Play_Bach - 12:33 pm on Sep 3, 2012 (gmt 0)
Google's not in it NOT to make money, so it must work across the board. Perhaps it depends on the niche. I for one would be out of business if Google served ads that were 100% relevant to some of my sites. I get ads that are relevant to my *audience* not my site, and that has worked out pretty well for me (specially this year).
Thanks netmeg. I was thinking about this yesterday afternoon as I was driving off to attend a wedding. For example, what is it about fireworks anyway? First thing that comes to mind is that it's not really a product as much as it is an event (a very popular one here in the USA on July 4th). So having a wide base of advertisers and a ton of traffic is a winning formula with this new AdSense set up.
Unfortunately, my site is very niche specific and so the shift from having site relevant ads like in the past to this general ad blanketing has resulted in a ten fold drop in clicks and corresponding income loss. Kudos to you again for getting it right.