Google expands lead – and revenues – in search
January 19, 2011
Google is not alone in the search engine market, but according to a study from IHS Screen Digest but during 2010 Google further increased its lead over its rivals.
Google releases its latest Q4 and 2010 tomorrow (Jan 20), but according to comments from iSupply they reckon full year search ad-revenue amounted to $25.4 billion, up 20.2 percent from $21.1 billion in 2009. This gave the company a market share of 83 percent in 2010, up from 81 percent in 2009. Google’s revenue growth was even stronger in display and mobile advertising. As a result, Google’s total revenues are expected to reach $28.9 billion in 2010, up 22.5 percent from 2009.
“With the arrival of Microsoft’s Bing and rising competitive obstacles in fast-growing regions including China, Russia and South Korea, 2010 seemed like it might be the year that Google would surrender some of its dominance in the global search advertising market,” said Vincent Létang, senior analyst and head of advertising research for IHS/SD. “However, even amid these challenges, Google managed to outgrow the overall market. What makes Google’s outperformance even more impressive is that it came during a year when the overall market revenue rose at an impressive double-digit percentage following a slowdown in 2009.”
The global search advertising market amounted to $30.4 billion in 2010, up 17 percent from $26.1 billion in 2009. This represents a strong acceleration after the slowdown of 2009, caused by the global advertising recession, when search growth declined by 11 percent in Europe and by 1.5 percent in the more mature US market.