3rd March 2007

Google Adsense

posted in Technology |
I’ve seen several mentions of people speculating how much of a cut Google takes on ad-sense. Part of the amazing thing is that they actually manage to keep it pretty secret, and we have almost no way of telling what the rate is and whether they change it to make earnings, etc.
This morning I noticed that the first click I got on CalendarData.com was worth 1 cent to me. 1 cent. Now, given that the minimum bids are supposed to be 10 cents, that seems like a pretty bleak picture of what the payouts are. The amazing thing is that the total ad revenue has been up quite a bit the past week- I wonder what it would have been if Google wasn’t taking a 90% cut?

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  1. 1 On March 3rd, 2007, Dave Naffziger said:

    Yeah, it is totally fascinating that this number isn’t disclosed at all.

    However, min bids on Adwords are $.01. However, Google sets min bids by advertiser by keyword that depend on the infamous Quality Score (a composite metric of CTR and relevance of the landing page to the keyword).

    I believe that the various financial analysts have established Google’s cut to be about 40% across the board. Still plenty of margin for YPN and Microsoft’s future service to eat into.

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