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What is smart pricing

By admin | February 8, 2008
Under: Google Adsense
A lot of people has talk about this in any forum. It happen to me too. I have been experiencing almost 40% reduce of my adsense earning lately. I am sure if you are promoting adsense ads, you will face the same situation. Most of the people refer this phenomena as “Smart Pricing”. So what exactly smart pricing is? Does google apply this to protect advertiser ROI? Does google make money by paying less to the publisher? Google say they don’t . Let we discuss about this. You may diagree with me, but no problem, you are entitle to give your comment :-) . Smart pricing is terminology that being use by google to pay you whenever people click on your ads based on advertiser bid. Their explanation about smart pricing rather too general. In most cases, those who had high CTR will have lower earning. If this keep on happening, is that worth to participate actively in Google adsense? I will give my self for another 2 months to see this. Based on my understanding here is the general rules we should follow if we want to receive good earning in adsense.

1. Content- Content is the king, that what they say. Sure, i agree with that. But the question come to how do they define “good content”? I am sure they are not going to read one blog/website to another and rate which blog are good or otherwise. So they are using their own algorithm to check our site/blog. That bring me to another question, how does their algorithm check our blog/site, per words or per post basis? Only google has the answer. Since there are the pay master, i will follow the rules. Create good content for your site/blog , that lesson number 1.

2. Focus with your niche or keyword. This will lead you with relevant ads display along to your content. I have tested this in one of my blog. I notice that the button ads display almost 90% relevant to the content where the other type of ads seem to be not focusing with the content regardless how good is your content relevant to the niche/keyword.

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