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Drop in CPM since Sep

     
8:51 am on Sep 9, 2004 (gmt 0)

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From Sep 1 st my CPM has dropped by 25 %. First I thought it might be because of the long weekend or the Hurricane, but even after all that my CPM is the same. My traffic and CTR has infact increased but my earnings remain low because of the low CPM. Anyone else experiencing it?
9:23 am on Sept 9, 2004 (gmt 0)

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OOOOOOOOOOOOO
2:26 pm on Sept 9, 2004 (gmt 0)

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Yes. the same problem for me. My EPC dropped by 60%.
I tried to change titles, some keywords on page but it doesn't help. Then I thought that advertisers decreased their bids and some days ago I asked one of my competitors (he is my friend so I can trust him) about his CPM and I was shocked when he showed me his EPC. It's 5-6(!) higher than mine..
May be AdSense has changed algoritm and now more attention gives to 2-3 word phrases? Because my site optimized using this method... and my friend-competitor just have some sentences with single keywords on page? Morpheus, what do you think? What method have you used for your content?
2:32 pm on Sept 9, 2004 (gmt 0)

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Are you guys using the new multi-ad feature? Or even without the multi-ad, you are seeing a decrease in your key stats?

If so, then it is interesting to see that people are seeing drops in ECPM even without the multi-ad format.

2:41 pm on Sept 9, 2004 (gmt 0)

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Nope no multi-ads here.. Just one ad-unit per page :)
4:43 pm on Sept 9, 2004 (gmt 0)

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My income is now on an up-trend.
8:01 pm on Sept 9, 2004 (gmt 0)

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2alika:

EPC drop happened before I placed 2nd ad unit on page. Daily earnings (and EPC) decrease happened in the last days of August according to my AdSense stats. Has anybody else noticed something like this?

8:03 pm on Sept 9, 2004 (gmt 0)

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There was a substantial drop in first 5 days of September , now little better. Still not as good as last months. Looks definitely some changes have occured, either the advertisers have lowered bids or Google has changed policy and is sharing less revenue with publishers. High paying pages are paying less now. I heard from a publisher of health site that even his pages with notorious 'M' word are just paying few cents per click. LOL, the hype associated with Mesothelioma is gone ;). Hope 2.5 million sites with 'M' word will now shut down :)
10:10 pm on Sept 9, 2004 (gmt 0)

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Multi-ad, my revenue yesterday was 5x the average. I had an exceptional day for being on news.google.com for two days in arow.

Otherwise, during normal days, I'm seeing 2x the average revenue.

5:19 am on Sept 10, 2004 (gmt 0)

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Nope no multiple ads
5:49 am on Sept 10, 2004 (gmt 0)

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yep, we saw a substantial drop in cpm / epc on September 3. about 25% off the pace of the ten days previous. Single ad site delivering about 45K adsense impressions per day.
3:08 pm on Sept 10, 2004 (gmt 0)

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I've had a drop in epc and epm by about 20%. Interestingly, I had the same drop last september, which recovered in october. And I haven't used multi-ads.
7:01 am on Sept 11, 2004 (gmt 0)

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I've had a drop in epc and epm by about 20%. Interestingly, I had the same drop last september, which recovered in october. And I haven't used multi-ads.---- Did the drop continue throughout September
1:41 pm on Sept 14, 2004 (gmt 0)

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I think they have definately changed something. My EPM has been 60-70% less for the last week, and it had been stable for the last year before that.

The smartest thing about smart pricing is that not everyone gets a drop at the same time so it is harder to identify changes to the payouts.

2:59 pm on Sept 14, 2004 (gmt 0)

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But over time Google will have to learn that they are in a competitive situation and there is only so much an online business will take in instable, unreliable ad revenue.

Drops as recorded here are serious to many of the online businesses, I am sure G understand that.

Or do they?!

3:20 pm on Sept 14, 2004 (gmt 0)

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there is only so much an online business will take in instable, unreliable ad revenue.

Advertising is always an unstable revenue source. Even in Madison Ave., advertising agencies know that advertising can go up with the boom times and down with the bad times. Always.

Same with banner ads - it was soooo good while it lasted. The checks received were so just amazing. Alas, things spiraled downwards.

If advertising is your sole revenue source, consider it to be unstable and unreliable -- using Google or some other ad networks. Always prepare for the worst.

3:40 pm on Sept 14, 2004 (gmt 0)

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Same thing here.

We had noticed the same drop since the beginning of Sept. It was expected since our kid oriented site always looses traffic during the first couple weeks while the kids go back to school.

But I was surprised that the CPM dropped, not just the traffic.

CPM picked up by the weekend and we sent out our newsletter yesterday. Usually, there is a very nice bump in earnings for a few days.

The morning started out with 2.5x CPM which was comparable to the weekend figures. I checked throughout the day to see was happening. The CPM dropped steadily throughout the day. By the end of the day, we were down to less than x CPM.

