Contextual Advertising Options

Google AdSense

The largest contextual advertising service is Google's AdSense Content Network. It consists of websites of small and large businesses that place advertising blocks with embedded JavaScript code on their sites. Google then uses its search algorithm to direct text-based, display and video ads to those blocks. Advertisers can use demographic targeting and other strategies to potentially increase revenue. Google places ads based on keywords as well as the location and languages of visitors. For example, a user in London is unlikely to see ads for a restaurant in Des Moines.

Microsoft adCenter

Microsoft's adCenter, leveraging its own Bing search engine and the Yahoo! search engine, is another contextual advertising option for businesses. Microsoft adCenter analyzes the content of a website to determine its meaning and then matches keyword-targeted ads to display on the page. The U.S. ads appear on exclusive content pages on the Microsoft Content Ads Network. Microsoft states that its ads are more relevant because the technology 'delivers relevant ads at the right time.' Advertisers who were on the Yahoo! advertising network have transitioned to the Microsoft network after the partnership agreement was announced in early 2010.

Other Options

Microsoft and Google dominate the online advertising market. However, there are other contextual advertising service providers. America Online's advertising and data insights arm is Advertising.com, which uses the AdLearn platform for ad placements and management. Kontera creates links within the text by adding double underlining to keywords that trigger pop-up ad bubbles. Clicksor is another contextual advertising service that claims to pay out 85 percent of the advertising revenues.

Trends

Technological advances continue to change the way contextual advertising is used and managed. Developers now try to determine age and consumer behavior from the sites they visit. Interactive video can also help businesses understand their consumers. Behavioral advertising may allow advertisers to tailor their ads based on the user's Web surfing habits in prior sessions. Publishers can select more than one contextual advertising company and multiple ad categories to potentially increase site traffic and revenue.