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Case 7-1 PDF

The document discusses competition in the search engine market. Google dominates globally with over 80% market share but faces competition from Bing, which holds about 15% of the US market through a partnership with Yahoo. Other players include niche search engines that focus on specialized content like videos, genealogy records, or academic resources. As Google's competitors strive to increase awareness and consideration of their brands, they must overcome Google's firmly established position by differentiating themselves through specialized content or local customization.

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263 views

Case 7-1 PDF

The document discusses competition in the search engine market. Google dominates globally with over 80% market share but faces competition from Bing, which holds about 15% of the US market through a partnership with Yahoo. Other players include niche search engines that focus on specialized content like videos, genealogy records, or academic resources. As Google's competitors strive to increase awareness and consideration of their brands, they must overcome Google's firmly established position by differentiating themselves through specialized content or local customization.

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Chapter 7

Searching for a Search Engine

There’s a big marketing battle brewing among the search engines of the world. Google

[http://bi.galegroup.com/essentials/company/927326?u=tlearn_trl] is so widely used that many

consumers talk of “Googling” a product or service when they mean they’re going to do some

Internet research. But as dominant as Google may be in some countries—it handles two out of

every three online searches in the United States, for instance—it does face competition, both

locally and globally. Still, because of Google’s firmly entrenched position, other search engines

have to start by stirring consumers to recognize a problem with their current search engine.

The most aggressive of Google’s search competitors is bing, introduced by parent company

Microsoft [http://bi.galegroup.com/essentials/company/68489?u=tlearn_trl] in 2009. Within

months, bing had arranged to become the official search engine of Yahoo!, one of the web’s

original search sites. Thanks to this deal, bing improved its share and now holds about 15 percent

of the U.S. search market, pulling nearly even with the market share of Yahoo! worldwide,

however, bing holds only a tiny share of the search market, whereas Google still controls more

than 80 percent of the global search market.

To increase brand awareness, to put itself in the consideration set, and bring consumers to its

search site, bing runs ads on TV and in movie theaters to promote itself as a “decision engine.”

The messages, delivered with a dash of humor, suggest that consumers can avoid information

overload and find just what they need by searching on bing, whether they’re looking for how-to

videos, holiday gift ideas, airline flights, or movie showtimes.

For its part, Google is pouring on the warm feelings in its ads to engage consumers emotionally

and retain their loyalty. Ads portray Google as the place to search for long-lost friends, for example,

among other search stories with affective appeal. In essence, Google is reminding consumers:
“Remember how it felt when you did those successful searches through our site? Use Google when

you’re searching for something you care about, whether it’s videos, images, news, maps, or more.”

Google also wants to be sure that mobile users continue to choose its search site when using

their phones to locate information about goods and services. Currently, Google is responsible for

more than 90 percent of U.S. mobile searches. However, that may change as many search sites

gear up in earnest for this fast-growing segment.

Other search engines have captured considerable market share outside the United States by

optimizing their searches and the look of their sites and results to meet local needs and preferences.

Baidu, for example, is the market leader in Chinese-language searches, and Yandex is the leader

in Russian-language searches.

In addition, various niche search sites want consumers to choose them for specialized searches.

VideoSurf, now owned by Microsoft, enables consumers to search for specific content among 50

million online video clips. It is being marketed in connection with Microsoft’s Xbox system as a

way for consumers to locate sports or music videos to stream to their TVs. Mocavo, used to search

for names of ancestors, is marketed through mentions on genealogy blogs and websites. Wolfram

Alpha calls itself a “computational knowledge engine” that can help users search for data about

mathematics, statistics, engineering, units and measures, and more. Infomine searches academic

resource collections available online. findsounds.com enables consumers to locate and listen to

sound effects posted on the web. spezify.com emphasizes colorful and intuitive visual display

rather than a simple text listing of results. No matter what kind of search consumers want to

conduct online, there’s a site to help them locate exactly what they want.i
CASE QUESTIONS

1. Why is achieving a significant level of brand familiarity especially important for Google’s

competitors?

2. What are the search sites doing to increase consumers’ motivation, ability, and opportunity to

process external information?

3. Are consumers likely to search by brand or search by attribute when comparing search sites?

Which process is likely to favor the specialized search sites?

4. Given the role of prototypicality in recall of search engine brands, what do you think niche

search sites should do to get into the consideration set?

i
Jamie Yap, “Google’s Search Lead Entrenched But Not Unbeatable,” ZDNet Asia, November 21, 2011,

www.zdnetasia.com; Lee Kaelin, “Microsoft Purchases Video Search Engine Firm VideoSurf,” Tech Spot,

November 23, 2011, www.techspot.com; Michael Boland, “Google’s Battle for the Mobile Web,” Search Engine

Watch, November 25, 2011, www.searchenginewatch.com; Michael Liedtke, “Bing Hitches Holiday Hopes to

Rudolph the Reindeer,” Associated Press, November 23, 2011, www.businessweek.com; and Clint Boutlon, “Google

Search Stays 65% Course, Bing Closes on Yahoo,” eWeek, November 13, 2011, www.eweek.com.

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