Google Sells Performics Because of Conflict of Interest

After a yearlong deal to acquire DoubleClick / Performics, yesterday Google has announced the selling of the Performics Search Marketing division. On the official Google Blog, DoubleClick Director Tom Phillips states a conflict of interest as a reason for the sale.

According to Phillips, “Maintaining objectivity in both search and advertising is paramount to Google’s mission and core to the trust we ask from our users. For this reason, we plan to sell the Performics search marketing business to a third party.” This needed to be done as Google has stated many times in the past that they are not in the search marketing or optimization business.

What is interesting is that Google will be integrating the DoubleClick affiliate program into their existing advertising program. This means that there is future potential that Google AdWords may one day be based upon a pay-per-click (PPC) model and a cost-per-action (CPA) model similar to some hybrid programs that a few other online advertisers are trying out.

Just how this integration will occur is anyone’s guess right now. Also at stake is how much control both advertisers and publishers will have if this hybrid system comes to be. Stay tuned, though, as this may just up the ante on online advertising for the foreseeable future.

Leave a Reply