How Google AdSense Cannibalizes Content Based Business Models

Contextual advertising makes it easy for people who are not good at selling but good at building an audience to profit from their traffic stream. But the traffic stream that contextual ads work best for are search referrals, especially since

  • the contextual ad networks are extensions of the search ad networks

  • regular visitors learn to ignore ads
  • the contextual ads typically have little to no editorial pre-sell

Sorry, You're Done. Thanks for Playing Webmaster

As mentioned on Sphinn, without warning Robin Good recently had his Google search referrals wiped away. In a post about the event he stated:

Google keeps changing and refining its own approach and policies to improve the quality of its results and in this effort, it appears that it may have become more restrictive and intolerant of issues and deviations from the official standards that it didn't bother about before.

The Difference Between Large & Small Publishers

If you monetize via Google's ads, much (perhaps most) of your revenue comes from Google searchers landing on your site, and thus you are stuck with Google's editorial search guidelines, which sometimes shift arbitrarily. In spite of Robin being a premium AdSense partner he was punished without warning. Google does it to their business partners large and small, though typically with more vengeance if the partner is small.

Likely because of Robin's distribution and influence (and the damage it would have cost Google to not fix the issue), Google started ranking his sites again, but that still doesn't change the experience from being unjust:

the fact of the matter IS that GOOGLE CAN and DOES arbitrarily penalize sites without being transparent about the reasons it does so.

Is it right that Google has so much power over my ability to "exist" as an entity over the internet? Isn't this the case, as Fabio Masetti says, of Google being able to play with the same net neutrality issues we fear from large telcos, for by having the mere possibility to switch off any content without official justifications, while asking me to plead guilty before I am even re-considered?

Some of those with a smaller following found their problem never had a chance to be cleared up.

When & Why I Stopped Trusting Google

If you have read this blog for the last month you could probably tell Google recently killed one of my sites as well. While it may have seemed my posts were due to anger, they were more to show how my perspective changed as I discovered and experienced how sleazy Google's business practices are firsthand. I still speak truth, but as my experiences changed so did my understand of truth. I still like Gmail and some of Google's other services, but I am finding it incredibly hard to trust them as a company.

Imagine re-branding a site you built over 10,000 organic links to, only to have Google view it as a deceptive redirect and KILL ALL OF YOUR LINK EQUITY while paying spammers to steal your content.

A single Google engineer can decide to kill the viability of a site because of who owns it. Then they pay people to steal your work. It is a long, drawn out, perhaps endless process to protect work from theft, especially if Google decides they would rather pay a thief to steal your content than to pay you directly. How could they do that without expecting you to speak publicly about how unjust that is?

If I wasn't an SEO they might not have taken vengeance on me so heavily, but because I know SEO, and I shared too much honest information they decided the only appropriate thing to do was to punish me by nuking my site. I respect that perspective, but it doesn't mean that I have any respect left for them.

Google: the Ultimate Parasitic Business Model

The more you trust Google the harder you fall when the day comes that they have a technical error, or one of their engineers is having a bad day and decides they no longer need you.

Relying on them to build your business is like relying on self-destructing genetically modified seeds to boost your harvest.

For a few years maybe the yields are a bit bigger, but then the seed prices go up, and so does the cost of the fertilizer required to make the seeds grow. Your margins keep going down until you are financially insolvent, while the engineering team gets a raise every year.

Why You Don't Need Google

To maximize Google AdSense earnings you have to place the ads front and center, which scare visitors away from your site, and make people less likely to read your site, trust your site, revisit your site, link to your site, or subscribe to your site.

If you don't plaster Google ads all over your site then your site is likely going to be viewed as being far more credible, and easier to link at, subscribe to, trust, etc. As your industry grows you grow faster than competing sites that use AdSense do.

To appreciate the difference between mediated growth with Google and natural organic logarithmic growth you can compare the sites Google just killed versus the growth in earnings of SeoBook.com. A couple years ago Google created a poor relevancy algorithm that filtered out thousands of websites for their official business names. Even when they filtered out SeoBook.com the site still earned 85% of what it made the month prior, and that is with a business model that sold information on how to rank on a site while that site was not even ranking for its own name!

The point being here is that if you use Google you set yourself at a specific spot on the value chain. If you try to maximize those earnings you prevent yourself from growing as quickly as you could/should. If you move yourself up the value chain Google not only controls less of your traffic, but they also only touch the least valuable portions of it. Unless you use Feedburner Google does not control your brand evangelists.

