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March 30, 2004
The new Google Adwords II
As was nicely pointed out by a reader of the weblog there is another new concept in teh new Google adwords that will have a very important role to play in the clickthrough rates: The adwords text is not clickable anymore and only the title text is clickable.
There is a very basic rule in interrface usability that states that the clickthrough rate of a button/link is proportional to its size. This immediately implies that the clickthrough rate for the new adwords will get some decrease due to this change - to balance the 'same-look-as-normal-links' change. Another change which we should also mention is the disappearance of the 'relevance bar' which will probably drive more clicks to unrelated adverts.
So what is the verdict after a day of running the new look for adwords? The reports indicate a small decrease in the clickthrough rate but also an increase in the clickthrough rate of normal links (which makes search engine optimization for Google more important).
The effect of this on ROI is yet to be calculated. On the other hand, if Google realizes it is losing money out of the clickthrough difference, I am sure they will act on this very quickly. We will see the develoipments within the week I think.
Posted by Basileios at March 30, 2004 02:03 AM
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