Google's long-term dominance doubted

Daily Newsletters

Sign up to ZDNet UK's daily newsletter.

NEWS
When it comes to search engines, people overwhelmingly prefer Google -- but increasing competition from a number of rivals could eventually threaten the company's top spot, a study has shown.

The survey released Tuesday by market research firm Vividence found that Google's results vary little from those found on other search sites. In addition, despite the search king's continued success in attracting customers, its users are less likely to click on advertisements listed on its site.

Google representatives declined to comment on the study due to the quiet period the company has entered as part of its pending initial public stock offering.

To gather their results, researchers at Vividence surveyed and monitored 2,000 individuals as they interacted with search engine sites, including Google, Ask Jeeves, Lycos, Microsoft's MSN and Yahoo. The company found that Google clearly remains consumers' favourite, largely because of the search engine's less-cluttered interface. In fact, Vividence said almost 90 percent of Google users reported having a "strongly positive experience," while only 68 percent of users said the same of Yahoo, 50 percent for Ask Jeeves, 48 percent for Lycos and 41 percent for MSN.

Yet the study revealed that search results on Google differ little from answers to the same queries on its competitors' sites. When comparing the accuracy of the search engines in providing information on the same topic, the results were close. For instance, Google users searching for the leading cause of death for people between the ages of 25 and 34 found the information they were looking for 55 percent of the time. The company's rivals fell close behind with between 52 percent and 54 percent success rates, Vividence observed.

"This close performance shows you how successful Google has been at creating a brand and convincing people to come back to the site," said Peter Watkins, chief executive at Vividence. "But you have to wonder -- will Google's competitors simply copy its style and win away customers?"

Several of Google's rivals have already launched stripped-down versions of their sites, including Yahoo, which offers users the ability to ditch its wider portal properties at a simplified search site. Amazon.com's A9 search engine is another competitor that has swept away much of the clutter in favour of Google-like simplicity.

Beyond the threat of copycats looms perhaps an even more disturbing finding for Google. Vividence claims that Google trails behind its rivals in encouraging people to click on advertisements, the site's primary source of revenue. Google ranked last in Vividence ad tests that examined how frequently people followed sponsored links or advertisements.

Ask Jeeves garnered the most clicks on advertisements, followed by Lycos, MSN, Yahoo and Google, respectively. Google provides Ask Jeeves with search-related ad links. Watkins said part of the reason why Google lags behind its competitors is the company's stringent practice of keeping ads well marked, while the other sites sometimes mix solicitations in with regular search results.

"Should Google sacrifice some of its image in order to get more clicks on ads? Maybe yes," he said. "This is a company on the verge of a $2bn (£1.1bn) IPO, so you'd have to think that competitors will copy their format, and if these competitors can also sell more ads, it makes you wonder about the future."

Watson predicted that Microsoft, which is known to be developing a new search engine and has garnered limited success from MSN, could be the biggest threat. If Microsoft can create a search engine that looks and performs like Google and charges less to advertisers, it could potentially steal users, he said.

Other industry watchers conceded that Google's rivals are likely plotting to mimic its strategy, but they questioned whether that would threaten its top spot. Denise Garcia, an analyst at Gartner, expects Google to continue to win advertising dollars with its high-volume traffic, while keeping an eye on the competition.

"When it comes to advertising, the real issue is the total number of unique users, so Google still wins out. Even if a smaller number of people using a different site click on ads more frequently, at the end of the day, it's a numbers game," Garcia said.

"The Yahoo[s] and MSNs are certainly going to try everything they can to chip away at Google's lead, but I think it will be tough for them to do so," she said.

Talkback

Maybe the others do display similar results for most things but Google doesn't have bloated pages, loads of ads (yet) and displays results which are simple to understand, unlike most of the others

via Facebook 26 May, 2004 10:58
Reply

Post your comment

In order to post a comment you need to be registered and logged in.

You can also log in with Facebook. Log in or create your ZDNet UK account below

  • Login

Will not be displayed with your comment

By signing up for this service, you indicate that you agree to our Terms and Conditions and have read and understood our Privacy Policy. Questions about membership? Find the answers in the Community FAQ

Get ZDNet UK's daily newsletter

Enter your email address to sign up

ZDNet UK Live

Freebies202

Duplicate comments are not made intentionally. Its very good to know that now you are keeping check on this problem because sometimes a commenter...

