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Search Wars Heat Up with New Offerings

Microsoft and Yahoo both bowed new search advertising systems this month. Google just launched a slew of new services--some of which are search-relatedat its press day last week. Despite Google's overwhelming lead, the search wars are far from over; or its competitors, at least, are far from giving up. MSN and Yahoo both lost market share last year, according to comScore: Google had a 43 percent share, versus 28 percent for Yahoo and 13 percent for MSN. The search giant won't be getting too comfortable about its spot at the top, not when Microsoft says it's putting $6 billion behind its effort to catch up. Nevertheless, Google appears unbothered. How does it attract new users? Google Starter Edition helps newbies get their feet wet in less than five minutes, with a minimum number of clicks. Local businesses can also go beyond text ads by buying image ads in Google Maps. How does Yahoo plan to catch up? By acting more like Google, analyzing and giving weight to the same variables: bid price, consumer behavior, and proven ad effectiveness. Meanwhile, MSN has revamped its entire system to focus more on demonstrated user behavior. However, as Danny Sullivan points out, "MSN can have the most wonderful advertising program in the world, but if it doesn't have the traffic, nobody cares."

Read the whole story at USA Today »

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