Question for advertising experts: What percent of Google's revenue would disappear if companies stopped buying traffic they'd get anyway, from the search results?
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Isn’t the “beauty” of Google’s model that advertisers can’t know this?
Then can know it by turning off ads and seeing what the effect is.
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Which they are not. Or more exactly they *will be made to not be*
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Relentless pressure to grow at x%/month keeps startups from taking such a bold step.
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Exactly! This famous eBay experiment is a classic!! https://thecorrespondent.com/100/the-new-dot-com-bubble-is-here-its-called-online-advertising/13228924500-22d5fd24 …
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This is a BIG article by the way. I thought it would never end. But the content is really interesting ^^
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That would only tell you how much Google refers your traffic organically. It doesn’t capture a metric for when Google would have shown your ad and your site as a result for the same search or if you would have converted that search without an ad.
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Which is the only revenue Google loses if you could somehow stop paying for ads to searches that would have resulted in traffic anyway
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There are various ways to run experiments on search, with randomized controls based on PII (eg hashed emails) or zip code holdouts. More advertisers are doing so and making conclusions about incrementality. See if you can find a paid search ad for a Netflix title, for example.
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The fundamental catch is that organic search visibility is (also) function of total site traffic: hence less paid traffic = structurally less organic traffic over time which can only be truly countered with unique brand and exclusive product offering
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Isn't the question about Google's revenue? Advertisers cannot know that by turning off ads.
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