Many businesses across the UK use Google services to enter the marketplace, connect to new customers and grow their business and operate efficiently.
Deloitte published a study, commission by Google, evaluating the economic activity generated by businesses, content creators and developers in the United Kingdom that use Google services. The study looked beyond the direct economic impact of Google’s operations and instead took a broader approach, considering how these entities use Google services -- such as Google Search and AdWords, AdSense, YouTube and Android -- to contribute to economic activity in the country.
Deloitte’s study finds that many small businesses raise awareness of their brand, product or service through online advertising. This helps to level the playing field with larger businesses, giving smaller enterprises the tools to reach international audiences at a low cost. The study estimates that British businesses using Google Search and Adwords generated between £11 and £28 billion in economic activity in 2014 as a result of their ad spend, and this activity supported an estimated 210,000 to 530,000 jobs across all sectors of the British economy.
Content creators saw similar benefits using YouTube, which allowed them to reach a large global audience and build their brand with minimal costs and barriers to entry. YouTube content creators generated an economic impact between £55 and £105 million in 2014 and supported 1,000 to 2,000 jobs. Online content creators such as web publishers, who were able to monetize their content through Google AdSense agreements, also benefitted -- this sector generated between £243 and £545 million in economic impact in the UK in 2014 and supported between 5,000 and 10,000 jobs.
The development of consumer and business smartphone apps has become an increasingly important part of the smartphone ecosystem and the UK’s wider economy. It is estimated that 439,000 jobs are directly associated with Android app development across Europe and Android, Google’s open source operating system, has been a key driver of competition in the smartphone market that has made these phones more affordable and accessible for all consumers. In the UK, Deloitte finds that the UK has approximately 8,000 companies directly involved in app development and approximately 380,000 jobs centered on the app economy.