By Peter Bell

Pay Per Action Beta

Posted At : March 20, 2007 4:23 PM | Posted By : Peter Bell
Related Categories: Marketing
This one is gonna be very interesting. When they get the kinks rolled out, marketing is finally going to be able to say "a lead with an email address is worth $3" and pay exactly that.

It'll be interesting to see how pricing ends up working and I'm sure there will still be a big incentive for improving conversion ratios (lower cost per action and/or higher position in adsense results) but this is the start of something that Google has been moving towards for a long time that's going to have huge repercussions if it succeeds and can drive a sufficient quantity of actions to displace less "certain" media buys.

One to watch. Thoughts?

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"new pricing model"

This may be new for Google, but I'm not so sure this is new for the web. I may be completely off my head, but this sounds like what started to happen after around 1999-2001.

Even if that's not the case, I know people (and have at least one client) who have "been selected" by Google to particicpate in some "special things" (this may be one of them, since on avg a couple of my sites add up to the same amt of 'hits' and 'cpm' as his yet they 'asked' him to be part of a 'special program' and he went from 1/3 the money I made to 3x as much!)

Regardless of the Google aspect, the whole "a valid lead is worth xxx" has been well played out for quite some time (I think). In fact, one of the guy's who made a BBS door program called Barren Realms Elite (who made another popular door (SRE?) on par with LORD and I think was from TX and went on to found some similar games on the internet) was doing the same thing with "sign up for" such and such and get paid... As I recall, if you signed up for and received an AMEX card (as one example), you got 10-15+ dollars... and again, this was back in 2k1 or 2k2... If you got that back from him, surely AMEX paid him more...

However, It will be interesting to see it (again?) .... Looking forward to it regardless...
# Posted By Sam | 3/21/07 2:22 AM
Interesting! Good points. Will be cool to see how it all plays out with Google standing behind it . . .
# Posted By Peter Bell | 3/21/07 2:46 PM
I have a correction. It wasn't the guy who made BRE and SRE door games. It was someone who made a site/program that helped you plan how to run your game. The game was Utopia, and I now forget the site. But anyway, the Utopia planning site (we'll call it - since I forget its name) was affiliated with a lot of different places where they got money if you signed up for the service, and AMEX was one of them.

So, maybe it was more like a ton of affiliate programs. I am interested to see how it will work with Google though, as well.

-Sam
# Posted By Sam | 3/22/07 9:08 AM
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