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1 Jul

Google Affiliate Network


Google Affiliate NetworkYesterday Google Officially announced the retirement of their Pay-per-action Beta and the introduction of Google Affiliate Network.

Introduction might be a bit too big of a word, since the Google Affiliate Network is just the acquired Performics network, which was acquired by DoubleClick in 2004.

I’m very curious to see what impact this will have on the Affiliate Marketing community. Google’s Quality score bot, never had a good taste for Affiliate Websites. Will this change now ? For the bigger part Google dislikes Affiliate Sites because they suck up the commission that they feel should go to them. But what if your offer includes the Google Affiliate Network ? Will they treat Google Affiliate Network offers differently ?

A lot of questions pop up. And for now the only answer is: time will tell (cliché)

So far the interface still looks like the (Double Click) Performics Interface, and I would love to see it as a more integrated part of Adwords. Where you can just export your CPA Offer to Performics.

The Google Affiliate Network

I’d love to hear your 2 cents. What impact do you think the Google Affiliate Network will have on the Affiliate Marketing Industry?

User Comments:

Posted by Joost, July 2nd, 2008 at 6:26 am

I think Google will dominate the affiliate market really soon when they take the same approach as Clickbank.

Could you be please more specific on the part where you say: ‘Google dislikes Affiliate Sites because they suck up the commission that they feel should go to them.’ I never read that. In my opinion, with good SEO and linkbuilding, everything is possible.

I like your blog by the way. Helpful content! I would like to see a case-studie on how you set up a profitable campaign, is that possible?

Posted by Wytze, July 2nd, 2008 at 7:16 am

True, but you should consider quality score from Google’s perspective.

Let’s take a simple example: For an average merchant you are making an average ePC of 70 cents per click. When you’re only paying an average of 45 cents per click on Adwords that puts 25 cents per click right in your pocket. If this advertiser would advertise directly they would be able to pay much much more per click, because there is no traffic leakage etc.

Now take into consideration that Google is a publicly traded company, and their investors and shareholders want to see a constant increase in quarterly profits. Google (or it’s shareholders) wants it’s advertisers to pay the highest click price possible for their click.

If you take a look at how the average industry click costs have been increasing over the past 24 months, that’s incredible.

About 9 months ago, while I was at their European headquarters in Dublin, Nikesh Arora who’s basically responsible for all their european operations told me that about 3 years from now the avg. click price would have tripped. This was across all the search engines, and considered worldwide. There’s going to be more and more competition for online advertisers and Google just like any other search engine wants the most bucks per impression (CPM)

I might do a post in the upcoming weeks to clarify some other stuff as well.

Thanks for the compliments Joost, and there will be a complete guide on how to properly set up a campaign soon :)

Posted by Joost, July 2nd, 2008 at 8:42 am

Thank you for the explanation, now I get it.
It’s interesting to read what mr. Nikesh Arora predicts for the near future. When he says the CPC will tripple, I think we’ll see an increase of quality and targetted ads. More competition like you say. It will probably be harder to test and maintain successful campaigns, don’t you think?

Posted by Wytze, July 2nd, 2008 at 8:47 am

Well truth been told; There’s a lot of crap out there. This goes for both e-commerce sites and affiliate websites. It never hurts to raise the bar. After all, Google provides more than enough tools to accurately (split)test everything. However it wouldn’t hurt for them to be a little more careful to check on who and what sites they place their “Low Quality” stamp, and I honestly feel that they can be a bit sloppy when it comes down to that. But I have high hopes for their affiliate network, and hope this will help them reconsider some of the earlier affiliate rules.

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