Hi I am an online advertiser and use what layman called "arbitrage". Just a month ago, for every $1 I spent on adwords I get $3 back from my adsense earnings. These past few days for every $1 I spent on adwords I got back $1.20 from adsense. Is it just me or did Google change the cpc again? I am bailing out of adsense and saving all my earnings to venture into other revenue stream. I expect adsense cpc to drop in the next couple of years cuz there is just not enough competition in the online advertising business and it makes lots of sense for Google to drop publishers stake in cpc especially in crisis period. Google can drop our stake in cpc by 50% and still win us over from adbrite or bidvertiser and why wouldn't they do that in crisis? I might be wrong but what do you think? Will our stake in a click's worth drop with time?
They may have changed in order to keep themselves profitable..but from what I heard .. Advertisers do n't pay that much as it was before..this might be the reason as your content related advertisers may not be paying tha t much..
i am going to start a Free Flash Gaming website, which has only one revenue stream that is ADSENSE, with that only i have to pay hosting fee ($150/year) and my income also. is it worth to start?
cpc i recieved some months ago is same as i m getting these days, so i dont think they changed anything
This crisis is blamable. Something is seriously wrong here and needs to be changed quickly. Blame pushing is part of the process where people are brainstorming where the fault lies. However we don't get paid for solving the crisis. It's the government job. It's not an "act of god".
Instead of blaming try to do something about it, work arounds? Since you can't solve it or get paid to solve it, think of some ways to work around it. Or you can keep on bitching like some people (not targetting you dolin) here and do nothing.
I am not bitching about it. I am analysing the future of adsense, whether it can support my dreams in 2011, my options of other revenues, how i can get capital for my social network etc. i don't blame anyone without much evidence but everyone is suspicious in crisis and is on the lookout for positive change.
Bingo! It's likely that majority of your earned CPCs came from one advertiser that was bidding a ridiculous CPC on content ads. He pulls his budget, and all that's left are those spending a reasonable CPC on their content ads. The reason arbitrage has become less profitable is because PPC buyers have become more educated.
You can blame the crisis, but it has nothing to do with google, it has to do with what each individual publisher who is placing an ad is willing to pay. Their budgets are probably down. By the way arbitrage is frowned upon and has been a bannable offense for almost 2 years now...