Over the next 12 months Google will finish a product roll out that will define the company for the next decade. With advertising being a $60 billion dollar business in the USA alone and Google making up 50% of that revenue. Any change Google makes to their AdWords has a profound effect on their future growth.
The two products rollouts are Expanded Text Ads and a major overhaul of their AdWords platform interface. I won’t go into detail on each change as you can follow the links above. Over ten years I’ve seen many changes with AdWords (and even Google Analytics). However, these two changes are a dramatic shift in how Google does business and a North star for the company to be more mobile focused.
If Google makes even a small misstep then that has an impact on their revenue and the moonshot projects they invest in. We are already starting to see early results roll in that Expanded Text Ads are underperforming compared to old AdWords ads. If Google can’t get this under control in the next 3 months then I don’t know if 2017 will be a brighter year for AdWords.