Search Engine Marketing: Google is Testing a New Look for PPC Advertising

After making substantial modifications to the appearance of sponsored ads, Google.com recently added the initial line of the ad title tag and placed the domain name at the end of the title. Google has also redoubled its efforts to implement a complete radical change in the appearance of links, both sponsored and natural. Now the URL is highlighted in green just below an ad title.

Compared to the last change (transfer of addresses under a title, which makes the most sense for a business user), the previous two changes (headline sponsored links extension) set clear goals and seemed closer to sponsored links. The difference between “unpaid” links and ads is getting more and more blurred. Logically it leads to the fact that more and more people are clicking on sponsored links. It’s a very logical move on Google’s part, as sponsored links such as PPC (pay per click) advertising and “Google AdWords” remain the only source of funding for search engine giant Google. Also, PPC advertising attracts various other activities, for free.

Extension ad title text has yet to prove effective for both Google and advertisers. Highlighting the title is valid only for the first sponsored positions (maximum 3) above the natural search results. This benefit does not apply to sponsored links on the right side of the results. This, of course, leads to increased competition up front and then increases the average CPC (cost per click) for the top positions.

This effort is, of course, very logical from Google’s perspective, because it increases revenue. It is based on all the previous changes to the appearance of the search results pages. For example, ‘paid link’ ads appear to be the ‘most popular’ links on pages, expanding on the URL and perhaps eventually on previous product expansions. All these changes are valid only for the first positions (maximum 3 positions).

The question is whether you are putting too much pressure on Google’s preference for leadership positions and thus driving up click prices. But it is a reality that advertisers must remember if they want to advertise on Google. This will benefit those advertisers who are able to withstand the fight on the front lines or who can manage PPC advertising effectively. Google had made similar changes last August (2010) when it emphasized the “Sklik” advertising.

It will be interesting to see if the list will continue to favor Google’s Sklik ranking ad model. Sklik is likely to become Google’s most important source of income, and it won’t take long.

It is certainly beneficial to follow these changes and use them as soon as possible, because it offers the possibility of always being one step ahead of the competition.