• by Wendy Davis  @wendyndavis, January 12, 2006

When paid search first came into vogue, it was enough for many marketers to buy keywords from two companies--Google and Yahoo! Search--and trust them to distribute the ads on AOL, MSN, and other sites. But as search has matured, marketers seem to now want more control over where their sponsored links will appear.

Mike Kelly, president of AOL Media Networks, told OnlineMediaDaily that one of the main benefits of the company's new arrangement with Google is that AOL's sales staff now will be able to offer clients the ability to buy search ads just on AOL properties.

"Advertisers are expecting you to bring them a complete solution to digital marketing," he said. "That includes buying sponsored links directly from the publisher."

Late last month, Time Warner sold 5 percent of AOL to Google for $1 billion. Among other terms, the deal provides that Google will continue to power AOL's search engine, but allows the AOL sales force to sell pay-per-click ads to run as sponsored links alongside the organic results.

Currently, AOL has a roster of blue-chip advertisers--a group that as a whole, has lagged in search marketing. If AOL can entice these advertisers into increasing their keyword buys, that could significantly change the dynamics of search.

Some search engine marketing executives say that the ability to ensure that pay-per-click ads are displayed on specific properties will encourage large marketers to spend more on search.

"It's definitely a plus for marketers to have the flexibility to buy on AOL alone," said Joshua Stylman, managing partner at Reprise Media.

Gregg Stewart, senior vice president, channel management and marketing at Fathom Online, agreed. "Marketers will always want to go for precision if given the opportunity."

What's more, Stylman added, many marketers think AOL has "cleaner" traffic than other networks; AOL's subscriber-only past has created at least the perception that the network reaches real people, as opposed to bots or spammers. But, he added, marketers would do well to test their campaigns and determine which properties yield the better results. Not all campaigns will do better on AOL, said Stylman, adding that some marketers will have better results on Google's network.