The Magnolia Ventures
Technology Business Report
Eurekster Rockets Challenge Google's Algorithm
Tuesday, April 18, 2006
I recently began testing the Eurekster Swicki custom search engine service. I like testing new web applications, but I was interested in this product for two reasons. Firs,t I was curios to learn how this little search upstart was going to make a differennce in a landscape of Google, Yahoo and MSN search. Second, I wanted to understand how this integrated search module was going to affect search results in the major engines.
What I found is pretty interesting to me and I think will be to others who rely upon search marketing to grow their business. In essence, something about Eurekster's Swiki configuration gives it an advantage in the Google search algorithm. That is, its results are disproportionately ranked - or to use a Googlism the results are "non-democratic".
To understand this claim, it's worth presenting a bit of data. These search aborations, which I call the "Swicki Effect", can be seen consistently in 3 different Swickis. Each of these Swickis was created with the last 30 days -- in one case the Swicki was only a week or so old. The Swickis include a variety of keywords. The sites, keywords, rankings and swickis can be reviewed in detail here.
I don't mean to pick on Google. In fact, 3 of the 4 major search engines, including Google, AOL and MSN, are all suscepitble to Eurekster's Swicki Effect. Google, however, is the supposed leader in the bunch when it comes to returning reliable search results. So slinging mudd in its direction is only fair.
The noteable exception to the Swicki Effect is Yahoo. I raise this, not just becauseit is obvious, but rather because it supports a hunch that I have. Specifically, that Yahoo really is the leading search algorithm, not Google. I suspect that the real champs at Google are not all those whiz bang engineers.
I think the smartest guys and gals in the Googleplex might just be the marketers. After all, they were the ones that figured out that a stripped-down, bare bones website with a sort of cute logo could beat out the incumbents and sell more ad links. The marketers were the ones that recognized the convergence of the Internet and the growing distrust by Americans of large corporations.
Grassroots Google rises as the walled-garden of AOL (Time Warner) slides. MSN goes nowhere, managing to not lose ground via acquisition and reverse engineering. Yahoo coasts, continuing to introduce product at a pace similar to Google, but certainyl without the same results.
Google's entire business, in fact, is predicated on the notion that search engine users trust their results more than any others. Certainly it is as easy to search via any of the above, so without the perception of trust, what other than force of habit will sustain Googles leadership?
Said differently, how premium is Google receiving from advertisers because they believe there is a premium value - the value of a trusted envronment ? If Google's perception in the eyes' of consumers or business users tarnishes, can Google be dethroned as te search leader? And what is the consequential effect on Google's earnings potentials if site usage begins to drop even marginally?
About the Author
Michael Taus is the Managing Director of Magnolia Ventures a technology incubator and venture business consultancy, and Aquo Interactive, a software development and Internet marketing firm . He has been involved in the growth and development of network-related technology companies since 1996, including Rent.com (acquired by eBay) and BigLinx, a proprietary search engine marketing service. He currently is an advisor to a number of early-stage technology companies.
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