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Traffic quadrupled, earnings the same

I don't understand anymore

         

bosshog

1:47 pm on Feb 22, 2007 (gmt 0)

10+ Year Member



Ok let me explain:

I've had a site that been around for about 6 years. About 3 years ago I put Adsense on the site. I've had very consistent click through rate since then. My traffic has quadrupled since then , yet my earnings are exactly the same. This seems like a con.
The earnings did increase the first year along with the traffic, then it just leveled off and even though traffic is up and I have the same click through rate - earnings remain the same.
How can this be? is it all a con?

Hobbs

2:03 pm on Feb 22, 2007 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member Top Contributors Of The Month



>is it all a con?

no, read some more on smartpricing in this forum, increases in traffic and how they do not necessarily correspond to equivalent jumps in earnings, they might even cause lower earnings if your traffic 'quality deteriorates, and no it is not a con and you are not alone.

[edited by: Hobbs at 2:05 pm (utc) on Feb. 22, 2007]

alephh

2:31 pm on Feb 22, 2007 (gmt 0)

10+ Year Member



Many factors to consider:

+ advertisers running out of money (for your sector/area)
+ poor quality of traffic
+ adsense balancing ("sudden") traffic changes
+ clicks your get are poor, and never lead to sales, so over the months/years advertisers place pay less money per click for your site/your sector.
+ and so on...

maxgoldie

3:18 pm on Feb 22, 2007 (gmt 0)

10+ Year Member



Maybe there really is a "cap" on earinings somehow, if the op's traffic quality stays the same while quantity increases. What else would explain that?

jomaxx

4:28 pm on Feb 22, 2007 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member



There is no cap. I've had lots of spikes in earnings due to traffic increases.

As to whether it's a "con" or not, the deal you have with Google is that you show their ads and they send you money, and if you find a better sponsor anywhere then you can remove the ads at any time with no penalty. I don't see where the con in that is.

bosshog

6:41 pm on Feb 22, 2007 (gmt 0)

10+ Year Member



Hi,

OK thanks.
Perhaps 'con' was too strong a word. Just a bit frustrating - I might move to another ad agency for a while and see how it goes there.
Thanks for the insight. I used ot be on these forums loads in the past but not had time the last year. However I quit my job at xmas to go 100% on my own projects, so *hopefully* have a bit more time to catch up on everything!

europeforvisitors

6:44 pm on Feb 22, 2007 (gmt 0)



I've had very consistent click through rate since then. My traffic has quadrupled since then , yet my earnings are exactly the same. This seems like a con.

More likely, it simply means that the number of higher-paying ads isn't infinite, and that Google can't supply enough of those ads to accommodate your growth.

incrediBILL

8:31 pm on Feb 22, 2007 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member Top Contributors Of The Month



I think you need to dig deeper into the situation before calling it a "con".

Define "traffic is up" - are these are AdSense impressions or just more traffic showing in your stats?

You can have various bots crawling your site, some even use javascript, which artificially inflate even your AdSense stats, that's one possibility.

The other possibility is your increase in traffic isn't relevant to your site, therefore, you get no clicks from that off-topic traffic.

It could even be a combination of both, but you will actually need to analyze your stats to figure out what's going on with your site before crying wolf.

bosshog

10:01 am on Feb 23, 2007 (gmt 0)

10+ Year Member



>Define "traffic is up" - are these are AdSense impressions or just more traffic showing in your stats?

Well the number of visitors online at any one time is up significantly. You can tell this due to the nature of the site (gaming).
Ad impression are up, visitors stats up, server logs up, SQL DB usage up, more players online at the same time, etc.

Yeah I dunno - maybe I just not getting as much for the adverts - they are somewhat different advertisers than they where 3 years ago.

DamonHD

10:51 am on Feb 23, 2007 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member



You may have noticed the squeeze (right or wrong) on gambling/gaming companies by the US and other governments. If large going concerns are being sold for $1, execs are being locked up in transit, and WTO rulings are being ignored, then potential advertisers (at least legit ones that actually pay their advertising bills and that Google would accept into and keep in AdWords) are likely to slash budgets and keep their heads down.

I'm suggesting that some of the same money and people may have been behind your income in the past.

