At least they didn’t mention ‘branding’.

February 23, 2006

The Performics 50 was published yesterday. As a marketing tool this probably is worth the effort, but I’m just not sure that you can draw any meaningful conclusions about search in general from this report.

About the only interesting takeaway is that when Google churns out a new poilicy it has wide ramifications for advertisers as Performics so eloquently put it:

In Q3, we reported on the shrinking segment of “Pure First Place” keywords and how
that might be a reflection of changes in policy regarding trademarked terms or affiliate
bidding. In Q4, we see price pressure coming not just from the top of the range –
typically attributed to increases in competition – but also from the bottom, likely due to a
significant shift in how bids are addressed on Google.
With paid search still being a youthful industry, these sorts of abrupt changes are going
to happen while the business sorts itself out. In order to respond to this kind of dynamic
marketplace, marketers need to be flexible with their programs, their expectations and, in
some cases, their budgets.

If I’m reading this right what they are saying to advertisers is “you need us (and probably more money) to help you navigate times when Google’s needs a quick lift in revenue, otherwise you may end up like FTD or Blue Nile.”

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