Forum Moderators: martinibuster
year end 2002 it was 88% to AdSense publisher (12% to Google)
Quarter end, march/2003 it was 82% to AdSense publisher (18% to Google)
year end 2003 it was 77% to AdSense publisher (23% to Google)
Quarter end, march/2004 it was 76% to AdSense publisher (24% to Google)
This is assuming a payout of 91M, 69M, 504M, 262M and a pocketing of 12M, 15M, 144M, 82M respectively to the dates above.
More info at F9 /
[sec.gov...]
[edited by: blaze at 9:55 pm (utc) on April 29, 2004]
It has been higher since April 1st than any time since last October, though still lower than July-October of last year.
Let's not confuse "payout" with "revenue." "Payout," as the term is used in this forum, refers to the formula that Google uses when sharing ad revenues with the publisher.
Thanks for the wiseman's correction.:-)
I agree with gult-supply theory.
That could also possibly result in a 2 cent payout to the publisher, while still earning a larger percentage of the AdSense pie than Google does.
Agreed, Smart pricing is taking place currently,I think this one of the best things about Adsense in implementation, if the theory abt better content making more money is true, we can only see the best and most highly targeted content being written on variety of categories.
Can anybody pass on the thread which does discuss advertisers using smart content and how it helped them.
....I don't think everyone is suffering from a lower EPC.
Suffering? I know I am in the adsense forum but we advertisers are benefitting from lower EPC.
: ) (please don't run me outta here on a rail for saying that!)
For example, I just found out through my tracking script that a top-three US financial institution started to advertise and already got a couple of clicks from me yesterday. If I had not had the script I would have never found out since it seems the campaign is targeted to the Northeast US. I like advertisers so much that I wish that advertiser were joined by the #2 and the #1 financial institution :) and that they bring along copious advertising budgets.
I'm an AdWords advertiser. I get a ton of sales from people who click on AdWords in Google searches, but received MINIMAL results (though a LOT of clicks) from AdSense publishers who had my ad on their sites. In other words, it didn't really benefit me to be on those other sites it really only mattered whether I was in the Google searches. When Google gave all of the AdWords users the option to "opt out" of third party sites and only have their ads shown in Google searches, a lot of us did.
Because of this Google saw a drop in revenue. Because of AdSense they were delivering a lot more clicks and billing a lot more money to AdWords advertisers. But when advertisers realized the third party sites weren't as beneficial as the search engine, they canned it and Google was suddenly billing a LOT LESS clicks and making less money.
In short, the rejection of third party sites by AdWords users hurt Google's revenue. They had to make that money back somewhere, so they made it back by keeping a larger percentage of the money from AdSense clicks than originally planned.
only Google knows for sure, but I suspect you are correct. Smart Pricing (and its associated , page topic filtering) is the 'fix'.
I sell Network hardware. I like AdWords because I am reaching people who are SEARCHING FOR what I'm selling. The probability that they'll click my ad is much higher than with AdSense where they may already own what I'm selling and be reading a site about configuring a router or looking for a manual or whatever. Sites dedicated to Cisco stuff, for example, aren't usually attracting people who are BUYING used Cisco products they're attracting people who already own and use them. That's why I stay off of the third party pages.
The reason why the percentage is dropping is due mostly to the "weighted average nature of the computation" and the underlying fact that there are two classes of publishers. The ones with a lot of clout that are getting the better deals and have been with adsense even before the term adsense was public, and everyone else.
The fact that some of you advertisers opt out, would not change the split. It would only change the size of the pie. The "smart pricing" would not change the split, it would only change the size of the pie.
Of course my take is only an educated guess.
P.S: Did you guys know that after typing "pie" a couple of times in a post, one wants to eat pie?
There are ways that an advertiser can try adsense using a lower CPC such as a separate campaing. You ought to give it a try before you write the whole concept off.
have to disagree. First, the option to opt out was there from the beginning
There are ways that an advertiser can try adsense using a lower CPC such as a separate campaing. You ought to give it a try before you write the whole concept off.
