Google’s ad business is taking a major hit with a slew of new deals announced Monday that bring advertisers closer to the real estate market.
The new deals aim to boost the ad industry by adding local partners to Google’s growing advertising network, the new deals, which are being released as Google launches its 2017 fiscal year, said in a blog post.
The deals are expected to help the company reach more people in the real-estate market and improve the quality of its search results, Google said.
“These deals will give advertisers more visibility into their targeted audiences, increase the visibility of local properties, and increase their ability to reach people who are most likely to be interested in what’s on Google’s site,” Google said in its blog post, noting the deals will be announced on July 15.
The company is also adding two new ad formats to its search advertising business, including ad units for the Google AdWords advertising network and Google Ads for Local, which it said will allow advertisers to reach their audience from locations they currently cannot reach.
The new deals come at a time when Google is also working to expand its ad network into areas that it believes have not yet been served, including online ads, mobile ad targeting and local search advertising.
Google’s ad sales are growing faster than its revenue, and Google’s growth rate has been growing since its IPO in 2006.
Last year, the company earned $1.07 billion in revenues, or about $1 per share, which is nearly double what it earned in 2010.
Last quarter, Google reported that its ad sales grew at a faster rate than revenue, at 7.4% compared with 6.6% in 2010, according to FactSet.
Google’s revenue is up nearly 50% year-over-year in the fourth quarter.
Google ad sales have been growing fast in recent years, and analysts expect the company will continue to make rapid gains this year, even if the ad business continues to struggle.
Google AdSense, which lets companies sell ads to users in search results for free, grew 10% in 2016 to $2.7 billion.
The next-highest revenue source in Google’s AdSense business, which generates about one-fifth of its revenue from ad sales, is Google Ads.