Google, Yahoo and Paid Search

Google rarely struggles at anything. And, in the paid search arena, Google is the clear-cut leader. Yahoo posted disappointing second quarter results while Google exceeded expectations. This is partially due to Yahoo losing MSN as a client. Google has been innovative in search targeting and channel expansion while Yahoo has endured some delays.

With that said, both tools can be useful. However, Google allows slightly more precise targeting. And, depending on your niche, it can get expensive. The best way to go is optimizing your site. If you sell "shoes in Buffalo, NY," just make sure your main page includes those terms in the copy, title bar, and meta description. If so, you should rank pretty well.

With that said, ad words can be a good back up until you rank well. And, some claim companies enjoy superior results if they rank well organically and have ad words. And, more is often better than less (well, according to Yahoo and Google). But, it's worth looking at the return on investment.