3 hours ago by Freebies202 on Microsoft fixes blog comments, speeds up blogs with open source
kevinmchapman

"the very significant number of users" and "many (most) of us" - you have no evidence for these statements. It is a fact that most users are saying...

11 hours ago by kevinmchapman on A tale of two distros: Ubuntu and Linux Mint
Marg Menzies Harrison

Another grammar faux pas is the improper use of "you". When sitting down down in a restaurant, for example, I get cringe when the waitress...

12 hours ago by Marg Menzies Harrison via Facebook on 10 flagrant grammar mistakes that make you look stupid
zdnetukuser

And NOW, folks, for Canonical's next trick... Kubuntu is late. Here's a pencil. Draw your own conclusions. cf.:...

13 hours ago by zdnetukuser on Linux Minterface
Moley

@kevinmchapman. The discussion here reflects the very significant number of users who really do like the traditional menu system and who wish to...

15 hours ago by Moley on A tale of two distros: Ubuntu and Linux Mint
kevinmchapman

Er, no... It is an efficient means of finding the application/file/setting you need in one place. The icons are a simply a fallback for when you...

16 hours ago by kevinmchapman on A tale of two distros: Ubuntu and Linux Mint
TerryRK

Isn't the provision of a text based search an admission by the developers that the mass of icons approach does not work? I don't need to use a...

18 hours ago by TerryRK on A tale of two distros: Ubuntu and Linux Mint
kevinmchapman

"Unity and GNOME 3 both abandon the old text-based cascading menus in favour of a graphical icon-driven system." Point truly missed. Both use a...

18 hours ago by kevinmchapman on A tale of two distros: Ubuntu and Linux Mint
TerryRK

whs001 - Thank you, I'm glad you liked the article. I absolutely agree with you on your first point. I should perhaps have made it clearer that...

18 hours ago by TerryRK on A tale of two distros: Ubuntu and Linux Mint
Dennis Nilsson

If we allow corporate interest to dictate the way our government circumvents due process against foreign entities then we should accept the same...

19 hours ago by Dennis Nilsson via Facebook on ACTA stumbles in Germany
GHar123

I totally dislike pirating of works, I fear that artists will be deterred from creating works if they think that they are going to get ripped off....

21 hours ago by GHar123 on ACTA stumbles in Germany
JCB33

How dare film makers, artists or anybody that invests in creativity stop us pirating their works for free. I want to be able to walk into my local...

1 day ago by JCB33 on ACTA stumbles in Germany
Moley

@GrueMaster. I prefer horses for courses rather than one size fits all. I, and I suspect most other computer users, do not really wish to have...

1 day ago by Moley on A tale of two distros: Ubuntu and Linux Mint
greycynic

The product that scares me every time I have to use it is the Office 2007 version of Excel. The first bug that I found was applying the median...

1 day ago by greycynic on Ten flawed products that derail productivity
GrueMaster

Nice review and very informative. One thing I'd like to add (in reply to whs001's 1st question), the main reason to have the same interface from...

1 day ago by GrueMaster on A tale of two distros: Ubuntu and Linux Mint
Frederick Wrigley

I'be been using Mint 12 since the RC came out, and I am far more happy with the Cinnamon, the Mate, and, yes (with extensions), theGnome 3...

1 day ago by Frederick Wrigley via Facebook on A tale of two distros: Ubuntu and Linux Mint
bdantas

Excellent article. One small correction, though--although a fresh installation of Linux Mint 12 will, indeed, provide the user with a version of...

1 day ago by bdantas on A tale of two distros: Ubuntu and Linux Mint
Alan Ralph

In related news, the ISPs club together to get the members of the Home Affairs Select Committee (ya goofed on that part, ZDNet UK) copies of "The...

1 day ago by Alan Ralph via Facebook on MPs urge ISPs to take down terrorist material
Alan Ralph

In related news, the ISPs club together to get the members of the Home Affairs Select Committee (ya goofed on that part, ZDNet UK) copies of "The...

1 day ago by Alan Ralph via Facebook on MPs urge ISPs to take down terrorist material
Moley

For Gnome 2 die-hards, it is possible to add icons to the bottom panel (or top top panel, if you prefer) which provide the exact Gnome 2...

1 day ago by Moley on A tale of two distros: Ubuntu and Linux Mint