Wednesday, October 10, 2012

Google Inc (NASDAQ:GOOG) Rolls out “Another” Update, Shares Outperforms

Updates from Google Inc(NASDAQ:GOOG) are rolling out thick and fast.

A while back the company's Matt Cutts had warned that updates would start to be `jarring and jolting' and it is living up to that promise.

The latest update from the Internet search giant is a new page layout.

Last Friday, Google launched its Penguin refresh and before that it was the new EMD update and also a new Panda update.

The page layout update was announced earlier this year quite some time before the first Penguin update was launched.

Cutts had written in a blog at that time -

As we’ve mentioned previously, we’ve heard complaints from users that if they click on a result and it’s difficult to find the actual content, they aren’t happy with the experience. Rather than scrolling down the page past a slew of ads, users want to see content right away. So sites that don’t have much content “above-the-fold” can be affected by this change. If you click on a website and the part of the website you see first either doesn’t have a lot of visible content above-the-fold or dedicates a large fraction of the site’s initial screen real estate to ads, that’s not a very good user experience. Such sites may not rank as highly going forward.

We understand that placing ads above-the-fold is quite common for many websites; these ads often perform well and help publishers monetize online content. This algorithmic change does not affect sites who place ads above-the-fold to a normal degree, but affects sites that go much further to load the top of the page with ads to an excessive degree or that make it hard to find the actual original content on the page. This new algorithmic improvement tends to impact sites where there is only a small amount of visible content above-the-fold or relevant content is persistently pushed down by large blocks of ads.

Shares of GOOG were trading higher by 44 cents, while the broader market fell sharply

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