14 October 2009 | Author: D. Warburton Search Copywriter

Bing loses advertisers as Google achieves record high

Bing has experienced an 8 per cent drop in first-page advertising, according to the latest report from research company AdGooRoo.

Microsoft's 'decision engine' was the fastest growing search engine in August but, according to The Register, results from the third fiscal quarter indicate that advertisers prefer the wider reach offered by Google - even though Bing, along with Yahoo!, delivers a higher conversion rate.

Despite its lower conversion rate, Google is still the preferred choice for first-page advertisers, achieving a new record 81.2 per cent share of the search advertising market, compared to Microsoft's 12.8 per cent and 26.0 per cent for Yahoo!

The AdGooRoo Q3 reports states: "Google has become the premium supplier of high-volume search traffic.

"Despite having lower conversion rates on whole than either Yahoo! or Bing, it drives far higher volume and a very respectable ROI, making it an excellent choice for established brand advertisers."

Prior to the eagerly-anticipated quarterly earning results of Google, Microsoft and Yahoo!, the ball clearly seems to be in Google's park, making the partnership between Microsoft and Yahoo! even more crucial to ensuring the future of both organisations as Google dominates the market. Although Bing has continued to pick up first-page advertisers throughout the quarter, it has largely been in the form of price comparison websites, while Google continues to attract the big names.

AdGooRoo explains: "Classical marketing strategy suggests that this is a reasonable equilibrium point for a mature market.

"Google is unlikely to lose their lead, while Bing will need to spend exorbitant sums to gain (or even maintain) market share, a precarious situation at best. In this light, a Bing-Yahoo! partnership is a sound decision."

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