NY Times: Scaling up targeted search ads

Saul Hansell in the Times: ” Forrester Research, a technology consulting firm, expects search-based advertising spending in the United States to grow 47 percent to $2.8 billion next year from $1.9 billion in 2003, which is faster than any other form of online marketing…The question facing the industry is how big can these small ads really be….Now Overture and Google have hundreds of thousands of advertisers willing to pay for more clicks than even those highly used search engines can deliver. So they are both placing search ads on other Web pages. But advertisers are concerned that such advertisements are less effective if they are not on a search site, and may not be willing to pay as much for them.”