Business 2.0’s Erick Schonfeld pointed out today that Google is putting some significant distance between themselves and everyone else in the online advertising market. In fact, they’re expected to grow 38% this year while closest competitor Yahoo drops by 17%.
To anyone who has done extensive PPC advertising, this should come as no surprise. Google’s system is lightyears ahead of Yahoo’s (and MSN’s) and just keeps getting better. Yahoo, on the other hand, is only now rolling out their first changes in at least a couple of years, and it just puts them on par with where Google was several years ago and only in a single area at that. You don’t beat Google with copycat features several years behind and dwindling distribution.
If you’re looking to get into PPC, we definitely recommend starting with Google. Yahoo’s too big to ignore if you can’t exhaust your budget effectively on Google, but they might be the third (or even fourth) choice behind MSN and Ask.com. It all depends on your budget.