Showing posts with label google. Show all posts
Showing posts with label google. Show all posts

Friday, December 31, 2010

Google Advertising - The Basic Landscape of AdWords

Google makes the vast majority of it's money through advertising revenues. More specifically Google generates advertising revenue through there advertising program known as AdWords.


The heart and soul of Google's advertising success is the ability to target advertisements to the target market. When a consumer searches for a product or service the most applicable advertisements will be shown to that consumer. Thus Google has introduced an unsurpassed relevancy to advertising.

Google advertisements are distributed through two main channels. The first, most effective, and thus valuable is the search based advertisements. The second and ever growing source of Google advertisements is through the content network.


Two AdWords Distribution Channels

Advertisers can place ads on content websites or search engine result web pages.

Search

The search advertising or search engine marketing which is often abbreviated as SEM has and remains Google's bread and butter when it comes to revenue and advertiser success. The success of search advertising derives from the three R's of online marketing.

The ability to reach the interested consumer at the time of interest was never possible before AdWords. This ability to target both relevance, and peak interest is amplified by the ability to track the performance of almost every aspect of an advertising campaign. Advertisers can track almost anything whether it be time of day, location, demographic, search query, landing page, ad copy, or practically any other variable you can think of. This ability to track performance allows advertisers to hyper focus their advertising budget like never before.

Another big advantage of SEM is the notion that you only have to pay when a user clicks on your advertisement. Instead of the pay for display method of advertising Google search advertising only charges an advertiser if a user clicks on the ad.


Content

Google search advertisements are not always clicked on. In fact the majority of the time a search user will elect to click on a organic search listing. So what is an advertiser to do once the user has left google and found a site or online resource with the information that they are looking for? Google came up with a solution.

Google partnered with online publishers and content providers through a program called AdSense which allows advertisers to obtain an enormous advertising reach via the websites participating in AdSense. Websites that partner with Google through AdSense allow Google to place advertisements on their website. Google in return shares the advertising revenue with the websites.



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Wednesday, December 1, 2010

Cash, Credit, or Cell?

"Hey can you cover me I left my charger at work?"

This is how you will sucker your friend in to paying for your night out in a year or two.

Confused?

Yeah... you, Master Card, Visa, and American Express too.


In just a few short months consumers will have the option to pay with cash, credit card, or their smart phone.

That's right soon your smart phone will be just like a credit card except better; it won't be a credit card.

Who Is Behind This New Payment Method?

More then several players are going to be directly offering a cell phone payment method.

Below is a quick list of the bigger companies creating an alternative credit method for your smart phone.

Isis

AT&T, Verizon, and T-Mobile are all joining forces to form a company or entity or whatever they are call such a partnership. This new transaction processing company will be called Isis.

Google and the Android Operating System

Google is developing a system that will integrate with their Android operating system. All a phone will need is the embedded chip.

New Start-Ups 

There are several new companies that have already formed that are going to offer solutions for both consumers and merchants as an alternative to paying with the old credit card.

Why the Push to Create a New Payment Method and Credit Card Alternative?

Mobile Networks

This is the obvious answer. All the big data networks such as AT&T, Verizon, and T-Mobile will expand their offered services in a big way. The electronic transaction solution business is one hell of an extra business to get in to. They will get a cut of every transaction just like the credit card companies do now.

Consumer Choice

Then of course there is the consumer demand for an alternative to credit cads. there is an obvious benefit to being able to pay with your smart phone in addition to the other two choices that we already have. though this is an obvious motive for coming up with another merchant transaction solution and alternative to credit cards it is not even close to the main driver of this new industry.

Merchant Incentive - A Cheaper Better and Smarter Alternative

Merchants are going to welcome this thing with open arms. Merchants have a real love hate relationship with credit cards. The problem that merchants have with the existing credit card transaction solutions is the price they are charged by the credit card companies. It really puts a dent into the margins.

Also the credit card companies have been increasing rates on the merchants to make up losses that the banks have incurred during the credit crunch and massive waves of loan defaults.

To top it off the credit card companies have made it a breach of contract for merchants to say anything about the expense to consumers.

