"Because in Cyberspace, no one can hear you scream."
Wednesday, August 31, 2005
[Media Source*] (Hat Tip: Junto Boyz, Posted on Blogger News)
(C|Net News) Google is expanding its lucrative Internet advertising network into the print world in a bold attempt to capture traditional ad dollars...
Google recently began buying ad pages in technology magazines, including PC Magazine and Maximum PC, and reselling those pages--cut into quarters or fifths--to small advertisers that already belong to its online ad network, dubbed AdWords.
This may be the first time that Google is venturing into the "real world" of advertising but this could also be a means of Google diversifying it's profit share as 99% of it is generated from it's Ad Words (or is it Ad Sense?) program. Although this new move has some industry watchers puzzled (with many regarding this as simply an "experiment") Google may be trying to establish itself as the middle man for advertisements, something that will definitely distinguish Google from it's competitors.
AHS Systems, a maker of Web-based content management software, paid $4,000 to $5,000 for its ad to appear in PC Magazine for two months, compared with the $3,000 that a typical ad that size would likely cost in the magazine for one month, said AHS Systems President Jeff Witkowski.
"It's a lot of exposure for cheap," he said, adding that Google is "doing a ton of tracking on this. They're using their own 1-800 numbers on this, and it forwards to our line." The Internet addresses of the online versions of the ads also redirect traffic through Google servers.
Another bonus is that Google is charging only a $1000 for ad placements, which will not only reduce expenses for larger corporations but allow smaller businesses to compete in the market by getting "the word out," informing customers about their product or service. Maximum PC's October 5th edition contains a full page of Google Ads (which can be seen here) that ironically do not display Google's famous icon.
It probably won't be long before competitors copy Google's method, as the search giant has once again demonstrated it's innovation beyond the web (i.e. Google Print).
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