Should you trust your business to Google? Do you trust them more than you trust yourself? If so, submit a job application.

How to: Buy Links Without Being Called a Spammer

The types of link buys that Google has a distaste for are the links that are exchanged directly for cash. Modify your way of thinking just a little and there are a wide array of easy to buy high value links awaiting your purchase. The key to having a low risk profile is to make the link appear indirect.

Most links occur because of a value exchange of some sort. People link because

  • they find a resource to be valuable
  • they get paid directly for linking
  • they get paid indirectly for linking

Here are 18 indirect ways to buy links without looking like you are on a link buying binge.

Guest Blogging: Have a lot to share but little budget for exposure? Consider saving some of your best content for other websites that have the attention of your target market & offer to guest post for them. If you are looking for more general exposure and can't get onto the A list websites start by submitting to some of the B & C list sites that accept guest posts and work your way up. Services like MyBlogGuest make it easy to find relevant opportunities.

Featured Content:

  • Involve people in group interviews like SugarRae's link building interviews or SEOmoz's industry survey.
  • Create infographics & promote them to your target audience.
  • Create other featured resource content & promote it to those who link at quality resources. Internet Marketing Ninjas is great at this type of content creation & promotion.

Testimonials: Best thing ever. Buy now! ;)

Testimonials help increase sales because they are a sign of social trust. Many content management systems, web designers, programmers, and web hosts offer links to featured clients. Some keep full directories of sites using their services, while other sites, such as Pligg, also allow people using their software to buy an ad on the official software site.

Conferences: By paying to attend a conference and being social there some people may reference you on their blogs. Some conferences also list speakers, post an official list of attendees, and highlight sponsors with direct links. Giving away t shirts or coming up with viral games (such as drinkbait) will get you links.

Association Memberships: Trade organizations tend to have significant global authority and topical authority. In order to push the agenda of the organization many of these list members to show proof of social value. These links are often priced far below their value, and contributing directly to associations is a way to also get significant exposure in front of the type of people who are likely to buy from you and/or link at your site.

Contests: People are competitive animals. Contests like the Mahalo Follow refer a friend program also move the spamming activity away from the source and onto other people, thus allowing the central sites to profit from spamming without being called spammers.

Awards: Even if winning an award has absolutely no value people still like recognition. Winners like to talk about what they have won. In some cases you can even give award winners your product to get them to talk about it.

Donations: Support causes you believe in. Money is the fuel upon which charities can fund themselves and spread their messages. It is hard to call you a spammer for donating money to a good cause. If you get a bit of link equity out of it as a bonus why not enjoy the benefits of good karma? Better yet, you might be able to donate software or services to charities at little to no expense to you. How much is an SEO services by link on a PR8 charity site worth in branding and distribution?

Free Samples: This acts similar to donations, except it is easier to spread to a wider audience without appearing spammy, and if people like what you offer they may review it on their sites.

Widgets: Many embeddable tools (like analytics products, what is my PageRank tools, etc) provide static links back to the original source site. Some companies also provide emblems that their site is hosted on a green host or that they support some other cause.

Sponsorships: Many email newsletters are archived online. If you target a compelling offer to the right audience this may lead to additional links. Services like ReviewMe also allow you to put targeted offers in front of audiences who may help spread the word.

Web Directory Submission: An oldie, but an easy one to do. Here is a list of some of the better ones. The editorial guidelines are not as stringent as we are led to believe, and here are tips for getting the most out of your Yahoo! Directory submission. If you like video content here is a video about submitting your sites to directories.

Affiliate Programs: Even if affiliate links do not provide direct link juice, good affiliates still send a relevant stream of traffic to your site. Some affiliate programs also 301 redirect the affiliate links to the end merchant site. Affiliate programs allow clean companies to profit from the dirty parts of the web (think AdSense or Mahalo Follow).

Social Media: Partner with someone who enjoys writing junk for sites like Digg. If you are too lazy for that, StumbleUpon ads allow you to target ads to specific groups on StumbleUpon, and there are a number of Digg spamming services on the market. Here are some tips for link baiting.

Google AdWords or Other Ad Buys: You can buy ads and send targeted traffic streams to your linkworthy content. You can do it one keyword at a time, or target ads to specific websites. In some cases businesses get organic links just because people are talking about how often they see their ads, plus top of mind awareness leads to more usage and more links.

