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July 2, 2012

Mobile Paid search grow 333% 14% Search Budgets goes Mobile

In Q2 market share shifted back towards Google holding 79.1% of share compared to Yahoo!/Bing with 20.9%.Yahoo!/Bing increased search ad spend by 32.9% YoY, which tops Google’s 11.4% growth.

US Paid Search Spend Growth Slows in Q2; Mobile Keeps Rolling
: "US paid search spending grew 15.5% year-over-year in Q2, representing a slowdown from Q1’s 30.3% growth rate, per a June report from IgnitionOne. Despite the overall pace settling back, mobile paid search continued to grow at breakneck speed, with a dramatic 333% increase year-over-year, following a 221% rise in Q1.

Mobile accounted for 14% of total US search budgets in Q2, up from 12.3% in the previous quarter. Mobile’s growing importance was similarly seen in a Performics report in May: the company continues to find mobile taking up a larger share of budgets among its aggregated client base.

CPCs Show Slight Growth
Data from IgnitionOne’s Q2 report indicates that total cost per click (CPCs) rose 2.1% in Q2, after increasing 0.9% in Q1. Google CPCs continued to fall, down 3.1%, which the report attributes to increasing reliance on mobile’s cheaper CPCs, as well as increasing use of new formats which are typically lower PPC clicks. By contrast, Yahoo!/Bing saw a significant 24.3% rise in CPCs."