Monday, October 17, 2011

"Ads are just answers"

Google is repositioning the way it looks at ads with its "answers" project (http://www.google.com/ads/answers/). It built on the idea that "maybe the best ads are just answers" and is broadening their advertising menu. From a marketing perspective, I think google is asking the exact right question: what information does the searcher need to make the best purchase. The factors they've identified thus far (aside from specific products) are video samples, proximity, and recommendations (+1). You can read more about the thought-process behind this new initiative here: http://googleblog.blogspot.com/2011/10/ads-are-just-answers.html.

As a consumer, I think this process opens up tremendous opportunities. Along the lines of the discussion we had on Saturday, I never click the sponsored ads...I just trust the organic search more and the text ads in the sponsor block provide no extra value. Ads with video content or that highlight the number of positive recommendations do create value for the company (a more informative/relevant ad) and the customer (getting me the answer I want).

One question that I wasn't able to find the answer to is, what is the pricing structure for ads with media content (such as video or graphics) since there certainly is a greater advantage to having that additional media.

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