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  1. #1
    SitePoint Guru defiance's Avatar
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    How many percent does google take from the actual bidding?

    Hi

    i was wondering, how many percent does google give their publishers'?

    i heard that it was in the region of 20/80??

    THanks

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    I think it might be different for different things.

    Although the minimum Bid is $0.05 and at least once I know of I got a $0.01 which would be 80/20. But I've also had a lot of $0.02 clicks, which would suggest 60/40. BUT at the same time the vast majority of my clicks for the last few months have been $0.03 which would say 40/60, unless those are $0.10 bids which would then be 70/30.

    So I don't think there is a set number, otherwise you'd figure they'd tell you. It's one of the things that sort of freaks me out about them, it could be really easy for them to be like "Hey bob, our profits were down 7% last week, how about we pay publishers 50% instead of 60% this week"

    of course I'm not saying they do that. But then again they could and no one would really ever no since no one knows what the payout really is for sure

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    SitePoint Guru defiance's Avatar
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    Quote Originally Posted by fireklown
    I think it might be different for different things.

    Although the minimum Bid is $0.05 and at least once I know of I got a $0.01 which would be 80/20. But I've also had a lot of $0.02 clicks, which would suggest 60/40. BUT at the same time the vast majority of my clicks for the last few months have been $0.03 which would say 40/60, unless those are $0.10 bids which would then be 70/30.

    So I don't think there is a set number, otherwise you'd figure they'd tell you. It's one of the things that sort of freaks me out about them, it could be really easy for them to be like "Hey bob, our profits were down 7% last week, how about we pay publishers 50% instead of 60% this week"

    of course I'm not saying they do that. But then again they could and no one would really ever no since no one knows what the payout really is for sure

    Wow..
    that is indeed freaky....

    i bet they really keep it at a corporate level.

    If this info gets out, and publishers found out that the percentage is meagre, i wonder if publishers like us will continue to serve their ads.

    i would think that the percentage is ard 30/70

    Google's main income is advertising, and i read somewhere that their revenue is in exceed 1B

  4. #4
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    Google is a publicly traded company so almost all of the details about their revenue are in the public domain. Google does not however share their revenue split with partners. It is known, or at least highly theorized that Google's percentage is dynamic. Chances are every site isn't getting the same amount and one site might even get different amounts based on how much a click costs. For example, on a click that grosses 5 cents, Google might pay 2% or just under half (assuming there are no fractional cents) but on a click that makes $2.00 they could pay far less (or far more).

    The simple fact is that we don't know. As publishers we go in with this understanding. Google doesn't lie and say "we often pay 75%" and then pay 5%, they simply don't say anything. Both Yahoo and MSN are promising to launch similar services in the future and they may very well include the percentage. Then again, they may have realized how smart of an idea this has been (on Google's side) and not tell. In either case Google often makes more for publishers than any other CPC campaign can and often more than CPM campaigns as well.

    No matter how poorly Google pays if the result is that people make more with them then without them, people will stay. Only if there is a higher paying alternative do people have a reason to leave.
    - Ted S

  5. #5
    SitePoint Guru defiance's Avatar
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    Well..

    actually,, we can roughly estimate right?

    Sign up an adword account, then sign up adsense account.

    and see the difference.
    of course you cannot possibly know what is being served.

    cool...

  6. #6
    SitePoint Guru defiance's Avatar
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    how actually does the bidding system works huh??

    i wonder.....
    anyone can share with me about this

    Thanks

  7. #7
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    The bidding system for Google is extremely dynamic and uses a combination of max bid and CTR thus if you pay $50 for a click and everyone else pays $20, you might not show up first. However, if you pay $15 but have a 5% ctr and everyone else has a ctr of 1%, you would show up first.

    It is possible to get a feel for how many people are bidding on terms by creating an AdWords account but you really won't know the true results. Google AdSense pulls ads based on keywords and related keywords so even if you figure out the max bids on a few terms, you would have no idea what other terms could possibly be getting included. Furthermore, Google doesn't simply show ads on a top down basis... you might show 3 top tier ads and a few lower tier ones thus if you get 500 clicks you have no idea if those 500 were for $1 bid terms of $0.05 terms.
    - Ted S

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    Serial Publisher silver trophy aspen's Avatar
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    People have figured out based on public financial documents that Google takes only a 15% cut from it's syndicated ads.

    However, that includes adsense, premium adsense, and distribution deals from places like AOL and Ask.com

    Obviously AOL & Ask.com get higher rates than we do and have more volume than we do, so who knows how much we actually make.

    Also Google allows people to bid lower on adsense sites than what they bid on adwords ads so your estimates based on the revenue for one click don't really work.
    Chris Beasley - I publish content and ecommerce sites.
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