IMPORTANT NOTE!

On July 28, the announcement trickled out that AltaVista has ended the paid placement program. The article below was the original article when the paid placement program was announced. For information about the termination of the program, please click here!

Original Article

AltaVista's announcement in April, 1999 that it would be auctioning off the top 2 keywords in it's most popular categories raised a very important question with online marketers. Should we buy keywords or continue to go the traditional route of optimizing for the best placement on the free listings?

It Depends on the Keyword

The thorny issues of whether it's right or wrong aside, the question is, "What keywords are important to you?" (For more on choosing keywords, click here) If you're interested in establishing a presence for a keyword like "cars", "CDs", "books" or "flowers", then you're probably looking at purchasing placement in these keywords on either AltaVista or GoTo.com. But be prepared to write a big check, because you'll be going head to head with GM, Amazon.com and FTD.

If, however, your keyword phrases are things like "Portland real estate", "immigration legal services" or "Spokane accommodation" it might not be a concern.

Are Paid Placements Really Better?

Internet users can have strange quirks. There are those who will purposely not follow a link if it looks like paid advertising, just on the principle of it. Studies have shown that banner advertising placed on relevant search returns have a much lower click through rate than the actual search returns. Remember too that on AltaVista, it's only the top 2 returns that are available for paid placement. Everything below it comes the old fashioned way...straight from the index.

What This Means for You...and for Us

The bottom line is, if your keywords fit the descriptions above, you should be checking out your options for securing top placement for these keywords. Remember, AltaVista is auctioning off these words, and yours may be in one of the more non-competitive categories, meaning guaranteed #1 placement may go for a bargain price. If you're interested, contact us and we can help you work through the process.

Further Resources - Other Articles

AltaVista Launches Paid Listings
The Search Engine Report, May. 4, 1999

AltaVista Unveils Increased Search Relevancy
AltaVista, April 15, 1999
AltaVista's press release on the new paid listings.

GoTo Going Strong
The Search Engine Report, July 1, 1998

Further Resources - Links

DoubleClick's Request Form
A Form indicating your interest in keywords on AltaVista