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The major Microsoft Live Search announcement scheduled for tomorrow will be the official launch of a new product: Microsoft Live Search Cash Back.

The program in partnership with eBay and its PayPal unit will offer cash back to consumers who search on Microsoft Live and make a purchase. The announcement will be made in conjunction with a taped message from eBay CEO John Donahoe. The technology is based on the acquisition of Jellyfish by Microsoft in September, 2007.

The announcement is expected to be made by Satya Nadella, SVP Search, portal & Advertising Platform Group, Microsoft, prior to Bill Gates’ presentation on “Connecting the Future.” The goal is to differentiate Microsoft’s vertical search experience for users while leveraging improvements in the core search algorithm.

Microsoft believes the Live Search Cash Back program will align the interests of consumers and the search engine, putting Microsoft “on the same side as the consumer.”

The job of Live Search will be to match the most relevant products with the most relevant consumers.

Microsoft will likely offer advertisers a CPA (Cost-Per-Acquisition) model rather than a traditional search engine Cost-Per-Click (CPC) auction.

Tony Hsieh, CEO of Zappos, said in a taped interview that the program would help overcome the barriers of first-time buyers of shoes online.

A Barnes & Noble executive stated that clickthrough rates and purchases had increased through the use of the Jellyfish pilot program.

The following message is posted on the Jellyfish.com Web site:

“As part of our pledge to save you money on the products you buy, our Cash Back rewards service is currently offline to perform necessary service upgrades and enhancements. Jellyfish Account holders will receive an e-mail notification when our Cash Back service is up and running again. Thanks for your patience.

Using Jellyfish, consumers could compare prices of products from a number of online stores. Retailers paid Jellyfish fees to feature products. A portion of that fee was refunded to consumers who bought through the Jellyfish site.

Jellyfish also offered “Smack Auctions.” During each Smack show, Jellyfish would auction off new products in a unique price dropping format. Every second that ticks off the clock, Jellyfish would drop the price of the product, until the deal sold out.

Jellyfish founder Brian Wiegand is agroup manager at Microsoft. Last year, ye stated, Microsoft is “investing heavily in shopping and e-commerce.”

Microsoft closed the deal on Sept. 27, 2007 but didn’t announce it until Oct. 2, 2007.

This isn’t the first foray of Microsoft into the world of search engine incentives.

Microsoft Live Club is an ongoing experiment with incentivizing searchers but never on the Live Search Cash Back scale. For example, Microsoft Live Search Club lets users play games. A completed gives earns tickets toward prizes, such as Zune accessories, song downloads and ringtones.

Microsoft’s official statement on the announcement:

On Wednesday, we will be announcing a major new initiative that our search teams have been driving. We are getting better and better with our core algorithmic search, and at the same time, we are investing to differentiate in vertical experiences and to disrupt the current model. You’ll hear more about our plans Wednesday.

Yesterday at TechFest, Microsoft Research unveiled three projects designed to enhance a user’s search experience. Two projects, SearchTogether and CoSearch, are aimed at collaborative search while SearchBar assists the individual searcher.

SearchTogether is a free Internet Explorer plugin that allows groups of people searching on multiple computers in different countries to collaborate their searches. The plugin will be available for download later this Spring and installs a sidebar on the IE web browser. SearchTogether’s features include group query histories, split searching, page-level rating and commenting, automatically-generated shared summaries, peek-and-follow browsing, and integrated chat.

CoSearch enables collaborative search while users are gathered around a single computer. This is facilitated by the use of multiple mice or cell phones. For example, a person might use their cell phone to maneuver a cursor on the screen and transfer data to their phone, while another user may use a mouse to follow links on the same page at the same time.

Searchbar is an advanced search history tool that operates as a sidebar in a user’s web browser. Users can save searches in order to return to them later and pick up where they left off. SearchBar organizes the searches in a hierarchical tree format. Users can write notes to themselves to remind them of future searches or any other information they wish to remember about their search queries.

Microsoft’s projects are comparable to recent efforts by Google and social media startups to personalize and socialize search. But Microsoft could take the lead on such efforts because these projects offer users increased control of their own research efforts. With the ability to easily keep personal accounts of search queries and share and receive results from people they know, instead of being purely subject to algorithms and the opinions of a broad audience.

The biggest Search Engine Strategies conference of the year will be held the week of March 17 in New York City. Whether this will be your first SES New York, or the fifth one in a row that you’ve attended since 2004, you might appreciate some free advice on schedule optimization.

One look at the conference at a glance will tell you why. There are more than 70 workshops, keynotes, panels and sessions over the four-day Search Engine Strategies conference. And, on the fifth day, there are an additional six SEM training classes following SES New York.

