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April 22, 2009 11:02 AM PDT

Microsoft opens up its answer to Google AdSense

by Stephen Shankland
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Microsoft on Wednesday opened its PubCenter advertising service up for public beta testing, providing more of an alternative to Google's AdSense and Yahoo Publisher Network technology that places ads on publishers' sites.

All the services scrutinize the content on a Web site and place advertisements the service deems to be relevant to that content. As with ads on search sites, the advertiser pays only when a reader clicks on one of the ads, and revenue is shared with the publisher and the company operating the ad service.

Kevin McCabe, senior product manager of PubCenter, announced the move at the AdSpace conference Wednesday. People can sign up for the beta service at the PubCenter site, though it's only open to people in the United States at present.

Click-through rates on such services typically are far lower than for ads on search engines. But the technology still is significant, particularly during the recession, in part because advertisers can bid for keywords and limit their investments only to areas where they see a return.

Via LiveSide.net

Stephen Shankland writes about a wide range of technology and products, but has a particular focus on browsers and digital photography. He joined CNET News in 1998 and since then also has covered Google, Yahoo, servers, supercomputing, Linux and open-source software, and science. E-mail Stephen, or follow him on Twitter at http://www.twitter.com/stshank.
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by slecalvez April 22, 2009 12:11 PM PDT
It's good to have more choices...Congrats Microsoft.
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by professionaladventurer April 22, 2009 12:59 PM PDT
Wow, talk about a day late and a dollar short!
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by eltoro2827 April 22, 2009 3:37 PM PDT
wow, talk about a lame comment.
by t8 April 22, 2009 2:10 PM PDT
I couldn't imagine that a company that has taken away from people so much, will actually start paying people for their web sites. I still don't think this is in their DNA, but they are forced to do it to compete with Google. It will take a lot to make me switch away from Google and I guess competition will make them both behave themselves. Although Google has been absolutely great.
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by monkeyfun14 April 22, 2009 3:11 PM PDT
MS will make profit im sure.
by Rossjb April 24, 2009 8:44 PM PDT
You write t8............."It will take a lot to make me switch away from Google and I guess competition will make them both behave themselves".

Let me (maybe) give you some 'food for thought', that may even help you make that switch ok?

Firstly, it's no 'fluke' that Looksmart's AdCenter was named "Best Search Engine Ad Platform" by Search Engine Strategies. This award was made during the first day of its 10th annual Search Engine Strategies (SES), San Jose conference last year. SES is the leading global conference and expo series dedicated to search advertising.

Looksmart (themselves) tell us that they make it easy to run successful ad campaigns. Where search advertisers can work directly with dedicated account managers, who are skilled at creating customized distribution channels, across LookSmart's optimized network. And that this service advantage allows search advertisers to attract highly targeted leads and maximize ROI, whether the campaign is global or targets a specific country or local market. Search advertisers also have the option to manage their campaigns easily through LookSmart's self-service ad-serving interface. That's not bad for starters!

So with the emphasis on 'cost savings' and a concentration on providing better ROI's for advertisers, Looksmart told us (on Oct 22, 2008), that .......'according to a research paper from search engine marketing solutions provider Efficient Frontier, "Search Engine Performance Report Q2 2008," Google, Microsoft Live and Yahoo delivered CPCs of approximately 71 cents, 59 cents and 51 cents, respectively. LookSmart's average cost-per-click during the same period was 8 cents'.

The comment was added, that......"In these tough economic times, search advertisers seek quality and value for their campaigns. As prices on proprietary search engines continue to rise without proportionate added value to search advertisers, search advertising networks such as LookSmart offer an attractive value proposition by presenting a large volume of quality clicks at a very reasonable cost," said Ted West, chief executive officer and president of LookSmart'. - http://investor.shareholder.com/looksmart/releasedetail.cfm?ReleaseID=342565

And t8......You may well (or, may not) be aware of the fact, that.....

