While legions of industry watchers try to figure out what Google's next act will be, perhaps the Internet search giant needs to take care of the search system it already has. As John Dvorak points out, Google's daily fight with content relevance is resource-intensive from almost any perspective. Savvy web hucksters know how to play the relevance system so that Google's advertising platforms can be "tricked" in sense to display parsed advertising that is near irrelevant on a website page that features Google AdSense advertising.
I've seen this happen quite often, actually. Ad Sense ads are the thin or wide strings of text ads you see on many webpages these days, including here at BloggingStocks. These ads are apparently very effective -- to the tune of billions of dollars in ad share revenue for Google every quarter.
Although I am not sure how Google's AdWords platform generates revenue as a percentage of Google's overall revenue base, my guess is that AdWords (found on www.google.com) is much more responsible for AdSense (found on Google's partner sites).
Do the issues that John describes really permeate Google's worthiness when it comes to displaying relevant content o partner sites these days? Possibly so -- but how can Google Inc. (NASDAQ: GOOG) really tell what's on a website insofar as content and then tailor advertising to it?
It's all done automatically by machine, not humans. No matter how artificially-intelligent Google's systems are, they'll never be as good as a human reviewer -- and there are not enough people o the planet to police that kind of data stream every day.
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Reader Comments (Page 1 of 1)
10-02-2006 @ 5:14PM
an_observer said...
Here is one hypothesis. Google AdSense is riding on two phenomena --->
Fresh waves of broadband/ex-dialup users whose attention can be easily attracted via links synchronized with personal interests or on-screen content. These users are exploring the web. Everything sounds interesting. They haven't developed proper senses to differential qualities of sites and credibility of information, so they don't mind additional travel.
Fresh waves of advertisers (from traditional media such as classified ads) who are willing to bid any price necessary to acquire such attention without adequate understanding of actual returns.
Mix the above two groups, Google gains billions of easy money.
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If the hypothesis stands true, the model is not sustainable over time, especially when both demographics are destined to decline. The increase in numbers of arbitrage pages and click fraud practices can rapidly + permanently sour end user experience.
Also, Google takes pride in how these links aren't distractive. Well, that's both good and bad news because when these ads are saturated across the web, they become non-existent to more-seasoned end users.
10-02-2006 @ 5:32PM
Bob Lee said...
"And now that I've cited these words twice in one column, things should get even more off-track." The ads look pretty "on-track" to me. ;)
I can't believe you're taking Dvorak seriously. http://www.scripting.com/2006/06/10.html#When:2:10:13AM