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Travel and Retail Led Google’s Search Revenue in the Third Quarter

1 year ago

Although some advertisers reined in their budgets for some Google products, the company’s travel and retail verticals led Google’s search and other revenues in the third quarter.

Couple relax on the beach in the tropical island. Source: Getty Images

Parent company Alphabet recently reported that its search and other revenue categories grew 4 percent during the third quarter to $40 billion, spearheaded by travel and retail.

The company declined, during an earnings call with analysts last month about the quarter that ended September 30, to provide additional detail on the performance of its various verticals.

“In challenging times like these, advertisers are carefully evaluating the effectiveness of their budgets,” said Chief Business Officer Philipp Schindler. “Search tends to do relatively well in such an environment, given its strong measurability and focus on delivering ROI (Return on Investment). It’s also well-suited to quickly adjust to changes in consumer behavior.”

Travel’s strength in Google search — notice the company mentioned travel first, before retail — came as a variety of travel businesses posted strong third quarters based on consumers still wanting to board flights despite the cancellation crapshoot over the summer.

Alphabet’s net income for the third quarter fell 26 percent to $13.9 billion on $69 billion in revenue, a 6 percent increase.