SEOs: Google Penguin Leads To 42% Increase In Paid Clicks

Jul 20, 2012 • 8:30 am | comments (32) by twitter Google+ | Filed Under Google News & Finances

Google Penguin MoneyLast night, Google announced some pretty good earnings, beating expectations, making more money than ever with really nice profits. You can read the highlights here.

In short, revenues up about 35% from previous second quarter in 2011. Why, maybe due to a 42% increase in paid clicks over the second quarter of 2011.

Webmasters and SEOs at WebmasterWorld say paid clicks are up because organic search results are poorer and Google is showing more ads in place of organic results. They point fingers at the Penguin update.

One disgruntled SEO said:

Google's earnings report for q2 was just released and it appears to be a pretty good indication of penguin's success. Forecast: more penguin...

Of course, many believe Google completely separates the organic search side from their financial success. Some may even say, Penguin is to blame because it is driving more users and more searches because quality is better. But others say, it drives users to be unhappy with the organic results and leads them to click on search ads.

Either way - this type of talk is expected but a 42% increase in paid clicks is pretty huge.

Forum discussion at WebmasterWorld.

Image credit to ShutterStock for penguin money

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07/20/2012 12:56 pm

There are places for winners and there are places for losers. WW was the place for winners far ago. Now it's the place for losers, blaming Google. What else could they say ?

Clayton Curtis

07/20/2012 01:42 pm

I'm seeing a lot of local results, more than ever it seems. Even for arbitrary key terms.


07/20/2012 02:37 pm

In a google conference call (Q1 2011, I think), they even joke about the challenge of making sure the Paid results are just a bit better than the organic results.

Ron Sansone

07/20/2012 05:11 pm

They're simply not collapsing multiple listings for the same domain. It means your first 8 results are likely the same site. That's not exactly "relevancy" in any degree of descending order.

Codex Meridian

07/20/2012 05:28 pm

FADE IN: EXT. Somewhere in Google office, early of 2012 A meeting about penguin update. ADWORDS TEAM: Hey, looks like our Adsense earnings would be down because a lot of sites would be affected by this update. ENGINEER: I bet you, this will translate to 42% increase in paid clicks, search results will become irrelevant so it make sense for users to click on relevant ads. ADWORDS TEAM: Now that make sense. We didn't need to worry about losing some share of our revenue with these publishers. Good job! I'm with the update. FADE OUT.

Ralph Slate

07/20/2012 06:13 pm

My first reaction, upon seeing a 30% overall traffic drop in late April (due to a 50-80% drop in Google referrers), was to run an Adsense campaign. I bet others did this too - people who stopped being ranked highly in the organic results simply paid to be ranked higher.

Gary Lee

07/20/2012 07:46 pm

STOP GOOGLE, you must install adblock plus NOW! Google is partly responsible for our recession. All these click fees just end up being passed onto the customer.


07/20/2012 09:32 pm

Adsense ?? How Adsense can help you to increase traffic ? Do you know difference between Adsense and Adwords ?


07/20/2012 09:42 pm

Google is responsible for recession - LOL )))))))))))))))))) Thank you, you made my day ))))))

Matt Morgan

07/21/2012 01:52 am

Most SEOs hit by unnatural link penalizations after the Penguin update supplemented their campaigns with AdWords, hence revenue boost for Google

Eddie Solomon

07/21/2012 12:38 pm

Panda, Penguin or Packman, it doesn't matter. Each change leads dropping high rankers to panic and invest cash in PPC. Google is a business, not an academic institution. Most algorithm changes don't really make a huge difference for searchers, but make a very satisfying change for Google's bank accounts. So with due the respect to the great SEOs out there, don't take yourselves too seriously. You're just a funny toy in Google's greedy hands.

07/21/2012 09:10 pm

Great post guys!

Jane Doe

07/22/2012 09:06 am

Google has moved to “advertisers only” as well for most commercial searches. Virtually everyone of them is an advertiser, something also reflected in the 42% ad-click growth. Only Barry and Danny Sullivan don't mention it. Google search is rigged to the core. Don't trust Matt Cutts or any other Google fraud.


07/22/2012 09:11 am

Google has moved to “advertisers only” as well for most commercial searches. Virtually everyone of them is an advertiser, something also reflected in the 42% ad-click growth. Only Barry and Danny Sullivan don't mention it. Google search is rigged to the core. Don't trust Matt Cutts or any other Google fraud.


07/22/2012 10:06 am

Bret Tabke and that Tedster scum removed the thread. Matt Cutts speaks at their conference so they remove all threads questioning Google's ethics and ban the posters. WMW is nothing but a bunch people going in circles with the mods singing praises to Google.


07/22/2012 01:29 pm

I guess your days are not that exiting than...


07/23/2012 02:20 am

So where is the new place for winners?

Dewaldt Huysamen

07/23/2012 06:25 am

And everyone wondered why haha


07/23/2012 09:46 pm

Totally agree, seeing this everywhere, the organic serps are now a joke in google.

Webstats Art

07/24/2012 05:12 pm

I think that google did quite well by refraining from spamming with adverts for so long. If I were them, I would probably have sucked all the money out of advertisers much earlier. We can blame google for sure but let not say we would do any different. Google should not of talked too much in the beginning about these things because now it can't live up to it's motto. Facebook has not promised anything, so they should be allowed to be as commercial as they want to be.


07/25/2012 02:34 am

Exhibit A of why I tell my friends family and anyone else to use bing. They're all about the bottom line. Which I know they're a business but they lost that whole don't be evil mantra. I have noticed more and more people getting away from them thankfully.


07/25/2012 10:42 am

As much as I can see penguin driving people to paid links, it was released after the dates these figures are for, wasn't it?


07/25/2012 04:27 pm

A lot of revenue....


07/26/2012 12:56 pm

The growth in paid clicks is mostly due to the shift of AdWords positions from the side to the top of the page. These top ads have a significantly higher CTR and I have found a 13 times increase in top ads: Obviously top ads and other verticals in universal search push organic listings down on the SERP decreasing their CTR.

Amy Dyslex

07/30/2012 05:41 pm

Of course Google is geared towards cash.. Which company isn't? But the dilemma for the search demi God is that if the organic results continue to drop then the users drop as well :) So, eventually it has to revert back to it's status of "Search Demi God".


08/05/2012 11:55 pm

hahaha, it what in google known as 'good user experience' - to give them preapproved ads sites list only. Welcome to new world MFA site from google!


08/05/2012 11:58 pm

yeah, before google was business with human face, but right now it just another daddy sam who have only dollars in the eyes. Time to start ignoring them, later may be antimonopolic investigations or just google will go out from business. We need stop to follow their rules/guides and focus on other traffic methods.


08/06/2012 12:00 am

not use adwords! most high bids and most low converting traffic. go bing or lot of another ppc in the world. With adwords you will spend 10 times more than with other ppc.


08/06/2012 12:02 am

it because right now not enough search results after new google beloved pets.


08/06/2012 04:22 pm

So the people who tried to game the system are now paying, literally. Big deal, wouldn't even be an issue without so many people using backhat techniques.

Sanket Patel

08/18/2012 05:07 am

We all are advertisers but apply differnt methods for the online mareting. Paid results are also affected by penguine updates. It is not secure every time.

Gary Lee

10/31/2012 09:50 pm

economy is driven by small business, by making life harder for them you directly impact the economy, you your are too short sited to see that then so be it.

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