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Google Panda Causes Job Losses?

If you didn’t know, just a few days ago, Google updated Panda again, and quite a few more sites dropped off the radar. This change however perhaps is one of the biggest changes since the original panda update. Tons of complaints have been logged all over the blogosphere with people calling Matt Cutts, the head of all search, nothing less than the devil.

According to reports, companies like Consumeraffairs, prnewswire, entrepenuer.com and even Technorati have been experiencing huge hits.

What is most interesting however is that according to a poll taken by Barry Schwartz at Search Engine Roundtable, almost 10% of the industry asked claimed to have actually lost a job because of the Google Panda update. Some 6.8% claimed  that they laid off people since the update. Even more interesting is that 25% of the industry said they were afraid they’d lose their job since the update.

Does this mean that Panda is evil, or perhaps that a great deal of the industry was doing blackhat SEO and just was caught?

About Pace Lattin

Pace Lattin is one of the top experts in interactive advertising, affiliate marketing. Pace Lattin is known for his dedication to ethics in marketing, and focus on compliance and fraud in the industry, and has written numerous articles for publications from MediaPost, ClickZ, ADOTAS and his own blogs.

9 comments

  1. Personally, i think the update is just to improve the search engine results. It’s intended to give accurate and valuable information to searchers and not to laid off people from their jobs.

  2. It’s an unintended consequence, but with the US economy so badly hurting, I question if it’s the right time to be deploying such sweeping updates.

  3. Iain G. McLean

    Companies spending money on marketing and advertising, want to be assured of results.
    The SEO companies were able to give this assurance because they knew how the system worked.
    With Panda, all the “experts” no longer knew what was working. The companies buying their services saw their rankings drop. This will lead them to spend more of their money on other sources of marketing.
    This money will probably come back when the SEO companies can give assurances that they know how the system is now working.

  4. These companies might be trying to use the Panda update as an excuse. Everyone is feeling the effects of the economy and layoffs happen. I have more sympathy for those small marketers that had their sites whacked and are really feeling the effects.

  5. Hi,
    I think it is scary Google has so much power. Just by making changes, they can ruin people’s lives. Maybe they should give some notice that if your website is not heavy on quality content, then it is going to get zapped. At least people could adapt or get zapped. I guess we know now not to put all our eggs in one basket. Build a list and then you have an asset Google can’t destroy.
    Thanks,
    Jim

  6. There are plenty of companies that reply on Google to get traffic to their websites. Perhaps they should roll these changes out slowly instead of drastic cuts across the board. Either way we manage to stay afloat and adapt to change by evolving our SEO strategies and integrating them more into the socialsphere.

  7. I think it would be much better if Google would just give you the reasons panda penalized your site. It would give you a chance to at least fix the things panda does not like. When your the only game in town I guess you can change the rules as you please.

  8. It is a good update particularly to hit the site with crapy content. But it seems to be agony when the giant site like Technorati, prnewswire etc get hit by this update.

  9. And last quarter Google had record profits. Its just a business and they plan to convert more seo “free” traffic to paid traffic. Their revenue will increase as your’s decrease. By using Adsense and Analytics they have a complete picture of what pays most. They’ve gone after the top paying content and now they are working they way down the food chain.

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