Forum Moderators: mack
So where you mention "widgets" a link is shown to a site that sells widgets.
It is usually a bit more sophisticated than that with tooltips summarising the ad before you click through but it all looks very tacky in use.
The idea is that these will count with search engines the same as editorial links (meaning it counts as a vote of confidence and gives you an edge in search results). There have been some noises lately about Google trying to penalize/ignore in various ways sites that buy and sites that display paid links.
Some folks, however, buy text link ads just for traffic because the ROI is good. I have some that I was going to get rid of, but before I did I asked one of the advertisers who buys multiple links from me why he was buying them - for help in the search results or for traffic. He told me that his business depends on 80 sales per year and that in the previous six months, lots of his traffic and two of his sales came from my site (so 5% of the revenue for a 4-person business bought for a pittance). Since the site in question is not really a revenue site and I put the TLAs up for the experiment, I've kept them up there until I can find another way to help the guy out.
So it wouldn't hurt you, at least in the short run, but it might, for example, make it harder for you to use your high-ranking site to get your new site on the radar. I'm not suggesting that it will cause your high-ranking site to be banned or do worse in the search results.