Are Search Ads a Waste of Money?

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NEW YORK New research by Microsoft suggests a big chunk of search ad spending is wasted because advertisers pay top dollar for high ad placements clicked by consumers who are en route to their sites anyway. Listings tied to such “branded” keywords, typically a company’s name or products, eat up about half of search budgets, Atlas estimates.

“The reality is those people are already intending to go to your Web site,” said Young-Bean Song, vp of analytics for Atlas, formerly part of aQuantive and now a unit of Microsoft.

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