IncrediMail Gets Crushed Financially By Google AdSense Ban
Jan 14, 2008 at 8:57am ET by Barry Schwartz
Google AdSense Has The Power To Lower Your Stock Price from paidContent reports IncrediMail, an email marketer based in Israel, has been banned by AdSense. The ban seemed to have caused their stock price to drop 45% in one day. IncrediMail did not say why they were banned. Was the 45% drop in the stock price completely due to announcing the AdSense ban? PaidContent said it is possible, but the overall outlook of the company looked positive.
If you ever wander in an AdSense forum, you will notice that you can typically find a dozen recent threads with complaints that Google AdSense has banned them from displaying AdSense ads on their site. But we have yet to see a story where an AdSense ban has caused a company’s stock price to tumble over 45% in one day.
Postscript: Several days later, we learn that Google has reestablished their AdSense deal with IncrediMail. IncrediMail’s CEO said:
We are pleased to be able to resolve this set-back so quickly and in such a positive way. Google’s co-operation in re-instating our account makes us more optimistic than ever regarding the potential of the search business.
I am sure it is a huge relief for the company.
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