Understanding Google AdSense Update to Revenue Share Structure and Move to Per-Impression Payments

By Stermy 8 Min Read

Google AdSense has recently unveiled two significant changes that will have an impact on how publishers generate revenue from their ad space.

This update was made public through a new publication on their website, giving advance notice to their customers about these impending changes.

These two major changes include “Updating the AdSense revenue share structure” and also “Moving to per-impression payments for publishers.”

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The first major change involves an update to the AdSense revenue share structure. The specifics of this update include adjustments to the revenue split between Google and publishers. The second change is a shift to per-impression payments for publishers. Instead of relying on clicks or other engagement metrics, this change suggests that publishers will be compensated based on the number of ad impressions their content generates.

  1. Updating the AdSense revenue share structure: Publishers will now receive 80% of the revenue after the advertiser platform takes its fee, whether that be Google’s buy-side or third-party platforms. Previously, publishers kept 68% of the revenue.
  2. Moving to per-impression payments for publishers: AdSense will soon transition from primarily paying publishers per click to the display industry standard of paying per impression. This means that publishers will be paid for every time an ad is displayed on their website, regardless of whether or not a user clicks on it.

These updates from Google AdSense are indeed designed to offer publishers greater transparency and control over their earnings. Moving to per-impression payments simplifies the process for publishers to compare their earnings with other technology providers they utilize. Additionally, the updated revenue share structure provides publishers with more flexibility in their ad space monetization strategies.

It’s noteworthy that Google anticipates these changes to be implemented early next year, and publishers are not required to take any specific actions to prepare for these modifications. This transition aims to enhance the overall experience for publishers using AdSense and aligns with the evolving landscape of online advertising.

Updating the Google AdSense revenue share structure

Adsense in ites released said; “For years, AdSense has been transparent about the fee we charge for our service, which is consistent with industry rates. When publishers have chosen to use AdSense to monetize their content, they have kept 68% of the revenue.

“Previously, the Google AdSense network processed fees within a single transaction. We are now splitting the AdSense revenue share into separate rates for the buy-side and sell-side. For displaying ads with AdSense for content, publishers will receive 80% of the revenue after the advertiser platform takes its fee, whether that be Google’s buy-side or third-party platforms.

“For example, when Google Ads purchases display ads on AdSense, Google Ads will retain on average 15% of advertiser spend. There are variations because Google Ads does not take a fixed, per-impression fee, as many advertisers choose to pay based on user actions, like a click or conversion. Overall, publishers will continue to keep about 68% of the revenue.

“When advertisers use a third-party platform to purchase display ads on AdSense, publishers will keep 80% of the revenue after the third-party platform has taken its fee. Google does not control or have visibility into the fees that these third-party platforms charge advertisers or how they calculate them.”

AdSense revenue share structure
AdSense revenue share structure

Moving to per-impression payments for publishers

Explaining the second major update which is the impression-based changes, the company sai:; “In addition to updating our revenue-share structure, AdSense will soon transition from primarily paying publishers per click to the display industry standard of paying per impression. This update will provide a more uniform way for paying publishers for their ad space across Google’s products and third-party platforms, helping them compare with other technology providers they use.

“It’s important to note that this change will not influence the type or quantity of ads publishers can display on their websites. Publishers in our ad network are required to adhere to both our AdSense policies and the Better Ads Standards which do not allow practices like pop-ups or interruptive ads that take up the majority of the screen.

“We expect these updates to go into effect early next year. These changes do not require any action from publishers.

“Advertising technology helps fund the creative and diverse content we all enjoy online. That’s why we’ve spent years investing in AdSense to help publishers of all sizes easily make money and grow. As the internet evolves, we will continue our work to contribute to the open web and the access to content that advertising supports, while continuing to simplify and provide transparency into the process.”

What do these changes mean for publishers?

The updated AdSense revenue share structure indeed brings positive news for publishers, as it means they will retain a larger share of the revenue generated from their ad space. This is a welcome development for publishers, as it provides them with more financial resources to invest in their content and expand their businesses.

The shift to per-impression payments is also a boon for publishers. It allows them to earn revenue each time an ad is displayed on their website, even if users do not click on the ads. This is particularly advantageous for publishers who have high-quality traffic but relatively low click-through rates.

In summary, these changes offer several benefits to publishers. They enhance transparency and control over their earnings, while also providing the potential to increase their revenue from ad space, further supporting the growth and sustainability of their digital businesses.

Additional benefits of these changes

  • More consistent revenue streams: By being paid for every impression, publishers can expect more consistent revenue streams. This is because ad revenue is less likely to fluctuate based on user behavior.
  • More flexibility in monetization strategies: The updated revenue share structure gives publishers more flexibility in how they monetize their ad space. For example, publishers can now choose to sell their ad space directly to advertisers or through third-party platforms.
  • A fairer and more transparent ecosystem: These changes will help to create a fairer and more transparent ecosystem for publishers and advertisers. By providing publishers with more information about how their revenue is generated, AdSense is helping to build trust and confidence in the digital advertising industry.

See This: Top Paying AdSense Keywords And Best Adsense Niches

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By Stermy
Stermy is one Crazy fan of the word "Internet". Always online to stay informed and keep others updated. #townflex