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Your marketing specialist approaches you with a great idea for Internet advertising ' purchasing trademarks of your company's competitors and for complimentary products as keywords to match Internet users conducting searches in your product category to an advertisement for your company. Do you advise your company to purchase third-party trademarks as keywords? How have the courts dealt with this scenario? How can you reduce risks associated with purchasing third party trademarks as keywords? What are the international implications? This article addresses these issues.
Contextual Advertising:
A Revolution in Internet Advertising
Contextual advertising targets advertisements based upon an Internet user's actual online behavior. Contextual advertisements, for example, are designed to trigger a pop-up for Travel Co. when the user employs a search engine for “vacations,” displays a banner about Weight Loss Co. when a user visits a web site about dieting, and brings-up Car Company as the “sponsored” result on the search engine results page when a user searches for “trucks.” Advertisers generally do not pay for these types of ads until a user “clicks” on them, which makes contextual advertising a targeted and cost-effective marketing tool.
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