Company files patent application for ranking algorithm.
Demand Media has content revenue prediction down to a science. The company has an army of freelancers who produce content based on the company’s prediction of how much ad revenue each piece of content will bring in. Now the company wants to patent its methodology for figuring out which keywords are the most profitable.
U.S. patent application 12/337550 is for a “Method and System for Ranking of Keywords for Profitability”:
A physical computing device receives information regarding a total number of people who are searching on the search term. Information is received regarding an amount advertisers pay for the search term. Information is received regarding a click through rate of the search term. A traffic estimate of the search term is determined. Longevity of the search term is determined.
One embodiment of the invention covers many of the steps people take to figure out which keywords are best:
(1) the number of likely audience members for each search term,
(2) the likely dollar amount advertisers will pay for each search term,
(3) the likely click rate for each search term,
(4) the ability of content targeting a given search term to compete with other content targeting that same term, and
(5) the estimated longevity of content created relating to each search term.
Most publishers — even domainers — take into consideration the first three factors. The ability to rank content in search engines is also taken into consideration by most publishers. (There are a number of inexpensive software programs that will crunch these numbers for you.) The longevity of content is something that may be a little unique, in that Demand is trying to figure out how long it can expect to get revenue from content it produces for a particular search term.
The patent application (pdf) was filed in December 2008 and published yesterday.
(Hat tip to DNW reader Paul.)