6 ms·
>If you are paying Google, you are definitely a customer The question is not if you're a customer, but if you're a customer that matters. By "matter", I mean
by hitekker 9y ago
>If you are paying Google, you are definitely a customer
The question is not if you're a customer, but if you're a customer that matters. By "matter", I mean respected and cared for as a singular entity.
When I worked for Oracle, I was told only 150-to-200 customers formed the lion's share of Oracle's revenue. Think three letter agencies, foreign governments, national banks, and the like.
The other tens-of-thousands of customers contributed to a smaller share of the pie and so they only mattered in aggregate.
Without crunching the numbers, I'd say that Google probably operates on the same, if hidebound, business logic.
- disgruntledphd2 9y agoI suspect that its slightly different. Remember that Google uses a second-price auction for AdWords. The interesting thing about second price auctions is that you need auction density to be high to ensure that revenue is made, which means that Google have an incentive to get all of their customers trying to spend more, even if they are small they can still push up the prices for the advertisers with loads of money. Additionally, if I were Google I would care a lot more about the millions of small advertisers as they represent a much safer way to make billions of dollars (less support required and you are less beholden to a small number of agencies/advertisers who would tend to be difficult to deal with).