Monday, June 09, 2014

Mobile Search Gaining Share, Diminishing the Role of the Browser  

In our ever-increasing “on-the-go” world, more and more people are accessing their electronic lives from mobile devices, such as smartphones and tablets.  With these technological innovations, the variety of mobile apps available is ever-increasing.  Through these applications, users can conduct more poignant and direct searches.  For example, through Yelp, users can access the restaurant and retail world surrounding their current location befit with a map, customer reviews, contact information and even menus.  Additionally, new applications are being created every day, offering everything from beauty “how-tos”, to public transportation guides by city, to recipe databases.  Why would a user search for something this specific on their mobile device through an all-inclusive browser, such as Google or Bing, when they can  quickly access an application and know without fail they will get what they desire in minimal time.

 


 
As a result, Google is losing share in mobile search advertising revenues, while individual apps, such as Yelp, are gaining more share.  While it is difficult to imagine Google’s mobile advertising revenues decreasing to an inconsequential amount, the very direction of this shift is telling for the future of our electronic lives.  It seems that more people rely solely on their smartphones and tablets for accessing online information more than a PC, so it is only logical to expect a spike in search advertising revenues for applications to increase.  I happen to know more than a few people, who solely access the internet through their smartphones.  This is because they do not require a PC at home, and/or their jobs do not require a desktop.  This demonstrates a shift toward increasing mobile device use, which we can only expect to be followed by an increase in search advertising revenues for individual applications.  Applications can be more personal, whereas a user may have to sift through a large amount of unwanted results from a giant search engine to find what they desire.  Moreover, users are increasingly turning to social media to search recommendations from friends and other relevant data.  The opportunity for specialization among applications seems endless, and consequently, the share of search advertising revenues that these applications possess will chip away at Google’s currently dominant share.

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