The Internet exposes space of infinite opportunity and smart companies like Google know to make better use of it. The search engine giant, sources say is eyeing a $1 billion (Rs 6,000 crore) revenue mark from India in the year to March 2015. The hope relies mostly on heavy spending by ecommerce firms such as Flipkart and Amazon that in an effort to acquire more customers have switched to Google online advertising.
Google India ad revenue to cross $1 billion
E-commerce ad campaigns run by cash-rich companies like Flipkart and Amazon are advertising heavily online and this adds to Google Adsense revenue. In the recent times, this revenue has seen a significant increase given the interest expressed in buying things online.
Marketing budgets have gone through the roof. It’s highly competitive these days and whoever pays the most for a keyword wins the race,” said Vasudevan T, a former head of digital marketing at Myntra who is now the CEO of online coaching company Coatom.
Most media experts predict there will be a surge in the digital ad spends by e-coomerce companies. we are already seeing this,” says Nilotpal Chakravarti, head of media and research, Internet and Mobile Association of India.
He further adds,
Ecommerce companies are already one of the top spenders in the digital advertising market. Of the total digital advertising spend, nearly 18% come from ecommerce.
While the US-based search giant seems busy counting cash and monetizing the idea (digital ads) further, its competitor Yahoo! Is struggling to improve its advertising revenue. The company has started a fresh set of layoffs in India. Majority of employees have been handed pink slips and operations in India have been reduced to support and operations functions.