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A couple of weeks ago, I wrote about creating
an income from "selling" advertising space on your web
sites.
I explained that almost any web site could be
used to generate advertising revenues by serving context-sensitive ads using
the Google AdSense program. Google finds the advertisers, negotiates the
per click price (by auction), tracks ad impressions and clicks, invoiced the
advertiser, etc.
By sharing the advertising revenue with you...
- Google can display their clients' ads on
your site.
- Their clients get broader exposure,
- Google earns more advertising revenue from
visitors that click on the ads on your site.
- You share in the ad revenues generated
from your site without having to attract the advertisers, negotiate
the per click price, track ad impressions and clicks, invoice the
advertiser, etc.
Google currently dominates this form of
advertising, but they also make all the rules. That means that they can
reject your application as a publishing partner, or they can cancel the ads on
your site at will and your steady, recurring income can just evaporate
overnight.
The good news is that Google is not alone in
this market.
Find
What offers a similar revenue
sharing program for small publishers (adRevenueXpress). One advantage
over AdSense is that you can enter a search term, and immediately see what the
top bids are. You can also use FindWhat as an adjunct to AdSense, by
setting up a web page with a FindWhat ad block that will show when Google
doesn't have an ad to display.
Traffic
Showcase uses similar ad formats to
the Google AdSense program, and ranking of ads on a site is based on the
advertiser's bid, but instead of placing ads based on keyword selection, the
advertiser can select individual web sites/publications or niche categories to
have their ads placed on.
Overture
has a revenue sharing program called Content Match, but it caters to very
large, high traffic sites (30 million page views per month). The good
news is that since Yahoo bought Overture, they have announced plans to offer a
similar program for smaller publishers. It is still in beta test (I have
seen their ads tested on a low-traffic blog), but it isn't generally available
yet, and no date for release has been announced.
You can sign up to be notified when Yahoo!
Search Marketing Solutions (the new name for Overture) makes new opportunities
available for publishers at http://publisher.yahoo.com.
This move by Yahoo! comes as MSN is widely
expected to ramp up its own PPC ad network - adCenter. At this point,
Microsoft maintains that they will continue their relationship with Overture,
but it's difficult to comprehend how they could expand their own PPC network
without displacing the Overture ads that are currently shown on the
site.
Last fall's extension of MSN's PPC deal with
Overture specifically provided the option for MSN to begin selling and
displaying its own ads on the site. This would allow MSN to continue
earning revenue from Overture ads while they ramp up their own ad sales
program.
Steve Ballmer (Microsoft CEO) expects adCenter
to compete effectively with Google and Yahoo! and said that having an
independent advertising system was strategically vital.
I don't believe for a second that Microsoft is
ignorant of the additional ad revenues that can be generated simply by adding
a revenue sharing program with other web publishers. MSN is fully
expected to extend their adCenter program with a revenue sharing program, if
only to attract more advertisers.
What's the bottom line for you?
On-line advertising is a multi-billion dollar
industry.
At least one major player (Yahoo!) is poised to
include smaller publishers in their revenue sharing program to increase their
share of that pot - making them the only major PPC advertiser to compete with
Google on that front.
Microsoft plans to begin limited testing
of adCenter over the next six months, and as soon as they have built an
inventory of paid ads they will surely follow suit. With only half the
number of web search displays as Yahoo! or Google either one, they will need
the increased reach from a network of publishing partners in order to attract
their share of advertisers.
With the three largest search engines all
offering PPC advertising, and (I believe) all offering revenue sharing
programs for partner publishers, the partner publishers will have more
choices. The increased competition should lead to more creativity by all
three players in the design and implementation of their revenue sharing
programs, and it really is a win-win-win situation.
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About the Author:
Sid Hale is the owner of several successful websites including
ad-CLiX.com and Info-Syndicate.com,
and is co-creator of
jvAlert
- a membership site for facilitating high-level Joint Ventures.
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