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April 16, 2007

Google Now Has an Affiliate/Lead Gen Playground

A lot of attention re: the googleclick deal has been paid to the fact that Doubleclick is testing a CPM exchange, like Right Media's. But, that's nascent. And Right hasn't exactly set the high CPM world on fire; they've been dealing mostly w/ remnant low CPM inventory. This is likely to have little impact short term. Of course, doubleclick's presence in serving CPM ads from big advertisers to big publishers will make google a major competitor in the space w/out being an msn/yahoo/aol style portal.

But... I haven't seen too much talk in the googleclick hubbub re: the fact that doubleclick owns performics . (Here's a bit from Shawn Collins.) I wonder what this says about google's small forays into PPA? Was Performics involved in the testing? Did google realize they couldn't enter this market w/out some further expertise? w/out someone to manage the relationship w/ the big affiliate marketing advertisers.

What will this do to the adsense arbitrage game?  In my previous post on PPA, I wrote:

Forget adsense arbitrage. Just set what you're willing to pay for a lead or a sale and g-g-gooo. No need for the advertiser to manage risk.

Performics is the largest Search Marketing Firm in the country. Their tools are already integrated w/ adwords. And they help advertiserrs sit between adwords and their affiliate and lead generation programs. They basically do the arbitrage for some of the biggest online advertisers. Now google has that expertise in-house. They can either sit on this. Or they can figure out how to move further towards the transaction and add more value/eliminate more risk for more advertisers.

Are there any affiliate/search marketers out there w/ an opinon on this?

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