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7.12.06

BlogKits challenges Google Adsense - David vs. Goliath ?

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Sometime back I was reading John's blog where there were some discussion which questions the usefulness of some Google Adsense for low traffic sites.

My blog fell into the category that Jim termed low traffic sites where he claimed 99% of the blogs fell into - so my best option was to just try the alternative that BlogKits was offering rather than question it. It was not available at that point of time and was just plain talk, but finally it appears that it has launched today.

I went to their site and tried the Adsense calculator on the site to see what best earnings that Google Adsense can earn for blogs in relation to the traffic that they attract. Here is what it says,
  • Less than 100 visitors / day - $0 - $3 per month
  • 300-1000 visitors/day - $9 - $30 per month
  • 1000-5000 visitors/day - $300-$1500 per month
  • > 5000 visitors/day - $3000-$15000 per month
This translation between traffic and adsense earnings is spot on for my blog. Is it the same for the others also ?

It invites bloggers whose traffic is too low to be able to monetize it effectively with Google Adsense to try BlogKits free for 30-60 days. BlogKits promises to deliver a big jump for the blogs in the first and probably second category above. If or not, BlogKits can deliver its promise - I don't know and time will only tell.

But some questions that are on my mind
  • If the entire model of BlogKits is to help blog sites with low traffic to monetize their sites - do they have a viable proposition for the advertisers to make money as well.
  • BlogKits is heavily dependent on the low traffic blogs - although they are targeting a section of bloggers, if this is successful I don't see why it would not be useful for the other 1% of the bloggers - anything in their model which will make it 'not useful' for that 1% ?
  • How effective the strategy of Jim was or will be in taking on Google Adsense the way he has. Very few people would disagree that purely from a market leadership standpoint Google Adsense is right on top and questioning its ability to make money for bloggers is a great way to pull the limelight on yourself - good job Jim.But this is not without a few risks though,
    • Minimizes possibilities of iterative improvement to his approach
    • Only one chance for success - nobody will believe a challenger to Google Adsense more than once, assuming that they did it the first time
    • Even if we assume BlogKits succeeds how much of an earning can it make from the 99% of the blogs that garner probably less than 1% of the total traffic - initial hype might attract a few advertisers, but what happens after that.
  • Once a blog starts getting traffic it might find Google Adsense a better alternative and they might just switch - so would BlogKits just end up creating customers for Google Adsense?

3 comments:

Jim Kukral said...

I answered all of your excellent questions on my blog tonight. Thank you!

http://www.blogkits.com/blog/?p=55

Jim Kukral

Raghavendra Prasad said...

Thanks Jim for addressing the questions that I had. Had a look at your blog posting.

Am all the more motivated to give Blogkits a try !

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