Life was good. You were having great results with CPC ads revenue but then bam! Google AdSense shifts to CPM Model, and suddenly, your wallet feels lighter. How come?
The Impact of Google’s New AdSense Payment Structure on Publisher Earnings
You talk, we listen, we care. Our community of publishers are experiencing the same trend and pattern; A significant decrease in their earnings since Google launched its new AdSense payment setup.
The buzz began around February, as more and more publishers took to Reddit, Google Adsense Help, and other platforms to share their concerns. They were reporting significant decrease in revenue, some experiencing drops of up to 70%!
So, what could be causing this drop in revenue?
Many of you indicate that while overall views haven’t dropped, you are making less money from ads.
Then, what’s the problem? Well, It’s not about less website visitors, but changes in how ads are paid for.
Gone are the days when high CTR rates ruled websites. Now, under the CPM model, it’s all about volume over performance.
CPM vs. RPM
Let’s not confuse apples with bananas. CPM (Cost per mile or cost per thousand impressions) is a popular metric among advertisers. It’s the way they can figure out the cost of their ad campaigns.
On the other hand, Page revenue per thousand page views (RPM) is a metric commonly used by publishers to monitor the effectiveness and profits of their ad inventory.
Page RPM formula
To get RPM, you simply divide the revenue by the number of page views you received, then multiply by 1,000.
RPM = Revenue / Number of page views) x 1,000
How can you recover and increase your revenue? Let us help you!
Fear not! As the internet evolves, so must the tools and platforms we use. As a Google Certified Publisher Partner, we’re here to support you through this transition, helping you maximize your revenue potential and thrive in the new era. Reach out to us today!
