Advertisers and Consumers Embrace Google's Shopping Ads

Advertisers and Consumers Embrace Google's Shopping Ads

Despite Switch to Paid Commercial Model, Analysis of Google Product Listing Ads Reveals Increased Advertiser Investment and Higher Consumer Click-Through Rate

SAN FRANCISCO, CA -- (Marketwire) -- 01/29/13 -- Marin Software, provider of a leading digital ad management platform for advertisers and agencies, today announced the results of a study on Google Product Listing Ads (PLAs). According to Marin's findings, in the last year the click share of PLAs as a percent of total search clicks increased 210% as consumers increased their engagement with the ads, which appear as image results in Google Search and as product listings within Google Shopping. Google transitioned Google Shopping to a commercial model in October 2012, and the bet appears to be paying off with Marin finding that advertisers increased their share of search budgets directed towards PLAs by nearly 600% in the last quarter of 2012.

News Facts:

 
--  In May 2012, Google announced their intent to transition Google
    Shopping to a sponsored only format raising concern whether
    advertisers would invest in shopping ads. According to Marin
    Software's analysis, after the transition in October 2012, advertisers
    increased their investment in Google Product Listing Ads nearly 600%.
--  Marin Software's findings indicate users of Google search are seeing
    Product Listing Ads more often and are increasing their engagement
    with the ad format. Marin's advertiser data reveals the share of
    search clicks resulting from PLAs increased 210% in the last year.
    Similarly, Marin found in the last quarter of 2012, the impression
    share of PLAs jumped 60% as holiday shoppers used the ads to make
    purchase decisions.
--  Based on Marin's analysis, PLAs ended 2012 with a higher click-through
    rate (CTR) than text ads, and an average cost which is lower than of
    traditional text ads. The combination of a higher CTR at a lower cost
    indicates favorable performance conditions for advertisers. As a
    result, Marin expects marketers to continue growing their investment
    in the ad format over time.
--  Marin Software announced today a new PLA enhancement to the Marin
    platform that enables marketers to efficiently cr
eate and edit PLA
    campaigns, optimize product target bids to maximize revenue, and
    generate valuable reports specific to PLA performance.
--  Additional information on PLAs and Marin Software's analysis can be
    read at: http://insights.marinsoftware.com/.

Quotes:

 
--  "When Google announced their new enhanced shopping experience and the
    intent to transition shopping ads from organic results to paid, they
    took a risk that the move would alienate retailers," said Matt Lawson,
    vice president of marketing and partnerships at Marin Software.
    "Google's decision, however, appears to be paying off with increased
    user engagement and advertiser investment. During the fourth quarter
    of 2012, we saw some retailers allocate as much as 30% of their spend
    towards PLAs. Marin Software's new PLA solution allows marketers to
    harness the power of the new ad format as advertisers seek to acquire
    revenue online."

Resources: About Marin Software Marin Software Blog

About Marin Software: Marin provides a leading revenue acquisition management platform used by advertisers and agencies to manage more than $4 billion in annualized ad investments. Offering an integrated platform for search, social, display, and mobile marketing, Marin helps advertisers and agencies improve financial performance, save time, and make better decisions. Headquartered in San Francisco, with offices worldwide, Marin's technology powers marketing campaigns in more than 160 countries. For more information about Marin's products, please visit: www.marinsoftware.com/solutions/overview.

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Media Contact: Greg Kunkel Corporate Communications Marin Software 415-857-7663 press@marinsoftware.com