Link Out to Egomaniac Bloggers: This is a way of buying links by paying with your attention and distribution. People like getting mentioned, and are more likely to link to people who agree with them. Seth Godin linked to my blog again a few weeks ago and when I saw he mentioned my site (even if only in passing) for some reason that made me happy. Insightful blog comments are also likely to make a blogger want to talk about you.

Blog Carnivals: Blog carnivals are where a group of bloggers all talk about a topic and mention everyone else in the ring. These amount to a big circlejerk. If your site is legit and a market leader there is no need for this sort of stuff, but if your site is new in a saturated field doing this might be helpful. Plus others in the blog carnival may end up adding your site to their blogroll or talking about you again on their blog.

Press Releases: Do it too often and it looks cheesy, but some mainstream media outlets like CNN syndicate press releases, while others may choose to interview you based on your press release.

Hire Them / Buy Their Brand & Site: If someone already has a large following but is not monetizing it to the full potential consider hiring them and letting them help you build a more profitable business. You can also look for under-performing sites to buy. If someone is outside of your financial reach you may still be able to leverage their brand by interviewing them.

What is the Advantage of a .org Domain Name?

In a world dominated by .coms an ad agency decided to promote a financial services company as being different by highlighting the .org in their name to show their non commercial / non-profit nature. 99 times out of 100 a .com is better than a .org, but if you can get a name that costs a million for the .com and only pay a few grand for the .org version and then add $998,000 of marketing to it I think the .org comes out on top.

Using a .org can also make your business look more trustworthy if you are offering a free service and/or are a quasi non-profit. A large part of the current price differential between .com, .net, and .org names is that those who are the biggest domain buyers do not have much development talent or intent to develop them. As a PPC lander page it is hard to earn much as a .net or .org.

Defending Your Site Against a Google Proxy Hack

Dan Thies published a post about how people have been hacking Google's search results using proxies to get the original sites nuked as duplicate content. He also explained how to defend sites against the problem using free PHP scripts developed by Jaimie Sirovich. Dan Thies stated he thought many of the proxy hijack accidents were not accidents at all:

Of course, not all proxies are being run by innocent people for innocent reasons. Some of them are actually designed to hijack content - to deliver ads, etc. Some people want to steal your content, and they want the search engines to index it. In fact, I would not be surprised if a large part of the overall problem isn't caused by such people firing links at their own proxies.

I have seen numerous sites die to proxy hacking, and this is an issue Google has known about for over a year.

Yet another reason hand edits at Google coupled with Google paying AdSense scrapers to steal your content makes Google a pretty dirty company, especially when you consider their unofficial stance on copyright:

Your name can not be stripped and no one else can claim credit for it. That is credit, reputation is a non renewable resource. It can not be replicated. It can not be copied. To the degree that someone takes credit for your stuff, that's the degree to which you lose credit. It is always proportional.

When Google goes so far as trying to police link exchange and link buying why don't they do a better job policing AdSense? If they want to clean up their search index the easiest, most scalable, and most robust way to do so would be for them to worry about their own network, and stop paying content thieves via AdSense.

Bob Massa Starts Blogging

An SEO older than dirt by the name of Bob Massa recently started an seo blog. Peter DaVanzo also started a new blog on link building, and Teeceo started a blog on programming and SEO.

Domain Tools Live Auction

Streaming online right now... coverage here.

Many (perhaps most) domain buyers are like better SEOs...direct marketers who track results, and reinvest. Worth looking at to see how much money there is sloshing around the web, to justify increasing your rates. SeoHints.com is not up yet, already has a couple bids, and is at $1,161. How many SEO related domains do you have that would go for more than that?

The prices are all over the place. Some seem cheap to me, but some of these prices makes me want to dig through Sedo and BuyDomains.com for a few deals.

Either tonight or tomorrow I am going to try to write a more in depth post on domain stuff from the view of an SEO.

Question Copyright Video

A friend recently sent me a link to this Google Video about the history of copyright law, where Karl Fogel, of Question Copyright.org, debunks some myths surrounding copyright. MYTH #1: Being an Artist was unprofitable before copyright law existed.
FACT: Completely false, see below:

MYTH #2: Copyright was created for artists.
FACT: It was the exact opposite. When copyright was created in the Middle Ages of England, it was about censorship. The printing press had just been invented, and people were publishing of all kinds of writings and reprinting text from throughout history. Parliament feared it, so it set up a corporation with powers to enforce an exclusive printing monopoly.

