Google decision will lead to IT outsourcing boom

The decision by Google to stop giving commission to search engine optimisation IT management agencies in the UK may double the revenue of such firms in India, it has been claimed.

According to the Business Standard, the move - which will come into force from January 1st next year - is expected to increase the total market revenue of the search engine marketing (SEM) industry from its present value of £59 million to £118 million by 2009-10.

Viral Thakker, director of sourcing advisory services at business consultancy KPMG, told the news provider: "Google's move will push outsourcing and India will gain, as it has the cost advantage and availability of required skills."

The publication went on to say one-third of SEM revenue in India is contributed by domestic clients, with the remainder provided by international companies.

Last week, Direct Marketing International Magazine said businesses with an online presence should be aware that, because of advances in technology, there are a number of ways that they can make contact with their consumer base.