Despite receiving little fanfare when it came out of beta about a month ago, Google’s new interest-based advertising program for AdWords could have a significant impact on the scope of pay per click (PPC) campaigns, according to one analyst.

Melissa Mackey of Search Engine Watch said that while interest-based marketing has been around on display networks for some time, Google’s approach offers some key differences to traditional models.

For example, unlike most interest-based ad systems, it does not include cost-per-thousand pricing, which charges advertisers for every thousand impressions, whether consumers click on the ad or not.

Google uses a cost-per-click model that will already be familiar to users of PPC marketing.

Furthermore, there is no minimum spend, which means advertisers of any size can "test the waters for a low risk".

Ms Mackey also noted that Google has avoided the difficulties that many traditional display ads have with excluding underperforming sites, as individual portal performance can be monitored through the AdWords interface and weak elements can be removed "in seconds".

In related news, Google has introduced a new keyword modifier for marketers in the UK and Canada designed to broaden the scope of campaign phrases in order to increase clicks and conversions.

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