Since there are five concurrent tracks during the four-day Search Engine Strategies conference and three concurrent workshops during the fifth day of SEM training, no one can attend everything. This is not daunting to the first-time attendee. It is also a challenge to someone like me, who attended SES New York in 2004, 2005, 2006 and 2007. I’m looking at last year’s conference handbook and this year’s conference at a glance and more than 70% of the sessions are new!

Now, Danny Sullivan programmed last year’s show and Kevin Ryan organized this year’s agenda. But, that’s only one of the factors driving the dramatic changes in the content at the event.

On the last day of last year’s Search Engine Strategies conference in New York City, Google announced its $3.1 billion acquisition of DoubleClick, which is still pending. A couple of weeks later, Yahoo! acquired the remaining 80% of Right Media for $680 million. Then, last May, Microsoft acquired aQuantive for $6 billion. Last July, Microsoft acquired AdECN for an undisclosed amount of money and in September, Yahoo! acquired BlueLithium for $300 million in cash. Then, on Feb. 1 of this year, Microsoft proposed to acquire Yahoo! for $44.6 billion.

That’s a lot of M&A news for the industry to digest – and our search engine marketing definition needs to be rewritten this year.

And our search engine optimization definition needs to be totally rewritten, too.

About a month after last year’s SES New York, Google announced its critical first steps toward a universal search model that offers users a more integrated and comprehensive way to search for and view information online. It was the biggest thing to hit the search engine marketing industry since Google’s Florida Update in November 2003.

In June 2007, Ask3D was launched. In September 2007, Microsoft launched its biggest update to Live Search since its debut in January 2005. And in October 2007, “an all new Yahoo! Search experience” was launched.

Meanwhile, comScore reports that YouTube, Google Image Search, Google Maps and Google News are approaching 1.6 billion searches a month, which is more than Live Search. In other words, Google (6.2 billion searches a month) is the #1 search engine, Yahoo! (2.4 billion) is #2, YouTube and all other Google “expanded” search sites (1.6 billion) would be #3, and Microsoft’s Live Search (1 billion) is #4.

So, is it any wonder that even SES alumni are heading back to New York?

So, to help industry veterans as well as search newbies, I’ve put together the optimized schedule below for the Search Engine Strategies conference that starts on Saint Patrick’s Day in the Big Apple.

Now, when you get to SES New York, you’ll make adjustments on the fly. As Bob Shirilla of Keepsakes Etc. told me at SES Chicago back in December, “I had a detailed game plan when I came to SES, but I’m calling a lot of audibles.”

Nevertheless, schedule optimization will help you get the return on marketing investment that you’re looking for. Here are the workshops, keynotes, panels and sessions that I’d recommend:

Day 1 - Monday, March 17, 2008

9:30-10:45am
Creating Compelling Ads
Organic Listings Forum

11:15am-12:30pm
Analytics: Data Into Action
Igniting Viral Campaigns

2:00-3:15pm
Web Analytics: Measuring Success
Auditing Paid Listings and Click Fraud Issues

3:45-5:00pm
Orion Panel: Getting Vertical Search Right

Day 2 - Tuesday, March 18, 2008

9:00-10:00am
Conference Welcome and Opening Keynote
Nick Carr, author of The Big Switch: Rewiring the World, from Edison to Google

Nick Carr, SES New York 2008, The Big Switch

11:00am-12:15pm
Introduction to Search Engine Marketing
Ads in a Quality Score World

1:30-2:45pm
Orion Panel: Universal Search

3:15-4:30pm (Sponsored Sessions)
Hitwise: Know about Your Competitors’ Paid and Organic Traffic
Google: What’s new with Google Analytics and Website Optimizer?

4:45-6:00pm
Search Engine Friendly Design
Ad Copy & Landing Page Clinic

Day 3 - Wednesday, March 19, 2008

9:00-9:45am
Morning Keynote
Gordon McLeod: Search Has Changed Everything… And So Can You

10:15-11:30am
Link Building Basics
Ad Testing: Research & Findings

1:00-2:15pm
Search Advertising 101
Top Search Trends

2:30-3:30pm
Afternoon Keynote
Jason Calacanis, Founder & CEO of Mahalo.com, Inc.

4:00-5:15pm
The New Face of In-House Search
Social Media Research: Informing Search Strategies

5:30-6:45pm
The Business Case for SEO Content Development: Turning Words Into Action!
Ad Exchanges Are Changing Everything

Day 4 - Thursday, March 20, 2008

9:00-9:45am
Morning Keynote
Andrew Tomkins, Chief Scientist at Yahoo! Research

10:00-11:00am
Usability & SEO: 2 Wins For The Price of 1
Podcast & Audio Search Optimization

11:15am-12:15pm
Beyond Linkbait: Getting Authoritative Online Mentions
Images & Search Engines

12:45-1:45pm
Meet the Crawlers
Video Search Optimization

But wait! There’s more!

