Google thrives despite economic woes

Google recently reported that its revenue increased 21 percent in the second quarter of 2012, despite predictions that a slumping economy would cause a decrease in the company's online advertising.

According to reports, shares of the world's No. 1 search engine were an estimated 3 percent in after-hours trading. Many companies have used Google to improve their small business marketing initiatives over the past decade, and the company's recent report indicates a growing number continue to do so.

Google officials reported that its revenue for its existing internet business was $10.96 billion in the second quarter of 2012, which was up from $9 billion a year earlier. Advertising rates were pressured by the influx of mobile users, who accessed the mobile-friendly web pages via smartphones and tablets. Investors thought positively of a 42 percent increase in overall clicks on Google's search ads during the second quarter.

"Paid-click volume is really strong; it's a good thing," said Susquehanna Financial analyst Herman Leung. "The volumes are accelerating and usage of Google has not stopped, it has just continued."

Google's mobile advertising is also making substantial progress, totaling more than 1 million advertisers for its AdMob product. The cost per click for Google's online search ads continued declining in the second quarter of 2012, but analysts highlighted a quarter-on-quarter 1 percent increase in second quarter CPCs.

Small businesses that are looking for ways to increase revenue and exposure should consider implementing SEO strategies and pricing the amount it would cost to produce a Google ad, which has been proven to increase exposure and revenue.