Google Gives Up $34.5 Million Payday by Dropping Payday Loan Ads
Yesterday Google announced
it will stop accepting payday loan ads on its site starting in July. The move is intended to protect its users from “deceptive or harmful financial products”, and it will undoubtedly hurt business for the payday loan industry. But what will the change mean for Google itself? In other words, how much money is Google giving up?
According to AdGooroo data, quite a lot actually. We found there were 4,211 advertisers who collectively spent $34.5 million sponsoring 726 payday loan keywords on U.S. Google desktop search last year, at an average cost per click of $5.32. (Mobile search was not included in the study.)
The following chart ranks the Top 10 spenders on the 726 payday loan keywords in 2015.
Ranked #1 is MoneyMutual.com, a lead generation company fronted by celebrity endorser Montel Williams, which drives loan seekers to its site to apply for a loan and then sells the consumers’ provided information to actual lenders, who pay a bounty to MoneyMutual on a per lead basis. As the top advertiser on the 726 payday loan keywords, MoneyMutual spent nearly $2.7 million with Google on that keyword group alone in 2015, according to AdGooroo estimates. Three other payday loan lead generation companies made up the next 3 positions in the Top 10 ranking, including QuickerCash.com ($2.6 million), CashAdvance.com ($1.6 million) and BetterLoanChoice.com ($1.4 million).
Spending less money on the keyword group last year were 4 actual lenders in the Top 10 ranking: BlueTrustLoans.com ($1.2 million), CheckNGo.com ($878,000), SpeedyCash.com ($767,000) and MaxLend.com ($745,000).
Note: The results of this study are limited to paid search activity on the 726 payday loan keywords studied. Advertisers may be sponsoring additional keywords that, if measured, would alter the findings of this report.
View the original article from AdGooroo