Google in Class Action Lawsuit Over AdSense for Parked Domains

Jul 17, 2008 • 10:14 am | comments (5) by twitter | Filed Under Google AdSense

InformationWeek reports that there's a class action suit against Google about having AdSense on parked domains when they aren't likely to yield conversions. In the specific case, a legal services provider had his ads running for about 6 weeks on parked pages. He received over 200,000 impressions, 668 clicks, and zero conversions. The plaintiff spent $136.11 and is disappointed that he had nothing to show for it. By forming a class action suit, he and his lawyers are hoping that this affects other Google advertisers.

Barry writes about the lawsuit at Search Engine Land and makes sure to point out that the ads were running when Google announced that advertisers can opt out of AdSense for Domains.

Meanwhile, forum members say that this can put a damper on the domaining industry. It also makes the lawyer (specifically the one behind the lawsuit) look silly for suing Google when he isn't seemingly reading the fine print and learning how to use Google AdWords effectively. They feel that the plaintiff, an individual named Hal K. Levitte, is just looking for a big fat check from Google but that he's wasting his time. Other people think that Google's "AdSense for Domains," specifically for domains that lack content, is a bad strategy.

This sentiment is echoed by others as well. Why would you want to spend your money on parked domains? And why would visitors actually hang around?

Forum discussion continues at DigitalPoint Forums and WebmasterWorld.

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Dadi Bhote

07/18/2008 09:26 am

This is certainly a huge issue. I think that we users of Adwords should stop allowing Google affiliates to display our adwords advertisements. They are the major cause of mis-using parked domains to generate useless traffic. Google Adwords has a provision to stop such displays at affliate search engines.

No Name

07/18/2008 03:35 pm

I am not here to defend Google, but the way they are running AdWords is proper. They have 3 ways of advertising: 1) You may choose the keywords and let them run on Google search engine as the people searched for it. 2) You may choose the websites which Google gives you a huge list related with the keywords that you have picked and you'll decide on which websites you want to appear. 3) The last one is content campaigns. You pick some keywords that are important for you and Google lets you appear on the page when ever they detect the keywords that you bid is in that page content. These pages are usually gmail or other Google service pages which except ads. Well, except the first one, other tools are not so powerful. I have campaigns on all of them and never felt that i am cheated because of low conversion. Under these circumstances, you can not accuse Google that they made you appear on some website that you got no return since you are the one who is deciding on those websites. To increase your ROI, you better double check the places and keywords that you are bidding on and try to increase the quality of your ad text. Thank you

Catherine B.

07/21/2008 06:59 pm

I have been using Google Adwords and Yahoo sponsored search for a few years. After many experiments, I will only advertise on the search engines with keywords. My server allows me to track where hits are generated, and there was definitely cheating on those hijacked domain sites. At least Google gives you the choice.

Michael Milne

07/22/2008 07:07 pm

We stopped advertising with Google a long time ago, we started when it was in beta. The last straw was even after we limited the PPC to keyword search only (over $2 per click) we were getting hundreds of clicks per day from places like New Haven Conneticut. Ours is a product for a few doctors only. New Haven probably has less than a few dozen docs. Whats in New haven, Yale University - we were paying for some very smart student's tuition and spring break in Florida! Google did not respond to our bringing this to their attention - Good for Levitte - sign me up.

No Name

07/31/2008 08:39 pm

We spend over $100 a day on Google advertising. Recently, I started using Placements and it is really great. It helped us remove the bad sites. Parked Domains are the Ponzi schemes of the web.

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