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Search Marketing Firm Sees Retailers Spending More, Getting Less

SearchLogos.gifSearch marketing firm SearchIgnite says its retail clients have so far spent 33% more on Google (GOOG), MSN (MSFT), and Yahoo (YHOO) search ads during the fourth quarter than they did during the same period last year, despite the fact that the retailers' customer orders are 6.2% less valuable.

The bump from Q3 2008 to the first half of Q4 2008 has also been larger, increasing 58%, compared to an increase of 40% from Q3 2007 to the first half of Q4 2007.

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What's it all mean? SearchIgnite claims its clients are allocating larger portions of overall smaller marketing budgets toward more measurable search ads.

But of course they'd say that. SearchIgnite is, afterall, in the business of selling search ads.

Also: the report doesn't say how much retail search spending increased from the first half of Q4 2006 to Q4 2007, so we can't say exactly how remarkable 33% y/y growth is.

See Also:
Microsoft Rebranding Search (Kumo?) And Making Same Mistake All Over Again

E-Commerce Shrinks For The First Time

On February 28, Axel Springer, Business Insider's parent company, joined 31 other media groups and filed a $2.3 billion suit against Google in Dutch court, alleging losses suffered due to the company's advertising practices.

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