Display Advertising Ain't Dead, Says Search Giant Google

ADOTAS — Google says that advertising on its ad network, Content Network, is likely to be as cost-effective - or even more cost-effective - than ads on the search network.

The median advertiser has a content CPA that’s about 2 percent lower than their search CPA, according to a Google study done over last year, and the Content Network drives a significant share of total conversions. The Content Network is an ad network reaching more than 80 percent of global Internet users, serving more than 6 billion ad impressions each day.

The analysis evaluated only click-through-conversion performance, but the value of ads placed next to relevant site content extended beyond direct response advertising. Researchers have found that online ads also drive incremental search volume.

Google says that advertising running on both search and content networks are likely to be as or more cost effective than ads solely run on the search network.

A Specific Media study found that consumers exposed to display ads were, on the average, 155 percent more likely to search for brand and segment specific terms. Advertisers benefit not only from the CT conversions driven by their ads, but also from the increased awareness generated by exposure to a targeted message.