Google introduced two new ad formats that are an extension of two regular (computer) ad types to smartphones: Product Extension Ads and Product Local Ads.

The new ad extensions give marketers a way to include product images and other related data within ads displayed to mobile devices. One example of such an extension is inventory. If enabled, a user searching on a smartphone (iPhone, Android, etc) would be shown regional, inventory information for a product they are searching for. This new Google ad format, Product Extension Ads, are intended to drive eCommerce from mobile devices. Their counterpart, Product Local Ads, are intended to effectively do the opposite, drive foot traffic into local stores--by using the smartphone's GPS feature to put purchasing into a regional context.

Since Google has rolled out the new click to call feature for Google ads, the service has grown about 28% per month on average for both search and display ads. Although, this is not exactly explosive growth, it does demonstrate clear growth for a very straight forward and natural transaction goal for mobile advertising.

Currently, it has been reported by Google, that hundreds of thousands of advertisers are using the phone extensions as part of their ad line-up. The click to call feature has produced higher click through rates than campaigns not using the feature--an overall average of 6 to 8 percent higher.

Mobile advertising and eCommerce are becoming extremely powerful vehicles for businesses wishing to both increase brand engagement and generate greater revenue using the web. More consumers are becoming familiar and comfortable with conducting transactions online, as smart phones provide an equally increasingly improved mobile web experience.