3 Surprising Uses for Google Trends
Google Trends is recognized as a powerful tool used in digital marketing. It allows business to see what consumers are searching for and analyze trends based on the volume of this search data. This information can help businesses make a variety of decisions ranging from choosing advertising message to deciding where to enter new markets. Click here to learn more about how business utilize Google Trend metrics. While Google Trends is being utilized for marketing purposes by many large corporations and small firms alike, other players have begun exploring the practicality of Google Trends for some surprising uses.
1. Predicting the Stock Market
Financial researchers and analysts believe Google Trends can be utilized to predict stock market crashes and fluctuations. According to this study, large falls are historically proceeded by increased search for financial terms such as “stock market” or “debt.” Experts believe this could be because people begin to search when they have uncertainty about the market or are considering leaving the market.
Financial experts are also exploring how Google Trend searches can be linked to the movement of individual stocks. According to Forbes, Google data doesn’t seem to be able to predict weekly changes in stock prices but is strongly correlated with trade volume. Increased search for a particular company proceeded increased trading of that company’s stock. Some advanced traders are utilizing this information within trading algorithms.
Google Trends has also begun being used for epidemiology, or the study of incidence of disease or other health related trends. The idea is that when people become ill, they often search terms related to their health concern.
One of the most well-known attempts at utilizing Google Trends for epidemiology is Google Flu Trends which attempted to forecast flu prevalence across the United States and in each individual region by using search information. Google hoped this would be able to provide more up to date information than other reporting sources, such as the Center of Disease Control (CDC). Overall, Google Flu Trends was regarded as a failure due to their predications being significantly off. However, Google still believes this is an area of opportunity that can be refined and improved upon. Currently, they are reporting their data to the CDC and working to improve their methodology. Click here for more information.
Another study showed more promising results in using Google Trends to study Lyme disease. Predictability may differ based on the type of disease and the prevalence of discussing the disease on social media. While methodology for utilizing Google Trends to predict health concerns still needs improvement, it is an exciting use for Google Trends. Google and the CDC working together may have many positive results for citizens.
3. Predicting Election Results
In the wake of the 2016 election, many people are questioning how election results can best be predicted. While traditional forecasts are generally correct, this election caused concerns over methodology. It turns out, Google Trends could be utilized to predict election results by developing more advanced algorithms and increasing understanding of the elections top issues.
Predicting election results using Google Trends is a relatively new concept, but may gain traction in the political sphere. A study analyzed the results of several election results in Greece and compared them with the Google Trend data that proceeded the election. There is debate on whether accurate models can be developed using this data, but it is an exciting area for exploration. This predictive methodology would be especially helpful for referendum cases where results are highly uncertain.
In the 2016 election, experts say Google Trends could predict the rise of Donald Trump. Using search data, pollsters could see the top issues on voters’ minds and poll relating specifically to this issue. In this study, Google Trends showed high search rates for immigration, which was a topic pollsters were not putting a lot of weight on. This political analyst believes search data presents a better way to understand the topics Americans are interested in which can be utilized for more accurate polling and predictions.