MYTH #3: Copyright protects artists.
FACT: It protects the publishers, and few artists earn the majority of their income from it. In fact, many artists see no money from it at all--it all goes to their publishers.

MYTH #4: Copyright prevents plagiarism.
FACT: Thanks to technology like the Internet, attribution of original authorship is easily detectable, especially when works are published. In many cases, plagiarism (e.g. taking the successful work of one artist and re-selling it under your name) is even EASIER to detect by performing a Google search than via the United States Copyright Office.

---

Copyright laws made more sense in the age of printing presses, but in the age of the Internet it is irrelevant. Distribution does not require significant investment by publishers. In the video Karl also said the following quote about what he thought fair copyright law should resemble:

Your name can not be stripped and no one else can claim credit for it. That is credit, reputation is a non renewable resource. It can not be replicated. It can not be copied. To the degree that someone takes credit for your stuff, that's the degree to which you lose credit. It is always proportional.

I agree that current copyright law is messed up, but so is the way that Google handles what they deem to be search spam.

A work can be a collection of keywords and a navigational structure as much as it is a set piece of content. Trusted sites keep building more trust due to their visibility while untrusted sites have to send email spam or do other types of buzz related marketing to gain awareness.

If Google pays someone to steal your work and sets your (non-transferable) reputation at zero search is not a honest business model, especially if they have any hope of changing the world's perspective of copyright law, which they may need to do if they want to keep their current profit margins.

Censorship, Movie Ratings, & Marketing

Most large industries have regulatory bodies or rating systems which aim to keep power where it lies. I recently watched Kirby Dick's This Film Is Not Yet Rated, a film about the MPAA ratings board.
The MPAA ratings board is composed of what is deemed as typical moral parents, but they play up to support large movie studios. If a film is rated NC17 some studios won't release it, and even if they will it is hard to advertise the movie.

Matt stone, one of the creators of South Park, mentioned that when he tried to get an independent film reviewed they gave it a NC17 rating, and would not say why because they said if they gave specific reasons they would be practicing censorship. Later on he got Team America reviewed, and they gave him a laundry list of what specifically needed to be changed to avoid an NC17 rating.

Some of the absurdity of the movie ratings game include the likes of good ratings for violence in movies (especially without blood), but non missionary sexual intercourse is not proper. The support for violence in unsurprising given the absurd number of movies that run military ads prior to starting the film. The military is not only a leading advertisers, but if a producer needs military stuff to create a movie, the pentagon has to view the film before public does.

Virtually every large market has some form of censorship / reviews board. The stuff they censor is likely a large market waiting to be tapped. If they are unwilling to target those markets because of fear of blowback from advertisers that presents a large targeted audience and strong monetization strategy for independent creators.

FUD & Relevancy: Inside the Mind of a Google Search Engineer

A large part of the search marketing game that gets little discussion is perception. Are the search results relevant? Are the search results fresh? Is there adequate result diversity? Is that particular result worthy of that ranking? What techniques did they use to rank there?

User vs Engineer Perspective

Gord Hotchkiss does a great job covering the searcher's perspective, but rarely do you get to see how a search engineer thinks of the results. This NYT article offered a snapshot, but that has been filtered through the public relations team. The results show not what the engineers want, but the best they can do given their current mindset and computing resources.

Reading Changes in the Search Results

If you can learn to read changes in the results you can see what they are trying to fix right now, what issues will become a big problem, and what issues they do not care about. For example, right now, Google does not care for result diversity. They are so afraid of small spam sites that they:

Why You Should NOT Trust a Search Engineer's Blog

You can't really trust the perspective of a blog posted by a search engineer because they typically discuss the view of search from an ideal world. In addition, the role of the search engineer blog is to control and manipulate public perception more than it is to share useful information. In some cases they tell you how going off topic is wrong, while they are proud to cite your off topic marketing and praise it if you are syndicating their spin.

If You Were a Search Engineer, Would You Lie?

When you look at how they try to manipulate people you can see the holes in their algorithms. They are nothing but an algorithm, an ad network, marketing, and how they manipulate people to cede power and authority to their fickle relevancy algorithms. If they are hypocritical in their view of the web then manipulation is a large and important piece required for them to keep what authority they have.

