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One Way for Microsoft to Kill Google

Okay, not kill Google, and, really, barely even scratch it, but at least a way to make publishers happy and claw back some market share.

As Douglas McIntyre points out on 247wallst.com, one flaw (for publishers) in Google’s advertising programs is that publishers receive no compensation for displaying ads that aren’t clicked on–even when those ads are towering skyscrapers that have immediate (and unavoidable) branding impact.  The advertiser is certainly gaining something from such ads (brand exposure, reach), and Google is certainly gaining something (power), but the publisher ain’t getting jack.

So it’s time one of the big ad networks started compensating publishers on a CPM basis in addition to a CPC basis.  The per-view payment obviously shouldn’t be as much as a per-click payment, but it should be something.  Newspapers, after all, get paid huge bucks for running un-clickable ads, many of which are never even viewed (because the whole section is tossed in the trash).

This is where Microsoft has an opportunity.  Inasmuch as it is already trying to build a branding campaign around its benefits to publishers (“Google wants to steal your stuff; we want to help”), it should create a CPM based network and start paying publishers for delivering eyeballs in addition to clicks.

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