Google restricts to internet in Europe

US internet concern Google is not currently planning to initiate any trials for marketing advertising slots in classic media such as TV, radio or print in Europe.

“This is not our focus at the moment,” Philipp Schindler, Google’s managing director for Northern and Central Europe, told German industry publication Horizont. Due to the current economic situation, the ongoing test runs with classic advertising in the USA will only be continued under certain conditions. “During this crisis time we will only make a further engagement if the trials are exceptionally successful,” said Schindler.

The company instead wants to focus on its strengths: “We are concentrating on the areas where we’re 100% certain we can offer added value for advertising companies. This means our core business of search engines, but also video advertising on the platform YouTube,” explained Schindler. The 37-year old sees the current recession as offering mostly opportunities for Google. In hard times he believes it’s especially important for advertisers to know what return they will get on their investment. “As we are able to exactly measure through clicks and conversions what added value our customers receive, we are able to achieve good results.”

However, the development of the mobile advertising market, in which Google had high hopes, could be delayed, said Schindler. “In difficult times companies focus on advertising forms that they know and which promise success. Mobile advertising does not yet belong to that category.”

In order to achieve growing advertising revenue in this field, Schindler says important foundations must first be laid: “The things that propel turnover are appropriate handsets, inexpensive, flat-rate based data tariffs and user-friendly applications.” Schindler is optimistic that if these prerequisites are met, a market for mobile advertising will emerge.