Rgds

Damon

[edited by: DamonHD at 11:26 am (utc) on Feb. 23, 2007]

Hobbs

2:56 pm on Feb 23, 2007 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member Top Contributors Of The Month



Say what?
Damon, I did not get a single word care to explain more?

nonni

3:31 pm on Feb 23, 2007 (gmt 0)

10+ Year Member



Not sure if the word 'gaming' is being used in the same sense by everyone here - it can mean kids playing video games OR gambling. Two very different niches.

potentialgeek

4:59 pm on Feb 23, 2007 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member



Check your stats now compared to one year ago/whenever and compare how much you were paid on average per click. If you set up channels, do further, specific comparisons to see if your averages dropped in one part of your site, or all of it.

My total traffic recently went up, but earnings went down. Some sections of the site were just as profitable, however. New internal links may be leading visitors to less profitable clicks. I'm looking into it.

I'm trying to help visitors find valuable related content, and they appear to be following the leads, but it seems some of those pages don't have as valuable ads...

p/g

jomaxx

6:58 pm on Feb 23, 2007 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member



An online gaming site doesn't provide such hot prospects to advertisers anyways, so that is probably part of the problem.

netchicken1

7:13 pm on Feb 23, 2007 (gmt 0)

10+ Year Member




Maybe it just shows that google isn't the bottomless money pit we believe?

I have tried to counter that situation by increasing content and optimising pages, to increase ctr. Hopefully the site will grow through this plateau that its stuck on by expanding it. Someone said that the ecpm does increase if the click rate remains high.

I wonder if google is trying to spread around the amount of high paying adverts. So that every site is limited to a certian % good adverts, getting a burst in visitors passess you over the level of hgh paying adverts allowed. If you stay at a higher level of clicks, that level also gives you an inceasing number of high paying clicks over time as the code regains a balance for your site .

So theoretically ...

You get 100 clicks 5% are high paying adverts = 5 adverts
You burst up to 200 clicks, but still only are allowed 5 high paying adverts so your ecpm drops

Eventually you get recalcualted at 200 clicks = 10 high paying adverts.

Just my idea, I would love to know if its correct...

DamonHD

7:52 pm on Feb 23, 2007 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member



NC1, we'll never know but your idea is at least reasonable and plausible and would be one way for G to protect steady suppliers of good traffic/clicks from get-rich-MFAers.

Rgds

Damon

DXL

8:01 pm on Feb 23, 2007 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member



My site traffic is booming compared to usual, and I'm getting killed on the click amounts. I just looked at one page in my channels, 100 clicks at 1 cent a click. I'm going to start looking at some decent affiliate programs today, this is ridiculous.

maxgoldie

8:02 pm on Feb 23, 2007 (gmt 0)

10+ Year Member



I wonder if google is trying to spread around the amount of high paying adverts. So that every site is limited to a certian % good adverts, getting a burst in visitors passess you over the level of hgh paying adverts allowed.

I suggested this sort of thing in another thread, and it was scoffed at:
[webmasterworld.com...]

but nonetheless, it makes sense for G to spread as equal a distribution of varying levels of ad quality fof the simple reason that if they left ad quality distribution to chance, they would risk damaging a high earning site and possibly rewarding a lower quality, spam blog with the better ads.

[edited by: maxgoldie at 8:33 pm (utc) on Feb. 23, 2007]

celgins

8:27 pm on Feb 23, 2007 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member Top Contributors Of The Month



From jomaxx:
An online gaming site doesn't provide such hot prospects to advertisers anyways, so that is probably part of the problem.

Probably the most important reason for the leveled off earnings.

biscuit

9:00 pm on Feb 23, 2007 (gmt 0)

10+ Year Member



This has been happening to us for years. Every year, epc slips another few notches. This means that we have to increase click numbers by ten to fifteen percent every year just to keep level. Fortunately, we usually do better that that, so the game remains well worth our while, and hopefully, by the time we do get to 1c per click, we will be big enough to still turn a tidy profit.

That's the way it's going for our sector, and there's some positives to be found. Any competitor is going to have to get awfully big very fast to get more than pin money out of adsense. I'm comfortable with that ;)

Hobbs

10:30 pm on Feb 23, 2007 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member Top Contributors Of The Month



My plan would be to get off AdSense if I am heading towards bottom feeding, I'd rather my visitors enjoy my site with no ad units than earn me few cents per click, the advertisers that creep at that range usually have nothing but more ads to offer anyway.

Hopefully there will be a rush towards other networks as well as affiliate ads, then Google will finally notice and undo the Friday madness they started.

