Where business and technology create a winning customer experience.

DemographicsGoogle has a reputation as an innovator, but in personalization, they’ve been anything but. As I pointed out a few weeks ago, Google is deathly afraid of the only thing that can derail their plans—a privacy backlash. So, after yet another beta test for adding demographics to their paid placement offering, Google yesterday announced that “demographic bidding” is live.

Demographic bidding was pioneered by Microsoft in what is now Live Search. Increasing your bid for a keyword allows you to target searchers by age or gender, for example. Microsoft suffered no privacy backlash from this feature, but Google has taken quite a while in adding demographics to its own program.
In 2006, Google launched a test for demographics, using data culled from comScore. You can pick your preferences in three demographic categories and Google decides which sites that are popular with that audience. It wasn’t the same kind of paid placement bidding on demographics that Microsoft offers.
In January, Google finally started beta testing demographic bidding. Rather than using comScore data, Google is relying on self-reported data from social networking sites, such as MySpace and Friendster. So, if a MySpace member says she is 19 years old, then the ads that Google serves on MySpace for that member could include ones that advertisers have targeted for that demographic.
This is still short of what Microsoft offers, but you can see that Google is being careful to use the demographic information known about the searcher in a very limited way. My suspicion is that Google knows far more about searchers than it is using today. Perhaps Google is careful with personalized search because it is struggling to improve its search results using the personalized information, but I suspect a more practical reason.
I think Google wants others to blaze the trail. It wants others to be the innovators who take the privacy risks and suffer the inevitable backlash as they sometimes go too far. Then as public opinion, country by country, catalyzes around what is acceptable, Google will move into those areas.
As a search marketer, are you ready for the new personalized search world? Do you know which demographics you’d pay more for? If you don’t, you’ll have a lot of learning to catch up on when Google finally pulls the trigger.

Tweet about this on TwitterShare on FacebookShare on Google+Pin on PinterestShare on LinkedInEmail this to someone
Mike Moran

About Mike Moran

Mike Moran has a unique blend of marketing and technology skills that he applies to raise return on investment for large marketing programs. Mike is a former IBM Distinguished Engineer and a senior strategist at Converseon, a leading social consultancy. Mike is the author of two books on digital marketing, an instructor at several leading universities, as well as a Senior Fellow at the Society for New Communications Research.

3 replies to this post
  1. One would imagine that Google+Doubleclick do indeed have a lot better picture of demographics. That’s what worries me – whether they will use different methods to identify demographics over time, and between different sites.
    As an advertiser, I am, to a degree, more concerned with consistency than accuracy.
    If they label a group of users as “female aged 25-29,” and my reporting tells me that I do well with this group, then I’ll spend more to advertise to that group.
    I am less interested in whether that group actually consists of females aged 25-29, and more concerned with whether a sudden and unannounced change in how the group is identified will change the the makeup of that group, affecting the performance of my campaign.

  2. I totally agree, Dan–that is an excellent point. And, I think as behavioral targeting (and especially) retargeting becomes more common, it will be even more important for the demographics to be done consistently.

  3. Adwords Demographic Targeting released!

    Google releases Demographic Targeting for its AdWords PPC program. Allowing advertisers to target by age or gender.
    What is demographic bidding? It’s a feature that helps you target your ads to users of a particular age group (such as ages 18-24…



Yesterday, our author Andrew Schulkind presented our latest Biznology webinar about content marketing. If you've ever been greeted by a deafening silence after...