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Business figures

Mobile search attributed to Google’s ad revenue

Business figures

Mobile search attributed to Google’s ad revenue

Alphabet, the parent company of search giant Google, has recently reported advertising revenues totalling $33.9 billion (£26.3bn) for the third quarter of 2019, with Google’s CEO attributing some of this to mobile search.

This quarter’s ad revenue is a 17% increase on that of Q3 2018, which stood at $29bn (£22.5bn). The company’s overall revenue stood at $40.5bn (£31.4bn), which is a 20% rise on last year.

CEO of Google, Sundar Pichai explained that the ad revenue figures were driven by three entities – YouTube, Cloud and mobile search.

Google has also revealed that the click volume of its properties, including Search, Gmail, Maps, Shopping and YouTube) had also increased compared to last year, rising by 18%. However, this was just an increase of 1% compared to Q2’s results. Google’s quarterly financial results can be seen here.

What does this mean for advertisers?

The figures released by Google show that YouTube and mobile search continue to be Google’s strongest drivers of revenue. Therefore, advertisers are right to want to continue focusing on video and tailoring their sites and content to the mobile user.

Pichai also highlighted the roll out of BERT last week. This has been described by Google as the biggest algorithm update in years. It aims to improve the understanding of natural language within search queries.

Google has reiterated that it takes a long term view in its approach to business and that advertisers can expect to see the company continue to push machine learning to more campaign management areas and take a more “holistic approach” that will automatically serve ads across multiple platforms.

Whilst this is a huge deal in the world of search, Pichai explained that BERT was not going to be used with advertising at present, but this is likely to change in the future once BERT has been rolled out in multiple countries and multiple languages.

Alan Littler

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