When Google changed it trademark policy for AdWords earlier this year, the intent was to help drive traffic to resellers or informational websites. With the holidays fast approaching, many search marketers fear the new policy will only hurt their businesses by driving up keyword prices, according to ClickZ.
Advertisers have their hands full during the holiday season, and it's also the time of year when frauds make a heavy push on trademark-infringing search ads. Under Google's new AdWords trademark policy, which went into action in May, advertisers can bid on trademarked keywords they don't own under certain circumstances, such as reselling a product.
The main problem with other advertisers bidding on trademarked keywords is that it drives up the price for the trademark owner, who undoubtedly wants to outbid all competitors. Of course, this is great news for Google, which profits off of the increased bid price. At the same time, advertisers can lose revenue if and when consumers visit other websites to buy the same product. Some luxury retail brands are already experiencing fewer clicks since the policy change, according to ClickZ.
With the new policy, trademark holders are also responsible for bringing any and all infringements to Google's attention before the search giant can act.
