Reading some of my RSS feeds I noticed on Google Blog the release of Adsense Referral 2.0! Already multiple blogs are out there spreading the news like wildfire. This new realease to the public is base on PPA and not PPC. PPC is Pay Per Action, meaning if someone clicks on an ad and buys something from that specific vendor you get paid.
Have you ever seen Adsense look a like ClickBankAds? They work in the same manor or maybe even Auction Ads. If a user clicks on those ads and decided to purchase the product or service you get paid. If they decided not to purchase then you do not get paid even for the click. PPA is a new referral system Google has put in beta for quite some time now.
Another great example is affiliate systems, you have ads on your blog or website and you get paid if somebody decided to purchase or buys that vendors product. Google PPA acts the same way. PPA works with any type of conversion: sales, newsletter sign-ups, etc. Any ‘action’ the reader takes you would get paid for.
Advertisers choose how much they want to pay for a user to complete a pre-defined action like a purchase, newsletter sign-up, or other conversion. Publishers must agree to that fee and action before placing a PPA ad on their sites.
Publishers in the Google content network may select between individual ads, a shopping cart of ads, or a specific keyword that is relevant to their site’s content. The ads are not part of the auction for AdSense for content ad units.
The idea is that you won’t have to pay simply for clicks like in the current and traditional Google Adwords program, but only pay based on a certain action that a visitor took while researching the product or service that you have ad placements for on Google Adwords.
“Pay-per-action ads complement your current campaigns by providing a new pricing model that extends your reach and allows you to pay only when a defined action is completed on your site.”
Here is a snippet from Google’s Blog:
- Expanded product inventory: While many of you have had success referring one of our Google products, some of you weren’t able to find a product that fit the context of your site. Referrals 2.0 offers products from thousands of AdWords advertisers, so you can find the right ads for your sites.
- Category and keyword targeting: With thousands of products available, it can be difficult to decide which ads will perform best on your site. That’s why we give you the option to refer products by category and keyword. You can narrow down the types of ads you want to display and let AdSense figure out which ones will perform best on your site. Whether you want ads for a specific category, advertiser, or product, referrals 2.0 will give you the control to decide.
- Ad unit optimization: It can be tricky picking the best ads for your site, so we’ve included ad unit optimization for referrals. When you create a new referral ad unit, simply select the Pick best performing ads option. We’ll then compare your selected ads to other relevant ads, and serve the ads we expect to perform best on your site.
- Better targeting for pages with multiple themes: With standard contextual targeting, ads may not match up directly with the text around them if there are a number of themes on the page. With referrals, you can select unique â€œkeywordsâ€ for each ad unit to narrow the targeting directly to the theme you want. Better targeting means higher earnings for your site.
- Greater compensation for high-quality traffic: Since referrals are paid on a cost-per-action (CPA) basis, your traffic matters. If the traffic you send to advertisers is more likely to turn into a completed sale or lead, you will earn more with referrals.
- Add your seal of approval: Unlike AdSense for content ads, our program policies allow you to make specific references to referral ads on your site. If you endorse the product that you are referring, feel free to let your users know. By adding your personal review of the products you refer, you can help your users make more informed choices.
To get started with referrals, click the AdSense Setup tab in your account, then click Referrals. If you don’t see referrals 2.0 right away, please check back in a few days, as the feature will gradually become available in all accounts over the next few weeks. Please also keep in mind that for some languages, advertisers are just getting started so ad inventory may be limited at this time. We encourage you to check back frequently to see new offers.