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Google financial results show 15% increase in click costs?

Google has announced it’s first quarter financial results in 2008 showing a 42% increase in turnover (revenues) from the same quarter in 2007. In the same timescale, click volumes have increased by a mere 20% showing the value per click which Google has generated is significantly up.

Of course, the actual number or value of clicks is missing from the figures – but if we assumed an average click value of $0.20 in early 2007 worldwide and averaged across all positions on the screen this would give an increase to $0.23 per click today – an increase of 15% which seems reasonably to reflect the increase in cost over the paid clicks generated across WebCertain’s global client activity in the same period.

As a percentage, the UK’s share of the global clicks has slightly delclined to %. Importantly, for the first time, Google’s revenues are now greater outside the US representing 51% – though this shift has partly been pushed by the declining value of the Dollar.

All in all a good set of results for Google showing no real slow down yet in growth – future quarters will show this up more clearly – but Google should end the year above $20 billion turnover worldwide.

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Andy Atkins-Kruger

CEO at Webcertain
Andy is the CEO of Webcertain. He is a trained linguist with 20 years of experience in international marketing, having helped major brand leaders with their advertising and public relations projects on five continents. Webcertain has been operating multilingual search marketing campaigns for over 15 years and is one of few agencies which only deal with international campaigns; the company doesn't deal in single market projects. Andy speaks regularly at conferences around the world.

One Response to Google financial results show 15% increase in click costs?

  1. eyal says:

    I pay much less per click, so I estimate Google made some special tweaks in order to show better results. For example they started advertising Alcohol late in 2008.

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