More Looksmart PPC Details

  • Oct. 2, 2003

As mentioned in the previous article Looksmart enters PPC market, it is apparent that MSN needs their own Paid search component.  They are currently relying heavily on Looksmart for the listings displayed in the web results section.  The Sponsored listings at the top of the page at MSN are currently from Overture. 

Some of the key features of the new Looksmart pay-per-click model include:

  • A Single log-in so you can view all your accounts and budgets
  • Alerts for low performing keyword bids
  • View traffic report summary
  • Sponsored listings will be displayed at Roadrunner, cNet, Infospace and Sprinks.

Looksmart states that Keyword bidding must follow this guideline: “It must be apparent that the level of service implied by the keyword is in fact offered on the site. There must be a clear and obvious connection between the keyword phrase and the content or purpose of the destination page.”   The Current Looklisting results are not guaranteed to appear in Sponsored Results for any particular keyword or keyword combination used in a search query.  The distribution of these Sponsored listings on the various Partner sites will be re-ranked every 24-48 hours and adjusted according to any changes in the Maximum Cost-per-Click (CPC) bids. 

Looksmart, and their current influence on MSN (via LookListings), Roadrunner, cNet, Infospace, Mamma and Sprinks (via new Sponsored Listings) can prove very interesting for MSN.  MSN cannot expand their Search Product and still be reliant on Overture, Looksmart and Inktomi.  They need to have their own solutions for these demands.  If Looksmart can prove the viability of their PPC to Microsoft then there is a good chance that MSN will drop Overture in favor of Looksmart.  The current MSN/Looksmart deal will expire in December 2004, but they do have the ability to get out of the deal via a non-competition clause.  Since Yahoo! is a direct competitor of MSN, MSN could use this to end the Overture contract prematurely without penalty.

Jason Lane
Senior Search Marketing Strategist
Searchengineposition, Inc.



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