Right now contextual is almost 100% broke on my site, nothing related is showing, I'm daily reducing the inventory given to Google, soon only few Firefox referrals will be running.

MThiessen

3:58 am on Feb 24, 2007 (gmt 0)

10+ Year Member



By a gaming site, if it is like a fansite for certain games like, for example "Everquest" or "Quake", your audience will be *very* young primarily, and that makes for some tough advertising. That's a VERY hard sector to make adsense money in imo. You could have very easily found the ceiling for that site.

Maybe you could look at CJ for some well targeted affiliates? I would try that. Also maybe see how good Kontera or IntelliTXT does. These can be used with adsense. Just be careful you don't over saturate your pages with excessive advertising or you could drive traffic away.

PowerUp

4:52 am on Feb 24, 2007 (gmt 0)

10+ Year Member



I think the problem with decreasing epc is because the growth rate of the number of publishers is much higher than the growth rate of the advertisers.

If there are lots of publishers, then ads will eventually show on some sites no matter how low their bid is.

1st day, advertiser bids $0.10, with a budget of $500 he gets 5,000 clicks.
2nd day, advertiser bids $0.05 with a budget of $500 he gets 10,000 clicks.
3rd day, advertiser bigs $0.01 with a budget of $500 he gets 50,000 clicks

His $0.01 bids will still attract visitors because of the huge number of publishers. This is because with lots of publishers, advertisers who bids higher will run out of budget faster, then the next highest bidder's ad will show,.. until his budget runs out, then the next bidder.. until eventually it'll come to the $0.01 bidder's turn. he doesn't have to wait long because there are so many publishers.

Then this $0.01 publisher leaks this info to a friend. That friend then writes a book telling advertisers how to maximise ROI. Then before you know it, every advertiser is bidding as low as possible while maintaining their ads presence.

Get it, the are bidding as low as they can. Not bidding as high as they can afford for their keywords.

Eventually, Google will be earning peanuts as well.

I think 1 way to overcome this is for Google to set a quota on all the keywords.
Example: keyword "buy widget" set at 1,000,000 clicks. They will 1st show the ads of the highest bidder until his budget runs out, then the next highest bidder.. until the 1,000,000 clicks are done for the day. In this way, advertisers who bid too low will run the risk of their ads not being in the 1,000,000 ads shown on that day. So, they'd also bid higher.

[edited by: PowerUp at 4:57 am (utc) on Feb. 24, 2007]

becks07

8:45 am on Feb 24, 2007 (gmt 0)

10+ Year Member



I actually suspect that while the number of publishers is undoubtedly increasing - making for skinnier portions of the pie, that the number of mfa's among the publishers who use adwords is increasing and that the number engaged in click arbitrage is rising too. I find I have to be vigilant and really work at it, it's frustrating, to keep the "crap" off of my sites now and that every time my ecpm falls its directly attributable to my ad inventory - if I keep battling them the ecpm returns to healthy, it never ends tho I have to check for mfa's every day. In my sector I find google does not give top spots to top payers but to ads with the most relevant key words in the ad title so an ad that pays 1 cent for green widgets will appear on my page on green widgets if I filter it I get another mfa lol I have to rinse and repeat about 15 times and then decents ads show up and all is well. Just my 5 cents - I would say google contributes to this because they do not view us as publishers in the traditional sense of that word, they view us as traffic but the people who are out to exploit you and make a profit from your traffic rather than you making the profit, well they're your fellow publishers and you are going to have to battle to keep them off your pages as best you can and google won't help you - because while you may think you are a good publisher and they're a bad publisher in reality we are all just traffic.

netchicken1

7:26 pm on Feb 24, 2007 (gmt 0)

10+ Year Member



Becks, how do you tell the price paid per advert?

Thats something I would like to do as well.

becks07

10:54 pm on Feb 24, 2007 (gmt 0)

10+ Year Member



Be careful what you wish for - the reason I can roughly deduct is I have a channel for every ad unit and the click through rate is not so great. So often just by checking adsense regularly through the day I can see how much money a new click on an ad unit with only 2 ads is adding to the total. when I get a number of low value clicks against 1 channel I go and check it out and see what ads are showing in my top 5 geo regions and check for mfa's I clear them out and levels return to normal, when the filter is full I empty and start again. I can appreciate tho if you were getting 100's of clicks every few minutes it might be more difficult to use the deduction/elimination method.