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Survey Finds Google Advertisers Want Lower Rates For Gmail Ads

WebProNews
Staff Writer
Published: 2004-05-10

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According to a survey completed by Mosaic Media, 57.1 percent of Google AdWords advertisers want their ads to appear contextually in Google new email service, Gmail.

Google has stated that they intend on placing contextual AdWord ads into incoming and outgoing Gmail mailings. The basis for the ad placement comes from Google performing an automated scan of an email and placing an ad related to the email's content.

This stated practice has caused a large amount of vocal criticism from the advertising and privacy protection worlds, alike.

Mosaic Media, Inc., an Illinois-based publisher, conducted the survey. It revealed that advertisers don't want to pay as much for Gmail ads as they pay for ads that appear alongside search results.

Only 30 percent said they are willing to pay the same cost-per-click (CPC) as they pay for search-results ads. A full 50 percent said no to idea of paying the same rate as search ads. But if the rates are lower for Gmail, advertisers support Gmail placing ads within emails.

Of the people surveyed, the majority are currently advertisers with Google. Most respondents expressed an interest in trying Gmail as long as the costs were not equal to search engine ad rates.

"It sounds very targeted to me," said one respondent. Another noted that an ad that appears in search results is more valuable since the searcher is seeking results. "Gmail should be less expensive since it's not like a search in which information is being requested."

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