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Why Bing Won’t Beat Google but Will Gain Market Share
28May2009 Filed under: Search Engine Marketing, Search Marketing News, Uncategorized Author: Joshua SciarrinoWelcome back!
Some information about Search Engine Market Share: Microsoft has been hovering at a 9% market share of search queries. Yahoo around 20% and Google 60-70% of the market share. Also, in some countries Google has a massive monopoly of 90% market share. Yahoo has 80-90% share in Japan but is continually 20% throughout the world.
Google has commanded the majority of the search engine market share for 7 years and running. Yahoo has tried to tweak their algorithm (it’s underlying programming) but has yet to regain their prominence in the #1 position. Studies have even shown that if you change the logo from Google to Yahoo, or vice versa, the general consensus is the user picks Google’s page, regardless of their underlying results. I think this study implies that Google’s brand is so powerful that even if results are “less relevant” people will choose Google’s page.
This speaks volumes but no one is listening.
Neither is Microsoft.
Dr Pete said this on Twitter earlier today. (our Twitter).
(Back to me) I try not to prejudge things but Microsoft has a brand. It’s a damaged one. One perceived as controlling and not fluid/organic company. Also, it’s known as a monopoly. When you add those two together (monopoly + controlling) the general consensus is to resist the business behind that mentality, no matter how good the product actually is.
Some may say Microsoft does understand that “it’s a brand issue”, but throwing 80 million dollars at the problem isn’t going to change the brand perception. It might gain market share (from Yahoo, not Google) but it won’t solve the underlying mentality that Microsoft has.
Microsoft needs to change the way business is done. Ballmer (Microsoft’s new CEO) has talked repeatedly about how he doesn’t like things done inefficiently and he wants to change that. Well, if I were Ballmer, I’d solve the product model issue because this is the underlying issue to many of Microsoft’s brand problems. Microsoft sells it’s software, where Google gives it away for free.
Google business model is “organizing all the world’s data”. I think Microsoft should adopt this, in part. Or at least the methodology. How can Google get all the world’s data? By having more and more people use their software. This is why Google, IMO (In My Opinion), choose to give away their software. It builds Google brand and it also allows Google to know more (and get all the worlds information).
Not to go off on a far tangent but the Western Societies, IMHO (In My Humble Opinion), have thrived because of more information, or knowing more. It has caused us to make more informed decisions. Wiser choices. Google is harnessing this aspect very well. They are far from their ultimate goal, of knowing all, but they have taken wonderful steps in the correct direction. Microsoft should learn from this.
I say this because knowledge empowers people. Software empowers people. But we are in a new age, an age where people don’t want to pay for limited software (perfect example). They want to have basic access for free and the ability to contribute to it.
Companies might be willing to pay for enterprise level software but free (web) software should be available to the general public. To support the bandwidth costs, innovate relevant ads. AdSense is now 30% of Google’s total revenue, it’s the main reason, IMHO, for Google’s lack of decline in this recession (Please note: Eric Schmidt said he was confident Google would be able to weather the recession because of AdSense in a mid-2008 video, I can’t find the video. 
).
What does this all have to do with anything? Honestly. It has everything to do with everything. Google’s model is openness and empowering the users. Microsoft’s model is controlled and minimal empowerment (can use software but not allowed to build on it; i.e. lack of API’s).
In short, Microsoft should humble itself and change some their product model because it will build their brand and exposure to higher (and deeper) levels than has been seen before.
Finally, if Microsoft’s new search engine, Bing, is a hit. It will be taking some of Yahoo’s market share, not Google’s, because of the share gorilla, that Google’s brand is.
Good luck Microsoft but I won’t get my hopes up.
[Updated: I'm not the only one who thinks Microsoft should fix it's brand]
Related links on Bing (technical analysis):
Bing (actually website is NOT live yet but check out their promo video.)
Bing Vs. Google (Search Engine Land)
Bing, first serious challenge (Marketing Pilgrim)
Bing (Cnet; Links to demos and CEO commentary)
Hands on with Bing (PC Mag)
5 Responses to “Why Bing Won’t Beat Google but Will Gain Market Share”
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Dr. Pete
May 28th, 2009 at 3:20 pm
It goes beyond search, but one of the things I find constantly frustrating with Microsoft is how they brand their internal projects and even sometimes fictional projects, essentially spend thousands of dollars to promote something that ultimately doesn’t exist (or gets renamed at the list minute).
Another great recent example is Windows Mojave. Microsoft spent a lot of money on the Vista vs. Mojave ads, essentially creating a fake operating system to trick people into using Vista (we won’t even get into why that’s a terrible message to send), and ultimately made some people wonder what Mojave was and when they could buy it. Sorry, folks, it’s completely fictional.
Now, many people heard and wrote about Kumo, and Microsoft even registered the domain name, but then it all went away in a flash to be replaced by Bing. So, what happens to Kumo? They’ve ultimately wasted a ton of resources promoting something that doesn’t exist.
Joshua Sciarrino
May 28th, 2009 at 3:40 pm
Yea. They sadly don’t get it. Microsoft said 10 years from now we will have this amazing digital world. Sadly it won’t be led by Microsoft because of their brand messaging. I think this parody says it best (they have brand issues people!!).
I totally agree with you Dr. Pete. There are fundamental issues with Microsoft but it goes deep into it’s business. I doubt we will see the demise of this company but we will see a dramatic decline if they don’t change.
Harsh Agrawal
May 28th, 2009 at 4:18 pm
One of the great feature of bing is auto compete feature, which is similar to Google, though being a blogger I would like to see some quality result from
Bing rather then people who game SEo and come at the the top of Google Search result. Lets hope for somethign new and useful this time from Microsoft
SE Partner
June 21st, 2009 at 3:41 pm
Where Bing may gain share is not as a search engine, but as an advertising medium. Type the term “wii” into Bing. Notice the percent off coupon at eBay if you follow the link.
Joshua Sciarrino
June 21st, 2009 at 3:57 pm
It’s a Search Engine, in the most literal term. You type keywords in (you search) and it’s code (engine) shows you what you’re looking for.
Bing doesn’t have the same business model as Google; I think this is your argument. Bing focuses on CPA (Cost Per Action; known as affiliate marketing) but it also has a Pay-Per-Click model.
But after looking through Bing’s website. They don’t do a good job at promoting those features for advertisers. If you do a search on Bing, you’ll only see their PPC model but they are much more than that.