How to Spam Google Right Now

A few tips they don't want you to know the truth about:

  • Buying old sites works amazingly well.

  • Buying and redirecting sites works amazingly well.
  • Paid links work amazingly well, and you have a strong brand or can tolerate a bit of risk you would be an idiot not to exploit that hole.
  • Exact match domain names play a good role in helping a site rank for the associated keyword phrase.
  • The supplemental results suck, but they don't want the portion of the web they throw into it to realize just how bad it sucks.
  • The search results have a lot of hand editing in them. Hand editing is gratuitous for smaller websites, but they are afraid to edit out large corporations.

Why might Google refer to some of the above techniques as spam? Simply because they are effective. We don't write the algorithms. We give the search engines what they want.

Have You Ever Been Hand Edited?

Search relevancy algorithms change depending on what types of spamming are popular and effective at the time. After experiencing your first hand edit on something you worked hard to build it changes the way you perceive search engines, and how much you are able to respect them. If you are a professional you are not supposed to take it personally, but it is hard not to if you have to fire all of your employees.

Why is it that one person can review your site and kill your business model, but they wrap their ads around people stealing your content and it is a long drawn out process to get them to fix that problem? It is just an extension of how Google thinks of consumers. If you don't have lawyers they don't give a crap about you.

What is Spam?

Spam used to be irrelevant, but now that the web is a direct marketing channel spam is typically more seen as being focused on who was paid to achieve the results. Search relevancy algorithms are based on ad sales. Something that is spam is perfectly acceptable if Google gets a buck a click out of it. Ad networks dictated by automation and economic efficiency also push a lot of fraud. Consider the following:

Much of their profit margins come from supporting fraud, but most people do not realize the extent of it.
Why is Google's ad centric view of the web viewed as more honest than any other business model?

How to React to a Hand Edit

The way to look at search is that they want their techniques to be robust and scalable. Anytime a search engineer does something to you that is unjust and draconian it is because they have a huge hole in their algorithm. After you get hand edited the four strategies worth exploring are

  • how to obfuscate your identity

  • how to scale exploiting the holes which required a search engineer to try to destroy your business
  • how to make your "spam" fit their view of relevancy so they don't go out of their way to keep hand editing your businesses
  • let others know if you think something is dishonest so you can help them avoid trusting it too much

Every Brand is an Ad Network

TechCrunch recently highlighted how most of Glam's growth has come from the combination of shallow pure SEO play to pump pageview stats and syndicating their ads on other related sites to further pump the success story, all while the network is projected to lose over $20 million this year. But VentureBeat also noted that the growth is significant enough that Google wants to do a custom ad deal with them.

Marchex recently had a brutal quarter which drove their stock price down to $9 a share. Their site development process was far too broad and far too shallow. They need to start developing their top domains or sell them off to someone who will leverage them for their full value. In response to Marchex's down quarter Sahar Sarid asked what they should do and got this brilliant comment:

What is the business model here… we got out sites indexed by Google but the users had a shit experience and BTW our indexed sites make nothing compared to if we just parked them. Come on - it not really very hard to figure it out- take the top 30 golden domains and build them into authority sites NOT openlist scrape sites but bankrate.com’s

Keep in mind that when you create one Bankrate.com you get the leverage to charge advertisers more, which allows you to spend more on marketing. As you increase that spend search engines are willing to look the other way if you create a bottomless pit of near identical white-labeled search spam.

As markets consolidate, 2 of the biggest determiners of who will win a market are going to be
brand perception and AdWords ad budget.

  • Brand perception: Google gives brands a discount on AdWords ad prices while price gouging smaller competitors, which subsidizes the value of building a brand. If BMW spams, Google is afraid to remove BMW from their index for very long. If a smaller site does something that is borderline gray and comes under scrutiny Google may penalize the domain and pay an AdSense spammer for stealing that content and keeping it in the Google index. It all feels a bit like the mafia, but this is Google's way to extort you and kill smaller market players without being branded as a corporate criminal.

  • AdWords ad budget: if you are blowing millions a month on Google AdWords then Google will be more likely to white list your sites and less likely to penalize you for white-label clone sites, robotic content, subdomain spam, or bought links.

Even if you lose money on the main brand, it still allows you to backfill with high margin garbage with limited risk from Google. What are the odds of Google doing anything about this BizJournals spam? If you want to monetize garbage you have to put one star brand at the center of it to mitigate you risk profile.

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