Google recently reported its 2011 total revenue that stood to $37.9 billion. With all our surprise, Google- unimpeded search giant till date – generated 96% of its total revenue in the year 2011 through ads. The ads are the primarily source of income for Google which is constantly performing year-on-year. However, the year 2011 has marked a slight slip down – just 1% – in ad revenue compare to 2010.
The Finance and Insurance industry contributed the most towards Google ad revenue with $4 billion. The search term which bagged the highest cost-per-click (CPC) was “self employed health insurance” which was charged at $43 for every click to the advertisers.
Retail and Merchandise industry stood at 2nd place that contributed towards Google’s Ad revenue, with Amazon leading at $55.2 million. Travel and Tourism was 3rd with $2.4 billion followed by Jobs and Education holding the 4th spot. Occasion and Gifts is in the 10th position with $1.2 billion contributed to the company’s revenue.
For details about other categories which contributed to Google’s Ad revenue in 2011 check out the Infographic below:-
- Inspite of the recent recession, the finance and insurance industries were the biggest spenders of the year. This move depicts the profit the companies are making from the ads.
- Despite the weak economy and high unemployment Americans are still spending a lot on vacations and buying other stuffs.
- Due to high unemployment in 2011 people are opting for higher education and online degree programs.
- Online shopping and sending gifts online have increased from years, helping people to shop from the comfort of their homes.
- Consumers are showing more interests towards phones and other consumer electronics which explains its growth in recent times.
With the mobile revolution and social media penetration in many countries, we can expect Google to generate more revenue through ads in 2012.