Tom Muldowney - Baidu v Google - Two Search Engine Giants Battle for China's Search Market
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Baidu and Google in China’s Internet Search Market
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Here is an evaluation of the world's top two search engines and how they battle it out for China's search market. This was an assignment as part of my MBS Digital Marketing in DCU, Dublin, Ireland.
Transcript of Tom Muldowney - Baidu v Google - Two Search Engine Giants Battle for China's Search Market
Baidu and Google in China’s Internet Search Market
Group C
Tom Muldowney 59212790 Caroline Mullen 59213267 Niamh Rooney 97482781 Sinead Geraghty 53412725 Guang Yeng 59210691 Brendan Davis 59212184
Differences China USA
Average Internet User Age
25 45
Credit Card Penetration
1 in 50 hold a Credit Card
Average of 2 per person
Focus on Result Page Wide-spread Upper Left
Time Spent on Page 30 – 60 seconds 10 seconds
Internet Coverage 22.6% 72%
Popular Search Devices
Mobile Phone PC or Laptop
Methods of Search Prefer to choose from list
Type in key search words
“China is becoming a huge market for Web search tools. But cultural, political and aesthetic differences mean that Western search conventions and business models don’t necessarily apply.”
- Simon Burns, Technology Review, 2005
Difference in User DemographicsDifference in User Demographics
China25 yearsChina
25 yearsUS
45 yearsUS
45 years
China1 in 50China1 in 50
US2 per Person
US2 per Person
•Scan entire results page •Prefer to click as opposed to type•Scan entire results page •Prefer to click as opposed to type
30 - 60Secon
ds
30 - 60Secon
ds
10 Secon
ds
10 Secon
ds
China U.S.A.VS
China distinct from international Internet search market
Google was slow to adapt
Baidu’s plan
Entertainment apps
Information sharing
Community building
Customer
Delta Model
Baidu◦ “What can I help you do?”
Google◦ “What I can do for you?”
Baidu◦ Home Court Advantage
Google◦ American Global Giant
Baidu 3 options◦ Auction based pay-for-performance paid search
model◦ Fixed fee placement ◦ Baidu Alliance
Google◦ Google Adwords
Search Market in Beijing, Shanghai & Guangzhou
Search users with College Degree or over
one of the top four hot internet applications in China
(72.3%)
1st level 2nd level, 3rd level
• Concentrate on mobile-internet market
• Education/ Academic Resource
• Internet-based instant messaging platform
E-commerce: (+ IM platform) - C2C— put a link on baid.com + IM platform - B2C/B2B —create a platform for advertisers on Baidu
Asian Market: - Korea first (70.7% internet coverage), - Then other countries in Asia (e-commerce platform + ad)
System Lock in
What’s next?
“We always distinguish ads from the search results or other content on a page. We don’t sell placement in the search results themselves, or allow people to pay for a higher ranking there.”
Google Corporate Information, http://www.google.com/corporate/
