Froogle has been a long time coming, but this is the first its been so integrated with general results.
I can't imagine that this will have a positive impact on Adwords advertisers. From my own perspective, I would have liked if they had offered the Froogle service more as an extension of AdWords, rather than an extension of natural search. I would gladly pay to have products show up in the Froogle format. In my current situation I am unable to take advantage of the free Froogle listings. Its looking like a factor that will lower CTR, and take qualified leads from AdWords advertisers.
Also from Google's perspective, isn't it generally in their interests to maximize the number of clicks that go through AdWords? The type of customer who uses a "product search" is the most valuable to advertisers. Seems like a conflict of interest to me.
Any thoughts on the implications of this?
I can't imagine that this will have a positive impact on Adwords advertisers.
Froogle results show AdWords too down the left hand side so you get a second chance for Google users to click on your ad.
If you have your site set up the way Froogle likes it then at the moment you can expect to receive some free traffic.