Forum Moderators: martinibuster
For example, a click on an ad for digital cameras on a web page about photography tips may be worth less than a click on the same ad appearing next to a review of digital cameras.
[edited by: markus007 at 8:08 pm (utc) on April 1, 2004]
I suspect many will see significant drop in income over the next 3 months and as the advertisers see the system is geared towards them and not publishers and decide to come on line more income will increase
My own worry is if Google combines email and Content sites as content advertisers will bid very low so we may not do as well
steve
That would basically be the end of the program for publishers.
I hope Google is looking at satisfying the latter more than the former, because ultimately that's what publishers earnings stability will depend on.
My own worry is if Google combines email and Content sites as content advertisers will bid very low so we may not do as well
and:
Maybe Adwords Advisor could advise if under the currrent changes and future changes as well as gmail could all content be lumped together in which case many publishers will move to other forms of income and i suspect advertisers will base cost per click on lowest form for roi i.e. email
You bring up an interesting point. With "gmail" being another content venue for AdWords/AdSense advertising, there's all the more need to create a variable pricing structure. As some of us have argued all along, there's even more disparity between lead quality on various types of content sites or pages than there is between search ads and content ads per se. Gmail is a good example of this:
1) If I search Google on "London hotels," I'm probably somewhat interested in booking a hotel in London.
2) If I read a travel article on London or, better yet, a travel article about hotels in London, there's a good chance that I might be interested in booking a hotel in London (if not today, then later).
3) If I get a gmail from a friend who writes, "I'll be staying at the Hotel Whatsit in London from April 5-10," there's almost no chance that I'm looking for a hotel room in London--and if I click on an AdWord in the gmail for the Hotel Whatsit, it's just probably because I'm curious to see where my friend is staying.
So, when gmail comes to market and results in zillions of AdWord "content ad" impressions per day, ad rates have to take lead quality into account or advertisers will bail from content ads altogether when overpriced gmail clicks suck money from their accounts faster than you can say "good-bye, content ads."
I don't think quality niche publishers will necessarily be hurt by the AdSense pricing changes, because "search vs. content" is likely to be only one factor in determining what a click is worth. Just as Google's search algorithm reportedly takes more than 100 factors into account, the AdSense algorithm may consider many different factors such as a page's degree of relevance to the ad keyword or keyphrase, the overall theme or targeting of the site, the page or site's PageRank and search ranking(s) in Google, past ROI as measured by conversion tracking (where such data is available), the site's ratio of legitimate clicks to invalid/discarded clicks, the nature of the page content (editorial vs. forum vs. gmail), and so on. In the long run, this should go a long way toward reassuring advertisers that content ads represent money well spent, and that should benefit publishers who can deliver high-quality audiences and leads.
I just hope adsense and gmail aren't lumped together in the same content ads bracket. If so, we're probably doomed.
They may fall under the same general heading as "content ads," but that doesn't mean a click from a gmail and a click from an editorial page will result in the same cost to the advertiser.
IMHO, Google's variable pricing is similar to what has existed in traditional online advertising (and offline advertising, for that matter) for a long, long time. Back in 1997 or 1998, AOL's rate card showed CPMs of $15 or so for chat rooms and $65 for targeted search results, and at one point About.com (then called The Mining Company) was claiming CPMs in excess of $100 for ads on some of its medical guidesites at the same time that it was selling general chat ads for $10 per thousand. Similarly, if an advertiser wants to buy space in the NEW YORK TIMES Travel Section, it will pay a different amount than it would for a general untargeted newspaper ad. With variable PPC, Google is just doing what other media have done all along.
When a visitor visits a web site he / she chooses to visit iether through SERPS or favourites and makes decision to visit site , he/she is then shown advertising as part of the cost of reading content( similar to newspapers )
When he/she opens their inbox as often as not the email in their inbox was delivered to them without their permission or knowledge for no cost on behalf of sender
Lets take an example
A large cruise line uses adwords to promote their company ( they are very ethical in approach and feel that content providers send genuine traffic to them so use choose content on adwords )
Meanwhile spammer with adsense account decides to send mass mailing and calls it a newsletter out re cruises ( just buys list off the net ) and includes adsense code , now poor old joe public gets this unsolliceted email and sees cruise line advert so over period of time associates the cruise line with spam so has negative view of cruise line and any other adds seen on net for cruise line
steve
