What is Adsense Smart Pricing ?

What is Adsense smart pricing ? Is it a good or bad thing? Will it cost you money or lower the Adsense revenue your website generates?

You may not realise it, but if you use Adsense on your website chances are your website is already subject to Google smart pricing.

What is an Adsense smart price ?

Smart pricing enables Google’s advertisers to maximize the earning capabilities of there Adwords campaign.

What is Adsense Smart Pricing
Good    or    Bad

How is this accomplished?
When you place Adsense ads on your website Google will monitor the ads being clicked on and how many of these ads turn into sales for the Advertisers, if you get a good click through to sale rate the amount you will be paid per click will be good, but if you get a very poor click through to sale then you may only get paid pennies for each click.

Many publishers think this is unfair, but is it?
The one company that actually earns less due to this is Google themselves, if you only get paid 1 cent per click then they don’t earn much more than this either.

You may think Google are crazy doing this, but it shows us that they are looking after their Advertisers which are after all is not only Google’s bread and butter, but without them we would all have no business.

If your site offers a decent click through to purchase you may actually find it generating more revenue as the smart pricing works in your favour.

Sites which offer decent content rather than just ads or links will always have a much better click through to purchase rate.

The advantages of smart pricing

• Helps to ensure new Advertisers will sign-up to use Google

• Existing Advertisers will stay with Google

• Helps to reduce click fraud by offering next to nothing for these types of clicks as they will have zero click through to purchase.

• Means that people who put a lot into a website can build a web business.

• It will be harder for people who are in this for the quick buck to generate any real revenue.

In our current economic climate it helps to ensure the future for Google Adsense and us the publishers.

In addition to smart pricing click prices are also dependent on competitive markets, for example if your website is based around a popular/competitive subject such as Laptop computers the possibilities for good revenue earning clicks are very good,

take a very niche market such as table tennis bat cleaners and the competition will be much lower, which means less competition for the advertiser who will not have to pay so much to get ranked highly for his chosen keywords.

Notes
Your websites advertising should be under continual change, this is really the only way to maximize your earnings.

A good way I have found of doing this is finding a page that does very well with Adsense in terms of good click amounts, this means the page is converting very well into actual sales for the advertiser, I then experiment on the page with other types of advertising in particular more sales based where you only get paid if a sale is made, this has proved to work very well for me.

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