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A new report shows that paid search ads are the fastest growing way to advertise online for retailers. 

According to the findings from eMarketer, retail advertisers in the US will spend a combined $13.12 billion on search ads in 2019, up more than 20% from last year. 

In 2020, it is projected that spending will grow even more, to $15.65 billion. 

While search engine advertising is an effective advertising method for most industries, the report suggests that retailers benefit more than other sectors due to specific tools and features. For example, it cites how search ads may appear in Google Maps and show local stock of specific products, which can help drive real-world traffic and sales. 

Based on their data, the report estimates that 46.3% of digital ad spend from retailers will be used on search engine advertising, compared to the industry average of 41.5%.

Similarly, this rate is expected to grow even more in 2020 to account for 47.3% of total retail digital ad spending:

“Retail overindexes on search because bottom-funnel search ads are essential for driving ecommerce, and Google Shopping ads have become a go-to ad product for retail advertisers. Conversion rates for retailers using Google Shopping ads range from 1.1% to 3.1%.”

Part of this growth may be attributed to new burgeoning opportunities outside of Google’s search ecosystem. For example, the report identifies Amazon search as a potential driving force for future retail advertising.

Chances are, you’ve been calling Google’s ad platform “Google Ads” most of the time you talk about running ads on the search engine and its network. Now, Google is too. AdWords is being rebranded to simply “Google Ads” as part of an effort to simplify the search engine’s services.

Google is also consolidating its other advertising products into either the “Google Marketing Platform” and “Google Ad Manager.”

According to the company, the change is designed to make it easier for small businesses to take part in online advertising across a variety of channels.

“This is primarily a name change, but it is indicative of where we have been directing the product” over the past few years, said Sridhar Ramaswamy, senior vice president for Google’s advertising services, at a press event announcing the change.

Google’s Advertising Trifecta

From now on, Google’s ad platform will be split between three major brands – Google Ads, Google Marketing Platform, and Google Ad Manager

Google Ads

Google Ads will encompass all of the services previously provided by AdWords, which Ramaswamy said will act as “the front door for advertisers to buy on all Google surfaces.”

The switch to Google ads will also include a significant change to Google’s default advertising format. The company is launching a new default ad mode called Smart Campaigns, which is designed to prioritize the actions advertisers want most. This includes using machine learning to optimize images, text, and targeting to boost performance as the ad runs.

Google Marketing Platform

The Google Marketing Platform will combine the services previously provided by DoubleClick Digital Marketing and Google Analytics 360. This makes the Marketing Platform the source for high-end tools intended for large businesses or ad agencies.

This platform will also include a number of new features from DoubleClick Bid Manager, Campaign Manager, Studio, and Audience Center.

Google Ads Manager

The last brand announced this week is Google Ad Manager, which will combine all of Google’s monetization tools for publishers, such as the DoubleClick Ad Exchange and DoubleClick for Publishers.

As Jonathan Bellack, director of product management for publisher platforms, explained, this is the result of a three-year-effort to merge the two products into a more integrated ad-buying service.

“These categories have just been breaking down for a while — all of our publishers already log into one user interface,” Bellack said. So the only thing that’s really changing is “the logo.”

The rebrand is believed to begin in July, but Google’s representatives say the ad platform will remain familiar and usable for everyone accustomed to Google’s services.

“The look and feel is going to change a little bit, but the core functionality is not changing,” said Managing Director for Platforms, Dan Taylor.

Google has released its latest “Bad Ads” report, which shows the search giant is cracking down harder than ever on ads that violate its advertising policies.

In total, the search engine and ad platform has removed over 3.2 billion ads in 2017, nearly doubling the 1.7 billion ads removed in 2016.

“That’s more than 100 bad ads per second!” writes Google’s director of sustainable ads, Scott Spencer.

The highlights from the report include:

  • 79 million ads were taken down for sending users to malware-laden sites.
  • 400,000 malware sites were blocked
  • 66 million “trick-to-click” ads were removed
  • 48 million ads that initiated unwanted software installation were banned

About a year ago, Google launched new brand safety controls for video and display ads. As such, they updated their policies to prohibit the monetization of inappropriate and controversial content. Reflecting these policy updates, Google reports it has removed 320,000 publishers that violate publisher policies, blacklisted 90,000 websites, and banned 700,000 mobile apps in 2017.

“After expanding our policy against dangerous and derogatory content in April 2017 to cover additional forms of discrimination and intolerance, we removed Google ads from 8,700 pages [that] violated the expanded policy,” writes Spencer.

Spencer says Google also recognizes that only a small number of publishers account for the vast majority of sites that misrepresent themselves or present themselves as another legitimate organization. Of the 11,000 websites reviewed for possible misrepresentation, 650 were blocked and 90 publishers were removed from Google’s ad network.

The report shows how Google’s latest policies have worked to cut-out ad fraud and policy breaking advertisements across their AdWords network, but they won’t be slowing down anytime soon. Search Engine Land reports that Google is poised to enact new restrictions for ads related to financial products later this year.