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Google Launches Cost Per Action AdSense

Posted by ryuzaki0 on from the tweaking-and-peaking dept.

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."

4 of 147 comments (clear)

  1. They've collected a lot of useful data already by shaneh0 · · Score: 2, Informative

    AdWords has had the capability to track "conversions" by placing pieces of javascript on "Success!" pages for quite a long time. I've used it for years and always thought of it as very useful.

    Apparently it's equally been useful to google.

  2. Re:This is something I've been waiting for by panaceaa · · Score: 2, Informative

    Hehe, it seems like we both didn't RTFA :). According to the invitation, CPA advertisements are going through an AdSense-like model rather than on Google's own pages. However, they will be distributed using different servers and will not be mixed with traditional AdSense advertisements. There's still an interesting equilibrium for CPA ads, however, because Google will obviously show CPA ads with high conversions before they'll show ads with low conversions. Under what circumstances would Google ever show an ad with a low conversion rate?

    As for fraudulent clicks, CPA completely bypasses this problem because if there's no action, there's no cost for the action. A previous post brings up a good point about the CJ network using stolen credit cards to make purchases, therefore costing the advertiser more than he's earning, but I believe Google will be more responsible about heading this problem off.

    --
    my blog
  3. Re:Advertiser Fraud by shumacher · · Score: 2, Informative

    I used to work retail. I've seen the instruction sheets that go to the legit secret shoppers (there are a lot of scams out there). They vary quite a bit. Generally, the instructions are to go into the store, ask questions looking for key points and phrases, only buying if they actually want something, or they buy a small item, take it home for a couple days, then return it, rating the store on that aspect of the transaction.

    Resturaunts cover (usually advance) the secret shopper's bill.

  4. Nothing New by blooba · · Score: 2, Informative

    This is nothing new. Other smaller companies have been doing the same thing for a while now. It's actually quite a lucrative business, just not as fast-growing as pay-per-click.