In Q1 2011, Google’s share 14.7% vs Yahoo’s 12.3%. Google is also growing nearly as fast at Yahoo is declining. To make matters worse for the ex-ad king, Facebook is only a few lengths behind.
Here are the revenue amounts:
- Google: $396 million in display
- Yahoo: $330 million
- Facebook: $238 million
Now that’s a horserace.
From the numbers, it would seem like Yahoo should be making Google voodoo dolls about now, but the expert at IDC says it wouldn’t help.
“So far we see minimal impact on Yahoo. Most of the display advertisers on Google are small and medium business that used to run search ads and are now trying out display. That’s not the clientele that Yahoo is after.”
I take that to mean that Yahoo is simply losing ground because the big guys aren’t forking over the cash the way they used to? Why not? We know that online ad spending in general is on the rise, so if the big guns aren’t going to Yahoo or Google, where are they going? Could that be part of Facebook’s climbing revenue stream? Or could the rise in overall spending be due to more options for small and medium businesses?
It will be interesting to see if Google can hold on to this lead and even more interesting to see if and when Facebook takes over Yahoo and lands in second place. Do you think that will happen in 2011, further in the future or not at all?