Google gets into the lead gen business through Adwords.
Google has launched a new Google Adwords offering that directly competes with mortgage lead generation companies such as Lending Tree.
The new offering, dubbed Comparison Ads, allows Google visitors to compare offers from various mortgage providers. They can then fill out a quote lead form or call the mortgage company directly using a specially encoded phone number. Google charges the mortgage companies each time someone submits the lead form or calls.
This puts traditional lead gen companies such as Lending Tree and Quinstreet in a tough spot. They depend on Google for both organic and paid traffic. Now Google is competing with them.
So far it’s just a test and only for the mortgage industry. But I expect Google to quickly expand this to other verticals.
On the positive side, it’s possible that Google would integrate this type of ad into a domain parking page, which could result in higher payouts.
mrx says
I wonder how long before a the FCC tries to regulate G like a telecomm.
Fanny says
Google, with products like these, has the ability to crush many markets.
First the Online sites like LendingTree hurt retail establishments, now Google is taking the biz from the online sites…..thereby crushing the retail and online sites at the same time. So goodbye to employees, except at Google.
Ted says
This has very negative implications for the lead gen industry as aggregators will be pushed around with big brands winning. Very evil move IMO
Chris says
Unfortunately, Google is once again proving that data is a commodity.
In every commodity business, (mining, steel, agriculture, timber) the companies that dominate all have the same operational assets:
1. Access or control to large amounts of the commodity.
2. Operational ability to re-work it or “move it around.”
In the data commodity field, Google has no equal.
Anthony says
I actually saw this coming years ago …
I’m surprised it took them so long …
Maybe they will fast track this across other
markets.
Anthony
Henry says
Domainers, particularly many that depend on parking revenue, myself included, should be very wary. Google’s approach while not new, is certainly a loud shot across the bow of parking revenue.
Bing is also doing something similar quietly and not many noticed.
This is however where having a search term keyword as a domain name particularly those that are frequently bid high on Google systems will pay off. We all saw this coming.
Henry.
domain guy says
as previously stated this ” do no harm company” is doing more and more harm. now competing with paid advertising…and advertising companies are telling you to use google to postion your website.google is the enemy. now here comes android another prong that is hurting everbody..killing map companies and mapping websites as this looser of a company google needs to be killed off. the only posibility on the horizon is microsoft to the rescue.this does not even consider chrome and the info it collects and matches up with advertisers. i hate google and so will everyone else in the future…..
Frank Michlick (Domain Name News) says
With their purchase of DoubleClick Google also runs their own affiliate network, ConnectCommerce. Google now operates it as Google Affiliate Network. Not sure if they have CPA offers on there as well.
Guess what, ComparisonAds.com was registered under Moniker whois privacy today.
Andrew Allemann says
Frank – Google ran its own little affiliate program through Adwords for a while but shut it down. The Google Affiliate Network is CPA and Commission offers. What’s different here is that Google is running the ads themselves on the Google.com web site.
Frank Michlick (Domain Name News) says
Andrew, I knew where google runs these, I read about it 😉 Since it wasn’t mentioned in the article, I figured it would make a useful addition.
Andrew Allemann says
Sorry Frank, I was trying to respond to the last sentence you wrote about if they had CPA in the Google Affiliate Network.
Unasi says
Stop whining biatches, Google does what it has to do – increasing revenue for their shareholders.
Kevin Ohashi says
Brilliant. That’s all there is to be said.
Tan Tran says
Car insurance industry better start watching out. They could be next.
Andrew Allemann says
I would think credit cards is next. Easy to compare.
revolution says
so, in the same way people suffer from click fraud and google profits, what happens when competitors or just spammers etc. click the links and send out mock forms. if google automatically get paid it’s gonna be a nightmare
i think people will get more savvy and see the url and realise after a time they’re just selling their details on
people would rather go staright to a company that can help
having said that google have a boatload of cash to make out of this