Hi,

You may have seen the exaggerating ads on Google and other search engines and websites about making money through the so called "Adsense Arbitrage" method. Does it really work and make any profit? No, it does not.

This is what I strongly believe and want to ask others not to pay any money for the Adsense Arbitrage e-books and products and ... . They are all scam.

If you are not agree with me please give our reasons.

no i dont think so...

http://www.searchbuster.org/forum/go...k.html#post858

Here's a post from Graywolf who not only thinks it is possible, but gives you some tips on how.

I think adsense arbitrage can work, but you do need to pick the right topics to target and the right keywords to bid on. It's not any kind of easy way to profit. You still need to do your research and put your time into the site and the advertising, but I think it's possible to make money.

Yes, it may work but not for everybody. It is like other things on the internet. Do all the websites make money? Definitely not. So the Adsense Arbitrage doesn't work for everybody and in fact you have to spend a lot of time and learn many thing to make it work. This is what that makes it impossible for most people because they can not spend a lot of time and learn many things.

On the other hand, there is a big problem. Google doesn't pay all the websites the same for the same ad. An ad that makes $1 for me on my site, may make $0.20 for the others (I am talking about the same ad). So you can not say that if it works for "Graywolf", so it works for me too. No, because you don't know on which website Graywolf has run the ads and how much Google pays him and if Google will pay you the same as him. He will never let you know.

Yes it is possible to make a (small) profit. After years of trying, we've proved it, though I have to say it may be more luck than good management. We now hope to change this success into a bigger profit. Watch this space.

I didn't say because it works for someone it will work for everyone. I was just pointing to an article with tips on how you might make it work for you. The question in this thread was does adsense arbitrage work and the answer is that it can work. It's not necessarily easy, but it can work if you spend the time finding the right topics and bidding smartly on your ads.

My guess is most people won't put the time or effort into making it work, but that doesn't mean it can't work. It also doesn't mean you should just jump into it either.

I spent some time on it and created a page for Adsense arbitrage. The most important thing and problem is that Google doesn't display high paying ads on all websites and if it displays, it will not pay all the websites the same.

So I believe one of the most important success secrets of Adsense arbitrage is the page and the website you drive traffic to. Can any website make the same money with the Adsense? I don't think so.

I agree. It probably won't work for any site, but with the right topic and some effort it can.

doesn't work for me....

It can work, but whether it does or not depends on the skill of the person implementing it, think about it, the ods are against you, like playing roulette, the house's cut means odds are not in your favour, in this case the house is google and their (unknown) margin + the fact that your CTR will never be 100% means you have a lot of work to do to find that low cost keywords to buy that generate enough traffic to pages displaying high paying keywords, the tip about the bid gap was good, but its only a matter of time before bid gaps close as they are discovered by advertisers, and remember google charges adwords advertisers costs based on CTR not just max bids, ie lower bids with a better CTR show higher than high bids with a poor CTR, to bid price is not everything in the land of google

I have only read one guide to it, and of course I have my own experience of both adsense and adwords to help me put it in perspective, and I like it.

I can see why the dude there doesn't like it and wants to warn people off - fair enough, it's as hard as seo, and as long as Google has no problems with it, it seems to me to be a worthy seo-world discipline.

Anyway. Since the science of it is not just incredibly detailed and subjective, and obvious to any of the few who qualify to make it work (and we all believe that's us, but is it really? if so, time to put money where mouth is), there is only one thing to say about why arbitrage, assuming it to not be considered black hat by Google, is an excellent thing:

most of us who could pull off arbitrage can also (and sometimes do also) go and do painful jobs as sales people, more often than not via telephones, working in greedy cities for soulless muthas. the salary a hardworking sales tough nut can command is loads, and by the same token, since it's a one track "free market" society, it's usually the only job we can get if we qualify. so for some of us life can involve the hard nasty work of being a sales caller, and getting your money involves using just as much detailed research and careful choices of words as it would if you were an seo master on an arbitrage wizard

so if you're going to have to make the effort anyway, why not do it in this environment, where you at least have the freedom to remain a human being while you get rich! That's why I've chose this side of the commute.

I hope these chaps are right that the perseverant and commonsensical few can be successful with arbitrage, because I am testing it out myself now. You have to have a very big suspended-judgement capability on the internet, I believe. success comes, out here, to those with a lot of stomach.

Since this thread was started Google has made it more difficult to buy traffic through AdWords and profit through AdSense on the site. I think more people will choose to buy the clicks on one search engine and then display ads from another search engine on their site.

The basic idea behind arbitrage is to find a market inequality. If people are willing to pay a certain price for something (in this case ads) in one place and you can purchase that something cheaper some place else, then you buy from the cheaper source and sell where the price is higher.

Originally Posted by Vahid

If you are not agree with me please give our reasons.

I want to disagree, but only very slightly. I think on the whole you're right. I don't think the average person doing this is going to see any meaningful income. (A dime a month != meaningful.) I don't think it's impossible, tho, only that it doesn't work in the aggregate.

And I think that's part of the rub. If it works spectacularly well for one person, for whatever reason, others take notice, and give it a try themselves. It's like people who heard about the 1849 Gold Rush in 1860, and moved to California after all the gold had been extracted. Then and now, there's an environment where people really want to believe they can make a fortune with no real work. If the real 49ers had the kind of distribution system we had today, ebooks would have created more revenue than gold itself.

