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Monday, February 27, 2006

Google advertising potential

~Google's advertising potential~

In the recent blog about An Update on Payments by Google. It mentioned that over the past four years (since 2001), Google's ad revenue is USD 11.2 billion (RM 41.44 billion). Gross Profit is USD 11.2 - 3.9 = 7.3 billion. That is 27.01 billion in Ringgit Malaysia.

On the Malaysian ground, total advertisement revenue for the whole country is RM 1.47 billion in year 2001, with growth of 8%.

Therefore...
Year Revenue (AdEx)
----- -----------------
2001 RM 1.47 billion
2002 RM 1.59 billion
2003 RM 1.71 billion
2004 RM 1.85 billion
2005 RM 2.00 billion
------ -----------------
Total RM 8.62 billion

This is 5 times lesser than that of RM 41.44 billion. In other words, Google's earning power is 5 times greater than Malaysia Ad industry per se.

Google's last year (2005) customer billing alone was USD 6 billion.

Following similar concept of jobsandmore.com (jobsandmore is a Malaysian online recruitment company who follows exactly the market leader's footstep in marketing penetration), where it is wise to always learn and follow from the market leader, also at the same time, it is possible to take a minute to note how far an industry can go. That... it is 5 times bigger per se than you know!

This is very exciting. Even though Malaysia is known for a country which there are too many rules for the advertising industry to move at full steam.

1 comment:

Anonymous said...

Cool blog, interesting information... Keep it UP »