Forum Moderators: martinibuster
For an official explanation, read what Google had to say when smart pricing was introduced:
[adwords.google.com...]
This thread will undoubtedly inspire yet another series of rants by publishers who think they've been hurt unfairly by smart pricing. If you don't want to wait for a flood of angry outpourings, you can go back and read the many previous threads on the topic. :-)
Likely the most accurate statements I have read about it over various threads are that it is, a) a sliding scale, and b) always "on" on everyone's site all the time.
Nobody knows the factors Google use for sure, and the algorithm is bound to be pretty complex.
On my site, I can see that a click from somebody on the opposite side of the globe is not going to result in a sale - therefore it reasonable that the click is discounted. Similarly, some of my pages are visited more by casual visitors than serious researchers. Those clicks are less likely to result in a sale therefore it's also fair they are discounted.
Smartpricing does tend to raise tempers here for a variety of reasons, but that's not what you asked so I won't go there. Stick around a while and you'll find out for yourself!
Hope the explanations of the basics are of use to you.
Also a nice link europeforvisitors :D
