A.I. 's Business Newsletter
GOOGLE HAS AN ACHILES HEAL - WILL THEIR
COMPETITORS NOTICE?
By
Steve Blom
Even
though Google Revenues continue to soar, the hidden problem that may
stifle growth and may even allow Yahoo or MSN to overtake the paid
search market in the future lies in two critical phrases: Customer
Support, and Customer Training
Approximately 40% of the small businesses we have surveyed have
tried Adwords in the past and failed, and some of them have tried
multiple times. In some markets the percentage is closer to 60%.
Why? because the program was designed by Google engineers, and
heavily favors companies with the type of resources that most small
businesses do not have. Unlike MSN and Yahoo who have programs that
are much simpler in terms of use for small businesspeople, Google
favors a technology driven solution that relies less on customer
support, and expects users of their system to become more
sophisticated.
The problem with this is that it is working quite well for
professional internet marketers and search engine marketing
companies employed by big corporations, but many small business
people who are not web-savvy are by and large left out of the mix.
This is unfortunate because this is a huge segment of potential
income that is left "up for grabs" and may be scooped up by MSN and
Yahoo who are developing simpler, easier systems with better
customer support.
All the major search engines recognize this problem, and getting
those "offline" advertisers online is a high priority for all of
them, but so far there has not been great success. It is a knowledge
and training gap, and neither Yahoo, MSN, or Google has so far been
able to address it adequately.
Google's recent acquisition of urchin, a web analytics program
illustrates the problem Google is trying to solve. Big Companies
getting involved in paid search will still continue to drive big
revenues, but the new internet is about verticals and niches, and
Google simply isn't making the grade in terms of training their
customers well enough.
Where do small business customers go after they "churn"? Many of
them go back to what they were doing successfully before; email
marketing, direct marketing, and call centers according to our
study.
The next growth area will be hundreds of thousands of verticals,
driven by small businesses exploiting areas and needs that the
fortune 500 companies can not fill efficiently. The search engine
company that gets the most advertisers on its side will win market
share, and winning will require the ability to service everybody,
not just the super sophisticated internet super geeks.
However, many private companies not sanctioned by Google, have
sprung up in order to try to bridge the gap between the Google
Adwords program and the ability to advertise efficiently on Google
and achieve a high ROI. One such company is
http://adwordstraining.org that offers free video training and
free frequently updated information at
http://marketingnewsblog.adwordstraining.org
Simple training videos are available on the site, as well as an
advertiser self study course to get non-technical people up to speed
with Google Adwords advertising.
Between Google's extensive training program of Google Professionals
and private training by private companies, this knowledge gap may be
bridged, and in the process a whole new industry of Google Adwords
Marketing companies may be created, to facilitate the knowledge gap
between Google and the advertisers that want to take advantage of
the enormous advertising reach afforded by paid search.
But, this might not be enough for Google to keep its lead, as
advertisers often follow the path of least resistance in getting
their messages out, and they are the ones funding the growth of the
search engine industry.
Where those advertisers ultimately go will determine the ultimate
victor in the ever growing search engine wars, and the winner is by
no means secure at this point.
Steve Blom
Founding Partner
InTouch Media Group
http://www.intouchmediagroup.com
About the author:
Steve Blom is a founding partner of InTouch Media Group, a publicly
traded company specializing in the online marketing field
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