On Friday, March 21, there are six half-day SEM training classes, which can be taken in addition to the SES New York conference or independently – at an additional cost.

Again, look over the descriptions of each workshop to see which ones are for you. But, here are the SEM training classes that I’d recommend:

8:00am-12:00pm
Link and Reputation Workshop
Optimizing for Universal Search

1:00-5:00pm
Search & Analytics Workshop: Using Analytics to Increase Search Effectiveness
The 7 Step RSS/Content Syndication/SEO Strategy

If you register for the Search Engine Strategies conference by tomorrow, Friday, Feb. 29, you can save $150. Conference attendees get free access to Market Motive training and Bruce Clay tools. And, if you attend SES New York, you could win a Scion xB! A free drawing will take place on Wednesday, March 19, in the Expo Hall.

I should disclose that Search Engine Strategies is now a client, but I’ve been writing about SES since 2002, when the March event was still held in Boston.

The search engine marketing industry has been totally transformed since then. For example, the keynote speaker at my first Search Engine Strategies conference was from Terra Lycos.

Remember them?

That’s why both industry veterans as well as search newbies will be heading to SES New York in a couple of weeks. The newbies will want to learn everything they can. And the veterans need to relearn most of what was being taught just a few years ago.

Greg Jarboe of SEO-PR and Amanda Watlington of Searching for Profit at SES London 2008

Want a snapshot of the day’s search marketing news? Here we’ve collected today’s top news stories posted to the Search Engine Watch Blog, along with search-related headlines from around the Web:

From the SEW Blog:

• Microsoft Wants to Buy Yahoo: Convergence, Continued
  There have been rumors of late about some sort of Microsoft/Yahoo hookup — and here it is. Microsoft just tendered a $31/share bid for Yahoo. All of Yahoo.
• Paid Search Advertising Drives Microsoft Bid for Yahoo
  More relevant search results and social media innovations won’t solve the problem of Google’s dominance in paid search advertising.
• MSN and Yahoo Merged: How Would It All Mash Up?
  Aside from the potential effect on Yahoo/MS investors and the American Economy (which will be reported on ad nauseum), the implications for the search marketing industry could be massive and exciting.
• Yahoo Board, Sans Semel, to Consider Microsoft Bid
  Former CEO and chairman Terry Semel stepped down as chairman last night.
• The Other Side of the MS/Yahoo Deal
  What would this merger mean in term of a search experience, organic results and news content?
• Super Bowl Advertisers Mostly Unprepared, Search-wise
  Advertisers pony up big bucks to create and air an ad during the Super Bowl, then fail to prepare for the inevitable searches for their company and ads.
• SEW Experts: Why All Links Are Paid Links in the Travel Trade
  The paid links debate isn’t so black and white. The question of what truly constitutes a paid link, and what qualifies as advertising, will continue to be a huge point of contention.
• SEW Experts: Rewriting URLs: SEO for CMS, E-Commerce, and Dynamic Sites
  There’s as much confusion and controversy surrounding URL rewriting as Darwin’s theory of evolution.
• SEW Experts: Optimizing the Planet: SEO on a Global Scale
  When building an SEO team to provide global services, it’s necessary to recruit skilled, multilingual SEO experts — no easy task.

Click to read the rest of this post…

It’s pretty obvious that this is all about the ad dollars. But they only get those dollars because we all go online to find news and information.

Eyetrack studies have shown us that many more people look at and click on organic search results than ads or sponsored links. So what would this merger mean in term of a search experience, organic results and news content?

comScore Media Metrix latest figures show Google now controls nearly 60% of the U.S. search market, and has been widening its lead, despite concerted efforts by both second-place Yahoo and third-place Microsoft. By combining, Microsoft and Yahoo would have close to 30% of the U.S. search market.

Speaking at the announcement early this morning Ray Ozzie, Chief Software Architect at MS, said “Social platform will become a new entry point,” and called Yahoo pioneers in this field. “We can further accelerate the transformation to a more social web.”

Sounds promising. Perhaps Yahoo’s innovative thinking and social media smarts combined with Microsoft’s deep pockets might give us a better search experience in the long run.
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In terms of news search Yahoo is top of the list with over 30 million readers and Google is only at at #7 with just under 10 million. (Could this have been one factor in Google’s decision to feature news on their web SERP’s?)

How this merger will affect our organic search experience and the online news audience remains to be seen. Since they want the ad dollars they will have to draw the users and to do that they need to up their game and improve the organic search function.

Google’s policy on paid links has long been the same: it does not approve of buying or selling links for the purpose of manipulating search engine rankings. Links that use the “nofollow” attribute or some sort of redirect to prevent the passing of PageRank are fine with them.
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Want a snapshot of the day’s search marketing news? Here we’ve collected today’s top news stories posted to the Search Engine Watch Blog, along with search-related headlines from around the Web:
From the SEW Blog:

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