In fact many people have no idea how credit card companies make money. It's not the interest we all pay.

Merchants will be able to cut the transaction expense in half. This means bigger gains in margin. This thing will be huge for merchants.

Credit Card Companies are in Trouble

The one thing that is crystal clear amidst all this new possibility and choice that consumers, networks, and merchants will have in the very near future is that credit card companies are not going to fair well.

Sure there is going be a place for credit cards. Trust me when I tell you that credit cards are not going anywhere. I am actually surprised that the bigger credit cad companies are not more involved with this new movement but the again I guess these phone networks have a pretty solid infrastructure already in place.

My next post is going to be on what this will mean for consumers and merchants as well as the data networks. The positive impact and benefits of ths shift is going to be a lot bigger then most people would think and I really want to paint a vivid picture for everyone.

So check back soon!


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Saturday, November 27, 2010

Hey Check out What Google is Advertising...

I was on Alexa or somewhere and saw a Google banner advertising this link....

http://20thingsilearned.com/


Have you guys seen this before? Is this old News?


Let me know what you think about it.

- Finance Guy

Thursday, November 25, 2010

Giving Thanks with 10 Links

I wanted to try and do something fun for Thanks Giving.

What to do. What to do.

I came up with the following...


I will come up with ten things that I am thankful for... but there is a catch.

The catch is that not only do I have to be thankful for them but I also have to be able to link to that of which I am tankful for. Thus these ten things must have a site or blog.

Young Finance Guy's 10 Links of Thanks

Taylor - You Must Go On

Amidst the chaos of spam, 30 billion dollars of advertising, 150 billion in sales, and the 30 something million websites that Alexa tracks, there is a small tiny excuse for a blogger named Taylor.

She writes about her thoughts, her day, her trials, and her tribulations. She calls herself out, she calls her friends out, and she will even call her family out.

I am thankful for her, and I am thankful for her blog.

I often wonder...

What is it about her blog that I like?

In truth I have not quite figured it out yet. But I have made some progress. It has something to do with the way she writes. Her tone at times seems so real. Her voice so honest. There are some posts, not every post, but there are some posts, that as I read I find myself in her shoes, living her life and viewing the world as it appears from her perspective. This, I imagine, is what writing is all about.

If you don't follow a blog like I follow Taylor's You Must Go On, then I encourage you to find one, even further...

I encourage you to start with Taylor's Blog.

You Must Go On - Taylor's Blog


Phil DeFranco

Man... I love this guy.

He is a vlogger. A true vlogger. In my eye's he is the first of his kind.

He provides me a few minutes every week where I escape and set back as he entertains.

For this, for Phil DeFranco, I am Thankful. You can find him on YouTube or you can start with his blog.

PhillyD.TV


Blogger.com

I love what blogger does and what blogger is all about. Thanks Blogger.

By the way a lot of people do not know this...

Blogger was started by the same guy who started Twitter.com

Start a Blog on Blogspot - Blogger.com


WordPress.com and WordPress.org

I love what Wordpress is all about and what they do for the Internet.

Start a Free Blog on Wordpress.com

Use the Wordpress Blogging Platform on Your Own Site - Wordpress.org

Thanks Wordpress


Ken's Blog

I love Ken Envoy and his life mission. He is a bit crazy. So am I.

You can find Ken's Blog below...

Ken Envoy - Blog - SiteSell


President Obama

I am so thankful and Grateful for President Obama. I believe in President Obama and am thankful that he has come to lead in this country's time of need. I am grateful for what he has done for the American Homeowner.

You can find his blog below...

President Obama's Blog

Thank You Obama


Google - The Best Search Engine in the World

Google, in my opinion, may be the most important company in the world.

If not... they are surely the most convenient.

Search the Internet

Thanks Google


Warren Buffet and Berkshire Hathaway

Warren Buffet is like no other person on Earth. I know of no one quite as selfless as him. He does things the right way, for the right reasons, and shares his wisdom with all who will listen.

Thanks Warren

Berkshire Hathaway


Facebook.com

These guys...

