Changing ‘Ads’ to ‘Sponsored’
Google makes much of its revenue through sponsored searches. Many companies pay google for slots, so that they can be seen at the top of every user’s search. Recently, Google made 56.3 billion in ad revenue in Q2 2022. They devote a lot of time and resources into figuring out the best advertising experience for both the buyers and the users. Google is updating its Ad’ tag on mobile devices to be changed to “Sponsored.” Many users have been complaining that it is hard to distinguish between sponsored and non sponsored content. This change is to help users make more educated decisions when clicking on their desired search.
This relates to the course content because many times we have discussed the process for how sponsored search is done. We have practiced with having slots and ranking through a 2nd price auction. This all circles back to decision making in how these slots are selected. Google not only wants to make the most revenue for ads, but also wants its users to feel like they found the proper search. In changing the way users are notified to sponsored search it correlates to the amount of money business will pay as well as the revenue google produces.
Source: https://techcrunch.com/2022/10/14/google-is-updating-its-ad-tag-to-sponsored-for-mobile-search/