Google to offer "Cost-Per-Action" ads - Webmaster Forums - Webmaster forum for HTML, PHP, ASP, CSS and more

ablaye · 06-27-2006, 01:50 AM

Google is currently testing a new ad model, the "cost-per-action" ads. Basically, the advertiser no longer gets charged for clicks, but rather when the clicks result to an action that the advertiser is seeking such as purchases, membership sign-ups, etc...

I absolutely would love to sign up for this program as I would only be charged for traffic that turns into sale leads.

The current Pay-Per-Click model is flawed as I believe there is too much fraud in this and advertisers such as myself are loosing a lot of money in fraudulent or useless clicks.

What do you guys think? Would it cost too much to the advertiser?

More on this can be found in this press release: http://www.prweb.com/releases/2006/6/prweb403094.htm

WEB_I · 06-27-2006, 10:25 AM

www.snap.com has been doing that for a long time PPC, not pay-per-click BUT pay per conversion....the way off the future

Cheers

WEB_I

Nerz · 06-28-2006, 10:57 AM

Its a great concept, but I got a feeling google will charge a premium for CPA. The ad tracking for google has been getting more sophisticated over time..its good to see there introducing this service, and certainly If id was an advertiser id take the extra time to set this up....providing that premium isnt too big.

NextWarrenBuffett · 08-07-2006, 06:08 PM

I would love to see it in action

O~Snapple · 08-07-2006, 08:46 PM

But what would stop a business from saying they never made a conversion???

Axed · 08-07-2006, 08:51 PM

Google will find them

lvkyle · 08-09-2006, 05:03 AM

I think it will really hurt smaller start up sites, while big established sites will be fine. The problem is, is that a lot of adwords advertisers are paying a lot of money, and yes there are fraud clicks which needs to be addressed, but

Why should the publisher give free traffic away to your site and only get paid when you get paid? A lot of advertisers do not take into account that maybe the product they are trying to sell isn't in demand, or they are asking to much for it, yet they feel that they shouldn't have to pay money to advertise on sites if they don't get any conversion.

There are problems on both sides of the google world, and both still need a lot of work.

RemindMe · 08-09-2006, 02:14 PM

Cost per Action is surely the way of the future..

The charge would certainly be a premium.

Would it run similliar to Adsense, in which case there are algorithms that allow even a $0.10 per click user to get seen or would they run auctions???