Without Facebook I would not have the sex life that I have today. Like a fountain of potential partners, each new female friend request I receive may very well one day lead to another special night, and another morning of shame. They offer a world and a life time of potential.

Also they have reshaped the site rankings at Alexa.com - With out their contribution to the web all my sites would be at least 200,000 - 400,000 ranks away from where they are today.

Thank You Facebook.com

Facebook.com



Craig's List

What started as a hobby grew into what the Internet is all about. The first true web 2.0 property. Letting humanity be humanity and letting people be people.

Thanks Craig

Craigslist.org




Well that about sums it all up for this thanks giving day appreciation post. I hope you enjoyed it!

If you want more thanks giving day cheer then I suggest checking out another post that I published today. The post includes and features a video...

Charlie Brown's Thanks Giving Special

Hey it's a classic.

That's all I got folks.

Happy Thanks Giving!

- Young Finance Guy

Friday, November 19, 2010

Google Search Result Listing - Taking a Close Look

When a search engine user submits a search query to Google the user will get a search result page with search listings in order of relevancy according to Google search algorithms.

This article will discuss the make up and components of a search listing within a search results page.


3 Parts to a Google Search Listing

A Google search listing is composed of three main sections which are listed and described below.

Page Title

The first and most obvious component of a Google search listing is the title. The title is blue, bold, underlined, and linked to the applicable page.

Description

The second component of a search listing is the description which is a snippet of text that describes the contents of the page. It is generally two lines of text.

URL Line

The final component of a listing is the URL line which has three parts to it. The main one being the site URL which stands out because of the green text.

Next to the URL is a link in light blue which reads "cache" if a user clicks on the link they will be returned a page that is a copy of the page that Google has in it's index. The cache page will also feature highlighted keywords that the user originally used in the search query.

Next to the cache link is a link that reads "similar pages." If the user clicks on that link then they are returned search listings of similar pages in terms of content as determined by Google.

Google - The Company Basics

Google Basics

Google is a publicly traded corporation.

Google's mission statement and proclaimed purpose is to;

 "...organize the world's information"

Google is best known as a search engine which is also the engine that allows the company to grow and prosper.


Google has much more to offer then just search. Google has and continues to create and develop new products and services on an ongoing basis. Many people have no idea how many products Google has to offer.

The Heart of Google

The heart and soul of Google is search. Thus the algorithms that power the search engine Google offers to the world is the backbone, life line, or the roots of the company.

Google search algorithms were created and developed in a dorm room by two Stanford students named Sergey Brin and Larry Page. They developed Page Rank which is what really added the useful relevance of the search results for users.

What started from a crazy notion and then an actual attempt to download the entire internet in a week, has turned into a much longer and more profitable concern that is now known as Google a corporate search engine and web company.

How Google Makes Money

Have you ever wondered how Google makes money?

Google makes money from displaying advertisements that advertisers pay Google for. These advertisements are displayed on the search results page as well as on websites that are part of the content network.

The Google advertising programs are AdWords and AdSense
  • AdWords is the platform that advertisers come together and bid for advertising space Google, the search network, and the content network. Google also sells inventory for radio and TV time.
  • AdSense is a program and platform for content providers. It is an outlet that allows publishers to monetize their content and websites with Google ad's.
Google also makes money from charging fee's for business services. These fee's are not much compared to the value that is easily derived from the applicable product.

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Mechanics of a Google Search

From User Query to Search Results - Break Down of the Step by Step Process

Have you ever wondered what is going on behind that friendly, plain, and useful Google Search page which we have all come to depend on and expect it to be there eagerly awaiting to help us find what we want, what we're looking for.

What is going on behind that search box during the split second in between the time that we submit a search query and then get the results page.

From Submit to Results - The Mechanics of a Search Query

  1. First the obvious. A user must go to google.com and enter a search query into the the search box.
  2. After the user hits submit then the query is picked up and stored in the web server.
  3. The google web server will then shoot that information over to the index servers. These servers are like a vast table of contents or book index for the entire known Internet. The index servers rush as fast as they can to find all pages that contain those keywords in the query.
  4. After the index servers have retrieved all the index information the index servers then shot that information over to the document servers. These servers contain all the cached pages that Google bot has found over the many years of crawling the web. the document servers takes links, snippets of information and orders them in relevancy.
  5. The document servers then as quickly as possible returns the resulting search information of that query as fast as it possibly can. It will even give a estimate of how many documents it found.That whole process takes only a fraction of a second. In fact for practical purposes it is instant.

