Google Confidential and Proprietary 1

Google Confidential and Proprietary

Acceleration of Everything

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Google Confidential and Proprietary

Digital Revolution in Context

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Information “Read”

Distribution & Commerce

“Buy” Communication

“Interact”

1994 2010 1998 2000 2003 2006

1.9B Internet Users: 77M 400M 500M 1B

Google Confidential and Proprietary

The Connected World

> 2bn people

> 35bn devices

4 Source: “Learn from Google” Atlanta Event, 2011

Google Confidential and Proprietary

600M daily views

on YouTube via Mobile

10B+ downloads

from the Android Market

950K Android +

iPhone devices activated daily

$4.5M in donations

for Japan made via text message

eBay sold $2B via

Mobile in 2010

125 Years of

Angry Birds played every day

Google Confidential and Proprietary

Ad spend is following consumers online

Source: eMarketer, March 2011; Share of Avg. Time Spent Per Day with Select Media by U.S. Adults vs. U.S. Ad Spending Share, 2010

11% magazines

43% tv

19% online

17% newspapers

11% radio

5% newspapers

3% magazines

43% tv

25% online

16% radio

0.5% mobile

8% mobile

gap between ad

investments and media

consumption

untapped audience consumers’ media consumption

advertising Investments

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Google Confidential and Proprietary

Source: *Yahoo! and com Score Study Finds Online Consumers Who Pre-Shop on the Web Spend More In-Store. July 2007. **Source: Google

1 in 5 desktop searches are related to location.**

1 in 3 mobile searches are related to location.**

97% online consumers use the web

to research for products.*

There is immense opportunity in Local

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Google Confidential and Proprietary

Healthy Y/Y grow in searches for “Local” verticals

Source: Google Internal Data, YoY is last 90 days 8

Ind

exed

Qu

ery

Gro

wth

Google Confidential and Proprietary

The Four B’s

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Addressing the Local Opportunity

Google Confidential and Proprietary

The Four Be’s

Be Accountable

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Be Relevant Be Found

Be Engaging

> Be Engaging Be Accountable

Google Confidential and Proprietary

Be Found

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Google Confidential and Proprietary

Be Found – Search

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Google Confidential and Proprietary

Consumers Are Ever More Discerning

Since the recession began, 54% of consumers are

spending more time researching products

online before they buy them in a store.

And 83% are relying on trusted places like user ratings or product review sites.

Google Confidential and Proprietary

Decisions Are Made Before Entering Store

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Source: Longitudinal Economic Study Series, IRI Attitude Link, n = 1,000+ shoppers. CPG Purchase Decisions. IRI, 2009.

Where Purchase Decisions Are Made % of Shoppers

40%

25% 17% 17%

60%

75% 83% 83%

2007 2008 2009 2010

In-Store Before Entering Store

Google Confidential and Proprietary

Be Relevant - Mobile

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>

Google Confidential and Proprietary

Source: US Mobile Smartphone Consumer Study, Google & Ipsos Mobile Study 2010

48% of all smartphone owners

use mobile internet while eating

20% of all smartphone owners

use mobile internet while driving

13% of all smartphone owners use mobile internet

while having a meaningful conversation

39% of all smartphone owners

use mobile internet in the bathroom

Mobile is part of our daily lives

Google Confidential and Proprietary

12:00 AM 3:00 AM 6:00 AM 9:00 AM 12:00 PM 3:00 PM 6:00 PM 9:00 PM

Tablet Mobile Desktop

Day Evening Morning Night

Hourly Distribution of Searches by Platform (doesn’t reflect absolute traffic volume)

Mobile allows for constant connectivity

Google Confidential and Proprietary

Mobile complements desktop

Source: Citi Investment Research and Analysis; iCrossing Mobile U.S. Google Internal Data, 2010 18

Desktop Mobile

Week 1 Week 2 Week 3 Week 4 Week 5

Sat/Sun Sat/Sun Sat/Sun Sat/Sun Sat/Sun

Google Confidential and Proprietary

80% of customers abandon a mobile site if they have

a bad user experience1

Sources: (1) Limelight Networks, Inc. 2011, (2) Compuware, “What Users Want from Mobile,” 2011

2

Are you ready for mobile?

Google Confidential and Proprietary 20

Be Engaging

Google Confidential and Proprietary

Search5%

Email & IM20%

Commerce11%

Content38%

Community26%

Reach customers while they explore their interest

95% of Time Online is Spent Outside of Search

Source: Online Publishing Association and Nielsen//NetRatings, August 2010; iProspect Research 2010

Google Confidential and Proprietary

Google Confidential and Proprietary

Google Confidential and Proprietary

Be Accountable - Measurement

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Google Confidential and Proprietary

THANK YOU!

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Circle on G+: Daniel Ladvocat Cintra