The power of Google

January 14, 2008

Google’s power and influence in the online world has been demonstrated again today with the news that IncrediMail has had it’s Adsense deal with Google stopped abruptly.

IncrediMail received a large amount of its revenue from displaying Adsense adverts to its users. Now this has suddenly stopped and IncrediMail is feeling the ramifications reflected in its share price which dropped 40%.

No real news as to why the deal has ended but the Adsense account that was used has been suspended so it’s looking like it could be less than amicable.

This really shows the power Google holds over many websites that are considered to have good revenue streams. Switch off the major source of that revenue and what is left for them to survive on. Perhaps some of these websites find they are making so much off Adsense that they neglect other revenue sources and leave their eggs in the one basket.

The perennial rumour of Microsofts impending acquisition of Yahoo has resurfaced in an article in the NY Post today. I last posted on this in September. See the last line of this NY Post article for the hint supposedly from an insider at MS, apparently the deal is still being debated at Microsoft.

I’m actually less unconvinced than I was about this rumour now. Microsoft are still failing to build the traction around their MSN portal and get significantly less browse traffic than Yahoo and have significantly less advertising real estate available to them. They are also lagging behind in search (although that could change soon). Yahoo would still be a great buy for them, and instantly propel them up the charts in terms of eyeballs and ad clicks.

This just in…

After my post earlier today about the murmurs that Google would get DoubleClick approval I can now inform you that it’s happened!

That was quick! The FTC voted 4-1 in favour of the deal and concluded that the deal would not substantially lessen competition.

Well done Google! Look forward to seeing the first development come out of this partnership!

Google to get DoubleClick??

December 20, 2007

Bloomberg are reporting that Google may well get what it wants and secure the DoubleClick acquisition it’s been looking for.

About time too! It’s been going on for far too long now, it makes sense to just get it over with, there are far bigger threats to our online privacy than this merger. Every other major player has managed to buy an advertising network this year, so why not Google too?

This is coming too late for some though. Viacom have just signed a deal to move over to Microsoft, away from DoubleClick. Perhaps they would have stayed if Google had the reigns?

Techrunch carried a post the other day highlighting the way publishers have little control over what adverts Google Adsense puts on their websites, using an example of the U.S. baseball/steroid drama. It’s always been a bit of an issue for publishers that they could end up carrying advertising that isn’t really suitable for their content, and as usual Google have an answer.

Google’s just announced the Ad Review Center. This allows publishers to review the ads targeted for your site and lets them ensure they get suitable content related adverts. This should help publishers increase their revenue from Adsense as any adverts that are totally unrelated to their content are more likely to get clicks. Feedback from the publishers will make its way back to the advertisers as well, thus allowing advertisers to target ads better and get hopefully more qualified referrals.

The NY Times technology blog surmises that this could reduce Googles revenue but I highly doubt that as this could encourage wider take up of Adsense by those who’ve found it poorly targeted in the past.

It’s another added value tool from Google that makes Adsense still the most viable ad serving solution for small publishers everywhere.

So, after attending a widgets conference I’m now gripped by all things widgety and waiting to see the latest developments in this area of the web marketplace. I didn’t have long to wait…

Clearspring have just announced the launch of a widget ad network called (wait for it) WidgetAd Network. They’ve been serving adverts as widgets for a while but are now offering a network to widen the distribution possibilities.

It’s the next in a line of widget ad announcements. Advertising.com launched WIDGNET as a network to serve widget ads last week.

My concern would be if widgets end up being seen as the new MPU. They have so much more potential than that, I’ve got a list of applications I want to embed in a widget for my employers benefit, and all will show a decent ROI. Brands need to think differently.

A widget is not just a display point (like a traditional banner)! It is an interaction point, an engagement point, an application container and a way to automagically seed your websites functionality onto other websites quickly and easily. And all this is down to the user to say, yes please I’d like to grab your widget and embed it in my page/site. It’s direct response with user permissions thrown in for good measure, you can’t get much better than that.

So please, don’t just embed a flash banner in a widget and think that you can get away with it. You could seriously damage the potential of widgets and give users the wrong impression.

Keep them smart, keep them engaging, keep them useful and you’ll see real ROI and drive the kind of brand loyalty and qualified visitors that we are all looking for from these networks.

Just in case you haven’t covered all the bases here’s an excellent reference for all you online marketers! It’s in the form of a mind map as well, so really useful!

Facebook tracking everyone!

December 4, 2007

Even if you’re not a member…

Beacon is raising privacy concerns left right and centre! It’s becoming a bit of a thorn in the side of Facebook and could help increase the backlash that they will face through their continued advertisation (is that a word? Maybe it should be!). There are already reports of some advertisers pulling out of using the system, worries about how Beacon tracks users without them opting in and now it seems they may be receiving data on anyone whether a member of Facebook or not.

PC World is carrying a story about the results of investigations into the Beacon system by some security researchers. They’ve found that even if you don’t have a Facebook account or your account is deactivated you will still be tracked on any Beacon third-party sites and your data sent back to Facebook. Quite what happens to that data we don’t know, but one would imagine that it sits on their servers hoping you will sign up so they can identify your cookie and serve ads to you.

It’s all getting a bit big brother. Facebook appear to have monetisation as their mantra now, where as they started off being useful they are gradually becoming surplus to requirements!

A report has been released by Anderson Analytics as the results of a survey of the Marketing Executives Networking Group (a 1,700 strong network of marketers at VP level or higher). The survey asked what marketing concepts these executives thought were going to be the top trends and concepts in 2008.

Worryingly, when asked which marketing concepts they felt were going to be most important the second highest answer turned out to be SEO!

Now, I don’t know whether marketers are unsure what search engine optimisation is or perhaps this was a particularly ‘offline’ group of marketers, but SEO is already hugely important and in my eyes if you haven’t grasped that yet then it’s a bit late. Saying that it will be the second most important concept next year is amazing to me. It’s been part of my life for 12 years and is really just part of the routine I go through for any digital project.

Here’s the rest of the list:
If you had to ask me what some of the concepts I thought were important for next year were (in digital), I’d say:

  • Offline/online translation (getting your offline campaigns translated in a seamless manner onto digital media, something that really isn’t being done very well at the moment)
  • Viral (campaigns should always be thought of as viral if they touch the web)
  • Widgets (cross pollination of marketing campaigns online using widgets)
  • Social media (yes, it’s huge this year, but next year should see it mature and the launch of OpenSocial will make it more important than ever)
  • Banners (controversial one this but we are now at a stage where banners should become more like widgets and really start to become properly engaging, whether this will happen I’m not sure as most agencies who design banners aren’t particularly forward thinking)

Underpinning all of those, and every other online marketing concept, should be SEO.

What do you think the key concepts of 2008 will be?

Reuters reports that the EU is planning to look into targeted web advertising with increased scrutiny. They’re concerned about the increasing risk to privacy and protection of data that some of the new advertising developments bring with them. The Article 29 working party will be looking into the issues, that’s the same working party who got Google to limit the amount of time it stores web searches to 18 months.

This potentially doesn’t bode very well for companies like Facebook. Their new beacon advertising system is getting enough scrutiny from users, the last thing they need is someone official looking into it too. This also doesn’t bode too well for the Google-DoubleClick acquisition.

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