Filed under: Deals, Competitive strategy, Google (GOOG)
The collapse of Google’s (NASDAQ:GOOG) stock is the talk of world wide web investors. Wall Street is concerned that the number of people clicking on the search engine’s ads is falling, perhaps due to the tough economy.
Google now has clearance to purchase DoubleClick, which will get it into the massive display advertising market, but that segment of internet market isn’t growing very fast.
Google has one more card up its sleeve. The new program, called Ad Manager, will grant Google publishing partners to get potential revenue for ad space they have not been able to sell themselves. According to The Wall Street Journal, “Google is hoping that Ad Manager users will concur to carry some ads Google sells in ad spots on their Web sites they haven’t filled themselves.”
The display ad program is unlikely to yield much revenue for publishers or Google. The unsold display inventory on most sites is sold at extremely low rates. Most publishers sell their ideal spots to marketers who will pay a premium. Less desirable ad positions normally have very little value to advertisers because they run in places where users often don’t see them.
Otherwise, it’s a great idea.
Douglas A. McIntyre is an editor at 247wallst.com.
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