Microsoft Launching Search Ad System In June
Microsoft has been testing its ambitious new platform for selling all kinds of online advertising, called adCenter, since last spring. Right now, the company said about 25 percent of the sponsored links that accompany regular search results on its MSN Search site are from adCenter, but that will grow to 100 percent by the time the company’s fiscal year ends in June.
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This is important to online entrepreneurs for two reasons.
1. More areas to get your ads shown.
Microsoft is planning on using this technology to allow advertisers to span a number of online offerings include MSN Spaces and the soon to be released Office Live system. In a sense they are doing what Google is doing by moving the ads into online applications, which help to keep such offerings free of charge.
2. More or less money for publishers.
Alongside adCenter, Microsoft has been working on their own publishing ad network that will rival Adsense and Yahoo’s Publisher Network. This gives advertisers three main competitors to choose from which can be both confusing and frustrating. The same can be said for publishers as we have to figure out which offering performs the best on which topics.
If all the higest bidding advertisers are bouncing around from system to system how can you as a publisher keep track of such fluctuation? You can’t really and that is what’s frustrating. Sure they say competition is good because it should mean more money for us, but I really haven’t noticed a change in the CPC of Adsense and Yahoo has been dropping a bit as of late. Experimenting with ad placement and visuals is one thing, but testing three networks every month is a whole other beast.
Also, with Microsoft offering the option to advertise on their online applications there is a potential for publishers to see a smaller pool of ads as advertisers start to avoid content sites.
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POSTED IN: Ad Networks
2 opinions for Microsoft Launching Search Ad System In June
JBagley
Jan 13, 2006 at 2:52 am
Oh well, more money for Mr. Gates retirement fund. More choices for us I guess. This could actually be a good thing in terms of people moving away from adsense, which would mean less revenue for Google. And we all know what happens when Google gets unhappy… or do we? I’m hoping they up the stakes like they have done with everything else. Throw more diskspace/money/rewards/freebies etc our way… :-)
Andy Hagans
Jan 13, 2006 at 5:17 pm
As a publisher, I can’t help but feel that a third major contextual ad system is a GREAT thing. It’s the feeling of Adsense’s grip on your balls slowly loosening…
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