Some fascinating figures about the economics of search

Although ‘top line’ figures about how much money search engine companies make are easy to come by, it is harder to find detailed information about how that pie is divided. Majestic Research has just released some intriguing figures about Google’s income. Notably:

  • On average, Google gets nearly a dime for every search it serves in the US.
  • 98 percent of the company’s revenues are from paid search. 65% of revs are domestic (US)
  • nearly 17% of all searches end up with a click on a paid link.

What do you make of that, EVC? I didn’t realise how dominant US revenues were for global Internet players like Google, and I didn’t realise how effective those paid links appear to be (though of course there are several different kinds of paid links and this excerpt doesn’t make clear what kind is being referred to here).

Thanks to John Battelle’s Searchblog for the info.

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One Response to “Some fascinating figures about the economics of search”

  1. EVC Says:

    Well, let’s see, it doesn’t surprise me. I hadn’t done the revenue per search calculation or anything, but I did know the figures on advertising and domestic ownership. Also 27% of revenues come from keyword-search ads off the main Google site.

    Thanks for the info though. I note more research is also coming out of ComScore, that’s another useful place to track what’s happening. Here’s some recent European research, for example.

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