Fascinating, if a bit light on detail, NYTimes article on Google’s “Revenue Force”.
Interesting to see them take the long view on ad revenue, where the goal is retain a user’s value from ads, not just goose short term revenue:
“These factors contribute to an ad’s ‘quality score.’ The higher that score, the less the advertiser has to bid to secure top billing. For example, an advertiser who offers to pay $1 per click to attract those searching for ‘vacation rentals in Colorado’ may receive more prominent placement than another who bids $1.50 for the same query but has a lower quality score. An advertiser with a very low quality score may have to bid so much for placement as to make it uneconomical.
Quality scores work as an incentive to advertisers to improve their ads, which benefits users and, in turn, benefits Google, Mr. Fox said.”
Thinking like this is why Google rule search – they understand deeply that they’re in the intention space – and diminishing the value of intention from their users will corrode their long term brand…
If only other companies were as focused on the long view.