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Google Inc (GOOG) Slaps on More Ads, Good for Business, Bad for Users

Google inc (GOOG)

Google Inc. (NASDAQ:GOOGL) is undoubtedly the king of the online ad business and it doesn’t shy away from a chance to increase its ad revenue. Recent news shows that Google wants to increase its ad revenue from mobile app searches as search ads go live on Google Play. In a post written on AdWords official blog page yesterday, Google revealed that it was launching Search Ads on Google Play Store.

Google inc (GOOG)

Search Ads have been available for a while; you’ll remember those ads that shows up on the top and side of a Google Search result. Google observed that that developers could put their apps in the front of people who truly need them and it started running Search app install campaigns on AdWords. A Google Search for personal finance apps will bring then bring you some ads on personal finance apps in addition to the search query.

Now, the firm wants to bring those ads to its Play Store, so that you’ll find ads on apps when you search for an app inside the Play Store. Google had launched the pilot program to Mobile App Ads in the Play Store sometimes in February.

The search giant says the reason it is bringing search ads to the Play store is to “help people discover apps with Search Ads on Google Play… Search Ads on Google Play can provide consumers new ways to discover apps that they otherwise might have missed and help developers drive more awareness of their apps.”

Good for Google and Developers

The development of mobile search ads is a move that will endear Google (NASDAQ:GOOGL) to developers and increase the firm’s ad revenue. For one, the search ads in the Play Store will be shown to people searching for particular apps and who are more likely to click on a link to download the app.

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It is an improvement over indiscriminate app ads to people who aren’t interested. You’ll remember that other firms such as Apple and Facebook have been jostling for part of Google’s ad revenues.

Google also has tracking tools that will help “simplify campaign management and improve measurement for developers.” In essence, developers will get their ads out in front of target audience, measure the success of their campaigns, and everybody smiles to the banks – except the consumers that will be bombarded with ads.

It Could be Annoying for Users                                                   

Ads are the source of revenue for Google, but its insatiable thirst for ad revenue might end up being its Achilles heel. In the blog post, the firm said it was planning to roll out search ads “across all Google properties, including: Search, YouTube, the AdMob in-app network, and the 2M+ sites on the Google (NASDAQ:GOOGL) Display Network.”

The proliferation of search ads could wear users out and cause them to embrace Microsoft’s Bing even now that Microsoft has a revamped search system on Windows 10. Ads don’t usually entice users to look further into whatever its been sold. When ads are too much they tend to make users want to avoid the app or website that they infest.

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Victor Alagbe

Victor Alagbe is a seasoned business and finance writer with a specialty in writing about how to invest for the long-term in healthcare, pharmacology, energy and tech stocks. His long-term focus is on stocks that provide a nice mix of growth and income. For the short term, he passionately writes about trading stock options for the excitement and leverage that stock options offer.
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