEO benefits (Turban, Strauss & Lai, 2016).
Employment is one concern that often leads to one opportunity to other. A continuous change
and looking for further opportunities is one thing that no one stops. Google has introduced

ANALYTICAL QUESTION
“Google Hire” in 2017 and this can be one service that could yield benefits if it chargeable by
the company. This can be profitable in long run as with growing small and medium
enterprises, the openings and vacancies will grow, making it easier to add a subscription for
the same with giving away free email templates for any kind of email communication.
Secondly, a service like “Google Trends” can add to this fast paced environment, where
every week there is change in clothes, fashion, electronics, holiday destinations, economy
issues, political environment, sports, etc. This not only helps in answering latest queries
related to upcoming trend but also keep you updated with happenings around. This can
further constitute to be a part of “Google Apps” to add focus to the growing environment
with business pumping and advertisements further tracking its global users (Percival, 2013).

ANALYTICAL QUESTION
References
Carlson, N. (2018). A List Of Products Larry Page Has Google Working On Other Than
Search, Such As Spoons. Retrieved from https://www.businessinsider.in/A-List-Of-
Products-Larry-Page-Has-Google-Working-On-Other-Than-Search-Such-As-
Spoons/articleshow/43188003.cms
Gallaugher, J. (2015). Information Systems: A Manager's Guide to Harnessing Technology.
United States: Flat World Knowledge, L.L.C.
Morey, T., Forbath, T., & Schoop, A. (2015). Customer data: Designing for transparency and
trust. Harvard Business Review, 93(5), 96-105.
Percival, J. (2013). In-Application Advertising. In HTML5 Advertising (pp. 217-232). Apress,
Berkeley, CA.
Ramos, A. (2018). The fake decentralization fashion. Retrieved from
https://medium.com/@alexsicart/the-fake-decentralization-fashion-becba701d0ac
Turban, E., Strauss, J., & Lai, L. (2016). Marketing Communications in Social Media. In
Social Commerce (pp. 75-98). Springer, Cham.