How smartpricing works

[F8soldier]

I'm sure you've all heard of smartpricing, where google pay you less for clicks? Anyway I've found some info about it from; One poorly converting site can "smart price" an entire AdSense account - JenSense.com

"Smart pricing affects an entire account. It is not on a per page or per site basis.

One poorly converting site can result in smart pricing impacting an entire account, even sites completely unrelated to the poorly converting one.

Smart pricing is evaluated each week. So removing ads from sites you suspect are converting poorly could result in seeing an adjustment to a higher smart pricing percent in as little as a week.

Smart pricing is tracked with a 30 day cookie, so you could be rewarded for new conversions that saw the initial click from your site up to 29 days earlier.
Image ads are also affected by smart pricing.

With smart pricing, an advertiser could end up paying less than their minimum bid, which would theoretically include the minimum bid price available, meaning publishers earn less for even the minimum valued clicks.

Conversions for smart pricing publisher accounts are tracked by those advertisers who have opted into AdWords Conversion Tracking"

To add to this it is better to have adsense on product- related sites simply because a transaction is more likely to take place. If you put adsense on a page that is about weather, for example, then you won't receive any product-related ads and are then likely to be smartpriced.

[Bloggeries]

Great post!

It makes sense that product related ones would convert better but at the same time if you have a similar product and put adsense you may get the 35 -45 cents a click for someone going through when you could of sold your product for 15-20$. It does make sense from the advertisers method.

Maybe best is information sites about products where you don't sell products. EUREKA! That's why all those technology blogs makes such big $$$ on adsense.

[rickyou]

so, how can we avoid being smartpriced?

Rick

[JeremyMorgan]

It looks like the best way is to remove sites that are causing your "smartpricing".

Right now my CPM is .00 to .01 cents per click. I'm obviously in this category and shopping for something different to monetize my site.