Even though our traffic and clicks were more than double the day before, our earnings were lower.

We're still in our window when everything stops while the kids get settled into school. It could be that advertisers have focused their budgets on 'back to school'. But it does feel like an algorithm change to me.

7:31 pm on Sept 14, 2004 (gmt 0)

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Isn't this just due to Google's Smart Pricing feature figuring out and adjusting for the lower conversion characteristics of AdSense traffic vs. straight search traffic?
9:58 pm on Sept 14, 2004 (gmt 0)

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"Isn't this just due to Google's Smart Pricing feature figuring out and adjusting for the lower conversion characteristics of AdSense traffic vs. straight search traffic?..."

So what's your theory and course of action?

9:31 am on Sept 15, 2004 (gmt 0)

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Also: if publisher base increased by x amount due to multiple units and G tried to evenly distribute expensive ads and less expensive ads across the units (or the new setup provokes users to click the low price ads more often) wouldn't that decrease the avlailability of high priced ads for everyone?

Not sure if this explains 50% drops though.

7:43 pm on Sept 15, 2004 (gmt 0)

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I heard from a publisher of health site that even his pages with notorious 'M' word are just paying few cents per click. LOL, the hype associated with Mesothelioma is gone ;).

Awesome. I've anonymously e-mailed several sites that were advertising on mesothelioma and advised them to shut off content match on their AdWords account. I usually include a few URLs so they can see the type of AdSense site their ads appear on. I think a lot of those advertisers didn't realize their clicks were coming from AdSense sites instead of search sites.

9:30 pm on Sept 15, 2004 (gmt 0)

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why is that awesome and why would you engage in such busy-body behavior? Perhaps you'd like the advertisers who appear on your site(s) to be notified that their ads also appear on the content network and that they should turn this option off?

It's up to advertisers as to where they want their ads to run, and it's up to google as to who they allow in (or keep in) the adsense program. But you taking some moral high-ground simply because you've made the assumption that every site competing for that keyword is, by definition, of lower quality and therefor less-deserving is ridiculous.

Granted, that keyword attracts a lot of bugs. But webmasters who try to sabotage other webmasters is not a good thing, regardless of the content area.

9:17 pm on Sept 16, 2004 (gmt 0)

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Ok, another theory and I have some evidence to support this theory.
Google periodically rotates the ads amongst competing sites. So if a site www.xyz.com is showing high paying ads one month then in next cycle the competing website www.xxy.com will get those ads. You will have to wait for one or two months to get the high paying ads back on your site.
This happens specially for keywords that are fairly high paying (3-10$ per click). Perhaps google wants to keep most of the publishers happy by evenly distributing the income. One month pay Mr.xyz well and another month pay Mr.xxy well.
Donīt kill me if this hypothesis is wrong ;), I saw some evidence , as some of my friends and or competitors this month got the high paying ads that were on my site.
If I am right then 'Noble Prize for Google research' is for me. LOL
9:25 pm on Sept 16, 2004 (gmt 0)

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It's up to advertisers as to where they want their ads to run

Yep. That's all I'm saying. Just letting advertisers know what type of site their ads are appearing on. I also send them links to place like webmasterworld so they can see publishers talk about high-prices keywords. The more transparency, the better.

9:56 pm on Sept 16, 2004 (gmt 0)

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I too have had a huge drop in cpm lately, though 9/1 and 9/2 were among my best. The last two days have been about 40% of average. While checking the ads on my site I noticed that every page is showing the same ads every time for the last two days. Anyone else seeing something similar. it seems to be the cause of the dismal performance since epc has remained relatively constant. CTR has also taken a 40% plunge.
3:43 am on Sept 17, 2004 (gmt 0)

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In fact its so bad that looking at the stats yesterday my friend / partner on the site just said its gonna be even les tomorrow. I just checked and its true. My CTR is same, we even started double serving in order to make up but the EPC goes even lower. Overall CPM is 30-40% lower. Will any1 please explain?
4:42 am on Sept 17, 2004 (gmt 0)

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They can explain all they want. It will be too late. The FTP program is uploading my sans-adsense pages as I write this.
7:08 pm on Sept 17, 2004 (gmt 0)

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No changes here. CTR for September is identical to August's, and effective CPM is virtually the same for both months.

A lot of things can affect clickthroughs and revenues: e.g., seasonal variations (more people buy air conditioners in June than in November) and "ad fatigue" on community sites that are visited mostly by a core group of regular users.

9:24 pm on Sept 17, 2004 (gmt 0)

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Thats my concern, especially with the increased amount of identical available adspace and the fact that the same ads started showing up on all pages ctr took a huge plunge. I'll ad the code back in after a week while I try some other stuff there.
9:49 pm on Sept 17, 2004 (gmt 0)

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Slightly increase here. The best ever.

Thanks to you Beren, AdSense police officer!

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