March 13, 2009 by Jack Fox
So far Google have largely bucked the Recession trends by managing to expand and increase revenue regardless, this is a big continuation of that policy. If it works, Interest-Based Advertising will be a huge shot in the arm for Google’s balance sheet, providing increased revenue for the company in two ways. Firstly, the publicity will bring people into the text ad fold that had never even considered it before, boosting Google’s client list and giving them license to charge more per click. Secondly, the number of clicks will be greatly increased as the ads will be more relevant than ever to the user. Again, this will allow Google to charge a lot more per click and encourage companies to spend more, perhaps even at the expense of their other advertising.
Only time will tell exactly how successful this will be, though if I had to make a prediction, I’d say that this is the beginning of a very, very profitable new phase for Google.
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