Five (and a half) engines that drive Google's search ecosystem

Copyright Matt Loney, scrumulus.com 2012

The five (and a half) enginesthat drive Google'ssearch ecosystem

Matt Loneywww.scrumulus.com


BetterSearchresults

Discoveryvia search

Drivesusage

Drives effort to produce more relevant search results

Google search

Point of the whole system is to convert 1bn individuals from people who are searching into paying customers

Person is incentivised to search with Google due to perception of relevant results

Google's incentive is to produce more relevant results

This is Engine #1

Perso

n sea

rch

ing

Conversionfrom personsearchingto paying

customer isvia search

1bn individuals

Cu

stom

er

££££

Sea

rch re

sults

Discovery


Go

og

le P

age

Ran

k Sea

rch re

sults

Better site design andcontent

SEO Traffic

Drives site PageRank

BetterSearchresults

Discoveryvia search

Drivesusage

Drives site design andcontent


Google search

Search results influenced by PageRank

High PageRank means high position in search, generating more SEO traffic to content sites

Site owners are incentivised to tailor site, content to achieve higher PageRank

This is engine #2

PageRank algorithm

Perso

n sea

rch

ing



1bn Individuals

Cu

stom

er

££££

Co

nten

t web

site Content

Content


Ads on site

Content

Go

og

le P

age

Ran

k Sea

rch re

sults


SEO Traffic

Ad traffic


Drives inclination to use Google Adsense

BetterSearchresults

Discoveryvia search

Drivesusage


Drives ad revenue


Google search

Google Ads

Site owners place Google ads on their site

Site owners incentivised to generate ad traffic to Google AdSense to increase revenue

Google Ads incentivised to pay minimum to site owners to increase ad traffic

This is Engine #3

Ad

-s

up

po

rte

d

co

nte

nt A

d

targ

ettin

g

££

PageRank algorithm

Perso

n sea

rch

ing



1bn individuals

Cu

stom

er

££££

Co

nten

t web

site

Go

og

le Ad

Sen

se

Ad traffic


Go

og

le Ad

Wo

rds

Go

og

le Ad

Sen

se

Ads on site

Content

Go

og

le P

age

Ran

k Sea

rch re

sults

£££££


SEO Traffic

Ad traffic

Obscurerelationship



Referral traffic

Drives potential customers

BetterSearchresults

Discoveryvia search

Drivesusage

Drives increased spend


Drives ad revenue


Google search

Google Ads

While site owners deal with AdSense, merchants get their traffic via Adwords, and are incentivised to spend more with AdWords to increase referrals

Google is incentivised to send most traffic to the highest bidders

This is Engine #4

Ad

-s

up

po

rte

d

co

nte

nt

Ad

ta

rge

tting

PageRank algorithm

Perso

n sea

rch

ing



1bn individuals

Cu

stom

er

££££

Co

nten

t web

site

Merch

ant

Marketing

Googlebank

£

Referral traffic


Marketing

Fulfilment

Cu

stom

er

Perso

n sea

rch

ing

Go

og

le Ad

Wo

rds

Go

og

le Ad

Sen

se

Ads on site

Content

Go

og

le P

age

Ran

k Sea

rch re

sults

££££

£££


SEO Traffic

Ad traffic



Obscurerelationship



Referral traffic


Drives revenue from outside the loop

BetterSearchresults

Discoveryvia search

Drivesusage

Goods orservices



Drives ad revenue

Drivescapacity to increase revenues


Google search 1bn individuals

Google Ads

Merchants use referral traffic to convert potential customers into customers

Naturally, the merchant is incentivised to sell goods or services to increase revenue

The customer is incentivised to inject more money into the system

This is Engine #5

££

Ad

-s

up

po

rte

d

co

nte

nt

Ad

ta

rge

tting

Ma

rke

ting

s

pen

d

Co

nv

ert

to

c

ust

om

er

££££

PageRank algorithm

Co

nten

t web

site

Merch

ant

Googlebank

£

Merchant/Customer interaction


Marketing

Fulfilment

Cu

stom

er

Go

og

le Ad

Wo

rds

Go

og

le Ad

Sen

se

Ads on site

Content

Go

og

le P

age

Ran

k Sea

rch re

sults

££££

£££


SEO Traffic

Ad traffic



Obscurerelationship



Referral traffic



BetterSearchresults

Discoveryvia search

Drivesusage

Goods orservices



Drives ad revenue



Google search

Google AdsCompetition from other advertisers increases PPC prices ££

£££

Ad

-s

up

po

rte

d

co

nte

nt

Ad

ta

rge

tting

Ma

rke

ting

s

pen

d

Co

nv

ert

to

c

ust

om

er

££££

Googlebank

££

PageRank algorithm

Perso

n sea

rch

ing

1bn individuals

Co

nten

t web

site

Merch

ant

Google AdWords bidding process based in part on merchant competition and search volumes maximises Google revenue

Google uses all available data on the individual to increase relevance of search results and ads

Browsing historyDemographic data

Google Chrome

A quick word about AdWords


Marketing

Fulfilment

Cu

stom

er

Go

og

le Ad

Wo

rds

Go

og

le Ad

Sen

se

Ads on site

Content

Go

og

le P

age

Ran

k Sea

rch re

sults

££££

£££


SEO Traffic

Ad traffic



Obscurerelationship



Referral traffic



BetterSearchresults

Discoveryvia search

Drivesusage

Goods orservices



Drives ad revenue



Google search

Google AdsCompetition from other advertisers increases PPC prices ££

££

Ad

-s

up

po

rte

d

co

nte

nt

Ad

ta

rge

tting

Ma

rke

ting

s

pen

d

Co

nv

ert

to

c

ust

om

er

££££

Googlebank

£££

PageRank algorithm

Perso

n sea

rch

ing

1bn individuals

Co

nten

t web

site

Merch

ant


Google Chrome

Plus, Google places its own contextual ads in search results in its search results pages, as shown on the next slide

This is a tertiary engine because it would not sustain itself without the content sites – would you go to a site to search just ads alone?

