Google Launches Pay-Per-Action - a Threat to Affiliate Networks?

[Roman]

Google is in a Beta phase for a new PPC program they are calling Pay-per-action. This program if implemented with the ppc advertisers in mind could help advertisers with smaller advertising budgets to maximize their ppc advertising plans.

The idea is that you don't have to pay simply for clicks like in the current and traditional Google Adwords program, but only pay based on a certain action that a visitor took while researching the product or service that you have ad placements for on Google Adwords.

"Pay-per-action ads complement your current campaigns by providing a new pricing model that extends your reach and allows you to pay only when a defined action is completed on your site."

So what the expected result could be for many enrolled advertisers in Google Adwords , is another way to enhance your PPC campaign, but for many also a way to budget their PPC campaigns by only paying when someone completes an actual sale on your website or blog for instance.

[Niche]

Really depends on what the commissions are. If they compete favorably with the 50 to 75% we get with some of our promotions then could be a challenge for affiliate programs
The other thing that needs to be ironed out is the ease with which peopkle lose their adsense accounts. Google may have to review this if they want loyal 'affiliates'