Adsense Slaps Foreign Webmasters in the Face

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Google today announced they are changing their referal payout system and some big publishers really feel its a slap in the face.

Here are the 2 key points:

If you’re in North America, Latin America, or Japan, the pricing structure for AdSense referrals is changing.

What does it mean? Basically that you are going to make less money… a lot less money. Ill sumerize it for you. The current payment structure you get $5 who makes $5 (in 180 days). You get $250 for referring someone who makes $100 (in 180 days) and if you refer 25 people who make $100 within 180 days you get a BONUS PAYMENT of $2000 WOOT.

What is it going to? Well its going back to the old you only get $100 if you refer $100.

So why does this suck? Well I am guessing 80% or more of the people refered make less then $100 in 180 days. This means you get BUTKUS:

OK so I hear you foreigners… This doesnt effect you right… Well technically right this rule does not apply to you. Ohh but Adsense has something for you.

If you’re outside of North America, Latin America, and Japan, AdSense referrals will be retired.

They are terminating your referral program completely…. thats right… If you are not in the Americas, or Japan… your done.

From Australian based Darren Rowse AKA Problogger:

Yes you hear me right, its about the location of you as a publisher that excludes you from participating in the AdSense referral system. It’s got nothing to do with your audience’s location, the topic you write about, the quality of your blog or any other factor – it’s about where you blog from.

I’m not privy to the reasoning for this – they simply say ‘We’ve found that this referral product has not performed as well as we had hoped in these regions’ – but in my mind this is stupidity to the ultimate degree.

Hey Indians, Australians, Germans, Brits

What did the five fingers say to the face?

Google Adsense = Rick James

that was…….. coooooooldblooooooded

210 thoughts on “Adsense Slaps Foreign Webmasters in the Face

  1. Pingback: AdSense Change Rules - Stupidity Stupidity Stupidity

  2. Ingrid

    So glad I never bought into that referral programme.Thanks to you and John CHow, I’m rocking kontera,linkshare and etoro instead which are doing pretty cool for me.

  3. Marko Nikolic

    Just another reason for people using AdSense to find other forms of monetizing their websites. I personally have found CJ to be much more effective and have consistently been making 4 time more then what I was making with AdSense.

  4. Fiscal Musings

    Google seems to be making some awfully stupid decisions lately and pissing off a lot of people. It can’t be all that great for their business to irritate so many on so many fronts.

  5. Brian

    Just another brick in the wall for google who’s only concern is to support their valuation. I’ve had adsense revenue go down to less then 20% of what it was a year ago without any explanation at all from the adsense team.

    People should be careful when relying on them for anything.

  6. Pingback: Adsense Slaps Foreign Webmasters in the Face : Blogazine

  7. Firefox

    It most likely their incentive to get other publishers to refer new publishers didn’t have any good results for them, so the refferal program was running a loss for them so they canned it.

  8. Neerav

    Speaking as an Australian pro-blogger, this decision is disappointing but not surprising

    Internet marketers in the USA always seem to get beta access to search engine, affiliate programs, other features and preferential treatment compared to equivalent people overseas

    And yet the Internet is supposed to be a global system which breaks down arbitrary barriers …

  9. Pingback: Adsense Changes Payment Structure

  10. Matt Packer

    Ouch Ouch and Effin Ouch! Referrals have made up the biggest portion of my Adsense revenue, and so basically unless I relocate to the USA or Japan I’m boned…yay for Google..

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  14. John Loch

    Hey, Google does what works for Google.. god knows its happened often enough.
    The solution is simple. Either stop using their programs, or shut the f*ck up.
    Unlike their index, you don’t have to give a damn about their affiliate programs. There’s a thousand alternatives out there. If you know how to look past what is now dated preschool branding, and I’m presuming you do, then go make some REAL money.

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  17. will

    lol. for some reason I just see some high google exec petting his cat and yelling “SQUUZE MORE PROFITS” to his minions and this is what results. yea conan inspired if anyone saw that episode :)

  18. Pingback: Google Adsense Gnaws On The Hand That Feeds It by Affiliate Confession

  19. Affiliate Confession

    Google is sinking their ship with nonsense like this. I give them 2 to 3 more years and they’re done. The only product they really have isn’t a product at all, it’s advertising revenue and it’s going to dry up eventually. The begining of the end.

  20. Nick - road2blogging

    Well just plain stupid if you ask me – next they’ll be cutting down the amount of blogs and sites that ads are displayed on because we’re located in Europe and Australia! silly, silly google. – let’s hope that doesn’t happen though ;-)

  21. Graham Langdon

    Google doesn’t realize that this is people’s livlihoods they’re playing with. People in Latin America depend on this income, and Google rips the floor out from under them. There needs to be more transparency and more forewarning, and less quick decisions.

