EcommerceBytes-NewsFlash, Number 2412 - November 12, 2010     3 of 4

Google Launches Product Ads for All Merchants

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A picture says a thousand words, as Google found through beta testing AdSense ads that display online merchants' products. The tests revealed that people were twice as likely to click on a Product Ad as a standard text ad, and Google announced Thursday that its Product Ads would now be available to all U.S. online merchants.

Google launched the beta test of Product Listing Ads one year ago. The ads include a picture, price and description of products - and, as a result, the ads get more, higher-quality click-through than text ads.

As opposed to regular text ads, product listing ads are tied to sellers' existing Merchant Center product feeds and are not triggered with keywords. Instead, Google displays the products merchants wish to promote whenever users are searching for them.

Beginning yesterday and rolling out completely over the next week, all U.S. advertisers can start using Product Listing Ads. Certain merchants will be able to pay for Product Ads on a CPA (cost per action) basis - they will pay only when the consumer clicks through and completes a purchase on their website.


About the author:

Ina Steiner is co-founder and Editor of EcommerceBytes and has been reporting on ecommerce since 1999. She's a widely cited authority on marketplace selling and is author of "Turn eBay Data Into Dollars" (McGraw-Hill 2006). Her blog was featured in the book, "Blogging Heroes" (Wiley 2008). Follow her on Twitter at @ecommercebytes and send news tips to ina@ecommercebytes.com.


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