21 April 2008

How will Google's New Trademark Policy Impact Your Web Marketing

Google have announced that they will no longer disable keywords as a result of trademark investigations in the UK from 5th May, 2008.

Previously, brands were not allowed to use a competitors trademark as a keyword. e.g. Audi could not use BMW or Mercedes as keywords in their Google Adword campaigns. If they did, BMW or Mercedes could complain to Google who would disable the offending keyword trademark from Audi's campaign.

From 5th May this will no longer apply, meaning that your competitors are likely to consider using your brand name or trademark as a keyword. Using the example above, Audi could now choose to show their ad when prospects type in 'BMW' or 'Mercedes'. This is likely to lead to an increase in bidding against trademark keywords which may result in higher pay per click costs.

However, you will still not be allowed to use the competitors trademark in the actual ad text - just the keyword. 

Why have Google done this?
Google says that this change is consistent with their goal '...to provide our users with the most relevant information, whether it is from our search results or advertisements.'

I completely understand why a brand like Audi would want to show their ads when prospects are searching a close competitor. Whether, it is in the best interests of the searcher is open to debate.

I will monitor results but still expect to be advising my clients that Google Pay Per Click should remain an important part of any web marketing strategy and is still a great cost-effective way of attracting targeted prospects to their websites. 

Remember...web marketing is about solving customers' problems profitably.


Peter Hawtin is an internet marketing specialist with Brand New Way, a UK web marketing agency which helps companies to attract and retain valuable customers online.

2 comments:

Tom Barnes said...

There are 2 things that should help the brand owner. First, they should be able to get to the top of the natural search for their own brand keywords. And secondly, by using the brand keyword in the ad copy (as well as the landing page & url), they will have better relevancy which will reduce the amount they have to bid in comparison to their competitors.

Peter Hawtin said...

Tom makes a valid point. All other things being equal, you would expect a brand owner to perform better than their competitors for the branded keyword. However, like all advertising, the quality of the copy will also play an important part.

Providing brand owners do everything well, Tom is right to suggest that competitors are likely to have to bid more than the brand owner to achieve a higher ranking for the brand keyword. However, in some cases, the effect of this new competition is likely to result in brand owners having to bid more than they used to.

So the ultimate winner is likely to be Google.