• http://www.eBizROI.com Rick Noel, eBiz ROI, Inc.

    Interesting analysis Danny and my gut says that search is growing (driven by local/mobile) and that a significant % of the growth attributed to mobile should be attributed to search. What I can never reconcile with these reports is how IAB calculates revenue. Google.com 2012 revenue (non partner network, no Motorola, no “other”) was $31.2B and even if you take out traffic acquisition costs which would bring number to $22.5B (R -TAC) which is how I thought IAB defined revenue, then how does one reconcile that actual reported revenue figure with the IAB estimated search revenue figure of $16.9B, of which, Google presumably owns between 67-70% based on market share. I could not find how IAB defines revenue in the full year 2012 report. Can you shed some light on how to reconcile or should IAB numbers be viewed as directional only? Thanks.

  • http://www.eBizROI.com Rick Noel, eBiz ROI, Inc.

    I think figured out how to tie the #s back. The calculation is close if I take the $22.5B (R-TAC), multiply 47% (share of Google Ad revenue that is US-based to align with IAB scope) then divide by .67 to account for Google market share, the math is close ($15.8B).