29 replies to this topic

[eWhisper]

Since this is only taking part on AdSense (content targeting sites) at present, it could be a way for Google to test banner vs text ads, different sizes, and formats to see what works well.

Google has a huge collection of information about the average ctr rate vs banner sizes through the AdSense program, why not add to their growing collection of data to either prove text ads work better than banners, or to just stock more data as they move more of their expenses into advertising mediums?

Now they can also add conversion data of text ads vs banner ads - which might also adjust the 'smart pricing' system they unveiled a few weeks ago.

I wish I had access to the data they have stored at the Gplex.

[BobetteKyle]

Since this is only taking part on AdSense (content targeting sites) at present, it could be a way for Google to test banner vs text ads, different sizes, and formats to see what works well.

Also, the Image Ads feature is still in beta, so it seems possible that they will revise the program. https://www.google.com/adsense/new

[LeftoverJoe]

I will admit my first thought on this is that Google is trying to squeeze a little more revenue out of their AdSense program. I think they are banking on reputation to pull this off more than anything, since it's already been done to death in the past, but not with one particular powerhouse like them. I think it could end up either way, but if I was an publisher I wouldn't want a banner on my site, but I wouldn't mind a text ad that made me money.

[projectphp]

I personally don't use AdSennse, but absolutely LOVE this new programmme. Think about it, a banner ad that you only pay for per click. That means all the branding benefit of Banners, with no CPM, only a CPC!!!!

As the ads will still be targetted based upon the content of a site - see https://adwords.goog...=7673&topic=102 and https://adwords.goog...=7672&topic=102 "because Google image ads are targeted specifically to a page's content...", that means that you can run banners and know that they will only appear next to relevant content. That is huge on sites with diverse content, most of which currently do a god aweful job of segmenting their verticals.

So, AFAI am concerned, Google isn't simply doing banners, they are doing banners properly.

As a very practical example, look at the ads on a favourite site of mine, rugby heaven: http://rugbyheaven.s...l?oneclick=true. Ruugby heaven is aprt of the Fairfax suite of newspaper site (like teh Sydney Morning Herald). Surely we can get better, more targetted ads for Rugby Heaven, and indeed for many SMH articles. If I had a petrol saving devie, I would kill for a banner on this SMH news article, and would probably pay quite handsomely for the priviledge.

If big newspapers in particular had this program, you could run targetted banners on specific content within the newspapers stable of stoies. And as I mentioned, all @ CPC prices, and probably an effectively lower CPM value. Awesome stuff!!!!

That is well good IMHO, and an example of Google making a tired format work, and most likely more profitable for all concerned. Kudos again for a great program with an inovative delivery method. AdSense is a great idea, but this sort of visula, interactive medium is an element in the marketing mix that no one else does well, and seems like a good fit for both Google and the market.

As all of these ads are targetted to content that you choose, and AdSense isn't going away or being replaced absolutely, I really fail to see the downside. If someone can find one, I am all ears!

Edited by projectphp, 14 May 2004 - 09:09 AM.

[projectphp]

I think they are banking on reputation to pull this off more than anything, since it's already been done to death in the past,

No no no no no! Banners as a "we have X space, on Y number of pages" has been done to death, absolutely. But how many sites / media sellers have done it 100% right? AdSense ads are pretty well targetted IMHO. But banners? What a story about petrol prices got to do with a bank account (the ad I got).

Now, if Google has good market penetration with this product, I hope to see an ad for petrol adatives on that news article.

Like I mentioned in my last post, I reckon there are mass publishing houses, specifically newspappers, that would benefit from this unbelievably. Many big companies still like banners (Branding is sexy and continues to sell), and targetted banners accross a multitude of pages on heavily trafficked, broad ranging content based sites seems a natural fit for this style of programme to me.

But hey, it might suck, I don't know. I just think a lot of the negativity is a bit premature. The bebeifts of this programme (No traffic, no pay, but you still get the Branding benefits) are great. Unfortunately it will take a great PPC guy (targetting the right words) along with a great creative team (the actual image, copy and ad) to make this work properly. Probably Buckley's of that happenning though.

[LeftoverJoe]

I just think a lot of the negativity is a bit premature. The bebeifts of this programme (No traffic, no pay, but you still get the Branding benefits) are great.

I wasn't really trying to be negative or discount the program, I was just mentioning my first impressions of it. I agree with you though about the benefits of this program to anyone heavy on brand identity. Especially because they are usually larger companies with good ad copy and graphics people. That's not always the case of course, but the recognizable brands from other ad media have those resources in spades.

Overall, the more I ponder this concept I think it will be something to try. Especially if, as I've heard lately, the targeting is more efficient. I guess that it could come down to the same thing as before:writing targeted ads and choosing good keywords...and also in this case, crafting catchy graphics.

[BobetteKyle]

As all of these ads are targetted to content that you choose, and AdSense isn't going away or being replaced absolutely, I really fail to see the downside. If someone can find one, I am all ears!

The program seems wonderful for the advertisers.

