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Google Generates $55.6M in Economic Activity in South Dakota

KELO notes Google's claim that the search giant helped generate $55.6 million in economic activity in South Dakota in 2013. According to Google's nationwide economic report, that's the third-lowest amount of Googly economic activity, behind only Alaska and North Dakota.

A low raw-dollar figure is to be expected, since we have the fifth-lowest state population. But compare the per-capita economic impact Google has in our region:

Google EconActiv (millions) Biz/Orgs using Google Ads population (2013) Google EconActiv per capita
SD $55.6 2,300 844,877 $65.81
MN $1,900.0 24,000 5,420,380 $350.53
IA $147.0 8,900 3,090,416 $47.57
ND $52.7 1,600 723,393 $72.85
MT $64.0 4,000 1,015,165 $63.04
NE $1,400.0 6,000 1,868,516 $749.26
WY $70.2 1,800 582,658 $120.48

Google stirred up $65.81 in economic activity per South Dakotan in 2013. Google thus rang the relative till harder here than in Iowa or Montana. But in Wyoming, Google generated almost twice as much business per person. In Minnesota, there was over five times as much Google economic juice per person, and in Nebraska, over eleven times.

The national per-capita figure for Google economic activity was $353.65. Here's a list of all states (plus DC) with population and Google economic impact per capita:

Rank State population (2013) Google Econ/Activ Google Econ/Activ per capita
1 District of Columbia 646,449 882 $1,392.43
2 New York 19,651,127 18300 $934.81
3 Massachusetts 6,692,824 5800 $872.80
4 Vermont 626,630 522 $833.93
5 Nebraska 1,868,516 1400 $754.57
6 California 38,332,521 25400 $668.42
7 Illinois 12,882,135 8100 $629.46
8 Utah 2,900,872 1760 $616.49
9 Washington 6,971,406 4200 $609.11
10 Nevada 2,790,136 1280 $464.72
11 Connecticut 3,596,080 1520 $423.19
12 Minnesota 5,420,380 1900 $353.18
13 Colorado 5,268,367 1800 $346.86
14 Florida 19,552,860 6500 $336.43
15 Arizona 6,626,624 2100 $320.55
16 Delaware 925,749 283 $308.60
17 New Jersey 8,899,339 2200 $248.09
18 Georgia 9,992,167 2400 $242.04
19 Pennsylvania 12,773,801 2800 $219.36
20 Maine 1,328,302 286 $215.28
21 Texas 26,448,193 5600 $214.88
22 Kansas 2,893,957 611 $211.76
23 Virginia 8,260,405 1700 $207.66
24 Maryland 5,928,814 1200 $203.91
25 Oregon 3,930,065 780 $200.01
26 Missouri 6,044,171 1200 $199.19
27 Michigan 9,895,622 1700 $172.02
28 Rhode Island 1,051,511 173 $164.71
29 New Hampshire 1,323,459 206 $155.87
30 Ohio 11,570,808 1800 $155.80
31 Wisconsin 5,742,713 862 $150.58
32 South Carolina 4,774,839 650 $137.61
33 Tennessee 6,495,978 815 $126.26
34 Wyoming 582,658 70.2 $121.74
35 Indiana 6,570,902 762 $116.55
36 North Carolina 9,848,060 1100 $112.84
37 Idaho 1,612,136 164 $102.78
38 West Virginia 1,854,304 174 $93.72
39 North Dakota 723,393 52.7 $75.14
40 Arkansas 2,959,373 201 $68.14
41 South Dakota 844,877 55.6 $66.66
42 Montana 1,015,165 64 $63.65
43 Hawaii 1,404,054 82.3 $59.20
44 Kentucky 4,395,295 255 $58.22
45 Oklahoma 3,850,568 199 $52.15
46 Iowa 3,090,416 147 $47.80
47 Alabama 4,833,722 203 $42.14
48 Alaska 735,132 27.3 $37.38
49 Louisiana 4,625,470 170 $36.94
50 New Mexico 2,085,287 75.5 $36.24
51 Mississippi 2,991,207 60.2 $20.16

Notice that the top ten are an interesting mix of urban centers and rural places, while the bottom ten have are more uniformly large, rural states. If we take Google economic impact as a sign of overall online economic activity, these data suggest that rural states can exploit online tools (not just search, but online ads, YouTube, and analytics) to generate revenue as effectively as urban places like New York and Massachusetts.

