Report Overview
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Google’s Icarus moment

- PublisherEnders Analysis.
- Publish Date July 10, 2019
- Sector Media, Technology.
- Company Amazon, Apple, Facebook, Google, Microsoft.
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Google’s advertising business has begun losing market share in the US, with competition from Amazon, Facebook and Microsoft intensifying in search and display
In response, the company is redoubling efforts to reshape its apps, services, and the entire web for more efficient monetisation, spelling uncertainty for partners and users
The adaptability and complexity of Google’s services reduce business risk from targeted regulatory measures, but increase the pressure for a radical intervention
Contents
Google and its challengers
- No longer invincible
- Google users will stomach a higher ad load
Google’s response: overhauling the ad business
- New display ad units focus on ecommerce
- Programmatic and ad network overhaul consolidates control
Impact on publishers
- Dependence on Google’s services will grow
- A growing control over page design and content discovery
Impact on consumers & open questions for regulation
- Users can easily perceive the benefits, but not the problems
- Google’s answer to privacy concerns: technology
- Google’s regulatory Jenga and its risks
List of charts/tables
Figure 1. US online advertising market share by company
Figure 2. YoY change in US search ad spend by format (%)
Figure 3. US monthly app users by Google product (m)
Figure 4. New ad formats, left to right: Showcase, Gallery and Discovery
Figure 5. Upcoming ad product improvements & launches by Google service
Figure 6. Google ad revenue by segment ($m)
Figure 7. Share of Google search result page link clicks by type (%)
Figure 8. Share of US publisher referral traffic by platform* (%)
Figure 9. Google search result page with unattributed information