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Enhancing Sales and Profits through Effective Advertising Strategies

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Added on  2019/12/03

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The provided content discusses the role of Google and other tech companies in enhancing sales and profits through effective advertising. The study recommends that Google increase customer trust by communicating with clients about ad selection. The assignment also highlights limitations such as analyzing secondary data within a limited time period.

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RESEARCH METHOD

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Table of Contents
TITLE .............................................................................................................................................2
INTRODUCTION, BACKGROUND AND RATIONALE ...........................................................2
Introduction of the study ............................................................................................................2
Background of the study ............................................................................................................2
Rationale of the study .................................................................................................................2
Aims and objective of the study .................................................................................................3
LITERATURE REVIEW ...............................................................................................................3
RESEARCH METHODOLOGY ....................................................................................................5
Developing the research question ..............................................................................................5
Research methodology................................................................................................................6
ANALYSIS AND FINDINGS .......................................................................................................8
CONCLUSION AND RECOMMENDATION ............................................................................10
Conclusion of the study ............................................................................................................10
Recommendation ......................................................................................................................10
Limitation of study ...................................................................................................................10
REFERENCES .............................................................................................................................11
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Illustration Index
Illustration 1: Tech companies biggest source of revenue by percentage.......................................8
Illustration 2: Degree of trust in the given forms of advertisement.................................................9
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TITLE
How Technology has transformed the advertising industry: Case of Google
INTRODUCTION, BACKGROUND AND RATIONALE
Introduction of the study
The environment is changing rapidly due to technology hence organisations have to adapt
to the new ways of advertising. However, if firms will not change itself as per the new changing
scenario at that time it will become difficult for them with regard to mark an effective presence
in the competitive business environment. Google platform is used by many companies to
advertise their products and services. It is undeniable how Google’s technology has transformed
the advertising industry. The Company is continuously upgrading its products and services to
make advertising easy. Google main core product is the search engine which is accessed over 3
billion times everyday making it a right platform for advertising (Google, 2015).
Background of the study
Google was established in 1996 by Larry Paige and Sergey Brin, Stanford University
graduates. The pair came up with the idea of a search engine which the previously called “Back
rub “. Their work was formalised in 1998 to what is now called ‘Google’. Google is one of the
leading internet technology and advertising company in the world. The company specialises in
internet search engines and related advertising services. It maintains a large index of web sites
and other online content, which are freely available through its search engine, comScore (2014).
Google have 66.8% of the global search market, followed by Yahoo and Chinese search engine
Baidu (Evans, 2009). Further, the company’s YouTube online video services is a leading online
media platform. In light of this fact Google technology has transformed the whole business
environment, in terms of communication, advertising, and education.
Rationale of the study
Over the past years changes in advertising have been evident as traditional methods of
advertising are in decline and more modern ways such as television and internet advertising are
being adopted. Technology has come with a strong force changing the ways in which advertising
is done especially in the 21st century. Google technology has played a big role in this
transformation by putting more pressure on how advertising is done by firms and industries. The
main reason why companies advertise is to increase awareness of their product and services.
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Competition on the market is so intense; therefore companies need to continuously find ways to
create awareness of their products and services.
In this new era of modern technology ways of advertising involve high customer
interaction and Google is providing a platform for customer and business interaction via its key
words that enable companies to connect with their customer’s to advertise their products and
services (Jackson, 2015). Google’s platform has billons of viewers across the world making it a
right spot for advertising. Hence, Google technology is very important for any modern business
to stay ahead of the game and also to gain its competitive advantage.
Aims and objective of the study
The purpose of this report is to find out the extent of how much Google technology has
aided this transformation and whether these changes are beneficial to companies.
On the basis of given aim following objectives are set:
To examine the growth and development that have occurred in the field of advertising
industry over the years.
To investigate that how technology has transformed the advertising industry.
To analyse the strategies which is being adopted by Google in order to internationalise its
operations.
To assess the impact that latest technology have on the advertising industry.
To critically analyse that whether the changes brought about by Google’s technology
have been beneficial to marketing and firms.
