Guesstimate – revenue of Google AdSense

Following are Guesstimates by me on what might be the revenues of Google AdSense (TAM SAM SOM).

ParameterCalculationValueRemarks
World Population7 billionTotal world population
Population with access to Google2 billion people can’t access Google5 billionGoogle is banned in China and some dictatorship countries (North Korea, Syria, Cuba, Iran). Adsense got banned in Russia after the Ukraine war.
Educated people in the world80% of population4 billionEducation is close to 100 in developed countries and less in developing ones (Africa, Asia, etc.)
People with Internet access60% of educated population2.4 billionWe remove very small babies, elderly, and relatively poor.
Total Addressable Population2.4 billion people
Daily adsense views by kids (3-17)(20% of 2.4 billion) X 104.8 billion page views / dayKids have restricted access mostly and see ads via YouTube. We take 10 views / day.
Daily adsense views by adults (18-65)(50% of 2.4 billion) X 2530 billion page views / dayAdults see 25 web pages / YouTube videos a day. Google search in the office and YouTube at home.
Daily adsense views by elderly / retired(30% of 2.4 billion) X 4028.8 billion page views / dayElderly / retired have a lot of free time so they view 40 web pages / YouTube videos a day.
Total Daily Page Views63.6 billion page views / day
Daily Revenue from Ad Views((63.6 billion) / 1000) * 1$ 63.6 millionOn average, 1000 ad views pay 1 dollar. Some keywords pay more, some less. Cost is less in developing countries. We take an average of $1.
Daily Revenue from Ad Clicks((63.6 billion) / 100) * 1$ 636 millionOn average, if 100 people view ads then 1 of them clicks. We take an average of $1 charge per click.
Total Daily Revenue $ 699.6 million
Yearly Revenue from Ad Clicks(699.6 million) * 365$ 255.354 billion
Total Yearly Revenue of Google AdsenseAround $ 255 billion

(Header photo by Pixabay)

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