Google Launches New PPA Ads

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This was has been expected for awhile, and now Google has went ahead an launched their new beta version of Pay Per Action Ads. The benefits to the advertiser are obvious: they only pay if a user performs a certain pre-defined action. This is an attractive way to draw people in to the Google advertising network. How the program differs from current CPA programs is unclear to me at this juncture.

Tracking: Google conversion tracking allows us to determine when an action that you’ve specified has been completed on your site. If you’re already using conversion tracking, you’ll be able to quickly enable existing actions for your pay-per-action campaign by adding the amount that you’re willing to pay. For new conversion tracking users, you’ll need to add a small amount of code to your website after you define your actions.

Obviously Google needs the tracking in order to determine conversions. The advertiser sets a basic rate and that’s what the publisher gets. Say the advertisers says its $10 to fill out a form, that’s the payment. Sounds simple enough. It doesn’t say what part of that money Google will keep, but I’m sure it will be substantial.

This is a totally different look for Google. This could indicated that interest is waning in context sensitive ads and advertisers just keep on demanding more control from Google. Another sign of maturation in the Adsense market. We’ll keep an eye out for more information on these ads in the coming weeks.

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