What You Need to Know
Google recently made changes to their advertising trademark policy. The update affects brands advertising on Google Adwords, which has been simply renamed to Google Ads.
Within the update, Google states that ads may use trademarked brand names if:
“The ad’s landing page is primarily dedicated to selling (or clearly facilitating the sale of) products or services, components, replacement parts, or compatible products or services corresponding to the trademark. The landing page must clearly provide a way to purchase the products or services or display commercial information about them, such as rates or price”
The Impact on You
The above statements makes it easier for OTAs to bid on your brand name for searches on Google Ads, as long as their landing page provides information on your brand or a path to purchase your brand, which is something the landing pages already do.
Previously, brand owners had discretionary protection given to them by Google for trademarked names, in particular, on ads where brands were used within the description and ad title. These protections were applied to advertisers in areas such as the EU and EFTA.
However, the change in policy implies the protection will not be as strongly applied as in previous years. Google states that, “they will conduct a limited investigation from any valid complaint moving forward.”
The Impact on Costs
Previously, brand owners enjoyed lower CPCs than OTAs based on how Google treated ads by OTAs, which could not contain trademarks, forcing them to pay a higher average than they would have liked.
Now, policy changes mean you will see an increase to your average CPCs due to increased competition. Furthermore, the increased competition will negatively impact your click-through rates due to the increasing number of ads appearing at once.
One way to negate this would be to make use of dynamic feeds (Adparams). With dynamic feeds, you can display your rates within the ad copy giving you a distinct advantage against other advertisers as long as you maintain competitive rates within your ads.
If you need more clarifications on Google Ads or have questions on your digital marketing efforts, DerbySoft can guide you through the process and make your ad spend start working more efficiently and effectively.