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Google: AdWords Launch

The challenge

In 1998, Google had a better search algorithm but no business model. Banner ads were the norm for websites but Google's founders hated cluttering their clean interface. They needed to generate revenue without compromising the user experience.

The strategy

Google invented a new form of advertising — search-based intent ads. Instead of interrupting users, ads appeared only when users searched for relevant terms. Advertisers paid per click, not per impression, aligning costs with actual results.

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Key lessons (preview)

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