Internet Ads are clicking with Advertisers

How do you buy a camera ? Probably, you open google.com and type the camera model name. Google shows few thousands of pages which carry information on that camera model. Google also displays few camera related ads near the right scrollbar. If you click the sponsored ad, you are taken to the advertiser's homepage and in the process, Google gets richer by a few dollars.

But online advertisers aren't complaining. You are in a "buying mood" and advertisers are willing to pay more to get higher ranking in the sponsored links. Indystar is reporting that Google and Yahoo see their revenue rise as the Internet clicks with advertisers.

If you type "e-mail marketing" into Google's search engine, Bronto Software appears under "sponsored links." Click on that link and the Durham, N.C., software company pays Google $6.50. Bronto spends up to $1,200 daily on Google ads but Bronto executives say it's a worthwhile investment.

Bronto knows that 5% of Google searchers who click on a Bronto link seek more information about the company. And 5% of those folks become customers.

Bronto has bids in on 800 key words and phrases - from a high of $6.50 per click to as low as $1.75 for "law firm marketing products."

Many ads, like Google's search ads, don't cost a dime until someone clicks them. And the Web enables companies to track how much time someone spends with an ad and how many viewers make a purchase. Also attractive to advertisers is that they can set their own price. Multiple companies can choose to run ads tied to the same key words. The more they pay, the higher they appear among the sponsored links.