LITERATURE REVIEW
Background of the advertising industry
Advertising is not a new phenomenon, the development and evolution has taken place
over a hundred years ago. Many writers believe it started around the 19th century but became
more evident round in the mid 20th century. In this context, as per the view point of Tucker
(2012) 15th century was referred to as the period of pre-printing era, in which town crier was used
as means of advertisement. It was very old method of performing the advertisement. Here, the
firm which wants to make announcement appoints one bellman who will visit to each and every
corner of the city with an aim to spread the information which firm wants to communicate. In
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this regard, Ayanso and Mokaya (2013) have stated that town crier is being regarded as one of
the most time consuming method of advertisement.
Furthermore, as per the view point of Couldry and Turow (2014)18th century is the era
when firm has explored the new mean of performing the advertisement which is of placing ads in
newspapers and magazine. Tucker (2012) has depicted that in comparison to the town crier,
newspapers and magazine is being regarded as one of the most effective mean of performing the
advertisement. The statement which authors have depicted is correct. This is because, with the
help of newspapers and magazine information about the product can be spread by the firm
among large number of buyers. However, this will not being made possible if firm will make use
of town crier as the mean of advertisement. Here, in the 18th century only means such as signs
boards and writings on the walls of noticeable buildings, shops and stalls have also evolved.
However, Cohen (2013) has argued that these methods used were more docile and only targeted
a very small area.
According to the view point of Sinclair (2012) Radio advertising was evolved during 19th
century. This has played very crucial role as it has provided opportunity to the advertiser with
regard to establish the direct contract with the customers in an effecient way. In addition to this,
the given mean has also enhanced the reach of firm with regard to give information about the
produced product among the large number of customers in an effectual way.
However, the whole scenario of advertising industry has changed during the 21st century.
According to the view point of Hillis, Petit and Jarrett (2012) The 21st Century welcomed the
development of online advertising which has become a very successful and essential part of the
modern business. Internet adverting is taking business from customary promoting, for example,
broad communications such as the television, newspaper and radio advertising. However, it has
been critically evaluated by the Jackson (2011) that the newspapers and magazines are still
widely used but the electronic media has proved to be very effective. Advertising has becomes
more interactive than ever before.
Challenges faced by the company before the evolution of new technology
Number of challenges being faced by the company during the process of spreading the
information about the product before the evolution of online advertising. In this context, as per
the view point of Ayanso and Mokaya (2013) to spread information about the products and
services beyond the domestic boundary and without any complication is being regarded as one of
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significant challenge that company has faced before the evolution of new technology. The
statement which is being depicted by the author is correct. This is because, in this regard it has
been seen that the traditional means such as newspapers, magazines and bill broads are effective
but these means cannot be use by the firms with an aim to spread the information about the
products and services outside the local or domestic boundary. However, if these are used at that
time the overall cost of the enterprise will be increase.
In addition to this, as per the view point of Cohen (2013) preparing the ad in the most
attractive way is being consider as another most critical challenge which firm has faced before
the evolution of new technology. Here, the ads which are placed in Google are more attractive
and it leads to attract the attention of many buyers. Thus, it influences buyers with regard to once
use the goods and services of the firm in an effective way.
Benefit of online advertising
Hillis, Petit and Jarrett (2012) have depicted that Ad’s networks gather a great deal of
user information, for instance users search histories, web browsing behaviour, online social
networking profiles and mobile locations. Google plays a big role is collecting, organising and
storage of this information being used by many of these advertising companies. It gives stage to
cooperation through its magic words that empower organizations to associate with its client's to
promote and deal items. In addition to this, as per the view point of Tucker (2012)to give
information about the product among global customers is the another most significant advantage
which is being gained by company by using the given mean. The statement which authors have
depicted is also right. Here, the search engine of Google is popular at global platform. Thus, if
ads are being placed in the given platform. At that time it will become easier for the firm with
regard to attract the large number of buyers in an effectual manner. Through this way, firm will
get the benefit in the form of increased profits and sales.
RESEARCH METHODOLOGY
This section of report give description regarding the number of tools and techniques
which can be used by the firm with an aim to get the answer of the framed research questions.
Developing the research question
Following are the research question with respect to the given study:
How advertising industry has evolved over the years?
How new and latest technology has transformed the advertising industry?
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What are the strategies adopted by Google in order to internationalise its operations?
What changes brought by Google’s technology and whether it is providing benefits to
marketing and firms?
