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Longstanding investor in Looksmart with a passionate interest in the problems of newspapers and their success with their monetisation attempts, on the web. And the "times are indeed, a changing"..... I feel.... For, history will also show that ACAP (the, Automated Content Access... More
  • Google's AdSense days are numbered .... 1 comment
    Aug 27, 2009 01:49 AM


    Enter an era when advertisers are finally gaining the upper hand. For hundreds of years publishers have ruled over them with an iron fist ......

    In recent times (on the web) the "don't be evil" Google (in fact) have been doing very nicely at the hands of advertisers paying the bills. Times are a changing, as readers of this board have so often been told.

    http://www.sharecafe.com.au/board.asp?a=BV&boardid=2117&sym=LOK&lot=0&ps=0

    And Google's (oh so quiet) announcement through it's blog (today), that it's AdSense publisher partners will soon have the ability to allow multiple ad networks to compete for display ad space on their sites is now 'the beginning of the end' for AdSense, is what I truly feel. - http://adsense.blogspot.com/

    Suddenly Google have recognised their need to "go with" the stream rather than persist in paddling it's own (very lucrative), AdSense canoe..... Suddenly that Ted West talked of $1.2 billion US marketplace for secondary Ads (remnants), has now gotten to grow a whole lot bigger. And (in time), Globally of course.

    And the "full gloss spin" surrounding the announcement comes in bucket-loads, led by spinmeister TechCrunch, here:

    Google To Open The AdSense Gates To Other Ad Networks — That They Approve Of

    But a usual blind faith abounds from within their comments section. Save for one early responder, that I have just read. The poster "Firebrand" says:

    <..Ahh so now they can take their cut from even more stuff? I get it.. Not content to suck the little guy dry by only passing along 20-30% of what they get from the advertiser now they want to take 10-30% from ads that they don’t bring in directly.

    For one, I have cut my google adsense. I get more money from other networks that I work with directly. Why in H*ll would I let them get a cut of that?

    Fur criss sakes guys wake up and smell the coffee. Then dump google for good. Go with someone who pays decently for your traffic and is transparent about what cut they get off of your traffic. Let’s not forget, it’s your traffic not theirs.

    Once more with vigor. ..........  Wake up and Smell the Coffee….>

    (More in a follow-up instablog)

    :)

    LC

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This post has 1 comment:

  •  
    [A follow-on from the above instablog]

    I was prompted to make my own reply to the question put of what happens to Rubicon Project, Pubmatic, and others?

    I wrote that I felt that ... <The likes of Rubicon Project, Pubmatic, etc (like Google will effectively be doing with it’s AdSense publisher partners) have a need to soon ‘join’ a [much more fairer and] totally transparent Global OPEN Marketplace.

    We will see publishers (and Pub Networks) get to use YieldBuild and all Advertisers of note (including Global Ad Networks, Agencies), embracing the Looksmart ‘independent’ AdCenter, with it’s advertiser orientated ‘SmartRotation’ and ‘Optimal Pricing’ being the ‘driver’ for such.

    I feel that it’s ultimately all about (best) “optimisation” at both ends with publishers maximising their revenues with every impression opportunity presented (on a Global scale) and having advertisers meeting that market driven ‘fair price’, in a vibrant RTB concurrent (global), auction marketplace.>

    And it will all (quickly) become so much clearer for advertiser as was pointed out by Michael Schoen, Looksmart’s VP of Product and Technology, in that SmartRotation not only manages to rotate ads, it is designed to make money (by better pricing or, optimisation ='s savings - better ROI's), for advertiser users of AdCenter.

    ........."It offers the same two creative rotation options that Google does, and then also the ability to optimize on CPA. Which means, according to Schoen, “[O]ur version optimizes to generate more money for the advertiser.”

    www.youtube.com/watch?...

    I believe that Brands and Agencies acting on behalf of (global) major advertising accounts will mostly all directly "drive" their own AdCenter operation, IMHO......... They then get to be able to more easily "cost compare" both Google's (own, keyword) AdSense price with the existing "real time" (same keyword) cost alternate, within the OPEN Marketplace.

    Real terms price efficiency 'levels' can then be (quickly) reached, with this important option that they will have. How long does it then take them to realise, that their being "blind" in the real time bidding process (to publishers and especially to Google) will then, get to quickly create this 'level playing field' effect.

    Google will effectively be forced to reduce it's own "take" from publishers (in particular, existing smaller AdSense type), who will be (mostly) 'selecting' the highest paying Ad that gets to meet their own demand price. Advertiser will pay the lowest they can get their positioning for. Supply and demand will dictate terms at both ends.

    Ultimately, savvy Publishers and Advertisers will (both) slowly but surely gravitate to dealing directly with a YeildBuild (3%) and AdCenter, SmartRotation (8%) type 'one stop shop', combination. Whilst Looksmart have told the market of it now paying a much higher TAC (to access this greater scale of [Google] traffic), time will see the above effect take shape. And ultimately, advertisers still get access the same remaining Google, publisher network.

    Google IMO, now provide a "speed-up" with this latest 'roll over', to what will be, a[n] more efficent (to both advertiser and publisher), inevitabilty.

    This thread gave an eg, of Google enjoying (or, retaining on average), over 23% in Q4, 2006.

    [Google paid $916 million to its adsense partners in the fourth quarter of 2006. (That isn't counting the $60 million paid to "distribution partners.") - "Google's partner sites generated revenues, through adsense programs, of $1.20 billion" in the same quarter. Divide $916 million by $1.20 billion - you get 76.3333%.]

    www.webmasterworld.com...

    Cheers,

    LC
    Aug 27 02:06 AM | Link | Reply
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