Google is testing a new ad-payment policy that will allow advertisers to pay online publishers for posting their ads only when the ads prompt action. "Action" can include making a purchase, downloading a brochure, or requesting more information. Under the pay-per-action (PPA) model, payments will not be made as frequently as they are under the pay-per-click model. However, publishers will be free to select ads and encourage visitors to take action based on them. Pay-per-action ads will be run on sites within Google's AdSense network, and Google will track visitors' responses by means of tags on advertisers' sites. With the addition of this new format, Google now has three pricing models: cost-per-click, cost-per-impression, and cost-per-action.
Advertising spending in the U.S. up by 4.6%
U.S. advertising expenditures are increasing; 2006 registered an increase of 4.6% in spending, according to preliminary figures released by advertising-intelligence service Nielsen Monitor-Plus. Increases were seen across media categories, including the Internet (which saw a 35% increase), "Top 100 Spot" TV markets (which saw a 9.1% increase), Spanish-language TV (which saw an 8.1% increase), and outdoor (which also saw an 8.1% increase). Certain media outlets, such as business-to-business magazines, smaller TV markets, and local newspapers, registered flat growth or slight dips.
HopStop launches location-based hyper-local advertising platform
HopStop.com has launched AdLocal, the first location-based hyper-local advertising platform of its kind. Clients can create location-specific campaigns on HopStop by setting target audience addresses and corresponding radii. A cost-effective approach, this will allow even small local business owners to promote their services online and to customers within their vicinities. HopStop.com is a popular U.S. mass-transit site providing bus, walking, and subway directions for New York City, Boston, Chicago, and San Francisco, among other cities. The company expects to add 10 more cities to this list by the end of 2007.
Microsoft aligns web-search division with online-advertising division
In an attempt to overhaul its web-search capabilities and online advertising, Microsoft has formed a new group aligning both efforts within a single research and development division. The newly formed "search and ad platform division" will be led by Satya Nadella. As the group's corporate vice president, Nadella will report to Kevin Johnson, the division president. Computer-science researcher Harry Shum will serve as the group's chief scientist. According to Nielsen/NetRatings, Inc.'s findings, Microsoft lags far behind Google and Yahoo in the online-search sector. In comparison with Google's 56% and Yahoo's 21%, Microsoft handled merely 10% of all U.S. searches in February. According to analyst Matt Rosoff, Microsoft's decision to combine the two divisions was a good idea, as Google's success has been based on its ad-platform model. Search engines remain the major sources of advertising revenues for online-service groups.
Voice 123 offers benefits to companies and talent
Are you a talented voiceover professional? Do you want to promote your voiceover services? New York-based Internet marketplace Voice 123 may be the answer. It has announced that it is now offering advertising packages for companies and individuals. To companies, Voice 123 is offering ad space and banner ads, as well as design services. Other business offers include promo webpages, partner landing pages, email campaigns, and webinars. Voice 123 has also developed a range of benefits for talented performers. Additional provisions included in the performer package include career management, global advertising, access to audition notices, means by which to communicate directly with clients, opportunities to network with other voiceover professionals, and access to online training and seminars. To its subscribers, Voice 123 also offers webpages with unique Internet addresses.