These numbers may also suggest something about interstate trade. It is possible that the states with lower Google economic impact per capita have more insular markets, with more businesses relying on local sales and word of mouth. I am really curious, though, what difference has Nebraskans spending so much more time and money on Google tools than we South Dakotans next door.

14 Comments

  1. Ruth 2014.07.18

    Just a note about google - I have had from 5 to 10 calls a week from google saying that to have a successful business listing we should put our business on line with them. I have pressed please do not contact me on their messages many times but still the calls come. The calls are always from a different number and this has gone on form months. I would imagine some people just give up and give them the information to stop the calls. The time of day doesn't matter either - anytime is their time to call.

  2. mike from iowa 2014.07.18

    Whoopee! We almost made the bottom in something. Mississippi has got to go. They hog the bottom limelight in virtually every category.

  3. caheidelberger Post author | 2014.07.18

    Google makes phone calls? Incredible!

  4. caheidelberger Post author | 2014.07.18

    Actually, that makes me wonder: are those calls really from Google, or from someone pretending to be Google? I'd think Google would be better at managing a do-not-call list. But maybe they are working their way down the table above, targeting businesses in states with relatively low per-capita Google economic impact.

  5. Douglas Wiken 2014.07.18

    Google may be blowing a bit of smoke on this. Anybody else noticing that almost no matter what the search term, what you are actually looking for is submerged in dozens of ads?

  6. Ruth 2014.07.18

    Oh yes they make calls but like I said a different number each time. I have had about 5 this week alone. Always a different person and it asks me if I want to discontinue them asking me and I press the #2 for that option but it hasn't worked yet. I wonder how many others do get these calls.

  7. Jerry 2014.07.18

    While all of this free flow of money is just peachy, it does make me wonder why it is not considerably higher. The work that has gone in to make this rosy picture even rosier, looks like it may have been done by a Karl Rove polling company. I saw this about BRICS Bank and how much power they will be able to put forth for countries that the United States more or less shun now regarding trade. The article also notes that we Americans are making less than we did 40 years ago while our production levels have raised 100%. This is the status quo that shows our complete disregard for loosing our asses. Anyone remember 40 years ago? Here is this, you could purchase a brand new car for around $2,100.00 right off the show room floor. Gas was about $.25 per gallon to fill the cool jalopy up and get it ready to go to the dance. As long as we continue to put republicans into government, we will be in for a long difficult ride on this merry go round. Here is a real smart feller by the name of Joseph Stiglitz: http://www.democracynow.org/2014/7/17/nobel_economist_joseph_stiglitz_hails_new

  8. lesliengland 2014.07.18

    member when NE gov/ Omaha mayor said-come to omaha, we'll give you a job. big ole middle class buying power.

  9. Jerry 2014.07.18

    Indeed, Omaha is kind of like Sioux City without Tyson. I went there as a kid to the sales ring there. Man, that was incredible, pen after pen of live cattle with a huge building in the midst where the business took place. I really don't know what Omaha is anymore other than insurance, maybe that is what he was talking about. Come to Omaha and work with Marlin Perkins.

  10. lesliengland 2014.07.18

    google (2008) says USAFB largest omaha employer at 10,500, next is alegent health at 7,500 and THIRD is Omaha Public Schools at 7,000.

  11. lesliengland 2014.07.19

    i particularly like the five block-long monumental downtown sculpture "nebraska wilderness-pioneer courage" in omaha. stunning.

  12. lesliengland 2014.07.19

    great stiglitz citation. he says our economy and TTP present "fundamentally immoral" choices, consequences, corporate favors. gravitas and columbia university prof. despite the kochs.

  13. JeniW 2014.07.19

    Ruth, I have receive those useless calls as well, and you are correct, the "press 2" is meaningless.

    I have caller ID, any number, or name that I do not know, I do not answer. I think that is about all we can do.

    The most useless calls are those from Citizens United/David Blossie. I still wonder why a conservative organization wastes its money by repeatedly dialing my number. I am amazed that they are so stupid that they cannot figure out that I am never going to answer.

Comments are closed.