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AOL AND GOOGLE FORGE NEW AGREEMENT
America Online has announced it will expand
its relationship with Google and will use the search leader's
technology as the foundation for enhancements to its own search
offering. Under the agreement, AOL Search will feature both
search results from Google's algorithmic engine and sponsored
links from Google's booming paid-listing service. Google will
continue to provide sponsored links in AOL's business listings
and Yellow Pages directories as well.
A strong search engine is key for AOL going
forward, because more than 75 percent of AOL members use the
search function at least once a month. Google's search function
and targeted paid search listings have proven extremely popular
for AOL Users. The new search function also is designed to
provide results more quickly and to be easier to use, he added,
with larger typeface and clearer navigation tools.
The expanded deal builds on a partnership
forged by the two online giants in early 2002. By adding paid
listings to its AOL purview, Google replaced Overture at that
time, though Overture still remains a powerhouse with customers
such as Yahoo and MSN. Likewise, Google will take over AOL's
traditional search function from Inktomi, which Yahoo bought
late last year.
AOL said its new version 9.0 will feature
other search upgrades as well, including: more localized results;
content delivered automatically based on ZIP codes already
provided to AOL by customers; and a hot-topics feature that
will tell AOL users what topics fellow members are searching
for most often. Google gaining access to AOL's membership
could be a huge step forward for Google as it strives to gain
the upper hand in what is likely to be a protracted battle
for local search revenue.
The major players have identified this opportunity
and are taking steps toward claiming their share.. Even though
AOL's membership rolls are in flux, the company still possesses
massive reach in the United States and overseas. Even given
AOL's troubles, that's still very valuable real estate for
a search player.
Making Waves
The AOL-Google partnership announcement comes
amid signs that further changes in the search landscape are
imminent. For example, LookSmart has said it could lose up
to 70 percent of its total revenue stream in the wake of Microsoft's
decision not to use it on its MSN search page, sparking speculation
that LookSmart will be acquired by a larger player.
Also, in recent weeks, Amazon.com has made
public a previously low-key attempt to devise its own search
tools specifically tailored to e-commerce -- tools it plans
to use on its own site and license to other e-trailers. And
Yahoo has unveiled what it believes is a breakthrough in shopping
search that combines the two types of search technology with
browsing and comparison-shopping features.
Google
Adwords Tracking
As announced Google has released keyword
tracking for Adwords advertisers. This is an extremely helpful
tool for those looking for a firm grasp on what words are
producing and which are duds.
The way the service works is you place a
snippet of code on your sales/sign-up/thank you page which
Google uses to report back to your Adwords stats.
Under Google's terms you are also required
to place a small image on your page letting people know that
their movements are being tracked.
This is a drawback for advertisers who would
prefer their tracking to go unnoticed but is genius on Google's
part as it covers them on the privacy issues and further spreads
their brand across the Internet.
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