Google's DoubleClick to sell search marketing unit

Thu Apr 3, 2008 8:35am EDT
 
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By Eric Auchard

SAN FRANCISCO (Reuters) - Google Inc plans to split off its search marketing arm from its affiliate marketing business and sell the search marketing business at its recently acquired DoubleClick advertising technology unit.

The online search and advertising leader is looking to spin off its Chicago-based search marketing business, Performics, which employs 200 of DoubleClick's 1,500 staff.

Tom Phillips, director of DoubleClick's integration efforts with Google, said the company wants to dispose of the search marketing business to eliminate the perception Google might favor the unit in its search results and other efforts.

"It's clear to us that we do not want to be in the search engine marketing business," Phillips wrote. "Maintaining objectivity in both search and advertising is paramount to Google's mission and core to the trust we ask from our users."

In preparation for the sale, the Performics affiliate marketing business is being split off from the search marketing business and will continue to be run as part of DoubleClick.

Affiliate marketing is where advertisers pay Web sites to drive users to their ads. Search marketing is a process in which consultants help advertisers choose targeted keywords to help boost the audience for ad campaigns using Web search.

Google is the world's dominant provider of ads that are targeted to run alongside its free Web search results.

DoubleClick plans to run the search marketing operation as a separate business until it is sold. "While we have not yet identified a buyer, we've received preliminary interest from a number of our current partners," Phillips said.  Continued...

 

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