In September, Google introduced a new way for its customers to buy and sell online display ads. It’s called the DoubleClick Ad Exchange and it allows Internet marketers to find a variety of Web pages to advertise on and quickly make a bid. This speeds up the process for both advertisers and publishers looking for ad revenue.
I heard about this development in a Wall Street Journal article, entitled “Google Unveils Market for Display Ads.”
Google has literally thousands of partner websites scattered across the Web that display its online ads. However, Google has never been very good at display advertising. It bought DoubleClick back in 2007 for $3.1 billion and has been trying to come up with a good way to jump into this part of the paid-search market. This appears to be its big move.
This isn’t the first online-advertising exchange service. Actually, other major search engines, like Microsoft, Yahoo and AOL have had them for some time, though none of them has been able to make them particularly big or useful, yet. Maybe Google will find a way to make this exchange service popular and profitable.
Google’s move comes with plenty of risks. What if few ad publishers and advertisers sign on to the service? Who would want to participate in a service that no one else is using? Internet marketers are looking for ways to reach the right audience in simpler ways.
Surprisingly, Google is far behind other search engines in the display-ad market. Google is definitely the king of PPC with about a 70-percent share of the industry’s total revenue, but it only received 1.3 percent of all display-ad views. Yahoo is actually the leader in display ads.
Apparently, Internet marketers who want to target a specific audience with simple Internet ads turn to Google. But if they want something more dynamic, appealing to customers’ emotions more than their intellect, they are more likely to turn to Yahoo or TV advertisements.