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As we are prepar­ing our analy­sis for our upcom­ing State of Dig­i­tal Mar­ket­ing quar­terly report, we noticed that CPC trends for most ver­ti­cals were flat YoY and quar­ter on quar­ter (QoQ). This is a con­tin­u­ing theme from last quar­ter where we noticed a sim­i­lar trend. CPCs in the finance cat­e­gory are a lit­tle volatile on a YoY basis as CPCs in 2012 were higher than 2011 for Jan­u­ary and Feb­ru­ary, but were lower in March.

Do flat CPCs indi­cate a drop in adver­tis­ing spend? Not nec­es­sar­ily. As we saw last quar­ter, backed by growth in query and click vol­ume, spend increased 14% YoY despite flat CPCs. We are see­ing sim­i­lar trends for Q1. Stay tuned for our report where we will pro­vide a full analy­sis on this data and more.

Dr. Sid­dharth Shah
Direc­tor, Analytics

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