Google (GOOG) on the Nasdaq reached record highs this week as the company reported over 27 billion dollars in revenue for the third quarter of 2017. The companies record revenue is being driven by explosive growth with the you tube platform and advertisers using Google adwords.
Google adwords continues to be the dominant revenue generator for the company and industries such as water damage have seen a 25-50% increase in the CPC or cost per click in many markets across the United States over the past 24 months. In markets like Denver Colorado the average CPC for water damage is now in excess of $85 per click. The service industry continues to feel the pinch from Google and their desire to favor ranking directory websites such as home advisor, thumbtack (a Google prooperty) and the yellowpages. With directory websites holding many top ranking positions, it reduces the potential for consumers to make buying decisions in the Organic space and further positions adwords placements in key CTR areas, helping to drive engagement and the potential for consumers to interact in these areas.
With Google holding a monopoly position in the United States in search, the likelyhood they will continue to find ways to drive revenue growth likely means that they will continue to diminish the position available to business in the organic space and make it harder for SEO companies trying to promote hyperlocal businesses against dominant directory positions.