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Wednesday, May 12, 2004

Google Advertisers Like GMail, But Want Lower Rates Search Engine News Journal:
"[ Search Engine Advertising ]
According to survey results released today by Mosaic Media, 57.1 percent of Google AdWords advertisers want their ads to appear contextually in Google's Gmail. Gmail is Google's free e-mail service that is currently in beta testing and is expected to go into full release this summer.

Google intends to place contextual advertising in personal e-mails, so if someone is talking about taking a trip to Vermont, hotel ads may show up alongside the text. In Mosaic Media's survey, only 19 percent of Google advertisers gave a flat no to the concept of their ads appearing in personal Gmail correspondence.

The survey revealed, however, that advertisers don't want to pay as much for Gmail ads as they pay for ads that appear alongside search results. Only 30 percent said they are willing to pay the same cost-per-click (CPC) as they pay for search-results ads. A full 50 percent said no to idea of paying the same rate as search ads. But if the rates are lower for Gmail, advertisers like the idea. Sixty nine percent say they would try Gmail at a lower CPC. And like good direct marketers, 69 percent would design a separate campaign for Gmail..."

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