Google has been looked upon with lot of expectations by users across the world. Its advertisement services have also been much appreciated by everyone. However, the breaking of connection among Google search engine and its users can lead to an increase in advertising budgets on paid ads on Yahoo and Bing by the close of the year. The search engine named- The Mountain View, California has redesigned its page, although it seems that some of its users are not satisfied and happy with its fresh look.
The Google Vice President said that if the search product and user acquaintance is well maintained, the combined yahoo and associated sites will not be a threat to Google anymore. The decisive factor for this will be the search traffic that comes from combined MicroHoo, as the marketing specialists study the budgets to some other engine.
Besides the Google news bashing remarks, if there is an indication that there has to be some rethinking done by the search engine, you can find the data derived by Experian Hitwise of some relevance. The estimates as on July 1, 2010, in United States indicate that the search traffic on the Google news site declined 2%, as compared to the same day during the previous week. However Google news continues to have 11% of the share in search traffic. The number of people searching on the news site declined by 2% on July 2, and on July 3 it declined by 4%, when a comparison was made with the same day of the former week but improved to 8% on July 4. On an average, the Experian Hitwise noted a 1% fall in search traffic on the Google news site in the U.S. in the 3rd week of June, compared to the preceding week and it was too early to decide if the redesign of the web page on Independence Day or on any U.S holiday would have an effect on these declining rates.
The analysts have not been able to judge the sentiments of the consumer. However, the quarter following the first quarter represents the downfall for the search engines, an analysis of such data resulted to twist the revenue estimates for that period. In the research note of an analyst, the alterations in the firm’s assumed FX rate, the elimination of Nexus phone sales and hedging impacts have been pointed out. There was a revision of EPS estimates and 2Q revenue estimates of $6.38 billion and $4.92 as compared to the previous approximation of $6.61 billion and $5.07.
The stock prices were also reduced from $639 to $566, where the lowered guesstimate was also provided. It has been estimated that in April, May and June 2010, about $30 million domestic gross proceeds will be earned, which is a smaller amount than the last quarter. On the basis of search channel verifications and in the expectation of strong second quarter display presentation, the domestic income apart from the phones is expected to grow up to 2.3% consecutively. On a yearly basis, this will grow to 24% as compared to first quarter escalation of 22%.