A PEEK INTO THE PROFITING STRATEGIES OF GOOGLE MAPS
Undeniably, Google has come to dominate the internet field since it started in 1998. It has become a daily part of an average individual's life, as many of its products were free to use and easy to access. Another prominent service of the company is the Google Maps, which is a navigational tool than can be used even in mobile phones. Despite a tight competition, the business has managed to devise the best feature of them all.
How does it make money?
Given a global reliance on its technologies, how does Google provide free access to their famous offerings and how does it profit, for example, from their maps program? The answer to this is through advertising. Using the Google AdWords program, companies pay to have their ads displayed on the website's various platforms such as video and email. This is to heighten the number of times users are able to view their brands.
Put is this way: Searching for Boston will give you a detailed illustration of the city equipped with a zoom and rotate options. At the right side you will find ads for businesses based in the location such as hotels and restaurants. This is the primary way the firm generates its revenue.
Google does not disclose figures or financial results of their Maps feature, but it is listed under its websites category filed with the SEC. According to the company's most recent quarterly report, its websites were accountable for over 70% of their revenue and its segments earnings have totaled $16,089M, which was a $3,002M raise from the previous year's results. The growth was mainly fueled by mobile users and better ad formats.
Subtle promotions
Aside from the aforementioned tactic, Google also obtains its income through a suggestive selling. Since its maps are highly detailed, each outline shows existing businesses in the streets, making it more convenient for individuals to find an exact location. However, for bigger cities with thousands of entities, it will still be difficult to look for something unless you have an address.
To enhance user experience while ramping up earnings at the same time, the site allows companies to use their own logos instead of the standard icons. For example, Hilton can pay to use their own symbol instead of the typical bed sign for hotels. Although this is a low-key style, it is of big help to an entity through brand recognition.
The logos provided are easy to spot, making it easier for people to see business names they trust or try out places that are new to them. For starving travelers, stumbling into a McDonald’s sign is an exciting feeling, and the repeated exposure to the brand brings a remarkable value for any company.
Modified maps
Aside from advertisements, the website also gets its income through a customized mapping program known as Google Maps API which are angled for entities who wants to have a tailored version of the service in their online of phone apps. While there is a free account of this, there is also a premium variant that offers all-day support with an enhanced search and request capacity.
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