14 Years Of Adwords
The 30.000 foot view of the features, changes and acquisitions that shaped the most lucrative Ad Platform in history.
- 1999: 1) June: Google received $25 million in equity funding raised by Sequoia Capital and Kleiner Perkins Caufield & Byers; 2) Fall: Google began selling CPM bids to select advertisers in private beta. Ads were sold direct via
Google's first salesperson, Omid Kordestani.
- 2000: 1) Spring: Dotcom bubble burst. Banner ad market crashed overnight; 2) Fall: Google launched self-serve advertising platform (Adwords), still on a CPM model. First customer was mail order live lobsters.
- 2001: 1) Google's ad revenue hit $85 million but was outpaced by Overture, which earned $288 million in ad revenue selling pay-per-click ads on an auction basis; 2) March: Dr. Eric Schmidt joined Google's Board of Directors as
- 2002: 1) February: Google introduced the pay-per-click auction model to Adwords. Also improved on competitor's CPC models with one unique twist: introduced CTR (click-through) rate, as a measure of the ad's relevance, into
the ranking algorithm; 2) April: Overture Services, Inc. sued Google for patent infringement in relation to the Adwords service; 3) July: Ask Jeeves and google signed $100 million three-year deal.
- 2004: 1) Following Yahoo!'s acquisition of Overture, the patent suit was settled with Google agreeing to issue 2.7 million shares of common stock to Yahoo! in exchange for a perpetual license under the patent; 2) April: Google Inc.
filed registration statement with the SEC for an initial public offering.
- 2005: Google launched the Google Advertising Professional (GAP) Program to certify individuals and companies who completed Adwords training and passed an exam: 1) January: Google launched the Adwords API; 2) Summer:
Adwords performed major crackdown to combat affiliate marketing; 3) August: Quality Score was introduced; 4) November: Google debuted Content Network Bidding system, allowing bids and targeting specifically to sites on
the Adsense network, as opposed to search.
- 2006: Google settled Click Fraud lawsuit to the tune of $90 million: 1) March: Google introduced Local Business Ads through Adwords; 2) June: Google introduced Ad Scheduling; 3) Summer: Adwords Editor released.
- 2007: 1) Spring: Adsense Partner Program added to YouTube; 2) April: Google acquired DoubleClick for $3.1 billion in cash; 3) June: Google banned Adwords adverts for student essay-writing services, a move welcomed by
universities;4) August: Google changed formula with regards to top ad placement. Performed separate Quality Score calculations for ads that run on top versus ads that run on the right side of the search results.
- 2008: 1) Google launched the Google Online Marketing Challenge. Over 8.000 students from 47 countries participated in the 2008 Challenge; 2) April: Google Adwords no longer allowed for the display URL to deviate from that of
the destination URL.
- 2009: 1) July: Google removed the "beta" label from its new interface for Adwords, ending its decade-long status; 2) September: Google opened the new DoubleClick Ad Exchange, allowing large advertisers direct access to RTB
(Real Time Bidding); 3) November: Google acquired AdMob, market leader in mobile display ad technology for $750 million in stock.
- 2010: 1) Yahoo formed partnership with Microsoft, giving Microsoft the control over powering the Yahoo search marketing ads. Both accounts were then run through Bing Ads; 2) February: Adwords cracked down on
pharmaceuticals, requiring pharmacies to be accredited and only advertise in their country of location.
- 2011: 1) Winter: Google+ launched with full Adwords integration; 2) December: Google's 2011 revenue hit $37.9 million, of which 96% ($36.38 billion) came from Adwords.
- 2013: Google announced it will add enhanced campaigns for Adwords. This move has been controversial among advertisers, with companies that it effectively forces ads to include mobile device targeting.
Sources: http://www.google.com/about/company/history/#1999; http://en.wikipedia.org/wiki/AdWords#History; http://googlepress.blogspots.com/1999/06/google-receives-25-million-in-equity.html; http://googlepress.blogspot.com/
2001/03/dr-eric-schmidt-joins-googles-board-of.html; http://googlepress.blogspot.com/2002/07/ask-jeeves-and-google-sign-100-million.html; http://googlepress.blogspot.com/2004/04/google-inc-files-registration-statement.html;
http://googlepress.blogspot.com/2005/01/google-nes-adwords-api.htm; http://www.ppchrero.com/guides/history-of-adwords-quality-score-and-periodic-changes; http://googlepress.blogspot.com/2006/03/google-introduces-local-
businesses-ads_31.html; http://googlepress.blogspot.com/2006/06.google-introduces-ad-scheduling-for_16.html; http://www.nbcnews.comid/11734026; http://googlepress.blogspot.com/2007/04/google-toacquire-doubleclick_13.html;
http://techcrunch.com/2--7/05/04/youtube-lainches-revenue-sharing-partners-program-but-no-pre-rolls; http://news.bbc.co.uk/2/uk_news/education/6680457.stm; http://publishing2.com/2008/05/27/google-adwords-a-brief-history-
of-online-advertising-innnovation; http://googlepress/blogspot.com/2009/07/new-and-improved-adwords-inerface_3D.html; http://googlepress.blogspot.com/2009/09/google-opens-new-doubleclick-ad_18.html; http://googlepress.
blogspot.com/2009/11/google-to-acquire-admob_09.html; http://adwords.blogspot.com/2010/02/update-to-pharmacy-policy-in-us-and.html; http://www.macgasm.net/2012/01/24/apples-elnds-big-google-adwords-2001.
Created by: SearcherMagnet: http://www.searchermag.net | Noe: Google, Adwords, Bing, Ask, Jeeves and their related products and logos are registered trademarks of their respictive owners. No affiliation or association is implied.
All information herein is sourced from public domain and is not guaranteed to be accurate.