Research methodology Research design: Research design is the overall strategy which depict the way to perform
research upon the specific topic (Meaning of research design, 2015). In addition to this, it
can also be said that research design depict about the structure which researcher uses with
an aim to set the direction of its study towards the right path. The research design is of
three types such as exploratory, descriptive and casual research design. For the present
study which is on analyzing the role of Google in transforming the advertising industry,
descriptive research design will be used (Jackson, 2010). It is used because with the help
of this, researcher can improve its understanding regarding all the keywords which are
being related with the present study. Thus, by complying with the given type of activity,
researcher will be able to carry out its efforts with regard to accomplish the aims and
objectives of the present study in an effectual manner. Research approach: Research approach is the plan or procedure which helps in shaping
the direction of whole research appropriately. It is of two type such as inductive and
deductive. Inductive approach is applied when researcher will not frame any hypothesis
with an aim to test the given study. In the similar way, deductive approach is used by the
researcher when study possess some hypothesis. Here, for the present study inductive
approach will be used as it do not posses any hypothesis. Research method: Qualitative and quantitative are being regarded as two basic type of
research methods. Here, when study evident the presence of some quantitative
information at that time, quantitative research method will be used by the researcher. In
the similar way, qualitative approach will be used when the study possess some
qualitative information. The present study is qualitative in nature and it is due to the
presence of given aspect qualitative research methods will be applied in the given study. Data collection: It depicts about the way of collecting the data with respect to the aims
and objectives of the present study in an effectual manner. It is required by the researcher
that it must collect its data from the appropriate sources. This is because, if not collected
than authenticate result will not being drawn by the scholar (Fiegen, 2010). In accordance
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with the given context, two different sources identified which researcher uses in order to
gather the data for its study. The sources are categorizes into two categories such as
primary and secondary. Here, primary data can be assembled by the researcher with the
help of mean such as questionnaire. In the similar way, secondary data can be gather by
scholar with the help of tools such as books and journals. For the current study,
secondary data will be used. The reason for choosing secondary data sources is that the
questions that are set out to be examined in this dissertation can best be answered by
analysis of existing data different from the use for which they were collected in the first
place; and also because the author has no time or resources to undertake primary data
collection. Sampling and Sample: Sampling consists of varied methods which are used with an aim
to get the appropriate sample for the study (Sampling, 2015). With the help of an
appropriate sampling method, an effective sample for the present study will be collected
by the scholar. Here, on analyzing the views and opinions of the collected sample, an
effective conclusion can be drawn by the researcher of the present study. The
probabilistic and non-probabilistic is being regarded as two basic methods of sampling.
These all given methods possess varied other techniques (Crowther and Lancaster, 2012).
However, sample is something which represent the feature of whole population. For the
present study which is on analyzing the role of Google in transforming the advertising
industry random sampling approach will be used. This is applied because with the help of
it each individual associated with the present study can be provided an equal chance of
being selected as the sample. In this context, for the current study sample of 50 firm's
manager will be selected who uses Google platform with an aim to give the
advertisement about its product.
Data analysis techniques: In order to interpret the collected data the need of using the
data analysis technique is being arises in front of the scholar. Here, with the help of
appropriate data analysis technique, the framed aims and objectives of the study will be
met. In this regard, the present study will be analyzed with the help of thematic approach.
In this context, themes will be prepared with an aim to draw an appropriate conclusion
for the present study (Daniel and Sam, 2011).
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ANALYSIS AND FINDINGS
In this section, themes are prepared as per the aims and objectives of the present study.
The detailed explanation about the same is depicted in below:
Theme 1 Google is the most popular place for placing advertisement
On reviewing the varied literature, it has been assessed that Google is being regarded as
one of the most popular platform which firm uses with an aim to display the ads about their
product. In addition to this, the diagram also depict that the firm major source of generating
revenue is paid advertisement. Overall, from the given theme it can be interpreted that Google
has brought new revolution in advertising world. Thus, many companies is using this mean in
order to spread the information about the produced product among the large number of buyers.
Theme 2 Latest technology is putting question upon the reliability of advertising industry
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Illu
stration 1: Tech companies biggest source of revenue by percentage
(Source: Tech companies biggest source of revenue by percentage, 2015)

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The above figure clearly justify the above theme. In this regard, on analyzing varied
secondary research it has also being identified that latest technology puts question mark upon the
reliability of advertising industry. This is because, many customers believe that the information
that firm places on the online platform about their product is not so trustworthy. It is due to the
presence of this aspect, they always think twice when making the decision about the purchasing
the product from the respective firm in an effectual manner.