We pay about 10% of our normal CPC for adsense in our separate adsense only campaign and we get LOTS and LOTS of exposure for little $$.
We have recently made the adsense only ads more about branding and less about the click. Even, in a way, discouraging the click. Since you don't lose the word in adsense only, we get lots of impressions and few clicks.
Perfect as a branding platform.
p.s.
pie...pie....pie....
you are RIGHT!
I like AdWords because I am reaching people who are SEARCHING FOR what I'm selling. The probability that they'll click my ad is much higher than with AdSense where they may already own what I'm selling and be reading a site about configuring a router or looking for a manual or whatever.
That may be true. On the other hand, you may be limiting your growth if you target only people who click on AdWords, because the vast majority of people conducting searches click through to the search listings instead of the AdWords. (A while back, there was a thread about content ads on the AdWords forum by an advertiser who regarded content ads as a way to generate incremental revenue. He felt that limiting ads to search ads was like leaving money on the table.)
Obviously, what works for one product/service or site may or may not work for another. In my category, travel, content ads work well (to judge from how popular they are with advertisers) because most readers are researching ways to spend their money...and while prospects may own memories, they don't own trips in the same way they may own Cisco routers. :-)
We have recently made the adsense only ads more about branding and less about the click. Even, in a way, discouraging the click. Since you don't lose the word in adsense only, we get lots of impressions and few clicks.
As publishers, we'd get in hot water by clicking on our own ads, or manipulating the payouts in any way...
I'll go on record here and say that this sort of behavior by adverts ought to be penalized similarly.. you're abusing the publishers by making your ads less likely to be clicked on. But then, I guess, we should watch for ads like this and simply put them on our reject list.
harumph!
Shortz
First, the option to opt out was there from the beginning <someone correct me if I am wrong, but I am 99% sure>.
You are correct, this has always been an option. I believe in the beginning, everyone was opted in, but now new advertisers are automatically opted out, and have to select the content and search for their ads to appear.
I happen to think that in time (and it may not be that long), the CTR on these will decline because the average surfer starts to get fed up of the rubbish and can't be bothered to figure out which ads are the useful, direct ones to sites, because they've clicked too many promising ones and ended up nowhere useful.
On the other hand, the Adsense adverts are not ranked in the same way, so if someone with an interest goes to a site about their interest, they will see a mix of adverts from Adsense which are not ranked. Therefore many advertisers won't be effectively excluded as they are on search results down to the 2nd. or 3rd. page. (Unless its by virtue of an advertiser with a huge budget taking over some keywords? )
I should say that this is based on a straw poll of friends down the pub - but they are the average net users after all. I just asked them which ads. they trust the most, with interesting replies.
I'll go on record here and say that this sort of behavior by adverts ought to be penalized similarly.. you're abusing the publishers by making your ads less likely to be clicked on. But then, I guess, we should watch for ads like this and simply put them on our reject list.
we are 100% playing by the rules (which we did not make up).
I think your 'beef' is with the Google engineers.
For someone to remember just the text, its got to be very clever copy.
How do you deal with the minimum CTR requirement, even with the lower CPC, the keywords are still going to get measured by the CTR they achieve in the SERPS and if they don't is bye bye. Your ads can not be so unclickable as to get them killed every couple of weeks.
Nyet: You are playing according to the rules, but to think that 3 sentences are going to bring you branding when you are sharing the ad with up to 4 other advertisers.... Hmmm, I don't think this will be the best approach.
c'est la vie.....
With the content sites we are on, we are happy with the title of our ad being our company name (with dot com, it is an good branding name) and a brief description of our service.
How do you deal with the minimum CTR requirement, even with the lower CPC, the keywords are still going to get measured by the CTR they achieve in the SERPS and if they don't is bye bye. Your ads can not be so unclickable as to get them killed every couple of weeks.
