Google has changed again.

They are finding ways to cut the prices served to sites, again.

This was the death knell for the original banner/ad system, and it seems google is arbitrarily doing it.

They put a new "smart pricing" thing in, that is based not on hard data, but on supposition.

"Improved smart pricing
We are adjusting the price of certain clicks based on expected value to help ensure better performance for advertisers"

The _expected_ value is the problem. There is no data to support that those clicks actually perform worse - or better.

We've already noticed a drop in per-click averages over the whole system. I don't have site/targeted data yet, but in a few days I'll be able to see which channels have started taking hits.

It seems they are playing one side off against the other, and that is bad. The system was full of potential, and I didn't see how it could be "rigged" but they just came up with a way :(


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