August 23, 2006
Search and Market Share
Google’s market share has taken a dip. It’s always difficult to increase market share (or even hold it) when you’re the dominant player, almost equal in size to the sum of all the other main players. It would be easier to be the smallest guy on the block, gain .3-.5 percent of the total market and be happy you just got a 5-10% increase in your overall users. Just ask Ask.
So Google continues to release more and more products and features…but at some point, the effect of releasing so many products (and, therefore, product announcements) leads to a diminishing effect in attracting users/subscribers.
So Google decided to go directly for existing users by going after MySpace users, making Wallstreet happy.
MSN, meanwhile, responded by going after an exclusive deal with Facebook.
So what’s next for Google? Continue going for existing user bases through partnerships or acquisition? An increase in online users would mean a larger pool of users from which you can increase your user base…does that lead to more free Internet? Maybe a focus on internationalization as a source for new users? I think the continued roll out of new and enhanced product will come without a doubt….