Therefore this is Engine #5.5

Ads in Google search results


Marketing

Fulfilment

Cu

stom

er

Go

og

le Ad

Wo

rds

Go

og

le Ad

Sen

se

Ads on site

Content

Go

og

le P

age

Ran

k Sea

rch re

sults

££££

£££


SEO Traffic

Ad traffic



Obscurerelationship



Referral traffic



BetterSearchresults

Discoveryvia search

Co

nten

t web

site

Merch

ant

Competition from other advertisers increases PPC prices ££

Drivesusage

Goods orservices

SE

M t

raff

ic

Ad

sen

se ads o

n

Go

og

le search

Googlebank



Drives ad revenue




Google Ads

££££

£

Ma

rke

ting

s

pen

d

Co

nv

ert

to

c

ust

om

er

Ad

-s

up

po

rte

d

co

nte

nt

Ad

ta

rge

tting

PageRank algorithm

££££

Perso

n sea

rch

ing


Google Chrome

Drivestemptation to make ads more prominent

DrivesSEM traffic that removes need to pay contentsites

Drivesusage

Ads in Google search results


££££

£££


SEO Traffic

Ad traffic



Referral traffic



BetterSearchresults

Discoveryvia search

Co

nten

t web

site

Merch

ant

Drivesusage

Goods orservices

SE

M t

raff

ic

Ad

sen

se ads o

n

Go

og

le search



Drives ad revenue




Google Ads

£

££££



Drivesusage

So we have 5.5 engines that drive the ecosystem


Marketing

Fulfilment

Cu

stom

er

Go

og

le Ad

Wo

rds

Go

og

le Ad

Sen

se

Ads on site

Content

Go

og

le P

age

Ran

k Sea

rch re

sults



Obscurerelationship

Co

nten

t web

site

Merch

ant


Google AdsM

ark

etin

g

sp

end

Co

nv

ert

to

c

ust

om

er

Ad

-s

up

po

rte

d

co

nte

nt

Ad

ta

rge

tting

PageRank algorithm

Perso

n sea

rch

ing

And five points of value conversion...


Marketing

Fulfilment

Cu

stom

er

Go

og

le Ad

Wo

rds

Go

og

le Ad

Sen

se

Ads on site

Content

Go

og

le P

age

Ran

k Sea

rch re

sults



Obscurerelationship

Co

nten

t web

site

Merch

ant


Google AdsM

ark

etin

g

sp

end

Co

nv

ert

to

c

ust

om

er

Ad

-s

up

po

rte

d

co

nte

nt

Ad

ta

rge

tting

PageRank algorithm

Perso

n sea

rch

ing

...of which Google controls two directly


Marketing

Fulfilment

Cu

stom

er

Go

og

le Ad

Wo

rds

Go

og

le Ad

Sen

se

Ads on site

Content

Go

og

le P

age

Ran

k Sea

rch re

sults



Obscurerelationship

Co

nten

t web

site

Merch

ant


Google AdsM

ark

etin

g

sp

end

Co

nv

ert

to

c

ust

om

er

Ad

-s

up

po

rte

d

co

nte

nt

Ad

ta

rge

tting

PageRank algorithm

Perso

n sea

rch

ing


Google Chrome



Go

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and so influences the other three with its apps...

Google Analyticswill increasingly

work withmerchant CRM.

Universal AnalyticsWill bring integration

across platforms,customer touch

points


Marketing

Fulfilment

Cu

stom

er

Go

og

le Ad

Wo

rds

Go

og

le Ad

Sen

se

Ads on site

Content

Go

og

le P

age

Ran

k Sea

rch re

sults

££££

£££


SEO Traffic

Ad traffic



Obscurerelationship



Referral traffic



BetterSearchresults

Discoveryvia search

Co

nten

t web

site

Merch

ant

Competition from other advertisers increases PPC prices ££

Drivesusage

Goods orservices

SE

M t

raff

ic

Ad

sen

se ads o

n

Go

og

le search

Googlebank



Drives ad revenue




Google Ads

££££

£

Ma

rke

ting

s

pen

d

Co

nv

ert

to

c

ust

om

er

Ad

-s

up

po

rte

d

co

nte

nt

Ad

ta

rge

tting

PageRank algorithm

££££

Perso

n sea

rch

ing


Google Chrome



Drivesusage

Go

og

le We

bm

as

terG

oo

gle A

naly

tics

Go

og

le Ta

g M

an

age

rG

oo

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dm

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Go

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Go

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The final picture

Google Analyticswill increasingly

work withmerchant CRM.

Universal AnalyticsWill bring integration

across platforms,customer touch

points

Five (and a half) engines that drive Google's search ecosystem

Technology

Transcript of Five (and a half) engines that drive Google's search ecosystem