AdWords Algorithm Change Angers Advertisers

    July 11, 2005

Threadwatch discusses a change Google has instituted in its ad system that is killing some advertisers…..

A simple description of the way the new algorithm works is that you bid for a position of 5. As it turns out, depending on the region your ad is shown in, you could end up in position number 1 or position number 20. For all practical purposes, an AdWords advertiser has absolutely no idea or control of what position their ad is in. People who are normally in number 1 position for certain keywords, for example, are finding themselves on page 4 and the reverse is also true. The net result of this algorithmic change is that Google is getting richer and advertisers are getting taken to the cleaners with increasingly poor advertising results for their money. In some cases people are losing their jobs, because they can’t account for the increased spending and the diminishing ROI.

Links: Threadwatch discusses

Reader Comments

Nathan Weinberg writes the popular InsideGoogle blog, offering the latest news and insights about Google and search engines.

Visit the InsideGoogle blog.