Google creates "gadget ads" for websites

Online giant Google has begun testing a new advertising program that is expected to launch later this summer. According to reports, the new gadget ads will be available for site owners to embed within their websites pages.

by Kristina Knight

The so-called gadget ads will be available for every advertising category. The ads act like widgets, giving the advertiser the ability, through HTML, to create flash, real-time content feeds and video. The ads can also be more traditional display ads if wanted.

Google will place the ads through an auction-based server with marketers able to bid according to publisher's sites or content themes.

User-generated content has changed the way advertisers look at online marketing. Blog advertising has become an increasingly popular form of advertising, with companies like PayPerPost and ReviewMe connecting marketers to bloggers for a price. In addition to blogs, advertisers are also finding that marketing on video and picture sharing sites are a good option.

Google is also rolling out a new set of advertising metrics to help marketers track how the gadgets are being used on their websites. The analytics tools include the ability to track which areas of a website are getting the most attention from users. Once this is known, a publisher will know what tools bring users back the most. Marketers can also track user engagement. Knowing how long users stay on-site and being able to capitalize on that engagement is crucial to ROI.