Improvements to the mobile Web will continue to cause more people to conduct searches on their cell phones however a new challenge to Web advertising giants like Google, Yahoo and others just may well be the mobile phone's screen size. Traditional thinking might lead you to assume what Ben Kunz did in his article in BusinessWeek - small screen equals - less inventory to sell. It's true that a standard computer screen the Google's Ad Sense can fit about 10 ads, but on a cell phone you get only one or two paid ads.
Says Kunz: "Imagine the horror that would befall your business if a large slice of what you sell suddenly disappeared. A similar fate could befall companies that depend on online advertising, as small screens become the gateway to the Internet."That said, no one believes that mobile phones will replace laptops overnight, but if the adoption of Web usage on Apple's iPhone is any indication, Google and its competitors better get
Isn't Google already working on this? Earlier in the first quarter, when those infamous numbers from comScore were released (not that those were necessarily wrong, by the way), Google came out saying that it was tweaking its algorithm to promote ads that were likely to convert while eliminating those that were not. The end result was fewer ads, but more qualified--and thus more lucrative--leads generated from ads that were clicked on. Perhaps Google decided to tweak its algorithm with a view to the mobile shift in mind? After all, if the future means less space for ads, wouldn't Google be wise to make sure that fewer ads cost more and convert better? Link: BusinessWeek - Apr 28, 2008 - The Real Threat to Google