Google is introducing new all singing, all dancing ads. Well, nearly. Google is in the process of testing its new "Listen Now" service ads in partnership with Spotify, Rhapsody and Apple’s Beats Music.
The service works in much the same way other Google searches work with one execption. When users search for music, Google displays the results — along with at least three links to music streaming services and stores.
New Revenue Stream
News of the new ad services emerged over the weekend in the Wall Street Journal. According to a Google spokesperson, the aim is to simplify the process of buying music online, as well, of course as making money for Google.
The ads, which work on both mobile and PCs are said to be performing well for the music providers, which means that the are performing well for Google, too, since Google is paid by the music services for every click they get in the same way it is paid by other advertisers for links clicked.
The Wall Street Journal cites two people who are close to the ongoing test say that the test has been underway for the past few weeks and is similar to the "Watch Now" ads that appeared in February and worked in much the same way for moves and TV shows.
Google is also working with something similar for hotels. That service enables users enter travel dates in a widget that appears when they search for hotel.
Like many other companies fishing for mobile advertisers, Google has struggled to find a solution to falling mobile advertising prices. Last year, it hit on the novel idea of producing and selling more ads quicker resulting in a major increase in ad revenues, while there was also evidence that mobile users were prepared to click, if not pay more for advertising.
Since then, Google has been trying to find other ways to make more out of its advertising services with ‘Listen Now’ just the latest.
The WSJ is also citing unidentified sources as saying that the new format is performing well for some advertisers, so we’re likely to seem more from this in the future.