Google is investigating allegations of tampering with an Adwords account, and circumventing a digital advertising agency by dealing directly with the client; a Singaporean government linked company (GLC). A Singapore-based Google executive directly approached the client, while the unidentified advertising agency’s Google Adwords account was mysteriously suspended.
The story has it that the Adwords account was suspended due to a payment issue, despite the fact that the agency still had credit in its account. The Google executive used this as an excuse to approach the GLC by saying that the issue would take a long time to solve and advised the company to deal directly with Google instead. However, the agency complained to Google and managed to reinstate its account almost immediately.
Google mainly makes money through advertising and the omnipresent Google Adwords. However, like many other companies that offer advertising space, it is able to make a larger profit by dealing with clients directly instead of advertising agencies (who take a cut of the payment). In this case it would appear that several overzealous Google employees in the region have been attempting to cut the middleman out of the equation.
This is not the first time that such allegations have been leveled against the Google Adwords team. Several forums have complaints from advertising agencies about Google executives directly approaching their clients and attempting to convert them into deal only with Google.
Digital News Asia has reached out to local companies in an attempt to verify these rumours, but has only encountered hearsay. However, one senior executive from a regional digital agency who was not identified did reveal that his company encountered the same issue some time last year.
This agency’s Adwords account was also similarly suspended for non-payment, while Google executives went to meet the agency’s clients to suggest that they work directly with the internet giant.
Google’s headquarters is investigating the matter, although it is unknown what action it will take against the executives if it finds any improprietry. The company needs to consistently increase revenue to satisfy shareholders, and it is most likely to do it by cutting out the advertising agencies.
[Souce: Digital News Asia]