Every year Google selects one business from every state in America, to examine the economic value that business has provided through Google's services such as: Google Search, Adwords, Adsense and Ad Grants. This report assumes that for every $1 a business spends on Adwords service it reaps $8 in profit. Those figures are based on research done by the Google itself since 2009.
Every state report has a featured story, and among all the companies in Oklahoma, Sooner Marketing Solutions was chosen. Google interviewed the CEO (Braedon Kruse) & COO (Justin Hernandez) and flew in a photographer from Chicago (see pictures in the bottom).
Last 2015 Google has generated $165 billion of economic activity through more than 1.4 million businesses, website publishers, and non-profits in our country.
GOOGLE ECONOMIC IMPACT REPORT
(TOP 10 STATE WITH THE HIGHEST ECONOMIC ACTIVITY)
New York and California are always on the upper part of Google’s economic activities. However, this time California beats New York as the number 1 on economic activities.
As for Oklahoma, Google helped provided $281 million of economic activities for businesses, website publishers, and non-profits. And an estimated of 9000 Oklahoma businesses and nonprofits benefitted from using Google’s advertising tools, Adwords, and Adsense.
You may read the full Oklahoma Google Economic Impact Report here.
What's the purpose of this report?
The purpose of the report is to highlight Google's local economic impact in all 50 U.S. states, plus Washington, D.C. We've talked for years about the kind of economic impact that Google has, but we've often heard in response, "show us the data." We heard that feedback, and we're releasing that data for the seventh year in a row.
What are the topline results for 2015?
Google helped to provide more than $165 billion of economic activity for over 1.4 million American businesses and non-profit organizations in 2015.
Have you released this kind of report before?
Yes, this is actually the seventh annual Economic Impact Report that Google has produced. The first report was produced in 2009.
How did you come up with these estimates?
We draw from three data sources to derive a conservative estimate of Google’s economic impact:
• The revenue we received from AdWords on Google.com search results in 2015;
• The dollars we paid to our AdSense partners in 2015; and
• The in-kind donations we made to non-profits through Google Ad Grants in 2015.
Doesn't $165 billion seem too low?
Our estimate is comprised of a limited part of our business and relies on conservative calculations. For example, it doesn't include the economic benefits of search results for consumers, the impact of our hiring or employees, or the impact of products like Google Maps or YouTube. We hope to be able to include these sources in future reports.
How did Google determine that the value of AdWords is $2 for every $1 spent?
Our chief Economist Hal Varian based his estimate of the economic value provided by AdWords on observed cost-per-click activity across a large sample of our advertisers. Assuming advertisers are maximizing profits, Hal estimates the value enjoyed by advertisers is between 2 and 2.3 times their total expenditure on AdWords. We use the lower end of the estimate to be conservative. To learn more, you can download Hal’s study directly.
- Twice as many jobs and twice as much revenue through exports were created by web-savvy SMBs.1
- 97% of Internet users look online for goods and services.2
- 9 out of 10 part-time business owners rely on the Internet to conduct their businesses.3
- 75% of the economic value created by the Internet is captured by companies in traditional industries.1
- Google helped provide $165 billion of economic activity for over 1.4 million businesses, website publishers and non-profits across the U.S. in 2015.4
Sources:
1. McKinseyGlobalInstitute,“Internetmatters:TheNet’ssweepingimpacton growth, jobs, and prosperity,” May 2011
2. BIA/Kelsey,“NearlyAllConsumers(97%)NowUseOnlineMediatoShopLocally,” March 2010
3. TheInternetAssociation,“InternetEnabledPart-TimeSmallBusinessesBolster U.S. Economy,” October 2013 4. Google, “Economic Impact,” 2014
4. Google,“EconomicImpact,”2015