Theme 3 Google brought changes in the advertising industry
It has also being identified from the different literature that Google has brought changes
in the advertising industry. In this context, it is identified that cited firm has open very new and
latest mean of displaying advertisement in front of the organization. In addition to this, it has
helped in providing global platform to the firm with regard to represent their goods and services
among the large number of buyers in an effectual way. In addition to this, it is due to the Google
only many firms has seen significant improvement in their sales and profits.
Theme 4 Strategies adopted by Google in order to internationalize its operation
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Illustration 2: Degree of trust in the given forms of advertisement
(Source: Degree of trust in the given forms of advertisement, 2015)
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From different secondary sources, it is identified that with an aim to internationalize its
operation Google sets very low rate for the advertisement. It is the reason why it is being
consider as one of the most popular search engine for the companies that want to place the
advertisement about its product among the respective buyers.
CONCLUSION AND RECOMMENDATION
Conclusion of the study
From the whole study, it can be concluded that Google has brought immense
transformation in the advertising industry. In this context, it has opened the new ways of
performing the advertisement among the respective buyers. In addition to this, Google is also
playing very effective role in terms of providing global platform to the company with respect to
display their advertisement. Thus, the Google is playing very critical role in terms of enhancing
the sales and profits of the company in an effectual way.
Recommendation
Here, from the result of the given study it is recommended to the Google that it must take
measure with regard to increase the degree of trust of own customers about the ads which is
being displayed by it. Firm can perform this, by communicating its customers that whatever ads
which it places in its site are not fake and being selected after carrying out the discussion with
the respective client.
Limitation of study
The result of this study is analyzed with the help of different secondary means. In this
context, the major problem which researcher has faced is of to analyze different secondary data
within a limited time period. Due to this problem, the result of given study will be hampered in
some sort of way.
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REFERENCES
Books and journals
Ayanso, A. and Mokaya, B., 2013. Efficiency evaluation in search advertising. Decision Science.
44(5). pp. 877-913.
Cohen, N.S., 2013. LABOR ONLINE: SOCIAL MEDIA, AUDIENCES, AND ADVERTISING.
The Routledge Companion to Advertising and Promotional Culture. pp.177.
Couldry, N. and Turow, J., 2014. Advertising, big data and the clearance of the public realm:
marketers' new approaches to the content subsidy. International Journal of
Communication. 8. pp.1710-1726.
Crowther, D. and Lancaster, G., 2012. Research Methods. 2nd ed. Routledge.
Daniel, S. P. and Sam, G. A., 2011. Research Methodology. Gyan Publishing House.
Evans, D.S., 2009. The online advertising industry: Economics, evolution, and privacy. Journal
of Economic Perspectives, Forthcoming.
Fiegen, M. A., 2010. Systematic review of research methods: the case of business instruction.
Reference Services Review. 38(3). pp.385–397.
Hillis, K., Petit, M. and Jarrett, K., 2012. Google and the Culture of Search. Routledge.
Jackson, S., 2010. Research Methods: A Modular Approach. Cengage Learning.
Jackson, S.J., 2015. Assessing the sociology of sport: On media, advertising and the
commodification of culture. International Review for the Sociology of Sport, 50(4-5),
pp.490-495.
Sinclair, J., 2012. Advertising, the media and globalisation: a world in motion. Routledge.
Tucker, C., 2012. Implications of Improved Attribution and Measurability for Antitrust and
Privacy in Online Advertising Markets, The. Geo. Mason L. Rev. 20. pp.1025.
Tucker, C., 2012. The implications of improved attribution and measurability for online
advertising markets. Competition in the Online Environment.
Online
Google. 2015. [Online]. Available through: <www.google.com>. [Accessed on 15th December
2015].
Meaning of research design. 2015. [Online]. Available through:
<http://www.ais.utm.my/researchportal/files/2015/02/Example3-Res-Design.pdf>. [Accessed
on 15th December 2015].
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Sampling. 2015. [Online]. Available through: <http://www.enotes.com/homework-help/what-
sampling-what-different-methods-sampling-154057>. [Accessed on 15th December 2015].
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