Keyword advertising: predictability remains elusive

01-01-2010

Internet advertising has become a multibillion dollar industry and an essential component of advertising and marketing programmes. But there are still areas of confusion, say Anna Maria Lagerqvist and Niels Lagerkvist Lehmann.

Internet advertising has become a multibillion dollar industry and an essential component of advertising and marketing programmes. But there are still areas of confusion, say Anna Maria Lagerqvist and Niels Lagerkvist Lehmann.

Keyword advertising programmes enable advertisers to purchase or bid on keywords that trigger the display of their adverts in search engine results. When Internet users search the keywords, the search engine’s computer algorithms link the advertiser’s keyword advert to the search results page. When Internet users click on the advertiser’s keyword ad, they are redirected to the advertiser’s website. A fee is paid to the sponsoring search engine provider for each click. Advertising programmes such as Google Adwords and Keyword Suggestion Tool, Yahoo’s Sponsored Search Service and Microsoft’s adCenter allow businesses to purchase keywords.

The purpose of buying keywords is to target consumers and increase the effectiveness of Internet advertising. The use of trademarked keywords may increase the chances of consumers seeking a competitor’s product, instead, ending up on the advertiser’s website. Consequently, the unauthorised use of third-party trademarks and trade names as keywords is a growing concern for brand owners.


google, l'oreal. adwords, keywords

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