Franchise News
Wall Street Journal: Google Profits Surge as Demand for Advertisements Grows
The Internet giant continues to capture users and advertisers as they shift to mobile.
Google parent Alphabet Inc. said quarterly profit soared 24%, the second internet giant in two days to report blockbuster earnings driven by consumers’ rapid shift to mobile devices.
Alphabet said growth continued as companies bought more ads on its search engine and other products, while users increasingly clicked on those ads. Revenue, fueled by Google’s advertising business, rose 21% to $21.5 billion in the second quarter from a year ago, beating analysts’ average estimate of $20.76 billion.
The rise of smartphones has put internet-connected computers in the pockets of more than a billion people world-wide, leading to a surge in internet use—and a major boost to the bottom lines of tech giants such as Google and Facebook Inc. As consumers use the companies’ wildly popular free services more, Google and Facebook can sell more ads to companies trying to reach those users.
“The strength of the quarter is about mobile,” Google Chief Executive Sundar Pichai said Thursday. “Our investment in mobile now underlines everything that we do today, from search and YouTube to Android and advertising.”
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About the Author
Nick Powills
FollowNick Powills, CFE, founded No Limit Agency in 2008 and serves as Chief Brand Strategist for the Chicago-based firm. No Limit is a full-service communications agency that establishes and elevates brands by bridging Public Relations, Social Media, Marketing, Advertising, Digital, and a lot of creativity, to best strategize well-rounded and successful campaigns for 50+ global franchise brands. By presenting visionary ideas and building real relationships, No Limit is able to create effective media branding strategies to help companies grow. Nick currently leads a staff of writers, media strategists, designers, social media experts and digital producers in an office think-tank where brands are humanized for strong, compelling media stories. Prior to starting No Limit at the age of 27, Nick spent four years working at a franchise PR agency where he mastered the art of building rapport with media outlets and creating newsworthy pitches for earned media placements. He holds a Bachelor of Journalism from Drake University in Iowa.
