Tuesday, January 23rd, 2007

Search Engines that Pay Users – Advertisers Beware!


“If at first you do not succeed, try and buy your market share.” Okay, admittedly this is a bad example of the mantra I am trying to get across but it does fairly represent the enticements a couple of search engines are using to attract users; Blingo and AGLOCO.

1) Blingo: Owned by The Publisher’s Clearing House, the search engine Blingo is randomly giving away prizes to those who search on their site. They have even made it viral by providing a duplicate prize to the person who referred the winner.

2) AGLOCO (link removed, site no longer exists): The core concept of this search engine is that it is a co-operative. Users who sign up and use its proprietary “Viewbar” to search the net will get paid per hour and will be treated like a shareholder by getting a chunk of the company’s profits. Members will also get paid for referrals to friends; the crucial viral marketing method. This is not a new concept, in fact AGLOCO was created by a couple founders of the similar but long dead AllAdvantage search company. Apparently the founders that started AGLOCO feel there is a better chance the second time around.

So why the title “… Advertisers Beware!”?
Each of these search properties are built on the basis of making money off you, their advertiser. In fact, that is their entire business model – attract the users and the advertisers will have no choice but to come and pay well for visibility. My concern is that users who sign up to get paid to search may not be the target market for the average advertiser. After all, logically some of these users are on the search engine just to make an easy buck and are not necessarily interested in serious searching. Lower quality viewers aside, there is bound to be a market here worth tagging but I expect advertising on any of these properties should be carefully thought through before proceeding.

If you do decide to go ahead and advertise on these two sites (or any others like them) I strongly recommend setting up unique landing pages for each search engine and monitoring the average time for each visit using your traffic statistics. If you find a very low conversion rate and that the majority of users stay a very short time (less than 5 seconds) you had better turn tail and run – unless the cost of advertising is so low it doesn’t matter.

Caveat Emptor

4 Responses to “Search Engines that Pay Users – Advertisers Beware!”

  1. Chris M

    Let’s not forget about Winzo. They also give away cash for searching with them.

  2. Jeremy

    I agree with your argument to some extent, but you have to remember Agloco is a toolbar that pays on hours – not clicks. Agloco doesn’t want this to be a simple regurgitated PPC revenue model, but a pay per usage model. That way the quality of the searches is exponentially increased as the incentive to click for profit is removed.

    The goal if I’m not incorrect, is to replace the Google/Yahoo Toolbar sand other 3rd party browsing services users currently employ, and use Agloco’s ViewBar instead.

    I completely agree pay per click and other individualized incentive models promote fraud and low converting traffic – but if you replace a users current tools and provide the same quality results…it’s a win win. Users get paid a % of the Ad revenues, Advertisers get quality clicks, and the Publishers are forced to share.


  3. Agloco Referer

    I say bring it on! Will be very interesting to see if this business model will work this time. I believe it will in web 2.0.


    Jeremy is correct. This is a pay per usage model and clicks are not an incentive for members.

    Advertisers are finally going to get what they need and want in a safer environment that does not encourage click fraud.

    I am glad though that articles like this are being published to allow advertisers to examine what AGLOCO has to offer. What they will find is a refreshing alternative to PPC.


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