Why Adsense wont work…
Update: There is a picture to this blog. I didnt see it my bloglines. IF you didnt either, catch it here
Here is a classic example of why I think adsense is not the panacea for all advertising problems. As long as you dont consider the tone of the subject in discussion, you will probably end up irritating the end user than help him find something useful.
Another proposition I have is, as people get more and more used to text ads, they will stop clicking it. How many people really care about the advts on traditional media anymore? The more you see them, the less effective it is. My hypothesis is, more and more sites will start delivering text ads and they will looked upon similar to the banner ads on the web or ads on traditional media.
The point I am making is, the success of an ad channel is not replicable. Similar to how you can not remake a box office hit movie with the same storyline (they do this all the time in India) and expect it to topple box office again. Novelty is the mantra of the day.
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But this is true of all ad systems, all ad systems eventually wear out. Text ads will go the same way as animated banners – which were novel at first, but users grew used to them and ignored them later.
As for text ads, Google is doing its level best to stop having to pay publishers. There new system which pays based on sales generated rather than clicks will devalue the entire ad system, meaning that advertisers will pay more for advertising and publishers will receive less since they only get paid when a user clicks and makes a sale. Google takes the largest cut (more than 60% of the revenue gets eaten by Google when they convert to this new system).
Google (owns blogger) will be the death of the admarket, because they put out the new ad action system (CPA – clicks per action) all advertisment sites like yahoo, microsoft, amazon, etc will be forced to adapt and use this new system.
TWAISI
Anonymous
13 Aug 06 at 2:36 AM