A blog on using the power of Disruptive Business Models to build successful businesses...and other stuff. by Joe Agliozzo

Monday, August 29, 2005

Pay 4X Per Click or Optimize Your Ad Copy

That's right, over the last few weeks, Google has implemented a minimum (that's right minimum) bid per click policy for AdWords (and AdSense as well).

Now if Google's algorithms determine that the ad you are running on a particular keyword is not generating enough revenue for Google, you have two choices:

1. Agree to a proposed minimum bid (which I have personally seen to be 4X or more the amount of the recent average CPC for keyword/ad combo).


2. Change (optimize) your ad copy.

Yes, that's right, you have the opportunity to avoid a potential 4X increase in your CPC cost if you create the right optimal ad.

It will be interesting to see if even Google (the 800lb Gorilla of all Gorillas) can make this stick, especially with MSN Search launching in a few months.

Thursday, August 04, 2005

More Detail on Longer AdWords Test

Google is apparently going to start allowing testing of text ads of up to 200 words in length in the next few weeks. The headline and display URL formats will remain the same. Google will alternate the new format ads automatically with the original ads and compare them to see which ad performs better. CPC charges will be the same, and during the test period, the longer format ads will not be used for calculating Quality Scores during the test period. More info at Search Engine Journal (including link to original report).

Big Changes coming to Search Engine Marketing

Some big changes that were long rumored being reported this week:

1. Google is testing longer format text ads

2. AskJeeves will sell ads directly to advertisers, rather than being solely a syndicator for Google.

3. MSN is in late stage testing on their own version of AdWords.

These changes are great for advertisers. There will be more opportunities to find the best messaging with longer text ads on Google; more chances to precisely target your ads by buying direct on AskJeeves if that works for you, and obviously more opportunities to do the same on MSN by buying directly from MSN. The fact that MSN is going to mimic Google's auction system also probably means a more competitive market for keywords as well.

Great summary at Search Engine Journal