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Quigo Targets Google’s Achilles’ Heel
With an offering similiar to IndustryBrains, Quigo launches yet another volley into the red-hot contextual marketing space and seems to be targeting Google’s Achilles’ Heel- the control and pricing of inventory for larger properties. The Private Marketplace is a private label version of the AdSonar system which would enable advertisers to make buys on individual sites and control the relationship.
According to the ClickZ piece:
“Now the publishers get to control pricing, the types of advertising that go on the site, and those that don’t,” said Quigo CEO Mike Yavonditte, adding that it also gives advertisers the flexibility to advertise only on the sites they choose. Contextual networks such as those from Google, Overture, and Kanoodle distribute ads throughout their partner sites without allowing advertisers to designate individual sites.
Travel site iExplore, along with DenverPost.com and RockyMountianNews.com have also signed on to use Private Marketplace. Quigo shares revenues generated with the product with its publisher partners. The revenue split differs, based on whether Quigo or the partner brings in the advertiser.
The Quigo CEO also stated average CPC price was around 0.70 USD. I agree- that is healthy.
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Quigo Targets Google’s Achilles’ Heel
With an offering similiar to IndustryBrains, Quigo launches yet another volley into the red-hot contextual marketing space and seems to be targeting Google’s Achilles’ Heel- the control and pricing of inventory for larger properties. The Private Market…
HA! You can’t tell me that wasn’t a jab at Google (by Mike) over the recent Kraft bomb.
It becomes more clear to me as time goes on. Google will have to settle for being the SO/HO online ad solution of choice. Small business hooking with very small publishers.
Hmmm… maybe not though. Seems like Google has compeition there too (i.e. blogs).
What like http://www.aiyo.com/app/sindex.jsp
I notice that this is still an exclusive offering, and these services are offered to the top tier sites. That’s why we are aiming our version of this (AdJungle.com) at everyone else. It is interesting that they have a different revenue split depending on the source of the advertiser, as we chose to set the rate to be constant, no matter the source of advertising.
I’m not so sure that an average seventy cent CPC is such a good deal for any of the involved parties. They have to split the revenue somewhere (Quigo and Partners) and IMHO that average CPC price is not going to last - it’s either going up (reducing the numbr of advertisers in the mix) or going down based on the clicks those ads receive (which could limit the number of affiliate/partners who adopt the program).
I think Quigo has made a major mistake leaving out SMB’s and they’ll feel it soon enough. I think it’s a great idea to let sites sell their own advertising (so kudos to Quigo) but now even Quigo has comptitors in Kanoodle and AdBright. More and more players are entering the contextual advertising/publishing marketplace (for example 7Search AccessoryAds) and this is good for everyone - since the prices will drop for advertisers using Adwords.