Google makes big AdWords changes, takes aim at Facebook's app dollars

By Brendan Coyne | 23 April 2014
 

Google is to make major changes to AdWords as it aims to make more dollars from the app environment and help advertisers get their apps noticed and installed. It is also making a play for more CRM type data from brands as it pushes further into meshing on and offline data and also has some new enterprise level reporting tools in the pipe.

The company announced its plans via the adwords blog yesterday and vice president of product management Jerry Dischler also explained the changes in a presentation

"It's no longer about devices, but about connecting people to the content they care about - online, mobile or in apps," said Dischler. Talking about the new app ads, that will run across Youtube, display and search, he said that with mobile "more important than ever and within that apps more important than ever", people were "not looking for apps but solutions."

Marketers recognised the importance of apps, but "driving awareness, installations, engagement and conversions are constant struggles". Some 60% of apps are never installed, he suggested, which is where Google is now focusing its attention. Approximately 18% of mobile app downloads now come from Facebook and Twitter, and many believe that social beats out search when it comes to app discovery and download. With these new mobile app promotion features, Google hopes to change that perception.

Google will use data from Google Play to suggest keywords to marketers that are most likely to drive app installation and enable deep linking from search directly into app pages (for those that have already downloaded that app). It will also enable conversion measurement.

Dischler said more information on the changes will be posted on the blog in the coming months.

The firm also announced plans to take Estimated Total Conversions further, with Dischler outlining plans to more accurately track offline conversions, including in-store purchases. While marketers will welcome better data on what actually lead to consumers making a purchase, there will likely be concerns about sharing that level of first party, CRM-type data with a publisher/network that is ultimately looking to take more of their dollars.

Dischler also announced "enterprise level tools" for larger AdWords users. He admitted that it has been “far too complicated” for advertisers to complete large-scale bulk transactions across campaigns. Now Google will add tools to address that and keep people inside AdWords for reporting, analytics and optimisation.

Some of those changes take it further into the territory of the likes of Marin and Kenshoo.

In a note to customers, the former said it was an interesting move for Google. But, said Marin, "It’s important to note the data is Google-specific only, so advertisers will still need to go “offline” or to a third-party platform for comprehensive, cross-channel reporting. Furthermore, Google has historically struggled when it comes to reporting on actual revenue from purchase transactions. At best, Google will provide advertisers with revenue proxies and estimates which can be used for analytics and optimisation.

Kenshoo was more aggressive.

"The kinds of advertisers that need sophisticated enterprise-level tools are not likely to rely on Google to make decisions for them when it comes to keywords and bids, nor will they want to share all their conversion data," said chief marketing officer Aaron Goldman. "For SMBs with small teams and limited energy to devote to managing advertising campaigns, these new offerings may be attractive. However, large companies running multi-million-dollar campaigns will still need to leverage best-in-class third party platforms ... that can reach audiences and deliver results across Google as well as Yahoo, Bing, Facebook and other networks in an objective and efficient manner."

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