When it comes to Online Advertising campaigns, Google is, without a doubt, the king. With a share of more than two-thirds of the market in the U.S., Google is by far the most popular search engine of the big three with consumers. This is true outside of the U.S., as well.
Most e-commerce business owners think no further than Google when it comes time to institute an online marketing strategy. But if they rely solely on this one giant, they may be missing out on a lucrative piece of the online consumer pie.
In fact, recent news indicates that there may be some very valid reasons to not rely solely on Google for online advertising.
Microsoft / Bing & Yahoo: The Other Major Search Engines
It was announced in the past month that a partnership was formed between Microsoft, the developer of the new Bing search engine, and Yahoo. According to this agreement, Microsoft’s search technology will be utilised to power Yahoo’s existing sites. It is currently expected that the proposed changes will be in full effect in 2010.
It remains to be seen whether this move will make a dent in Google’s enormous market share. Sceptics have expressed concern that Yahoo caved in to pressure from Microsoft, giving up their current share of the search engine market in order to slide down in the ranks.
How This Affects Online Advertising
The news is positive for online business owners who wish to extend their reach to markets serviced by both Microsoft and Yahoo. Advertisers can bid on keywords for campaigns with both search engines collectively, which should increase the number of bidders. Because the number of people who use Bing and Yahoo as their preferred search engine are being combined into one audience, pay per click campaigns will reach a wider audience.
The bad news is that this is going to increase the price for keyword clicks. More bidders for the same number of keywords means that demand will outweigh supply, even though bidding on Google will probably not realise an appreciable decrease.
Still, this new partnership should increase ROI for advertisers choosing Bing and Yahoo. If the platform includes adjustments to the technology and ease of instituting pay-per-clicks campaign, it is reasonable to expect that Google may lose some of its bidders and possibly become more affordable.
One thing to be aware of is that display ads on Yahoo will now utilise a different platform than that of search ads, which will be powered by the same technology behind Bing.
For small business owners, it is a good idea to keep an eye on the situation. There is no need to switch an effective Online Advertising campaign from Google immediately, but it may be a viable option in the near future. Then again, it may be the perfect time to start a new campaign and enjoy a lower per-click price until bidding heats up at Bing and Yahoo.
The bottom line for any company that wishes to enjoy the widest reach and the most effective pay-per-click campaign is that utilising all three major search engines will still produce the most profitable results.
Just as you shouldn’t rely solely on Google, neither should you rely completely on the new platform created by the partnership between Microsoft and Yahoo. There are smaller search engines, directories, and social marketing sites you can use for your Online Advertising as well!
About Sean Rasmussen
Sean
I believe Bing is gaining market share. On top of that Google is starting to let in third party advertisers onto their networks, under tight restrictions of course. It’s evidence that they are feeling the heat.
Hi Sean,
Online advertising is something I’m starting to move towards doing. I read in an earlier post about using the tier 2 search engines and I think I’m going to start with them first. I think they would be a better training ground for me where I can make all my mistakes first.
Hopefully, my mistakes will cost me less and then I can move on to Google and Yahoo. I think that I’ll move on to the big three when I’m a little more confident with what I’m doing.
I’m not sure about the effect of the partnership between Microsoft and Yahoo. Google is part of our everyday language. Often when we don’t know something we’ll say; I’ll Google it. I think Yahoo and Bing have a long way to go and I really think Google won’t take a backward step.