Is it just me, or does Adsense ECPM seems to crush whenever stock market makes a big drop. I rolled my eye in complete disbelief when I see my ECPM drops to 1/6 of normal today as I watch stock market across the world plummets and Euro continue to hit 4 year lows. Which makes me theorize that there might be a direct correlation with advertiser spending, google payout %, and the stock market prices, and Euro exchange rate, particular in times of uncertainty. Google, the company, is under heavy pressure by Wall Street to product record profit quarter after quarter. And historically, Google beats the estimates quite handsomely, and are expected to do so next quarter. However, Google's European earnings falling sharply (euro fell close to 20% against the dollar), and Google exiting China, Google is going to have great difficulties in beating Wall Street's expectations! But fear not, Google, unlike other companies, can simply lower the payout ratio to its advertisers to squeeze out that few hundred million dollars shortfall (from the big drop in Euro). What do you guys thinks? If Google don't squeeze out those money from advertisers, its stock will get punished by Wall Street. That is not acceptable, not even for a company whose motto is "Do no evil". Disclaimer: This is not a soliciation to buy or sell Google stock, please consult your financial advisor before making any investment decisions. This post is merely discuss the possiblity of Google cutting down ECPM to meet Wall Street expectations.
no it doesn't. publishers get paid a set % of what google charges its adwords advertisers, not based on stock market movement
G recently states that they share 68% advertising revenue for publisher. and it has never changed since 2003 http://adsense.blogspot.com/2010/05/adsense-revenue-share.html
When the stock market tanks, the clicks go down because ... some advertisers lower their bids and the people who usually search and click are too busy or to panicked to hunt for luxury items. As a matter of fact, since they're trying to keep their jobs, many of them stop web surfing, so they don't draw the bosses attention. If we ran sites about toilet paper - which is a staple, like milk, the eCPM probably wouldn't change that much.