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The Kelsey Report® White Paper

Survey: Is Search the Web's Next 'Killer App'?
Greg Sterling , 4/3/2003

Issue: Pay-for-Performance Advertising Widely Viewed As a Threat

News: This week, European online and print directory publisher Eniro AB announced a partnership with search provider Google. This is just the latest in a flurry of deals to come out of what might loosely be called the "search arena." The official Eniro press release stated that the company's general search solutions will now be based on Google's search technology and that the deal would involve "evaluation of future business opportunities, including search and advertising services." Whether that means that Eniro will utilize or distribute Google's pay-for-performance (PFP) advertising technology and inventory is unclear, but it must certainly be under consideration.

The rise of PFP/search-based advertising has been almost meteoric so much so that it is now "top of mind" for people throughout the directory industry. As a result, The Kelsey Group (TKG) conducted an online survey for clients and other directory industry insiders to sample attitudes toward PFP/search and determine whether it was considered a "threat" to Internet Yellow Pages (IYP) and/or the printed product.

As of this writing, the survey has received 54 responses, with slightly more than half coming from North American print Yellow Pages publishers. The results, of course, are not scientific. However, the written comments are some of the most detailed, thoughtful and passionate in any of our online surveys to date, indicating how important an issue search-based advertising has become.

Copyright � 2005 The Kelsey Group. All Rights Reserved.
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