Google bullish on advertising system from the Financial Times reports that Google has made 20 or so improvements to their search ad system in the last quarter. Nick Fox, director of product management in the advertising division, said that in the third quarter of 2006, Google only made 2 or 3 improvements to the AdWords platform.

Why did Google make so many changes, which consisted of landing page factors, quality scores, and so on? “There is still substantial headroom in monetization,” said Fox. Fox added that “the quality of ads is still quite low” and by improving the ad quality, they can get more clicks and earn more money.

It is expected that Google will continue to change their search ad algorithms to squeeze out as much “relevancy,” or, as some might argue, to squeeze out as much revenue from advertisers, in the upcoming months.

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By Barry Schwartz Permalink
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