Saturday, January 31, 2009

***Revenue Models for Google, Amazon.com and eBay***

Revenue models describe methods of generating profits of an organization. There are various types of revenue models, includes advertising, sales, transaction fee, subscription, affiliate and so forth.


Google is a search engine which most of the people prefer. Most of the income generated by Google is from advertising which are Google Adwords, Google AdSense and Google Product Search.

Google Adwords is a pay per click advertising program that designed to allow advertisers reach people when they are actively looking for information relate to what the advertiser are offering. Advertisers only pay when people click on their advertisement.


Google AdSense is an ad serving program run by Google. Google AdSense automatically delivers text and image ads that are precisely targeted to web publishers’ site and owner site content, people will actually find them useful. And when web publishers add Google WebSearch to their site, AdSense delivers targeted ads to their search results pages too.

Froogle has been renamed “Google Product Search” says Marissa Mayer, Google’s VP of Search & User Experience, is a searchable and browsable shopping index tuned to find information about products for sale online.


Amazon.com is an American electronic commerce (e-commerce) company in Seattle, Washington and yet Amazon was one of the first major companies to sell goods by Internet. Amazon.com started as an on-line bookstore to gain income, but soon diversified itself into various types of product lines such as video home system (VHS), DVD, music CDs, MP3 format, computer software, video game, toy and etc. Amazon.com also receives affiliates fees such as commission and per-unit fees from sellers through Amazon Enterprise Solution.

eBay is the major auction service on the Web. eBay popularized the concept of buying and selling online, and both individuals and commercial enterprises list items for sale. There is no charge to browse the site or make bids and purchases, but there is a fee to list items. If an item is purchased, the seller pays eBay an additional fee. It generated revenue from its three primary businesses: auctions, PayPal payment service and Skype voice over IP (VoIP) service.


Related link(s)

**Prepared by ShihTing**

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