Overstock.com Marketing Expenses Sour $40M After Google Algorithm Changes
NEW YORK – It sort of makes you cringe just hearing the title. According to BuzzFeed.com, the retailing giant Overstock told investors during an earnings call that the company has experienced serious difficulties with a Google Algorithm update it was hit with last year, calling it “very disruptive” to its business; the SEO Community called it “Fred“.
Overstock CEO Patrick Byrne said that sales and marketing expenses grew 105% to $77.2 million this quarter from $37.6 million in the same time last year; horrific.
It is taking us longer to analyze and to seek to adapt to the 2017 algorithm adjustments than it took us to respond to Google’s changes in previous years,” the company said in its earnings report released Tuesday. “We have reorganized a large number of resources around addressing this challenge, as well as seeking to prevent it from occurring again.”
REF: http://investors.overstock.com/phoenix.zhtml?c=131091&p=irol-newsArticle&ID=2347830
John Colascione is Chief Executive Officer of SEARCHEN NETWORKS®, a digital marketing and technology company founded in 2001. An entrepreneur, author, and digital publisher with more than 25 years of experience, he specializes in search engine marketing, Website Monetization, domain names, and online business development. He is the author of Mastering Your Website and publishes commentary on technology, digital marketing, and the evolving Internet economy. Read more at JohnColascione.com.
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