Hi Teresa

I think we'll see CPC rates come down as companies get better at targeting and converting. They'll have too as I don't believe that some of the CPC's rates we see are sustainable. The danger is that people spend less and see subsequent downturns in sales, the savvy companies will be busy getting better at converting the traffic they get rather than chase more traffic.

I've cited a article that talks about how things have evolved in a blog posting below but in general I think the trend for better analysis and targeting will continue.

Monica

Links:

• http://kilo75.com/blog/post/pay-per-click-advertising-changing.html

posted October 23, 2008