Posts Tagged ‘Search Market’

Microsoft Can’t Even Pay People To Search on Live

Friday, August 29th, 2008

Looks like Microsoft’s ploy to let advertisers offer rebates to customers who buy after searching on Microsoft Live has bombed.

Microsoft launched its Live Search Cashback promotion in May, and while its share of search temporarily rose from 8.5 percent in May to 9.2 percent in June, by July its share was down to 8.9 percent, according to comScore.

All up, the Cashback offer is having pretty much no impact on the search market. Back to trying to build a better search engine…

Source: Erick Schonfeld, “Microsoft’s Live Search Cashback Scheme Fails To Move The Market Share Needle”, TechCrunch, August 28, 2008

Yahoo Steals Ad Share From Google

Friday, August 15th, 2008

Search Engine Watch reports that, according to analytics firm Covario, Yahoo ate into some of Google’s share of the paid search market in the second quarter ended June 30, 2008. Meanwhile, spending on paid search as a whole dropped from 52 percent to 43 percent in the same period.

Do we just take Covario’s word for it? Neither the Search Engine Watch article nor Covario actually tell us how much share Yahoo nabbed from Google. However, the finding IS consistent with AdGooroo’s claim that Google’s share of paid search slipped, while Yahoo’s marginally increased last quarter.

Source: Nathania Johnson, “Yahoo Snags Search Ad Marketshare Gain at Google’s Expense”, Search Engine Watch, August 11, 2008

Yahoo Search To Go Open Source… Sort Of

Friday, July 11th, 2008

Who’s afraid of Google?

Microsoft buys Powerset (and is apparently still interested in buying Yahoo).

And now, in what appears to be another admission that it can’t beat Google on its own, Yahoo has decided to share its search technology and data centers with other companies. Known as “Boss” - or “build your own search service” - the strategy is aimed at letting other companies build on Yahoo’s technology in return for allowing Yahoo to sell advertising on those new search engines.

Yahoo has admitted that the new strategy could cannibalize its own search business, but believes that the initiative is more likely to erode Google’s much larger share of the search market. At least two start-up companies - Me.dium and Hakia - have already signed up to use Yahoo’s search technology.

Source: Miguel Helft, “Yahoo Is Inviting Partners to Build on Its Search Power”, The New York Times, July 10, 2008

Bill Gates Retires From Microsoft

Friday, June 27th, 2008

Yesterday, Friday June 27, marked Bill Gates’ last day as a full time employee of Microsoft, the hugely successful and influential software company he co-founded in 1975.

Gates will remain as Microsoft’s single largest shareholder and chairman, but will no longer work at the company. He has chosen, instead, to spend more time on the philanthropic organization he and his wife founded a few years ago, the Bill and Melinda Gates Foundation.

Since he guided Microsoft from startup… to upstart IBM partner… to the company that dominated many software markets – including the operating system, office software and Internet browser markets – for  at least two decades, Bill Gates has been a giant in the computer industry. And, in the process, he managed to become, for many years, the world’s richest individual.

Much can be said about Gates’ achievements, but a key question for now is: what does the future hold for Microsoft? Its Live platform holds just 10 percent of the search market, and open source software – notably the Mozilla Firefox browser and the OpenOffice suite of applications – poses formidable challenges to Microsoft’s office software business. Meanwhile, its latest operating system release, Vista, has been widely criticized based on privacy, security, performance, and product activation concerns.

Interestingly, however, Microsoft is showing no signs of being fazed by any of this. If its $47.5 billion bid to buy rival Yahoo ended in tears, it’s Yahoo that’s crying, with senior executives leaving and angry shareholders and analysts asking what exactly Yahoo plans to do to address its share price decline and lack of clear strategy.

As Internet marketers, we owe much to Bill Gates for contributing to the opportunities we have before us – after all, have we not reaped the rewards of Gates’ vision to have a computer on every desk and in every home? Having said that, my own computer use has probably mirrored the rise and gradual decline of Microsoft as the default choice in computer technology.

I started with a Mac in the late 1980s and early 1990s, moved to Windows 95 in… you guessed it, 1995… and became a heavy user of Microsoft Office and, yes, Internet Explorer for the next decade or so. But as Google emerged from 2000 onwards, and the open source revolution gained momentum over the last few years, I now find myself using a PC running Vista… but Open Office and Mozilla for my office and Internet browsing activities respectively. As a marketer I have little inclination to recommend or buy ads on Microsoft Live, and Live is almost an afterthought when it comes to search engine optimization.

And yet, perhaps there are little known opportunities to capitalize on the market that does choose Live as its search engine of choice – older, less tech-savvy Internet users, but potentially customers, depending on your market. Moreover, I wouldn’t rule out Microsoft just yet. One of the company’s key strengths (perhaps its chief strength) has been to buy companies with promising technologies and then commercialize and market those technologies – if Microsoft can do this into the future it may still be a formidable force.

Sources: Steve Lohr, “Microsoft Seeks Path Beyond Gates’s Legacy”, The New York Times, June 27, 2008Wikipedia, “Criticism of Windows Vista”, Kikabink News, “Yahoo Loses More Senior Staff”, Kikabink News, June 25, 2008