Posts Tagged ‘yahoo’

Google AdWords vs. Yahoo Search Marketing, a perspective from the low-end.

Monday, February 4th, 2008

I decided to split up my previous blog post to pull out the pricing thoughts from the point of view of us, Perceptus Solutions Inc., who’s primary online advertising campaigns are for print-bingo.com. We sell Premium access to our web based bingo card generator for $10. At that low cost, we have to be careful with what we bid on for search engine advertising clicks.

Technically, we have ad campaigns for print-bingo.com on Google AdWords, Yahoo Search Marketing, and Microsoft AdCenter. I say technically, because we spend about 20 times more with Google than we spend on YSM (formerly Overture) and Microsoft AdCenter combined.

If you search on Google for various bingo card terms such as “bingo cards”, “print bingo cards”, “bingo sheets”, and about a hundred other terms you will probably see a Google AdWords ad for print-bingo.com. Don’t click on it, it’ll cost us a nickel. :)

Yahoo Search Marketing has a minimum bid on any search term of $0.10. At 10 cents per click, it is debatable whether or not there is a positive return on investment. Thus we are highly selective with the terms we bid on. Because of this, we pay very little to Yahoo every month, in exchange for very few visitors.

On the other hand, Google has no minimum bid, and we can thus bid on a lot of terms that we don’t bid on on other networks. We pay for hundreds of clicks every day on Google and we definitely get a return on investment on those clicks.

To YSM and Microsoft: not every search term is worth $0.1 a click. We would literally spend 20 times as much on advertising with YSM if the minimum bid was closer to $.05.