Kanoodle Uses Click Rate for Ranking Content Listings

Share this content:
Kanoodle said it would begin to use click-through rates to help rank its contextual listings, as opposed to determining position based only on bid price.


Called ClickFactor, the ranking tool takes into account both the amount an advertiser bid for the listing and its click-through rate to determine the most relevant listing. A listing's ClickFactor is a score of 1 to 100 of how that listing performs relative to listings in the same category.


The system is similar to the one used by Google to determine the ranking of its search and contextual listings by combining a listing's click-through rate and bid price. Yahoo's Overture Services uses only bid price to determine ranking. Unlike Google, however, Kanoodle provides advice to advertisers to improve their ranking. ClickFactor provides reports about each listing's ranking and what bid price is needed to move it up.


"We really believe that better relevance benefits all parties," said Lance Podell, Kanoodle's president. "The only way advertisers believe this is if you give them the tools to see how they can improve."


The market for contextual listings, in which advertisers pay each time a user clicks on their text listings, remains small compared to the booming paid search industry. Investment bank U.S. Bancorp Piper Jaffray estimates contextual advertising will generate $100 million this year, growing to $1.4 billion by 2008.


ContextTarget listings are currently distributed on CBS MarketWatch and Quicken.com. The Motley Fool is in a several-month test of content listings from Kanoodle, IndustryBrains and Overture. Kanoodle plans to release a self-service ContextTarget system next month that will compete with Google's AdSense for distribution by smaller Web publishers.


Unlike AdSense, which uses Google's search technology to target listings based on a Web page's content, ContextTarget matches listings based on a Web site's sections. For example, MarketWatch.com was mapped into the finance category, with eight topic subdivisions that include mutual funds, stocks, and taxes. Kanoodle maintains that its mapping approach yields more relevant ads, since search and contextual listings perform differently.


Brian Morrissey covers search marketing for DM News.com. To keep up with the latest search marketing news subscribe to our free e-mail weekly newsletter Search Engine Marketing by visiting http://www.dmnews.com/cgi-bin/newslettersub.cgi .

Sign up to our newsletters

Company of the Week

PAN Communications is an award-winning integrated marketing and public relations agency for B2B technology and healthcare brands. PAN's data-driven approach allows the firm to specialize in public relations, social media, content and influencer marketing, and data and analytics. PAN partners with brands to create unique, integrated campaigns that captivate audiences and drive measurable results. PAN services clients out of the firm's four offices: Boston, San Francisco, New York City and Orlando.

Find out more here »

Career Center

Check out hundreds of exciting professional opportunities available on DMN's Career Center.  
Explore careers in digital marketing, sales, eCommerce, marketing communications, IT, data strategies, and much more. And don't forget to update your resume so employers can contact you privately about job opportunities.

>>Click Here

Relive the 2017 Marketing Hall of Femme

Click the image above