Good point John. I would say that the people who do profit from arbitrage do a lot of work. I think those that make money do put in a lot of time doing market research to find the inequities in the price and then more time keeping track of things to keep it all profitable. If the price you're getting paid on the ads you publish drops while the cost for you to place an ad goes up you could conceivably lose a lot of money in a hurry.

This certainly isn't about a quick way to make a buck. It's hard work like everything else, though most who try it are probably never going to put in the time or effort and so will make nothing or even lose money.

The main trouble I see with this whole thing (apart from possible ethical troubles) is that the person doing the arbitrage takes on all the risk. In abstract, non concrete terms, the only way to mitigate risk is to do work. And if you're going to put up your own money buying traffic from ads, you'd better be sure you're buying and selling the right ones - takes work to figure out what are the right ones, how AdSense works, and the like.

Buying stock could be as simple as gambling, or it could be a 20 hour a day job.

Absolutely. The arbitrager is taking on the risk and it's not necessarily easy to mitigate that risk. It's why most won't succeed with arbitrage. Most people hear about it and get visions of easy dollar signs. Once a successful system is set up the effort to maintain it is much less, but a lot of effort goes into setting up that system.

I don't have problems with the ethical part of this, but I certainly understand why others would. It's a debate for another place and time.

We all clearly agree that arbitrage involves a lot of effort and careful research, and that even that can't protect you against bad luck, but for those whose minds are just warped enough for this work to be their cup of tea, I think arbitrage will work in any era.

I am testing it out - since I wrote that post yesterday I have been giving it a serious go, and have put a HUGE effort into firstly choosing a topic which presented the right sort of opportunities and then very rigorously scouring out all the right keywords and then, after seeing which keywords get any exposures, putting the keywords into appropriate specially-made ads, designed to reflect the keywords chosen as best as possible. It has of course worked partly already - I am getting low price good clicks on the topic.

The first income clicks have happened on adsense, but I've only had 11 clicks, and until I have 50 clicks in, I consider the whole result in a state of schrodingerhood.

I'll be back to tell you how my experiment is going - I have a number of very good ways of making money happening for me, but nothing in the world other than 1 billion dollars is enough to make you say "that's enough - I am not interested in any other ways to make money".

I tried arbitrage before, and gave up because it's very hard work and unless you know that people have really succeeded, it's impossible to believe it's going to work.


Anyway, here's my experiment log so far -

clicks bought: 11
clicks sold: 2

net profit/loss: undisclosed until expriment has progressed {i.e. not quite a profit yet}

more soon...

Keep us updated. It'll be interesting to hear later what you did and why you think it did or didn't work. Hopefully it works.

My progress so far is okay.

I found that by setting the bid a few times higher than ideal to make money, I was able to get clicks to happen often enough, so that I could see how much I was earning back from those clicks.

Now I only keep new keywords set to that higher bid, so that I can see their exposures show up as search exposures. However, once they have showed themselves, I stick em into their own relevant ad group which is set at a bid low enough to ensure that if the earnings from the first 10 clicks ends up as the average, I make a profit.

The real clincher is having a system that enables you to just rinse more and more words out of google into a carefully kept "master list". By using perl and shell scripts and the linux commands sort and uniq, i can pile up keyword suggestions from google, patiently choosing every one individually, and then put it in the rinser to remove duplicates etc.

From there I shove the keywords into a test ad, with that higher bid, and those keywords which rise to the top get put onto the conveyor belt, either entering ads already made on their subject or forming the basis of new ads.

When I was younger, I'd fill up 20 ad groups with 2000 words each, all added with the "add all" buttons, and then google would tell me that the account was too full and I'd beat my fists against the wall.

But in fact if you make ad groups with a few, very well-chosen words, you can presumably make a hell of a lot more ads, and pull much much more traffic from a single account than 20 overloaded ad groups would make you think you can.

My success is by no means a foregone conclusion, but I have already begun to work out what content to use for my second experiment, so I'm definitely enjoying it.

Well, it's about 10 days since I mused the above musings, and I have to say that after what I have seen in those few days, I strongly believe that a skilled experienced professional could earn $500 a day in profits from arbitrage across not just google, but other search media as well.

I have explained a bit more here, on a record I have put up a succinct summation of the last few weeks of e-commerce business model investigations (and perhaps also some mention of the previous 7 years):
http://www.ukusers4u.com/ecommerce_i..._business.html

Looking back I can see that when I tried this approach (arbitrage) years ago using affiliate ads on one side and google adwords on the other what held me back was merely the lack of realtime profit reporting. In other words, waiting for user clicks to turn into sales (you are paid for performance, so you have to wait for a sales cycle to unfold, often including a day or two of your "prospect"'s just having bookmarked the product and lusting after it) and for those commissions to be approved can take days or weeks, so trying to tally successes against live advert spend data on a daily basis is just very hard, and you need to really have become good at the whole shbang to make it work in amongst such hindrance.

But there is no doubt that you could make a lot of money that way. In fact I'd hazard a guess that arbitrage involving the affiliate networks as well as google could be an even more lucrative form of this activity. There are affiliate payouts of 100s of dollars for a single item... imagine harnessing that using the same models as adsense arbitrage (and just being patient about how long you have to wait for any individual test to be carried out).

Anyway. Check out my internet job descriptions. I'd hate to encourage too many people to pursue the courses of action I have found to be profitable, not just because it involves hard work and must be done the right way, but also because I'd prefer to share the money with less people