1. AZERBAIJAN
Population: 8.4 million
Total internet users: 408,000
Penetration rate (weekly users): 7.9%
Global ranking: 87
Search Engine Leader: Google
Web Site Visit Leader: Yahoo
BACKGROUND
Trends in Internet Use
Dial-up access has been available since 1991, but only in the past 5 years has Internet use
grown rapidly, thanks to falling prices. However, broadband access continues to be
extremely rare. The vast majority of Internet users still rely on dial-up access, even at
Internet cafes, which are spreading rapidly.
The main factor holding the market back is the poor condition of the country’s telephone
network, especially in rural areas, which means that most Internet activity is still heavily
concentrated in urban areas, primarily in Baku. In addition, all ISP provides are required to
register with the Ministry of Communications, which is heavily involved in managing the
country’s entry into the telecom market and is beginning to compete with foreign Internet
providers.
Demographics of Usage
Internet users in Azerbaijan tend to be young, urban and college-educated. Half of weekly
users have an incomplete or complete higher degree and 55 percent are between 15 and 24.
Seven out of 10 regular (i.e. weekly) internet users live in Baku.
Effect of Language
Language has a major impact on Internet usage in Azerbaijan. Nearly two-thirds (63.3%) of
regular internet users speak Russian fluently compared to just 6.3% who speak English
fluently. Although Azeri-language Web sites exist, and are popular, they are few in number
and their quality is often inferior. Overall, eighty-one percent (81%) of regular users report
accessing Russian-language material on the web, compared to 55% who access Azeri-
language material and just 21% who access English-language material.
The low rate of English fluency has placed pressure on Google and Yahoo to develop search
engines in for Russian- and Azeri-speakers. Google has responded by establishing two new
sites in addition to Google.com, Google.ru and Google.az. Yahoo still relies exclusively on it
English-language site.

2. GOOGLE vs. YAHOO
Search Engine Usage Rates
Table 1 presents data on the search engines used most often by frequent (weekly) Internet
users in Azerbaijan. As indicated, Google’s effort to reach out to the Russian- and Azeri-
speaking market has paid major dividends. Google’s combined search engines have a
popularity rating of 54.4%, nearly three times the level of Yahoo (20.1%) and considerably
higher than the two Russian-language sites (each at 42.4%).
TABLE 1: What search engines would you say you use the most often?
Google (.az, .com, .ru) www.rambler.ru www.mail.ru www.yahoo.com www.yandex.ru
100.0% 54.4% 42.4% 42.4% 20.9% 13.9%
Qualitative research indicates that Google’s popularity is due mostly to its google.az site,
which is geared to scholars and intellectuals and offers users the ability to search in both
Azeri and Russian. A typical comment about google.az is as follows:
Being a student, I can say that the website www.google.az helps me very much to get
prepared to exams – here I can find a source material required for essays, term
papers, or articles to be contributed to wall newspaper, etc. It is particularly good that
the search system operates in both the Azeri and Russian languages. [Female, 2,
student, Radio Azerbaijan]
Thirty-one percent (31%) of regular internet users report that google.az is one of their top
three search engines, compared to 29.1% who list google.com. Thus, if the Google
comparison with Yahoo were limited to their respective English-language sites, Google would
still lead Yahoo by a significant margin (29.1% to 20.9%)
User Comparisons
Table 2 presents data on the background of Yahoo and Google search engine users. The
profile of the average Google user is generally much closer to the profile of the average
Internet user. Yahoo searchers are more likely to be younger, male, rural-based, and without
access to hi-speed Internet connections. Google users have higher education and incomes,
and about half are 25 or older, compared to about a third of Yahoo users.
Both groups are more likely than the average Internet user to send or receive email.
However, Google users are more likely to search for the latest news or for information on a
specific topic, while Yahoo users are more likely to seek out games and entertainment.

3. TABLE 2: Characteristics of Google and Yahoo Search Engine Users
Internet
Users
Google Yahoo
Percent of regular users
54.4% 20.9%
Sex
Male 58% 57% 64%
Female 42% 43% 36%
Age
15-24 55% 50% 64%
25-44 36% 41% 30%
45+ 9% 9% 6%
Urban/Rural
Urban 92% 93% 85%
Rural 8% 7% 15%
Education
Not higher 76% 72% 82%
Higher 24% 28% 18%
Access
Low speed 64% 70% 76%
High speed 19% 15% 6%
Other/don’t’ know 17% 15% 18%
Use of internet
Send or receive email 81% 90% 88%
Entertainment 51% 51% 64%
Find out latest news 54% 58% 42%
To learn about specific topics 68% 77% 61%
Income
Low 6% 5% 4%
Med 15% 11% 21%
High 79% 84% 75%
Comparative Web Site Reach
Table 3 compares the overall weekly and monthly access rates and the demographic
characteristics of Internet users who access the Yahoo and Google web sites.
As indicated, a slightly higher percentage of Internet users prefers the Yahoo site to the
Google site. For example, 49% of users accessed Yahoo in the past month compared to
42% who accessed Google.
User Comparisons
Unlike preferred Yahoo and Google search engine users, Google and Yahoo web site
visitors have fairly similar backgrounds and user profiles. As Indicated in Table 3, the main
difference is that Google site users are nearly two-thirds men, compared to just over half of
Yahoo site visitors. This reverses the trend for search engine users, where Google searches tended
to be more female oriented.

4. TABLE 3: Characteristics of Google and Yahoo Web Site Visitors (Past Week)
Internet
Users
Google Yahoo
Percent of regular users
35.4% 37.3%
Sex
Male 58% 66% 54%
Female 42% 34% 46%
Age
15-24 55% 52% 54%
25-44 36% 34% 32%
45+ 9% 14% 14%
Urban/Rural
Urban 92% 96% 92%
Rural 8% 4% 8%
Education
Not higher 76% 68% 68%
Higher 24% 32% 32%
Access
Low speed 64% 73% 69%
High speed 19% 14% 14%
Other/don’t’ know 17% 13% 17%
Use of internet
Send or receive email 81% 86% 88%
Entertainment 51% 61% 68%
Find out latest news 54% 64% 59%
To learn about specific topics 68% 75% 66%
Income
Low 6% 5% 7%
Med 15% 15% 16%
High 79% 81% 78%
Future Market Trends
Regular internet users in Azerbaijan are anxious to see more Azeri-language material
on the web. As the amount of Azeri-language material available increases, the
google.az Azeri-language search engine is likely to remain an edge for Google,
especially since domestic Azeri-language search engines are weak.
Preparer: Stewart J. Lawrence