The downside could be for the publishers. Currently, AdSense publishers are paid on a per-click basis. If the program isn't priced efficiently, publishers would lose money by running image ads (vs. text only).

If image click throughs do indeed turn out to be lower than text click throughs, seems like at least one of two things would have to happen for this to be attractive to the AdSense publishers...

a. Revenue per click would have to be high enough to compensate for reduced click throughs.

or

b. Payment structure would have to change from ppc to pp impression for image ads.

Just my speculations.

[AussieWebmaster]

Seems like a step backwards to me.

Why would we want to go back to banners? Way to make people start ignoring ads again Google!

Which actually works out nicely for regular old SEOs like me!

Jill

Online spending is increasing across the board. Fortune 500 companies are rolling more heavily into the mix... even PPC advertising... but the banners are working... more realistically the new interactive and rich media has started to get attention and good results and thus prices are going up again... etc. etc...

[Jill]

more realistically the new interactive and rich media has started to get attention and good results and thus prices are going up again... etc. etc...

Until the surfers get blind to them again. Which they will.

Jill

[BobetteKyle]

more realistically the new interactive and rich media has started to get attention and good results and thus prices are going up again... etc. etc...

Until the surfers get blind to them again. Which they will.

Jill

Of course they will, but it's like that with most new marketing techniques. The novelty wears off and/or the technique gets too popular or abused (causing those on the receiving end to get overwhelmed), the target market screens it out, and effectiveness drops. I'd guess at that point prices would start going down for interactive/rich media, something new will come along, making it time to reevaluate the marketing plan, and so on.

Hey AussieWebmaster, do you happen to have any stats on effectiveness of audio in ads?

[goodman]

Seems like a step backwards to me.

Why would we want to go back to banners? Way to make people start ignoring ads again Google!

Which actually works out nicely for regular old SEOs like me!

Jill

Nope, it's a step forward because it gives publishers additional choices. Can I link to my blog on this at Traffick.com or do I have to repeat it all?

Anyway, lookit, I'm as fond as everyone else of the text ads. Google is too. But it isn't just shareholder pressure that compels this decision, but the fact that many advertisers (stupid as this may sound to you) are willing to hand publishers more money for graphical, emotion-triggering banners. This is all about giving publishers a choice. Why should Google dictate one single method of how ads are served on someone's site? There is still relevancy matching technology at work to some extent. Also, the existing relevancy matching does not work well for all publishers. Some would be better off with less-targeted ads (as Matt Bailey said of his own "hobby site" at the SEMPO dinner).

As for banners being dead, again, sure it would be self-serving for some of us to believe that, and I hate many of 'em. But what, 40% of Yahoo's ad revenue still comes from these? With 40% from search, and 20% from "other"? So banners are far from dead.

Publishers stay in business by giving advertisers what they want, even if advertisers are lining up to overpay for something stupid and ineffective. That's the way the media biz has worked for many years, and drives a lot of the decisions out there. Is Google immune from those pressures? No way. If they don't get into the banner biz, MSN and Yahoo will be happy to cozy up to banner buyers. They all have to fight over those dollars. Yes Virginia they are all in business to make a profit! This just in: Google is not running a charity!

Sincerely,

"Pay-per-click over there" (as Jill dubbed me on Tuesday)

[projectphp]

Some would be better off with less-targeted ads (as Matt Bailey said of his own "hobby site" at the SEMPO dinner).

Absolutely!!! If I sell a new product in an untried marketplace, simply getting my ads eyeballed is huge, and there may be no content that matches what I do.

Targetting demogrpahics rather than content, say, where I want to reach single mothers or $100K plus earners, is a different type of advertising. If all I want to do is reach high income earners, then content matching may not be for me.

Thing is, such advertising campaigns and oportunities abound. What there isn't is content based banners. Well, now we have them, and it is just another tool in a marketers toolbox.

[AussieWebmaster]

We have not broken the ads out to audio but the rich media interactives are doing much better than AdWords.

Even at the high cost sometimes they are better since our top 3 terms are trading between $10-15 on Google and Overture... then you have to convert.

Seems the popunders and floating rich media have a high click thru rate and an equally high conversion rate.

[Scottie]

You know, I will have to say I have banner ads on a forum that is highly targeted ( a niche industry) and the banner ads are for things the members want or need for their business and they convert like crazy.

I haven't tried text ads simply because it makes sense to show the product along with the offer. But they DO convert.

[projectphp]

But they DO convert.

The propoganda surrounding SEO / SEM often obscures the fact that other forms of marketing / advertising do and always have converted. Problem is, historically, it has just been @ a much lower rate than Search results. As with the keywords you target, so are not all banners made equal. With all things, the goal is just to measure and track, and take all the guesswork out of it.

With the rise in cost of PPC, the ROI goes down for Search, and other forms of advertising return as viable alternatives. particualrly in teh period in which a site is too new to rank, Banners, AdSense, PPC and a range of other initiatives are all effective means of buolding a business.