History of Online Advertising

Online advertising is a relatively new platform for advertisiers. Here we will briefly discuss the history of online advertising and more specifically the rapid growth and success that the young advertising medium has yielded thus far.


The First Advertising Online

Online advertising got it's start via the banner ad in the fall months of 1994. The banner ad was displayed on HotWired.com

The first full year of online advertising spending was a rather humble figure of just a few hundred thousand dollars. But it started to catch on and by 2004 a decade later from that first banner on HotWired.com the online advertising platform grew to approximately 10 billion dollars.

Today in year 2010 and for the upcoming 2011 the figure is much larger and will climb ever higher. Google alone should be clocking in at around 25 - 27 billion dollars in advertising revenue.

There has been a lot of advertising mistakes, trials, triumphs, and tribulations. We are making our way through the infancy of a platform that has already revoloutinalized the  world of advertising and business.

Final Thoughts on the History of Online Advertising

The online advertising platform is still young and dumb. However, it is making leaps and bounds with every passing quarter. The new advertising medium will most likely become the dominate advertising platform of the future.

** As a side note and to give credit where credit is due the info on the first banner advertisement came from a Google copyrighted text book. It is titled...

 Marketing and Advertising Using Google


(You can't buy it - They only send it)



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Friday, November 12, 2010

Google Conspiracy Video from YouTube.com

This is a neat little video that you can find on YouTube.com


It is actually pretty old coming out in 2007 or so. I am sure you can find out by going to the video page on YouTube.

Only 350,000 people or so have seen it so far which I find rather surprising because it was really well made and put together.

I am honestly not sure what the exact purpose of this movie is. It has a website. But the website does nothing but give away the movie and link to a free book on amazon. you also have the ability to contact the website owner but that is it.

The only thing I can really think of is that this thing is to promote the guy that made it, or it is to catch the attention of an investor who would be willing to "make a real movie" As it seems the theme and who knows how much else is already thought out.

I don't know. It is pretty cool to watch no matter how you interpret it.

Friday, November 5, 2010

Dear Google - Not Evil? - Then Please Define Evil


I Love Google.


I have gone back and forth in my head about utilizing the vast array of products and services that Google offers. In particular their AdSense and AdWords services. But it just seems too sketchy... too bizarre. They are the least transparent and disrespectful entity, in terms of how they treat their clients, partners, and their share holders (aka owners).

Here is a classic example...





http://www.google.com/support/forum/p/AdWords/thread?tid=322156ec28e83062&hl=en

This side of Google is unknown too many of the people who make up the very population that I reference as applicable. Google has done and continues to do an amazingly effective job of keeping this kind of stuff under wraps. They some how have managed to silence their victims... well most of them.

I must admit, that I too, would most likely still be oblivious to this "evil" side of Google if I had not experienced the terror that they can cause first hand. I worked for a company that was a victim of Google's dark side. I lost my job. The company no longer exists. Maybe one day I will share that story.

But not today.


Visited by Google Dark

I am very cautious when it comes to uncertainty and money. I like knowing the factors and environment hazards that pose a threat to my efforts. Google hides the risk taken on by advertisers, and partners. No one really knows what the risk or probability of being the victim of the ever lurking Google Dark or how often Google Dark will need to feed.


Much like the big screen paints the oblivious human race in popular vampire movies, bloggers, publishers, small businesses who use Gmail, Gdocs, Advertising Services and the like go about their every day business singing the praises of Google. They are 100% oblivious to the stealth and stark beast named Google Dark.

Google has this bizarre tendency to ignore people who get trampled. These victims, despite their best efforts, are utterly clueless to of what exactly happened. The after math of a "Google Dark Attack" results in the destruction of the victim's means to make a living. Even worst they go to great lengths to hide the existence of these risks from their partners and clients.


