Pali Research analyst Richard Greenfield issued a report yesterday about the MySpace/Google ad deal concluding that “Google doesn’t care about social networking. But perhaps it should, since social-networking platforms are gradually making search less relevant,” according to AdWeek.
Sounds pretty harsh, no? It’s well-established that ads on social networks don’t perform as well as other types ads. We’ve always liked to think that it’s because social network users aren’t there for advertising or product info. Not so, says Greenfield: “Rather, . . . Google’s algorithm isn’t well-suited to social-networking sites — and that’s something Google isn’t necessarily concerned with.”
And there’s a good reason for that. And no, it has nothing to do with clicks from social networks being less valuable than clicks from elsewhere on the net. It’s jealousy: