Google Paid Search Revenues To Rise
A LEADING Google executive claims “there is still substantial headroom in monetisation” as the company’s paid search technology increasingly delivers more relevant results and increased consumer click-through rates.
Google Director of Advertising Product Management, Nick Fox, also told a media briefing that “the quality of ads is still quite low” with plenty of scope for further relevancy improvements to ads served on its AdWords and AdSense programs.
The high Quality Score campaign has already had a dramatic impact, cutting the number of ads Google is running but strongly bumping revenue per click.
“We’re showing a very low number of ads relative to what we were historically,” Fox said.
Google has boosted staff numbers in this area and in the September quarter made 20 separate changes to paid search system compared with “two or three” over the same period last year.
Meanwhile, CEO Eric Schmidt said online applications such as Gmail and Google Docs have recently been given a more central role in the company’s strategy.
“It’s as large as the early internet in terms of its opportunity,” Schmidt said.
Search Engine Room: December 6, 2007
