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Faq For Looksmart's Sponsored Listings
Posted 02 October 2003 - 01:39 PM
A few thoughts:
1. It looks like they're borrowing from Google by using a combination of Max bid and CTR to determine price & ranking.
2. They don't mention what the minimum bid is. I get the impression that it might vary by industry, but it isn't explained. It says on the LookListings page that, "LookListings will appear in Sponsored Results when they are relevant to a user's search query and if there are too few Sponsored Listings advertisers." Those listings have a $0.15 minimum so can I assume that, or something higher would be the minimum for Sponsored Results?
3. The results will not be syndicated onto MSN at this time, so it looks like the real 'benefit' will be the ability to pay a higher cost per click for more predictable (assuming you bid for #1) rankings on a handful of low search volume sites (or as LookSmart would put it, "premier search sites").
4. What's up with the "Related FAQs:" link between FAQs 4-5 on their site? It's a link to the very next line!
5. Unlike Overture and Google who allow you to adjust your ad rankings in real time, LookSmart's ads, "are re-ranked every 24 to 48 hours. On some distribution partners, rank changes can take up to 54 hours."
6. Your ads will be dropped if you don't maintain their minimum CTR, but apparently they've decided to keep that rate to themselves.
7. "Customers are required to maintain a minimum campaign budget of (i) $15 for every 30 Sponsored Listings or (ii) $750, whichever is smaller." What's up with that? I have close to 1000 terms in my Overture account. If I'm reading this correctly, if I loaded the same list of terms into LookSmart's system I'd have to charge my account with at least $500 before receiving a single click,and loan that $500 to LookSmart interest free for the duration of my campaign? Is that right?
It sounds like a work in progress.
Posted 16 October 2003 - 01:32 PM
Posted 16 October 2003 - 02:42 PM
thanks for sharing that costly piece of information. LookSmart's definitely in a tough position right now, but hopefully that won't lead to bastardization of their syndication relationships.
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