$ Marketing News
Shop Till You Drop? Men Are Just Saying NO
Getting ready to battle the crowds again this holiday season? According to an Internet based survey done by CoolSavings, you'll see fewer men in the malls, as they prefer "online" to "in-line." The direct marketing company asked its members what caused the most stress when holiday shopping. "Long lines and crowds" stress 34% of men, but just 24% of women. Women were most concerned with "getting the best price." Both genders were equally concerned with knowing the right gifts to buy. More than 80% of all respondents said they would be using the Internet to help them make their buying decision, regardless of where they make their purchases.
In a separate study done by Terra Lycos, about half (51%) of respondents said they would be spending less this year due to the economy.
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$ Marketing News
Google's Gone Gaga for AdWords Select
In case you haven't noticed, a new trend is touting the runway of online advertising success. It's Google's newest invention, and advertisers are thrilled about it because of its ease and affordability. AdWords are text only ads that appear on the right side of the screen, after a Google search has been preformed. This new program is purely self-service online. The advertiser opens an account with a credit card, writes up the ad, and then chooses the words that will trigger the advertisement. Small and medium-size companies, who are the main advertisers, appreciate that they only pay for actual clicks on their advertisement, not each appearance of the ad.
The price of an ad, as well as its position on the page (top, middle, or bottom) depends in part on how often the ad is clicked by users. In effect, the better the ad, the less it can cost and the higher on the page it appears. Google rewards those ads that are being clicked on by giving them better placement.
Average clickthrough is about 2 percent, five times that of comparable online ads. Google will suspend an ad that is not pulling in sufficient clicks as well, with the thinking that it's wasting the advertiser's money. For an ad receiving less that 05 percent clickthrough, the advertiser will receive a polite email suggesting that they log on to change their ad keywords. Google CEO Eric Schmidt agrees the concept sounds skeptical. Charge less for more? Drop underperformers? "I was worried that we would lose," he said. "But it's good to be proven wrong." The proof of AdWords Select's success is in partners like AOL and Ask Jeeves, which have signed multimillion-dollar deals for the service. Best of all, both advertisers and web surfers like it.
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