Google Adsense New Innovative Initiative: Pay Per Peformance - A Progressive and Proactive Step

There is a recent news item which has appeared about Google Adsense and caught my attention and I quote the same for your reference.

Google AdSense Testing Cost-Per-Action Payments (Search Engine Journal)
Google AdSense Testing Cost-Per-Action Payments Google AdSense is planning on testing publisher revenue payments on a Cost-Per-Action basis, and according to an email sent to David Jackson of the SeekingAlpha network, is inviting AdSense publishers to test the new revenue structure. David received this message from Google AdSense : The Google AdSense team would like to invite [...]

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Google Launches Cost Per Action AdSense (Slashdot)
rustybrick writes "Google has launched an invite only test of CPA (cost per action) AdSense ads. So instead of getting paid per click or per impression, you now can get paid for an action, such as a sale or lead referral."

As you are aware online internet advertisements are generally of the following kinds

• Cost Per Click (CPC) .


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• Cost Per Impressions (CPM)


• Cost Per Lead (CPL)

It is not completely a novel idea. The affiliate managers like Link Share, Commission Junction etc. used to have Cost Per Lead advertisement as an effective alternative to CPM and CPC methods. Google adwords and adsense are using right now CPC and CPM methods only. CPM is ok when your ad is very generic and attractive to all people and the appeal is such that you need not specially target or differentiate by means of keywords. High Click Through Rate (CTR) is expected for thousand impressions. CPC involves in charging the advertisers only if someone clicks the ad. This is preferable for most businesses and purposes to CPM in general.

Cost Per Lead if implemented, a higher Adsense revenue may be generated and expected from the point of publisher's view. For example ebay.in pays roughly a dollar per lead for their affiliate programs or for introducing a lead who opens an account with them. For advertiser also you need not pay simply for impressions or clicks and you need to pay only for confirmed leads so that there is optimization of advertisement costs visa vis revenue generated.

It will be a win win situation for both the publishers and the advertisers if Cost Per Lead or Cost Per Sale type of advertisements is introduced by Google for their AdSense or AdWords programs. However opportunities for those PPC players who are using the difference an advertiser client pays for a lead and the intermediate affiliate member pays for impressions or clicks as a profit will be shut down if advertisers resort to complete Pay Per Lead or Pay Per Sale campaigns.

Sai Krishna Guru is a web traffic consultant and an astrology knowing developer and has authored a complete info and resource blog on adsense entilted Rich Adsense Articles at the web address
http://rich-articles.blogspot.com. The blog comments upon most of the ebooks, software and tools available on Adsense and Adwords. One may use the blog as a reference and library http://rich-articles.blogspot.com.

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