On February 1, Google’s new parent company, Alphabet, released their earnings report for Q4 of 2015. The report revealed that Alphabet is now the largest publically traded company in the world. That’s right; it’s even bigger than Apple.
Let’s look at some numbers.
Alphabet announced revenues of $21.33 billion for Q4. And 99% of that revenue came from Google and the businesses under the Google umbrella (for example, YouTube, Google Maps, Google Chrome, and ads).
To break it down further, advertising represented 90% of Google’s total revenue, and ads on Google sites represented nearly 80% of that ad revenue.
In summary, simple advertising is Alphabet’s biggest money maker.
Google has become really good at targeting ads. We’ve probably all had this experience: we head to Google, where we search online for a product. The next time we log on, there it is, in a sidebar on a website. It follows you throughout the Internet.
Google has figured out how to direct the right advertisements to the right people, leading to increasing revenue numbers.
This revenue revelation highlights the importance of using data to match products with people. Or, when it comes to hiring, matching people to jobs.
Companies are most effective, efficient, and profitable when they have the right people in the right roles. Just like Google uses keywords, search history, and other data points to target ads, businesses need to gather data on job candidates and employees to target their hiring efforts.
A good starting point is to implement a pre-employment assessment into the hiring process. Doing so will enable you to gather critical personality data, get a more accurate picture of your candidate, and determine whether that individual truly has the skills and potential to succeed in that particular role within your company.
Using a reliable, scientifically valid pre-employment assessment will bring additional objectivity and calibration into your current selection process. The insights and information you will gain about your candidates can be used and interpreted based on your current needs, whether hiring a new individual or considering a current employee to fill a key position. When people are in roles that play to their strengths and potential, they are much more likely to succeed and to remain engaged.
If Google’s earnings report showed us anything, it’s that targeting business practices will lead to a bullseye.