So basically the theory is this: Only show Adsense to search engine visitors and you will make more money... Yes, you will show a little fewer ads, get a little less clicks, but make more overall, and here's why:
I just did some research on smart pricing and found out that some people started making more money by only showing ads to people who found their site through search engines.
In my case, about 75% of my monthly traffic are new visitors who found my site through search engines, so I would be showing 25% less ads.
So If I were to do this, it sounds like I should probably expect to make around 25% less money, (since I'd be showing 25% less ads) right?
Not necessarily, for this reason: search engine visitors are the ones who are much more likely to click ads, and buy things from those ads, so they are more valuable to the advertiser, and in turn, those clicks worth more money to you. (e.g. no more 1 to 2 cents per click, or 'smartpriced' ads from Google.)
So you will receive a little less clicks overall, but your CTR should go up, and Google should pay you more for those clicks. Return visitors, or 'regulars', and link referral traffic are more likely to just be looking for content and not to buy anything. If you have a higher CTR, with better conversions for the advertiser, your overall monthly earnings should rise, you should be un-smartpriced, and your CPC should go up.
Using my earlier example, let's theoretically say I was getting around 1000 clicks per day by showing clicks to ALL visitors... If I were to do this, now I'd be getting around 750 clicks per day... But the difference is, I'd rather get 750 clicks worth 10 cents a click then 1000 clicks worth 2 cents each.
1000 clicks x $.02 = $20.00 - showing ads to all
750 clicks x $.10 = $75.00 - showing ads to search engine visitors only
Less clicks, but BETTER clicks = more money in the longrun.
I'm going to give this a shot across all my sites for a few weeks because I've really increased my CTR lately, but my overall earnings and CPC are way down. I'm delivering more clicks but I'm making less money, so something doesn't add up, and I'm going to atleast try to do something about it.
Another bonus of doing this is. You won't be disturbing your regulars and certain other visitors, because they won't be seeing ads any more. You may end up getting more links to your site, better ranking in Google, etc.
Your thoughts? Does anyone else do this? Is less ad impressions and clicks, but making more money overall really possible?