Search-to-search (S2S)

Search-to-search, or S2S, is the original form of search arbitrage. The operator runs search ads, typically on cheaper keywords or a cheaper engine, and lands the visitor on its own results page carrying ads from a search feed. If the feed click pays more than the bought click cost, the operator keeps the difference.

Its strength is intent. The visitor really did search for something, so advertisers at the end of the chain often get better prospects than they do from social or native traffic. Its weakness is that both ends are controlled by search engines, sometimes the same one. Engines dislike paying a partner for a visitor they could have monetised themselves, and their ad policies restrict destinations whose main purpose is to show more ads.

The prices are also closer together. Both the buy and the sell are search clicks, so the spread depends on finding keywords, countries or times of day where one market is mispriced against the other.

S2S is normally contrasted with Native-to-search, Display-to-search and Social-to-search, where the visitor is bought from a non-search channel.

An example

Say an operator buys clicks on "compare boiler cover" at $0.30. On its results page, 50% of visitors click an ad paying the operator $0.80. Revenue per visitor is $0.40, a $0.10 spread.