  22. McBilly

    CJ is actually a good alternative but it also has issues for foreign publishers. Most of the opportunities provided are for US markets only. :(

  23. McBilly

    Lost thier minds completely! Darren has been such a loyal adsense publisher for the past several years. And not to mention being a big influence in creating a lot more adsense publishers in the US.

  24. Vinny Goldsmith

    At Google Adsense Headquarters:

    Hmmm…. let’s see. We have a good program that is generating a lot of referrals. Too much so because we’re spending a lot of money to the referrers. I know – let’s change up the payment structure – that just might make it less successful. Then we won’t have to pay out so much.

    Oh and the Europeans… they can suck on it.

  25. Nicole

    Are they planning on informing people about it, or what?
    I haven’t heard anything yet….
    This just plain sucks….!
    I just started, but, mh, oh well.
    At least I can advertise now whoever I want, no?
    My CTR went downhill this month anyway.

    *scratches head and goes looking for something else to promote ;)*

  26. Aahz

    @ Nicole – They did tell people, not sure why there’s no link to it in this post, but here’s one for you: http://adsense.blogspot.com/2008/01/upcoming-referrals-changes.html

    re: the article

    So, what exactly is the problem here? They paid everybody what they promised to pay them right? Does a business no longer have the right to offer only the programs it desires? Their reasoning is right there in the post: “We’ve found that this referral product has not performed as well as we had hoped in these regions.” What’s not to understand.

    Google is a business. This was a business decision. If you don’t like the way they do business, stop using their services. It’s as simple as that. They don’t owe the blogosphere anything (other then specific revenue they promised and apparently delivered).

  27. Hyder

    Segregation of the Internet. Part 1.

    I believe there is still more seclusion going to be done by dominant U.S companies in regards to online monetization methods. It’s time for the rest of the world to start thinking of and using other than U.S based affiliate networks monetization methods for making money online.

  28. Pingback: Adsense Referrals: A kick in the teeth from Google | Money Blogger

  29. CatherineL

    This is totally ridiculous. I don’t understand what they are hoping to gain by doing this. It just seems like they’re annoying a whole heap of people for no reason.

  30. Sam Daams

    Hmm, I wonder if this is due to the sliding USD more than anything else? That’s really the only logical reason I can see for this as ads focussed on non US destinations are likely to generate more when converted back to USD. I won’t go into the math behind it, but I’m pretty sure overseas publishers would be more likely to generate more new overseas publishers who in turn appeal more to overseas advertisers for whom in turn the USD has taken at least a 30% drop, so advertising in USD is cheap for a lot of these companies. Makes it a bit easier to hit the magic numbers.

    Either that, or Google has frikkin’ gone and lost it’s mind. Way to be a global organization; focus on less than 10% of the world…. hmmm???

  31. Richard

    Wait just a damn minute, Sergy and the other guy! Didn’t Google just see another record quarter for profits? Is this greed or just forward-thinking?

  32. Derek

    I’m kinda scratching my head about this one… In terms of domains, the UK and Germany are the biggest, and just read some crap on Sedo the other day about how Australia is really starting to boom.. More domains = more websites which you would think is going to mean more business for Google.. Ok then.

    I’m going to guess that it does have something to do with the low value of the USD compared to other currencies now.

  33. Anthony

    Well you really dropped a bomb shell.. I was thinking “oh thats ok I’m in the UK” when I started reading.

    Oh well Googles cut has been increasing for years, payouts on Contextual advertising is at an all time low because of them. This is just the iceing on the cake if you ask me :)

  34. Stentorized

    It is so fairly unfair.
    This is a true example of discrimination
    done in a world wide scale.
    problogger is right
    this is “stupendous stupidity”

  35. Juan

    This is pure bullshit. I’m from Argentina and we are making less money than guys from other countrys. Just making enough for hosting payment, and now we are going to make LESS?! What the fuck is this?! Grr, that’s the bad thing on depending on Google.

  36. Making The Money

    What a bunch of c***s! This will have a huge impact on my earnings, not to mention the hundreds of pages I have to go through and remove Adsense affiliate code from.

    I’m seriously considering cutting all ties with Adsense, my earnings have dropped 40% in the last 3 months with the same impressions and same CTR. They’re just not paying as big a percentage to publishers as they used to. Wonder if that’s because I’m in the UK as well?

