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Microsoft Incentivized Trial Boosts Search Up 15%

Posted July 18th, 2008 by TechCrunch

This article was originally published on techcrunch and is being re-published here with permission.

This isn’t enough data to declare Microsoft’s much derided Live Cashback search product a winner, but the first full month after in launched (June) shows a 15% gain in search volume v. the previous month, according to Comscore. This erases the previous month’s losses, bringing Microsoft up to 9.2% overall search share.

Live Search CashBack gives advertisers the option of offering users a direct rebate for purchases made after searching on Microsoft. The product shifts search advertising from cost-per-click (CPC) to cost-per-action (CPA) and give a lot of the revenue back to users.

Live Search Cashback isn’t designed to grab a ton of market share away from Google and Yahoo, but Microsoft is hopeful that more users will come to them when doing searches around buying goods online. And those queries tend to bring in the lion’s share of advertising dollars. This won’t affect Microsoft’s bottom line much, of course, since they are passing most of the money from purchases right back to consumers.

This is far from a definitive statement of Live Search Cashback’s success as an ongoing product, but the jump is an early sign that consumers may be intrigued. Let the debates continue.

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47 comments. What say you?

  1. Good Comment?
    Eva White

    Sounds good, let it prove itself before we decide to switch from google.

  2. Good Comment?
    Chip

    I don’t think they’ll have any success. Not on a large scale, anyway.

  3. Good Comment?
    Paul

    Microsoft needed to do this to get back in the game.

  4. Good Comment?
    PPC

    Aha! This could be another loophole begging to be exploited by similar scams. The numbers would really be interesting, agreed.

  5. Good Comment?
    PPC

    I expect them to watch proceedings with an eagle eye, and take counter measures before this causes MSN to build too much momentum.

  6. Good Comment?
    PPC

    Let’s hope this will lead to Google offering money back too. That will be really nice. Can’t wait to see exactly where this whole saga is heading.

  7. Good Comment?
    Web Marketeer

    Hahahahahahah! Well put! Their main business ain’t search, and it shows. Microsoft has the resources to seriously challenge Google if they can get their stuff together!

  8. Good Comment?
    Web Marketeer

    Anything to gain some market share. Just watch Google do the same if they see it is benefitting Microsoft’s share of the search market too much.

  9. Good Comment?
    Geiger

    How are they tracking purchases? Is this only for purchases from certain sites?

  10. Good Comment?
    jim

    A lot of people were gaming the system through ebay, buying up their own gift cards, getting cashback, and making a profit. It’d be interesting to see MS’s financial numbers on the cost of that 15% boost.

  11. Good Comment?
    Dick

    That’s right

  12. Good Comment?
    RacerX

    In my RL gig, we haven’t seen a big shift yet…keep watching!

  13. Good Comment?
    Godaddy Coupons

    This is a great idea and thanks for the info

  14. Good Comment?
    Dick

    I think, Microsoft clearly understands that and for what he is doing.

  15. Good Comment?
    Amirulcyber

    thanks for your information.i appreciate it.

  16. Good Comment?
    Web Hosting Rebates

    Basically, search engine meets ebates. Microsoft’s search engine becomes a big affiliate rebate site. Not good for smaller rebate players (like us) if this works well for them (although, I doubt they’ll kick back rebates at the same dollar amount we will)

  17. Good Comment?
    amer1can paratrooper

    This scheme reminds me of what credit card companies are currently doing.

  18. Good Comment?
    Zak Show

    I don’t think that Yahoo search is close to google if you mean that they showing the same results. It’s absolutely different, each company has it’s own algorithm. my blog is in the first result page for a keyword in google and in the 10th page in yahoo for the same one!

  19. Good Comment?
    River Girl

    It will be interesting to see about google.

  20. Good Comment?
    richard

    Live Search Sucks. Yahoo Search is close to google.

  21. Good Comment?
    Bryn Youngblut

    Seems like a good idea, although I’ll stick to google.

  22. Good Comment?
    ajaz

    This is a good idea that should take off.

  23. Good Comment?
    Godaddy Coupons and Promo Codes

    Google should start doing this too then

  24. Good Comment?
    Zak Show

    haha that’s what google love ti hear :D You should me rational to get the max of the utility!

  25. Good Comment?
    Zak Show

    Very good idea but if they continu like that they will not get the max of the profit. Anyway it’s great for microsoft to see that 15% of jump, that will encourage them to continue the promotion. but Google still in a win situation!

  26. Good Comment?
    Melvin

    this is incentivizing at its best….

  27. Good Comment?
    Diogo, D-Iglesias.com

    Great Ideia!

  28. Good Comment?
    Ben

    It’s nice to see an innovative move from Microsoft in a business dominated by Google!

  29. Good Comment?
    Make Money Talks

    Live Search Cashback is good idea, you can’t say anything this time for M stuff.

  30. Good Comment?
    Movies

    no they don’t, but I’m pretty sure that they will come up with something to combat this. evil Google. :) )

  31. Good Comment?
    Brent

    That is good for MS and the advertisers who have the little gold coins next to their ads. As an affiliate though, I have seen a decrease in CTR on my ads since this started. Impressions are up but people are clicking more on the incentivized ads, so that is decreasing my CTR a little.

  32. Good Comment?
    Movies

    Finally Microsoft made a positive step in this field.

  33. Good Comment?
    Sam

    Lets figure out a way to monetize this.

  34. Good Comment?
    DealDasher

    Not bad, who doesn’t like rewards and deals

  35. Good Comment?
    DannyArcher

    personally, I think it is a stupid idea. a desperate move. Microsoft could have been so much more better since they owns IE, they could somehow offer an online bookmarking system and harvest the info, like del.icio.us, definitely the most bookmarked sites are some of the best on the web.

  36. Good Comment?
    Godaddy Coupons and Promo Codes

    Google does not have this does it?

  37. Good Comment?
    LiviuX

    I like this idea

  38. Good Comment?
    Rekzai

    Nothing is gonna make me switch from google.

  39. Good Comment?
    CVOS man

    Is the next Microsoft acquisition Ask.com?

  40. Good Comment?
    BLogicThink [dot] com

    nice idea…

  41. Good Comment?
    Andrew

    A lot of consumers like getting rewards for purchases. There are numerous rewards programs out there for different things. If they market this enough it’ll get more of the online shoppers going there to search and shop.

  42. Good Comment?
    BLogicThink [dot] com

    Hi, thats good…
    I like it :)

  43. Good Comment?
    meethere

    Nice way to increase search volume.. Google will follow soon :D

  44. Good Comment?
    Godaddy Coupons and Promo Codes

    This idea is already used on many other sites. I think its the first time that a huge site started using it though

  45. Good Comment?
    Christian

    I like this idea…

  46. Good Comment?
    cheap used cars

    I think its a good idea, and just in time. Now if only they had a quality search algorithm..

  47. Good Comment?
    Godaddy Coupons and Promo Codes

    The live cash back is a great idea. Its no surprise that its doing well

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