AW bidding

Discussion in 'AdSense' started by Evoleto, Dec 6, 2005.

  1. #1
    Hi,

    I'm trying to find out why certain classes of keyphrases are not as productive as in the past, assuming the advertisers have the same appetite for them.

    Excluding other factors I assume that if the content sites offer made to the advertisers grow, so basically the number of content pages that qualify for displaying their ads increases, naturally the price per click should lower, am I right about this?

    Because the SEO performance of some of my sites is increasing, the return is getting lower, and I assume this is the major reason, new sites on the topic being launched, many scrapers tho, some stealing my content too :mad:

    Thank you.
     
    Evoleto, Dec 6, 2005 IP
  2. mcfox

    mcfox Wind Maker

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    #2
    I wish I knew what you meant.
     
    mcfox, Dec 6, 2005 IP
  3. jeeplaw

    jeeplaw Well-Known Member

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    #3
    Are you suggesting that you have had certain keywords produce better monetary results in the past, but now they're only doing marginally just as well? It could be plenty of factors. Am I reading your statement correctly?
     
    jeeplaw, Dec 6, 2005 IP
  4. Evoleto

    Evoleto Well-Known Member

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    #4
    Please excuse my English, its not my mother tongue language :(

    Anyway, the plain question is: does the adsense revenue get lower if the publishers focusing on the same nieche produce more and more pages on the same and adjacent topic?

    Thank you.
     
    Evoleto, Dec 6, 2005 IP
  5. Eric Giguere

    Eric Giguere Peon

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    #5
    Over the long term, probably. But it depends on what the advertisers are doing.

    Remember that in AdWords, advertisers set themselves a daily budget that limits the amount of money they spend on advertising on a daily basis. So if there 1000 sites that are showing the advertiser's ads one month and 2000 the next and the advertiser's budget is unchanged, then in theory those sites will get less money from that advertiser because the budget gets used up more quickly. This is assuming a constant clickthrough rate, of course, and ignores other variables like smart pricing that would reduce the advertiser's costs and let them show more ads as a consequence.

    But if the advertiser is successful in that niche, it will probably start attracting other advertisers, which could cause the average bid price to increase, so in the end the revenues may not actually decrease much.

    Right now online advertising is still in the infancy stage, so there's still lots of growth opportunities. It pays to diversify, though, so when you setup a niche site be sure to explore the other avenues for making money -- make sure the alternate ads work and explore ad programs like Chitika that can be used at the same time as AdSense, plus of course the usual affiliate programs. Try not to make AdSense your sole source of income and you'll be able to weather the ups and downs much better.
     
    Eric Giguere, Dec 6, 2005 IP
    mcfox likes this.
  6. Nitin M

    Nitin M White/Gray/Black Hat

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    #6
    Also, allowing advertisrs to set a different bid for content ads vs. search ads is a realtively new feature in AW.

    Many advertisers are still making the shift and as they do, content ads might suffer a little dip. That's my best guess anyway.
     
    Nitin M, Dec 6, 2005 IP
  7. Eric Giguere

    Eric Giguere Peon

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    #7
    Advertisers could always do that, they just had to create separate campaigns. Google just made it easier to do such split-run advertising.
     
    Eric Giguere, Dec 6, 2005 IP
  8. Nitin M

    Nitin M White/Gray/Black Hat

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    #8
    Right but the point is that now that it's easier to do and right in your face, you're going to see a lot more advertisers doing it. Whereas before, it was only the experienced AW users that went with separate campaigns.
     
    Nitin M, Dec 6, 2005 IP
  9. Eric Giguere

    Eric Giguere Peon

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    #9
    It's there, but it's still buried in the campaign settings, so I think you have to look for it. And the advertisers still have to figure out what the search network is vs. the content network. But yes, as everyone gets more experienced they'll figure it out. But this has been good fodder for my latest blog entry!
     
    Eric Giguere, Dec 6, 2005 IP
  10. mcfox

    mcfox Wind Maker

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    #10
    It's a lot better than my <any language> :)

    thanks for clarifying your question. :cool:
     
    mcfox, Dec 6, 2005 IP