  37. Suzanne

    Google sucks … I’m glad to see that they are further irritating the very people who use them the most … the sooner they are cut down to size, the better. I don’t promote Google products and I’m glad. It would just be more code to remove. I don’t bother with Adsense either. There are too many alternatives that pay better. Wouldn’t it be a real kick if no one was displaying their products or ads … lol.

  38. Alan Johnson

    Indeed, if they keep it up, they will eventually have to face the consequences of their decisions. Sure, it’s their company and they can make whatever decisions they feel like making. But there can and will be consequences if they don’t wake up.

  39. InvestorBlogger

    I’m speechless… I can’t believe that… I was about to implement Google referrals on my blog… now I just will remove all my Adsense Ads with immediate effect.

    Kenneth

  40. Erica

    Google should find more ways to please their customers by finding more ways for them to MAKE money (the more referrals users are motivated to make, the more moolah for the G team, right??) Instead, they’re starting a potential PR fiasco, angering or at least annoying some of their best customers.

  41. Arejay

    LOL, guess its time for people to learn how to earn w/o adsense ref’s . No more easy ways to scam the Goog, but I know how upset most of these 3rd world $1USD a day people must feel. I hope this helps all these wishing to make easy money from the Goog, because everyone in a Internet Cafe does it, learns how to make money that will be consistent (maybe even get them there own computer!! WOW!). This is just like when the guy lost his apartment back in mid 2007, when Goog said your not allowed to bid on the keyword “Google Toolbar” (promoting the $2 GPack install on adwords would get $400+ a day in conversions) Now this person has not even been back on the internet, Don’t put all your egg’s (or goat egg’s) in one basket (or bag). Everyone who is crying or Mad, take that energy, and make a Biz plan. Layout your next 6months on a month by month basis, putting items into List’s so you know what you will need to get done. I say to Anyone who is upset, Goto Audible.com and for $7 you can download a Book by Brian Tracy called Eat The Frog … This is a great basis to help ANYONE to focus and have better time and project management and completion.

  42. Arejay

    Google Does make money, remember when you get paid for your click’s, its because someone is paying for that in Adwords, someone who is trying to make money like you, its not Google throwing money for the advertisers. And if you consider yourself a “customer” of Google, that says that you pay for ads on Adwords ? ? And this is no PR fiasco, if it was then goto your local food store, ask 10 people about this issue, they will laugh, even more when you say you get paid to get stuff clicked (why take 10cents to have someone leave your website? if you spend time on it just to have someone click out, its pointless) Google is always hiring people http://www.google.com/intl/en/jobs/index.html

  43. Pingback: Regio Side » » Cambios en el programa de referencias de Google Adsense

  44. Pingback: YieldBuild Blog » Blog Archive » Google reduces, eliminates referral payouts for AdSense

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  46. ATV Style

    And just when you were getting absolutely sick of seeing “YOU HAVE 1445235123 CLICK! – YOU EARNED 1.17 today!”

    Bleh. Google suketh us all dry. I wonder if the kid with the lemonade stand would throw me 5 bucks for my adsense space sometimes. How’s Yahoo! doing ?

  47. Benson

    While it may injure them, I highly doubt Google will fail over this. They continue to have the referrers in the U.S., Japan, and Latin America which apparently converted better. They continue to have a majority of their AdSense business. They’re still the most popular search engine, and they stilll own YouTube.

  48. Alan Johnson

    The problem is the fact that they eliminate long-term business partners such as Darren Rowse from the equation in this manner. If you don’t value your business partners, you will definitely have to lose in the long run.

  49. Tudi

    How can they run the program at a loss if they allowed foreign publishers? I don’t get it, it didn’t cost them a dime, it’s the same automated process that works in the US. Am I allowed to say fuck on this blog?

    Then fuck, this is annoying.

  50. Jordan

    I wonder if they consider Antigua and Barbuda a part of Latin America. While we actually are not part of it, many people and businesses in the United States tend to put us in that category.

  51. Affiliate Confession

    Google obviously screwed up on this one. Maybe a few publishers on the international scene messed up, but to not look at a big publisher like Problogger and give him a break is just incredibly witless.

  52. Adam

    Fuck you, My heart got stopped for awhile. It is about the AdSense product only, not the whole AdSense referrals program. You should elaborate on this.

  53. Asle Skarpengland

    Yeah, I felt pretty safe myself when I started reading (I’m located in Norway).

