Display ads just as effective as search, says Google...
Google is looking to expand their profits through Display Advertising. First they announced it was going to stop paying commission for Display and Video-ads. Next they introduced interesed based advertising to display and now they claim "display, video and text ads on its "content" network are just as effective as search."
Google did a study in 2008 in the US which shows that ads in its content network was more cost-effective for advertisers than search. The study was conducted by following 25.000 advertisers. They were good for 70 million click-through conversions.
According to Google most clicks still came from search, but over 51% was said to have gotten better results from the content network.
"The perception has been that ad networks in particular don't perform as well as search campaigns," said Lexi Reese, director of Google's content network. "But this shows people looking for performance right now benefited when they extend their search campaign into the ad-network space."
Does this mean we now have to start looking differently at advertising and display advertising in particular? No, not yet at least. The research done by Google isn't to credible on all parts. For example the advertisers included are already both AdSense and content network clients. And Google clearly wants us to move to the content network. Still, it's an area in which we should be keeping our eyes opened.
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