This may seem a bit odd to folks who don't depend on Google to make a living. But imagine if all of a sudden, and with zero notice, the power goes off. You at first think it is just a normal outage. Then some time goes by... still no power. You call the power company. They redirect your call to a automated msg saying that you no longer are allowed to use their services. You don't know why. You ask a neighbor or someone else for assistance but they simply are in disbelief and look at you with suspicion and question. You have zero answers, zero options, zero rights.






I will say that despite their behavior that clearly shows they must not care... I know they do.... I know in my heart of hearts that they care and don't want to have to do whatever it is they are doing. They simply refuse to share. They will say that click fraud or something like that is a reason that people lose their AdSense accounts and I am sure that is true ...


********(on a side note I must admit that I really underestimated the reality of click fraud and affiliate fraud - I was baffled when I was recently exposed to some black hat  culture - It is absolutely amazing what lengths folks will go to in order to cheat for a short term profit - honestly it is way easier to just do it the right way) ***********


...and they also say that certain marketing gimmicks like "Google Tree" or whatever else is out there is a reason that they cancel AdWords accounts. But there is a lot of "process" that is flat out wrong and Google carries out these processes and decisions with no regard to the ones wrongfully harmed.

They offer great and effective services and are a huge lift to the human race. They are innovative and do all they can to be as useful and helpful as they can to the outside user. There is no doubt about it. They create a world that has more value then the alternative world that exists with out them.

But if you take a look at how they treat those that feed Google... seriously... with a tear in my eye.... I am completely and 100% genuine when I say... you simply don't recognize them.

Like watching a Mother abandoned their child... you just can't believe it, you almost don't believe it, you can't understand it, and they refuse to explain it.

If I could change one thing in this world... It may not be this aspect of them... maybe it would be the world hunger issue... wars... some environmental issue... but I would be liar if I said that changing the behavior of "Google Dark" would not be a tempting choice for me. As selfish as that may sound, it is the truth.

I have read so many horror stories about publishers losing access to some tool they depended on.... then... silence. Google will have nothing to say.

 99% of Google is perhaps the best thing that this planet has created in the last 2000 or so years. Google is, at least in my eyes, the prized mantle piece decorating Humanity's living room.

I think they may be the only company that (as stupid as it sounds) I care about. Like I care about a friend or a family member. Like a kid cares about their favorite baseball player.

"Say it ain't so... Joe. Please... say it ain't so."

One idea that really worries me, one idea that I hope they think about...

What are they going to do when someone offers a solution?

I of course welcome Google or anyone to give their input. If you think this is all BS or the like, then I encourage you to spend one hour searching for ruined lives, visit the AdWords Forums, and the AdSense Forums. They are censored some what, but you can find the horror stories that I reference. Also just google what you would google if disaster struck you.

Friday, October 29, 2010

New Facebook Search Engine

I have heard rumors that there is a new search engine in the works. Supposedly a Facebook.com based search engine. That is all I really have on the matter. But what a rumor that is... wow.

A Facebook search engine would be huge.


My source is a friend I know personally whom is a rather successful online marketing and advertising consultant.

He admitted, if I am remembering it correctly, that he can not validate it with any certainty (I have to say that he could have been referencing the fact that he had no real details) but I could tell that he believed it 100%.

Did not ask his source, but he has some rather high end contacts, I have always been impressed by him.

I can't help but speculate how it may work. Would it leverage profile popularity, friend volume, or what?

I really am curious to find out more. No doubt there would be major shock waves through out the online search industry.

I have a strong premonition that it will be a separate domain, and separate entity though no doubt under the facebook.com and Microsoft umbrella.

If anyone knows or has heard anything about this please leave a comment or something. I am so curious.

A new search engine based off facebook.com seems like a product and online tool that could really add some value and unique ability and more importantly usability. Such a tool would have the leverage of a perspective that no one, including Google, can use or offer. I suppose MySpace.com has an argument to object to that statement but lets be honest with ourselves, they don't.

