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 wrote again, saying that I don't use conversion tracking, because it doesn't fit my sales model, and asked for more details on their "smart pricing". They said that their system reduces the cost of a click if it is less likely to turn into business results. They take into account factors such as what keywords or concepts triggered the ad, and what type of site displayed the ad. They also said that you don't have to use conversion tracking to benefit.
I also asked about how ads will be shown with emails. They said that ads will only be shown with incoming emails, on sites where users have agreed to have ads shown. Ads can also be shown on pre-approved outgoing newsletters (maybe a new opportunity for some publishers?).
To me, it seems like Google has made several important mistakes with AdSense:
-- Inadequate communication with publishers (too many secrets). For one thing, pay rates and performance are clearly communicated (and are shareable among members) by most other ad networks. It would have been nice if they had sent an email saying something like "based on our new pricing structure, our pricing simulation model shows that your site would have earned $X last month instead of the $Y that you actually earned." They must have done that kind of work internally before releasing a change of this magnitude. Sharing that kind of data would have been a good thing!
-- Trying to use a totally automated system to determine keywords and page relevance. If we could tune the keywords that were used for ad matching on our pages, everyone would benefit.
-- Inadequate reporting. Google is benefiting from the detailed stats that they gather from running ads on our pages. That data clearly has value, and should be shared with the publishers.
As others have said, content-based ads are still relatively new, and there is clearly plenty of room for competition. It seems obvious to me that you don't have to have the world's largest search engine (or even a very big one) in order to be able to compete in this space.
I am paying ner enough the same price per click!
OK this has only been 24 Hrs, but it will be interesting to see what happens over time.
Yeah. I sent a letter to Google as well. My CTR had dropped as well. Google has replied with a chain letter as simple as that. Screw the month waiting period, I plan to drop adsense this week. This is from a guy who used to be "scared" of clickin on one of the adsense ads on his sites!
Those days are over.
What are business results? Does that mean sales? Does brand recognition count for anything?
PPC ads are intended to generate a response, not to communicate a brand message. (That's why Google takes both advertiser bids and clickthrough rates into account when determining display order for ads.)
A more relevant question, IMHO, is whether Google's definition of "business results" is too narrow. Does lead generation qualify as a "business result"? If not, why not? If so, how does Google determine what's a lead?
FWIW, my own site generates substantial affiliate revenues each month--probably 2-1/2 to 3 times what it earns from AdSense, in fact. Some of those affiliate sales are immediate (people clicking on a hotel link and placing a reservation), while others may require correspondence with a human being. Does Google have any way of knowing when sales result from the latter type of inquiry? And is it basing its assumptions about "business results" on a statistical analysis of information pages in the big-$$$$ travel category or of information pages in general? I can't help wondering if some advertisers (those that sell big-ticket services rather than click-to-order now items) aren't paying less for leads than they should be paying, just because Google is making incorrect assumptions about the value of "information" clicks in a category where the record shows that most users are looking for advice on where and how to spend their money.