Databases Reference
In-Depth Information
For the advertisers, including agencies, sponsored search must continue to be an
online advertising system that is on par with or better than other advertising chan-
nels in terms of achieving results and business objectives. Sponsored search must
continue to move products and services effectively and do it in an efficient man-
ner for the business to generate a profit on these products and services. It must do
this in absolute terms and also relative to other modes of consumer communication.
Sponsored search must be easy to access and establish, at least for the small- and
medium-size enterprises (SMEs), or there must be purchasable expertise available,
particularly for larger enterprises.
Drivers of Change
For identifying the future, it is helpful to look at current problems, needs, and desires
inherent in sponsored search. From this needs-and-problem analysis, you can expect
advances in targeting, tracking, analysis, and optimization. You can expect that spon-
sored-search advertising will develop toward more control by the advertiser. Feature
enhancement will continue in sponsored search. In the area of analytics, you will
most likely see more nuanced and broader spectrum of analysis. In the marketing
domain, consumers will most likely increase the time and money they spend online.
Sponsored search is in flux [
4
]. There are confluxes of forces, or drivers, that are
pushing, molding, and redefining the implementation of sponsored search. Let us
now examine the possible future of sponsored search. Probable drivers of change
include technology, consumers, and context. We address these as separate entities,
but naturally, they are all interconnected.
Technology
Certainly, one driver of change is technology.
Geo-location software.
Online check-in software, applications, and features create a
remarkably compelling opportunity for brick-and-mortar businesses, especially those
with a primarily localized market. With geo-location software, businesses can interact
with online customers in a variety of creative ways that can impact sponsored search.
When a customer announces that they are at a store or restaurant by checking in
with a geo-location app, the business can shape and mold the customer experience in
compelling ways before the customer even buys.
A check-in by itself is of limited value, although it represents a customer in the
door. To make check-ins really valuable, businesses need contextual, demographic,
and situational data. With this information as feedback, a business, such as our fram-
ing shop, can target offers and recommendations in a way not possible with spon-
sored search in its current form.
Integrating check-in type of software with sponsored search's knowledge of a
consumer's desires and needs will give businesses the opportunity to leverage real-
time contextual offers, discounts, and advertisements. These offers can directly shape
a consumer's behavior before any transaction occurs, which is an amazing conver-
gence of online and offline interactions.
