A prediction for Google adwords in 2006

2005 is comming to an end in a great way for Google. The company became the undisputed leader of online advertisement with their adwords and adsense programs. With the end of the year, the question is: what are they preparing for the adwords program in 2006?

The logical step for Google is to continue to extend their advertisement program to other media. We know already that the company is producing ads on paper magazines. I think that this program will expand to acquire the same features as the web adds.

The great criticism of the magazine ads by Google is that a lot of adds are in the same page, disconnected from the main text of the magazine, and therefore become ineffective. One scenario where this could be improved is the following: instead of selling just blank pages, companies would sell small spaces along their articles.

Google just needs to receive the contents of the article a few minutes before publication, and it generates automatically an ad that fits that space, using the same algorithms it developed for the web adwords program.

This requires a small change in the production of the magazine, but the return in terms of quality of the advertisement as well as financial rewards would be very appealing for magazines and newspapers worldwide.

In other words, I think that Google has in its hands a fantastic way of generating additional revenue from the adwords program in the traditional media, it is just not using it to its full potential (yet). I have no doubt that the company will spend the next year trying to make this possible.