It might come as little surprise that Google executives believe Adwords is a better investment for retail marketers than say, a print magazine, but their logic, as ever, is hard to argue with. John
Rosenberg, Google's vice president of product management, gives an example. If you're selling $1,000 Prada handbags, you'll probably spend about 28 cents for each user that clicks on the ad. That
actually costs almost three times as much per user as a full-page ad in a magazine like
Vanity Fair, which, at $110,000 with a circulation of 1.1 million, costs roughly 10 cents per reader.
Rosenberg argues that that Prada ad may or may not be seen by a consumer reading the magazine, while the more expensive pay-per-click ad brings the user to a page where they can immediately buy one.
That, folks, is tough to argue with.
Read the whole story at Bloomberg »