We have separate adsense only campaigns with low bids, 'branded' ads (without strong 'call to action' i.e. click). The adsense only campaigns have the same words as the search only campaigns.
So, the CTR in the searches keeps the words active and the adsense only placements CTR's have no effect. Upshot: Adsense only campaigns get LOTS of low-cost (or even free) impressions good for branding, SERPS get higher-cost directed traffic and the poor CTR on adsense only has no effect on losing the words.
p.s. they are not 'unclickable' and we do get some clicks, and we are happy to get the clicks. But we are getting a lot MORE impressions per buck (like a HUGH amount more) in adsense vs. SERPS which is why IOO (In OUR opinion) adsense is a great branding tool. In fact, I think it is its real advantage!
Unfortunately for the publisher, it seems (in our case anyway) 'branding' impressions are worth considerably less than 'directed-serps' impressions.
...p.s. they are not 'unclickable' and we do get some clicks, and we are happy to get the clicks. But we are getting a lot MORE impressions per buck (like a HUGH amount more)....
If you run Adwords alone, you are guaranteed that your ads will only reach users of the Google search engine.
By running content ads, your ads also reach the users of other search engines.
no that is not right. Running search only also puts you on partner search sites like aol, ask.com, etc.
see:
[adwords.google.com...]
.
I may be "missing out" on a few sales, but I'm also missing out on paying a much higher Google bill. I spend about $10,000 a month on AdWords and get more than my money's worth every month just by being in searches. When I was also in AdSense I wasn't getting nearly the same bang for the buck.
This doesn't mean I'm saying AdSense is a bad program or anything, in fact I know the opposite is true. I'm just saying that's been my experience and it didn't work for my products. It could be industry related - I believe that most of the people who happen to be reading articles and crap where AdSense ads would appear aren't looking for what I'm selling they may just be reading something related to a product they already own. When they're searching for it, it's much more likely that they'll be interested in buying.
Anyway to the guy who said this:
The fact that some of you advertisers opt out, would not change the split. It would only change the size of the pie. The "smart pricing" would not change the split, it would only change the size of the pie.
You missed my point ... yes your statement is accurate about the size of the pie changing, but my point was that if Google expects to make a certain amount of money with AdSense and the pie becomes smaller, then Google is going to have to change the payout structure in order to make what they planned on making. If AdSense started generating MORE money from them, I have no doubt the numbers would start moving the other way. In fact, I would be willing to bet that it's an automated system BASED ON revenue vs. a number they want to make for themselves, and the figure is adjusted daily, weekly, monthly, whatever automatically.
...yes your statement is accurate about the size of the pie changing, but my point was that if Google expects to make a certain amount of money with AdSense and the pie becomes smaller, then Google is going to have to change the payout structure in order to make what they planned on making....
Loanuniverse
pie, pie, pie, 3.1416e
I sell Network hardware. I like AdWords because I am reaching people who are SEARCHING FOR what I'm selling. The probability that they'll click my ad is much higher than with AdSense where they may already own what I'm selling and be reading a site about configuring a router or looking for a manual or whatever. Sites dedicated to Cisco stuff, for example, aren't usually attracting people who are BUYING used Cisco products they're attracting people who already own and use them. That's why I stay off of the third party pages.
Digitalv, if that were true then no site selling equipment like yours would try to optimize their site to be found on the regular search results because that traffic does not convert. I would bet that if you created a different campaign with a different set of ads that clearly state that you only want them to visit your site to BUY then you could get a better ROI. You will likely have a lower CTR but the CTR of content ads don't affect how your keywords rank.
I would bet that if you created a different campaign with a different set of ads that clearly state that you only want them to visit your site to BUY then you could get a better ROI.
I remember seeing a complaint about ROI from a PPC advertiser who was offering a freebie as a come-on. Is it any wonder that his clicks weren't converting?
