Google Market Research

Google Market Research

Company Background

Google, an American company, deals with internet related services such as internet searches, advertising on the internet, cloud computing, mobile phone software and hardware, and programs development. Its services are tailored for business efficiency, work improvement, time management, and navigation. The company has been rapidly growing and developing, with a long list of products satisfying various customer needs. The most popular and widely used Google Inc. products include:

1. Google Search: the world’s largest internet search engine
2. Android: Google’s smartphone operating system, which also incorporates the company’s browser, Google Chrome
3. Google Docs: includes sheets and slides for business work and note keeping
4. Gmail and Inbox: for email services
5. Google Calendar: for time management and scheduling services
6. Google Drive: for cloud storage services
7. Google Plus, Duo, Hangouts, Keep and Google Allo: offering instant messaging, note taking, social networking, and video calling.
8. Google translate: dealing with foreign languages translation
9. Google Maps and Google Earth: for navigation and mapping
10. YouTube: for video streaming and sharing, and
11. Google Photos: for photos sharing, editing, and organizing.

Their search engine is the most visited site on the internet on any day, according to world internet statistics. Moreover, in the year 2017, Google was the most expensive brand in the entire world. The company also provides internet services, including fiber optic cable and Wi-Fi, in many parts of the United States (Project Fi).

Company Analysis

A company or industry analysis is critical to ascertain the viability of a product to the target market, to determine the challenges that are likely to be encountered in its introduction into a market, and to determine any adjustments that may be required on the product, to guarantee success. Various methods of undertaking this analysis exist. However, a PEST analysis is best suited for an analysis of Google Inc.’s product, Google Maps, as it incorporates most of the factors that influence business. It is also quite easy to undertake. PEST analysis refers to research done on the political environment, social factors, economic factors, and technological factors affecting business, and how all these factors can affect the business’ activities (Recklies, 2006). Google Maps provides mapping and navigation services, incorporating satellite imagery, maps, street view with real-time traffic, and route planning for travelers. The sale, marketability, acceptability, and usage of Google Maps are affected by several factors, as follows:

Political Factors: Several political factors affect the marketing and usage of Google Maps. A very recent example of how political forces can affect Google Maps and Google products at large is the European Union’s move to pass regulations against technological companies from the United States, such as Google Inc. and Amazon. The EU had files charges on Google, accusing them of promoting their own products, lawsuits that may have cost Google at least three billion Euros (Noe, Hollenbeck, Gerhart, Wright, 2003). Google Maps implementation will be constantly faced by varied political interferences from many governments in the world.

Economic Factors: any business is affected by economic fluctuations. Google Maps, being a product fashioned for usage by individuals and companies at a cost, will be largely affected by changes in the economic status of the economy, i.e. better economic conditions mean more sales and customers. Dollar rate fluctuations and varying interest rates shall also affect the business.

Social factors: social-cultural factors such as the increased usage of social media and internet messaging have a positive effect on the sale and marketing of Google Maps, and other Google Inc. products such as Duo and Google plus. However, competitor companies, such as Facebook, have been largely favored by these social trends, forcing Google to increase its advertising and lower its rates (Zhao, Frank, 2003). The company’s popularity as an efficient search engine has largely promoted the usage and acceptability of its products, Google Maps, and Google plus being the largest beneficiaries.

Technological factors: the company is a giant in the technology world. Any slight changes in technology have adverse effects on Google and its products. Its major competitors, Microsoft and Amazon, invest largely on technological research and innovation (just like Google) and therefore keep Google on its toes. Recently, Apple Inc., another rival technology company has introduced artificial intelligence in its products, with the aim to kick out dependence on Google’s products, such as Maps. As a retaliation, Google introduced voice to its search engine, which has greatly increased its popularity and preference by customers (Schalkwyk, Beeferman, Beaufays, Byrne, Chelba, Cohen, Strope, 2010).

Situational Analysis

A situational analysis involves studying the relationship between a company’s internal environment and its external environment factors, with the aim to determine the company’s capabilities and how to properly coordinate them to better position the company for risks avoidance. One of the most adopted methods of situational analysis is SWOT. A SWOT analysis seeks to identify a business’ strengths and weakness, opportunities for the businesses development, and any business threats in its environment (Houben, Lenie, Vanhoof, 1999). This information will be largely beneficial for the marketing of Google Maps.

Strengths: Google is the world’s largest and trusted search engine. This is the company’s biggest strength and marketing advantage. It easily beats its competition for this strength. Being a household name, Google gets the required traffic, increasing its sales and profitability. Its recent venture, Android OS, has enabled it to compete with large mobile companies, such as Apple and Microsoft.

Weaknesses: the company’s high reliance on secrecy is a major weakness. It cannot reveal how it operates or its formula for internet searches. Decreasing advertisement rates have led to a decrease in the company’s revenues and profitability. The excessive dependence on advertising also weakens the company’s profitability.

Opportunities: Android OS provides the largest opportunity pool for the company. Development in the smartphones sector is endless. An opportunity also exists in the cloud computing and storage market.

Threats: competition from Facebook has hardly hit Google, with many customers shifting to Facebook social media and internet messaging. Google requires investing largely on beating features offered by Facebook and Twitter.

Google Maps is very efficient and easy to use. The product provides navigation services for research companies, travelers, and any other users interested. Marketing it would be largely successful, being a Google Inc.’s product. However, efforts need to be put in to beat the threats and weaknesses highlighted in the above analysis.

References

Recklies, D. (2006). PEST Analysis.

Noe, R. A., Hollenbeck, J. R., Gerhart, B., & Wright, P. M. (2003). Gaining a competitive advantage. Irwin: McGraw-Hill.

Zhao, Y., & Frank, K. A. (2003). Factors affecting technology uses in schools: An ecological perspective. American educational research journal, 40(4), 807-840.

Schalkwyk, J., Beeferman, D., Beaufays, F., Byrne, B., Chelba, C., Cohen, M., … & Strope, B. (2010). “Your word is my command”: Google search by voice: a case study. In Advances in speech recognition (pp. 61-90). Springer, Boston, MA.

Houben, G., Lenie, K., & Vanhoof, K. (1999). A knowledge-based SWOT-analysis system as an instrument for strategic planning in small and medium sized enterprises. Decision support systems, 26(2), 125-135.