Conversion rate

Kaufman Bros: Social ad spending is not hurting search

January 13, 2011: 10:18 AM ET

Search spending Q4 was strong, leading to an upside for Google, and 2011 ad budgets remain healthy.

Google (GOOG) watchers may want to take note of some research from Kaufman Bros. today.

The most interesting bit is that social ad spending may not be taking away from search ad spending:

At our online advertising dinner in November 2010, some [Search Engine Marketer] SEMs had mentioned that advertisers were giving them budgets earmarked for social. When asked if social ad spend was taking dollars away from search, our panelists were unanimous in their view that the spend is incremental, still experimental and is not hurting search spend in any way. They added that on social ad campaigns, it's very hard to get scale while maintaining a good ROI.

Also, some notes on mobile search spending and tablets, which are hard to classify: More

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