    OT: If you put some work into your ads, and place CPA ads (from Tradedoubler or CJ) instead of CPC (from AdSense), you’re bound to make a lot more money. AdSense is fit for random traffic and parked domains. In all other cases, CPA programmes will give you a higher ROI.

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  57. Ben Cook

    It’s also one more example of why you shouldn’t have all your income eggs in one basket. ESPECIALLY if that basket is owned by the increasingly greedy Google.

  58. Ben Cook

    I don’t know about all that. Everyone hated Microsoft and it’s still around. Maybe in 2 or 3 years everyone will look at them only as another giant monopolistic company rather than some benevolent god of the internet. But they’ll still be around.

  59. Ben Cook

    “If you don’t like the way they do business, stop using their services.”

    That’s just the thing though, the more people they piss off like this, the more people WILL stop using their services.

  60. Alan Johnson

    As far as figures are concerned yes, but how can you take them seriously as potential long-term partners in the future considering the fact that they are willing to drop people such as Darren Rowse as referrers even though they have been a great asset up until this point?

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  63. LittleBoy

    I doubt that such a point will be reached but then again.All Corporations have meetings to count the money and how to squeeze more out every Friday.

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  70. McBilly Wilford

    It’s really a slap in the face and a lot of people are getting angry over this. But that what did the five fingers say to the face video was hilarious! My anger shifted to laughter! LOL. :lol:

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  88. Mondig

    I was happy with Google Adsense and Adwords. I regret to say that the decision taken by Google has made me change my mind. It was the referrals or the user’s promotion that helped Google gain market on this. All the users who referred Google spent a good amount of time putting up write on website and blogs explaining the Google Adsense system. I spent time in putting up blogs or websites and educating people. All the hard work every one has done is now Zero. I strongly protest against this. I am planning to shift from Google completely to a new PPC service like Yahoo or Bidvertiser. I do not see any point in sticking to Google because now I think they will start making more changes and you may never know what Google will come up with tomorrow. It is a Tight SLAP for all the webmasters who are not from North America, Latin America, and Japan.

    It was the users who promoted Google, now Google thinks it can work without them.

  89. Internet Junkie

    I live in Ireland; yes, the little tiny European country that Americans only seem to acknowledge once a year, on Paddy’s day.
    So, Google is shutting down referrals; I guess I will have to live with that, that is just another program that will not be accessible to us.
    You gotta love us tiny little Europeans for trying so hard to make dollars (which are only worth peanuts to us at the moment, thanks to George Bush and his foreign policy. Why, but why did you have to vote for him?) online when everybody in the U.S (not only Google) is trying to slap us in the face (well, that is when they even notice us, we are so damn tiny!)

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  97. Niro

    Hmm .. I just started earning from adsense… shoe I wonder Why you are not using it.. Hmmm I didn’t see. May be thats a trick? So is it not that profitable ?

  98. Fat Lester

    AdSense is a horrible decision for any small business and all but a few bloggers. This is especially true if you’re actually making money from it.

    There are several reasons why small companies should avoid doing business with Google at all costs:

    1. Google won’t talk to you. In fact, your company isn’t even important enough for them to provide you with a phone number.

    2. Google reserves the right to ban your account and keep all your earnings for any reason it sees fit and/or no reason at all.

    3. Google doesn’t differentiate between you fraudulently clicking your own ads and your competitors fraudulently clicking your own ads. In either case, your account will be banned and your money withheld – and that includes anything revenue generated by legitimate clicks.

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  100. SEO Bootcamp Brisbane

    I suspect Google will start to raise the barrier on which sites get access to Adwords. Imagine if the minimum number of daily unique visitors was 500 per day? I suspect that would cut their numbers and management expenses by 90% for very little drop in Adsense revenue.

  101. Pingback: Adsense Slaps Foreign Webmasters in the Face | Cosmos

  102. manfixx

    Why are we all so pissed off by google? If they have changed the rules for AdSense, then
    everybody else should change too. My thoughts are international Webmasters
    1. Simply use a forwarding address service from the USA, use an address in the US and have your google cheque forwarded to you anywhere in the world.

    2. This is where JOINT VENTURES should come in big time. Get a partner in the US use their address and they send your goolge cheque to you whare ever you live.

    3. If you have relatives in the US then it makes things even easier.

    What do youn people think.

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  104. Web Marketeer

    As a proud South African am used to getting the short end of the stick, sort of like the poor cousin nobody talks about too much….sometimes living and working in a third world country has its advantages and disadvantages!

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  108. skepto

    Google Adsense is really ripped off. I have a cousin in Kansas and she told me that she wasn’t paid by Google. Imagine that, she’s already there…

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