This new search engine from Facebook could really take from the Google market share.

I suppose it would take from Bing.com but that would only be important to Yahoo.com because Microsoft would be the beneficiary of the facebook.com search engine revenue from advertisers.

Hmmmm....

Very interesting.

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Friday, October 15, 2010

Online Advertising Spending Round Up

Well the overall economy, the housing market, and consumer credit may be struggling but there is one side of the economy who missed the recession memo.

The online advertising and marketing industry is popping like never before. The entire industry seems to be doing well. All the usual suspects are turning big gains in revenue, profits, and of course possibility.


In this post I want to take a look at the mechanics of what is driving the ever increasing online advertiser spending.


Display Advertising


Google has seen a huge jump in online display advertising. YouTube.com is operating at over 100,000,000,000 monetized page views annually. This means that they (my speculation) have another 700,000,000,000 page views to figure out how to monetize.

I would say things are looking pretty good on that end.

Display advertising overall for Google is projected to create 2 or 3 billion of revenue this year. Though this is maybe 10% or even less of total revenues for Google, the fact that it is even worth mentioning is a huge breakthrough for google who for the longest time was simply not competing in the display adverting market.

Overall Google profits jumped about 33% year over year.

Nice.

Break Down of the Display Advertising Market Online


Total Display Advertising Market is 8.6 Billion



  • AOL  -  4% -  $344,000,000.00
  • Google - 6% - $516,000,000.00
  • FaceBook. - 10% -  $860,000,000.00
  • Yahoo! - 15% - $ 1,300,000,000.00

What I think is particularly interesting about this break down is that the numbers imply that the giants of the online industry are only accounting for about 1/3 of the total display advertising market.

Other big ones I can name from off the top of my head are adbrite.com which is a network. See the display below...

Then there are some large websites such as hulu.com which have to make a dent.

Any how one thing for sure is that the display advertising dollars and industry have a lot of room to grow and have a lot of uncertainty in exactly who and what will work for the long term and why.

It is going to be an exciting ride.

I am sure that finance bloggers are going to be all over this thing.

Friday, April 23, 2010

50 Billion Decisions - Only One Steve Jobs - Apple's Mountain of Cash

Apple and Steve Jobs, their (Founder - CEO - and  Savior) have a problem.
However this problem is a great freaking problem to have. Apple sits upon a green mountain that we will call Mount Cash. Apple has right around 40 billion dollars that typically sits on the side lines earning a mire fraction of  1% a year. Jobs main goal with these funds is pure preservation and who can blame him, given the market over the last couple of years.




Economy or no economy the fact is that in another year or so Apple should easily have over 50 billion dollars laying around doing nothing. Steve Jobs and the rest of the folks behind those cash machines known as Mac books and iWhatevers produce more then enough free cash flow to fund any necessary product development or R&D. Free cash flow levels should be around 12 - 16 billion dollars over the next 12 months. Sure every now and then Apple will spend a 300 or 400 million dollars to buy some young interesting company or firm but that just doesn't add up to anything significant when you consider how much these guys keep under the mattress.








What are the Choices for Apple and Steve Jobs?

  • Payout a large chunk and plan a continuous dividend program for their faithful and entitled stock owners.
  •  Start buying back their own stock stock.
  • Invest in a totally new direction and operation. Maybe even a search engine.
  • Start investing for return with such investments in securities like bonds and stocks.
  • Perhaps the best thing to do besides nothing when you don't know what to do is to do a little of everything.

I for one think this is an easy question.

First and foremost I think Jobs needs to pay his share holders. I don't know why companies don't pay their owners... well let me rephrase that i don't know why investors buy stocks that don't pay money when they clearly have more then they know what to do with.

Second and much more of a speculative suggestion, I think Apple should develop some sort of Adsense like publishers program. I think there is plenty of room in both display, and video content advertising in terms of innovation. Also a content targeted program is a proven model as long as you can accurately match supply with the content demanded.

iAd is going to be a great start. Every aspect Apple advertising with iAd and the way they are going about this is insanely clever and intuitive in my opinion.

I really wish I knew what Google was thinking when they found out.



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