Adsense earnings down?

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Recently it has been reported that publishers are earning less from Google Adsense since the month of November 2007.

There are many possible reasons for these sharp decline but the center of conversation is that it is due to Google’s “Smart Pricing”. Many argued that this is the reason for the decline in earnings. According to Google Adsense Blog’s explanation:

“More than conversion rate goes into determining the price of an ad: the advertiser’s bid, the quality of the ad, the other ads competing for the space, the start or end of an ad campaign, and other advertiser fluctuations.”

Google described the ”Smart Pricing ” as:

“Google’s smart pricing feature automatically adjusts the cost of a keyword-targeted content click based on its effectiveness compared to a search click. So if our data shows that a click from a content page is less likely to turn into actionable business results — such as online sales, registrations, phone calls, or newsletter signups — we reduce the price you pay for that click.”

It means to say that if your site has quality contents, you are more likely to get higher quality, costlier and high conversion rate ads.

Another possible reason has got to do with advertiser budgets which have declined due to the economic uncertainty. It looks like if there is going to be a recession, Adsense profit would be badly affected too. Could this be the reason for the drop in paid click revenue for Google in the month of January as reported by comScore?

Joel Comm has his own explanation as to why Adsense earnings dropped in since the month of November 2007. He said that it is because Google has reduced the clickable area of the Adsense ads in order to cut down on accidental clicks. They did this around mid-November. So this is quite possible why the earnings has dropped. But then someone noticed that his click rate dropped by about 10% but his earnings dropped by 50%. The reduction in click rate does not correspond to the reduction in revenue. I believe the reduction in earnings is due to the few possible reasons listed above and not just one particular reason alone.

Below is the video courtesy of AskJoelComm.com in which he explained his theory and also give some words of encouragement.

Easy blog traffic

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There is a very infectious disease spreading like wildfire in the cyberspace and almost all new internet marketer will be infected.

No medical doctor is able to help you if you are infected. You can be cautious when you log on to the cyberspace but most likely you will still be infected. This disease will not corrupt your hard disk or erase all your files but it will affect you physically and emotionally. The only way to avoid this disease is to abstain from going online.

 

How do you know whether you are infected?

There are symptoms to look out for. Once infected, you will have symptoms such as emotionally stressed out, you will feel you are paranoid and keep on checking your blog traffic every 10 minutes or so, you are cynical and bitter when you see somebody earns big money on the internet and you are depressed.

If you display the symptoms above, you are infected and should seek treatment immediately. This disease has killed the will power and spirit of thousands, if not millions of would-be millionaires. It will kill off your blog and your motivation for success if left untreated.

So you want to know what this disease is?

It is called Pathetic Blog Traffic (PBT) disease. It is definitely contagious. But there is a cure for it and you can find it at Easy Blog Traffic if all other avenues have failed you.

Comments on commenting

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Blogging is not simple. First you have to find something to write about.

After doing that you would have to get people to read your post and then you would have to encourage them to leave some comments and finally to manage the comments. It can be quite a challenge for some especially if the comments are negative. How would you deal with them? WebProNews Reporter Abby Prince spoke with Leo Laporte, host of TWiT.tv and blogger of Leoville.com, as well as Matt Mullenweg, Founding Developer of WordPress and blogger of photomatt.net about these very issues. Catch their advice on this video.