Google runs ads on Google News property
March 3, 2009
Google News on a BlackBerry
Google is running ads on its Google News property, offering a new benefit to advertisers and itself but risking the ire of publishers.
This means that when users enter a query into the Google News search box, they will see text ads alongside their News search results. Google first announced plans to begin experimenting with ads on a number of Google properties in November.
"Google has always been known for testing new methods and finding additional ways to make its properties profitable," said Mark Schwartz, managing partner of Steak Media, New York. "That said, newspaper publishers have always looked at Google News with a wary eye.
"As much as they enjoy the additional traffic that a Google News listing presents, they remain anxious that Google could profit from content that they've invested significant money and resources in over many years," he said. "It's not a new argument but they will be asking themselves all over again if Google is friend or foe."
As of right now, the ads will not appear alongside Google News' mobile property, but this may change in the future.
In recent months Google has been experimenting with a variety of different formats, such as overlay ads on embedded videos from partners including the Associated Press.
The company said that it will unveil these changes when it could offer a good experience for users, publishers and advertisers alike.
Therefore, if Google finds that delivering ads on Google News' mobile property provides a unique and relevant experience for mobile users as well as publishers, this may be a possibility in the future.
"At Steak, we know that consumers use Google - and the other search engines - as their preferred starting point for all sorts of media consumption, including news content," Mr. Schwartz said. "But even if a consumer starts at a search engine, that doesn't mean that they'll continue to behave in a linear fashion moving from news article to news article to news article."
According to Mr. Schwartz, running paid search ads in Google News will allow those consumers that are interested in a specific news topic -- a new film release for example -- to act upon that interest, perhaps through additional research or even ecommerce.
"This allows marketers to extend an offer at the exact point the consumer is expressing an interest," Mr. Schwartz said. "There is a risk here of brands with negative press coverage running paid search ads alongside that coverage on Google but, in the end, it's not changing the online experience in any dramatic way, it's enhancing it to match how consumers are already behaving.
"For marketers looking to marry up their messages against consumers' interests in a relevant and timely way, Google News looks a promising addition to the marketer's arsenal," he said. "But it remains to be seen what the publishers will make of the trial."