Friday, May 18, 2007

Microsoft's new ad strategy

Microsoft is beginning to test a new form of search advertising. The new platform is said to turn standard search ads into full-blown display ads.

Here is a glimpse of how it works:
When a user moves the mouse over a paid search ad, the ad explodes into a large display ad. By offering more information from the "mouse over", advertisers will basically gets two ads for the price of one, while users gain more information which will help them make appropriate purchase decisions.

Marketers have always been searching for the answer to increasing their return on investment from paid search campaigns. Offering more information to users with a single ad would seem to answer this question. Instead of a simple ad on a search results page, the larger display ad would include product details thereby imparting more information to the user.

Will this form of advertising catch on? Only time will tell.

2 comments:

champrules said...

"When a user moves the mouse over a paid search ad, the ad explodes into a large display ad. "

the idea sounds more like a menace than help to the average internet surfer...
very few of them actually are lookin to buy stuff online (atleast in india)... and ads exploding out of just a hovering mouse mite just have more nuisance value than anything...

Avinash said...

Hi champrules,

Though it might be a nuisance to a small segment of the population we have to look at the broader picture. Even in my personal experience there have been many instances where I have wanted to click on an ad but it hasn't been informative enough for me. This new ad strategy might actually solve that problem. And its a no brainer that online revenues are majorly in the form of ads and newer and newer techiniques will crop up to maximize profits and revenues online. This new strategy from Microsoft is just one of them.