< The worst-kept secret in the tech world is that Yahoo and Microsoft have been talking again about a potential deal. So everyone wanted to know if [Yahoo's] Bartz would sell search. But that was the wrong question. - Why Yahoo shouldn't sell search> http://bigtech.blogs.fortune.cnn.com/2009/04/22/why-yahoo-shouldnt-sell-search/?source=yahoo_quote

I'd now go as far as suggesting to you that the "logical" move & probably the one being 'fine-tuned' (in discussion) at this very moment, is one that would see the existing Yahoo Publisher Network, eventually get to "join" up with this, MSN's (beta) pubCenter.

Bare in mind (also) that.......Yahoo's RME already is an OPEN Exchange, with Google (and others), as participants (with Google), coming in via DoubleClick. And it's no 'fluke' (at all - There has to be a good reason?), that Microsoft recently announced that they had closed down their very own adCenter. - http://www.searchenginejournal.com/microsoft-closes-down-adcenter-analytics/9220/

[Right Media - Right Media created an open media exchange to bring more efficiency, ... Direct Media Exchange - Welcome - With [Right Media Exchange], being able to quickly and easily compare different networks' performance on any specific ad size, country, etc..... Search Google - Search 'term', Right Media]

Continued in part two.....Sorry about the length of my reply. :)
by Rossjb April 24, 2009 8:46 PM PDT
t8.....Continued from my previous reply......

This would see Microsoft's 'pubCenter' now BUYING Ads from both Yahoo and others in Yahoo's Open (Direct Media) Exchange and not surprisingly (like-wise) for, BOTH Yahoo and MSN......And with both MSN and Yahoo "co-peting" like this, they are then providing that necessary and what will become an inevitably required 'neutrality' (or, complete transparency) for both (all their) advertisers and Microsoft's (suddenly, got much larger), 'pubCenter', publisher sites.

Yahoo have a strong (Global) Ads Network in place and MSN continue to drag the chain in this area....So why would they see a need to 'duplicate' when the ONE operation between them (being that, of both buying Ads in a 'blind' auction marketplace), can be more efficiently achieved from the ONE (neutral) publisher platform?...Think of the costs savings this type "deal" presents, alone. Think of what effect a "combined" effort would have on Google? But, to achieve this (that is, a) need for or, to have an "independent" AdCenter, would seem almost mandatory. And one that is more than capable of providing neutrality (naturally), from both ends. I'm suggesting that Looksmart's own ("white-labeled") AdCenter for Publishers would be more than suitable, to fit the bill.

I also suspect that Looksmart's INDEPENDENT (to all parties) AdCenter (and as has been pointed out in the article, is only initially open to people in the United States or, US Ad Networks, at present), may well be that vital part of MSN's 'Beta testing', already... (?)...And why not?

Wel, it comes as no surprise to me that Looksmart have themselves (in the past few days) announced a new tool it calls 'SmartRotation'. It is one that manages to rotate ads. And it also offers the same two creative rotation options that Google does but it's primary function is said to have an advertiser's "interest" at heart. Along with an ability to optimize on CPA.

And it is (also) said, that 'SmartRotation' is currently available to select advertisers as part of a 'limited beta test', too. - http://videos.webpronews.com/2009/04/22/looksmart-talks-smartrotation-at-ad-tech-san-francisco/

This small company is (surely) sneaking up on the market and is almost (completely) unnoticed, in what they are really about these days. http://investor.shareholder.com/looksmart/releases.cfm

Here's hoping this has been helpful to both you and others. Yes, I do hold (and tightly) shares in the Looksmart Co's future prospects (and, they are excellent IMHO), that lie ahead for it.

Cheers!!
by EcuadorHomesOnline April 22, 2009 4:41 PM PDT
I've said before that as a user, I prefer live.com over Google - I always usually (not always) get better search results. But as an advertiser, it's hard to beat Google's tools. This is a good step for Microsoft - I can't wait to try it out.
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by shellcodes_coder April 22, 2009 8:47 PM PDT
Hopefully it will soon open to the people living outside the US too
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