Softness in Google’s advertising revenue self-inflicted, according to analysts

July 22, 2008

Some of the softness witnessed in Google’s advertising revenue, was self-inflicted, according to analysts, who tried to decipher the firm’s second-quarter show that fell well short of expectations.

Virtually any other firm that is facing such a slow economic scenario would be more interested in boosting the places in which it could push and sell ads. It certainly would not take steps to cut them down. But Google is doing it the other way round, it seems.

The senior vice president for product management, Jonathan Rosenberg, informed that Google has no plans to enhance its current coverage largely because of its efforts for improving what it terms ‘ad quality’ - the idea that the search engine giant should only show ads users actually like.

According to Mr. Rosenberg, Larry Page, the company’s co-founder would not mind seeing even fewer ads.

Larry often asserts that we would be better off if we showed just one ad - the perfect ad.

Mr. Page was not available on the conference call to explain the rationale for himself.

No Comments

No comments yet.

RSS feed for comments on this post
TrackBack URI

Leave a comment