I usually don’t write about rumors, but Julia Mackenzie of IsItMeOrIsEveryoneElseStupid.com has never floated a rumor without it being true. She’s reporting that a reliable source informed her that Google is going to lay the hammer down on domain parking. Essentially, the company will only serve parking ads to domains it believes have a chance of receiving type-in traffic and conversions:

http://domainnamewire.com/2008/07/19...omain-parking/

given the vast volume of search data google have, it wouldn't be rocket science for google to look and see if the term that comprises the domain has search volume as a term and draw inferences from that. eg 24hrloansandstuff.com isn't likely to get natural type ins and the lack of term searches would back that up.

Originally posted by safesys
...24hrloansandstuff.com isn't likely to get natural type ins and the lack of term searches would back that up.

I can easily see why Google would want to eliminate traffic that doesn't convert. But, I'm failing to see why they lump that category in with domains that are unlikely to get natural type-in traffic.

How would Google, or its advertisers, benefit from no longer running ads on 24hrloansandstuff.com, if a reasonably high percentage of people clicking on those ads subsequently convert?

How would Google, or its advertisers, benefit from no longer running ads on 24hrloansandstuff.com, if a reasonably high percentage of people clicking on those ads subsequently convert?

Parking is supposed to bring new traffic in to google, which is why they want type-ins rather than pumped traffic.

It is far more likely that clicks on a site like 24hrloansandstuff.com, which has no natural reason for traffic to originate there, are fraudulent. You only have to look at the forum over the years and we've seen masses of people who register total rubbish and then get friends and family to use the pages thinking that is a sustainable and legitimate business model.

It would depend on how the visitors arrived there and how likely they are to click an ad with no interest in the product. It's very easy to pump irrelevant traffic to a site and 'fool' the visitor into clicking an ad. I cancelled the last google ad campaign I ran after checking through the sites my ads were showing on and discovering the most expensive clicks were coming from sites that were not even related to the field. Needless to say the conversions were almost non-existent. I much prefer having my ads shown on a simple parking page related to the field with natural type-in traffic.

I feel the Parking Co's coudl easily separate the good stuff from the chaff (erradicating the latter one)....

I have always felt (perhaps just my own paranoia) good accts subsidize bad ones...

Hard times ahead for them , between the Sales slow down and now the quality issue...

(Perhaps we'll see more consolidation)

I heard before that only 4 to 6% of Google revenue comes from domain parking?

Question:

Does anybody has an educated guess or even an official reported figure?

I am trying to gauge how important is domain parking revenue for Google.

So there are at least two reasons for eliminating poor quality traffic: directly reducing fraudulent clicks and as a proxy or indirect method of increasing conversion ratios, which makes it easier to sell ads.

Thinking further about it, there could be additional/similar benefits from increasing the homogeneity of their traffic. By reducing "noise" in their data Google would find it easier finely tune all of their algorithms. By removing the less desirable traffic, Google can improve the signal to noise ratio, which would, in turn, allow their advertisers to more quickly and accurately determine the best wording for their ads, determine the best time of day to run their ads, etc. Even if ads on certain parked domains convert, the conversions may have a higher "random" component, or otherwise look very different than ads on their search engine. While they could try to algorithmically extract that "noise" from the data, it might be easier to prevent the noise from occurring in the first place.

Anyway, the more I think about it, the more likely it seems that this is a logical next step for Google. It would be consistent with other moves they've made over the past couple of years. Even if there is some short term pain (lost income), Google may conclude that continuing down this path will enhance their revenues and profits over the longer term.

Here's something else to consider. What is going to be the impact on typo domains? Will Google still view them as having natural traffic that converts, even though they don't contain search terms that people are querying?

This is good news for those running PPC campaigns and therefore eventually it will be good news for those with the relevant domains with genuine click throughs.
Most of my PPC campaigns have the content network disabled due to very poor conversion rates. If the conversion rates improve, more advertisers will opt back in to the content network.

How much poor quality traffic originates from domainers with poor quality domains vs. registrars that display a default parking page on every domain they register for someone?

What is going to be the impact on typo domains? Will Google still view them as having natural traffic that converts, even though they don't contain search terms that people are querying?

there will still be term searches even for typos in google's db so if they did use matching they could see that people do search for the term and so type-ins are at least likely. The question of conversion is a different matter though.

Interesting if it happens. But it may also be the first shot in a war between the feed providers.

Regards...jmcc

What I dont understand is - if domain names are to be excluded from the Yahoo! outsource to Google - where the heck are the ads for Yahoo domains going to come from?

Originally posted by Domo Sapiens
I heard before that only 4 to 6% of Google revenue comes from domain parking?

Question:

Does anybody has an educated guess or even an official reported figure?

I am trying to gauge how important is domain parking revenue for Google.

Google reported $4.23 billion revenue in the last quater, lets say they are earning $16billion annually. the domain parking market is said to bring in under $1billion annually (in terms of payouts from Google and Yahoo), lets say $1billion gross (what google makes) and lets assume 70% of it is from Google. That comes to around 4.3% of Google's revenue.