Google test new ad model   no comments

Posted at 2:36 pm in blog

googleaffiliatenetworkIt seems Google are testing (on a relatively small scale) a new ad model
Wall St Journal article.
Google Product Ads looks like it’s going to appear on a low number of results during beta, and will feature both image and price information. The interesting part is that rather than CPC (cost per click), it will be an advertiser defined CPA (cost per acquisition), where advertisers set the commission rate paid on successful conversions.

One can only assume that this is a direct response to Microsoft’s new search engine Bing, which is actively pursuing online shoppers, with a similar model already. There’s no keywording option on the Google’s new ads, they will categorise them based on the feed supplied to Google Base – will this put some advertisers off ? Who knows ?
It’s all part of Google Affiliate Network, which was created when Google bought Doubleclick for $3.1 billion (which included Performics) – a deal which was finalised in March 2008.

Written by dgoodchild on June 22nd, 2009

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