Why Advertisers Support AdSense_74510

by michalchan on 2012-02-28 14:05:45

Google is the largest search engine on the web, controlling over 40% of all Internet searches. With this control comes the management of pay-per-click (PPC) advertising. In PPC, advertisers pay a fee for every click-through (CTR) they receive, with rates set by the advertisers themselves. As their budgets increase, so does their ad position, leading to more traffic. This dynamic has resulted in over 140,000 companies choosing to advertise with Google, utilizing various methods. Ads can appear on Google searches, on distributor websites, or within distributor search results.

As advertisers appear in Google searches, one might wonder why they also choose to advertise on distributor sites. One reason is scalability. Advertisers who initially chose to advertise in search results and were achieving a good return on investment (ROI) may eventually seek additional advertising opportunities. With thousands of websites capable of displaying their ads, advertisers can quickly gain further exposure.

Another reason advertisers choose Google's distributors is for broader reach. Since 60% of internet users do not use Google, advertisers can appeal to a wider audience by opting for distribution channels. Many website users looking to buy products, like phones, might encounter an article instead of a sales site. If the article is on a site with Adsense, advertisers can use this channel to reach their audience.

Advertisers also choose Adsense because they trust Google. Known for its ethical practices, enjoyable work environment, and free services to millions worldwide, advertisers feel confident that their investments are safe with Google. Despite the evolution of click-fraud and its disadvantages, advertisers seem to understand that Google wants to stop it and eventually will. They appreciate Google's acknowledgment of the problem and provision of refunds accordingly.

Trust in Google also stems from trust in pricing, which is determined by market forces. Advertisers never feel overcharged by publishers or Google. This means as long as advertisers can afford to advertise, they will continue to do so, even if not at the same rates.

A strong advantage for advertisers is appearing where publishers promote their services. For instance, if a publisher discusses the benefits of new IT software, a software retailer appearing on the site could likely be the source from which a web surfer purchases the product. If uninterested, the surfer wouldn't click on the ad.

Google's service provides an opportunity for businesses of all sizes to advertise. Although click fraud remains an issue, the service is still widely regarded as the best. New businesses try to promote themselves online, while established brands also choose to attract interest using the same technique.