Internet Marker

June 24, 2009

Are Google Ad Words An Economic Indicator?

Filed under: Uncategorized — imarker @ 4:56 pm

Interesting story from CNBC:

Google’s AdWord rates, set by an auction system, reveal what search topics are most popular to advertisers, and thus to consumers. BNY ConvergEx Group released a fascinating report that broke down what the prices say about the state of the economy. Bottom line: it’s not good. The highest prices go for ads for “budget offerings and services that cater to a recessionary environment.” Maybe this is a trailing indicator, but still, there no green shoots in this study.

The most expensive ad words, going for nearly $65 a click, are for businesses that cash out long-term structured settlements in a lump sum. (Translation: people are desperate for cash, fast.)

Read the story here.

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