$16 Million with Google Adsense, Oh Mama MIVA

October 4, 2007 by Pablo Palatnik


Financial news website Motley Fool had a report titled, “Is Google Broken?” I really suggest you read it, I thought it was a very interesting article but here is what struck me.

mivagoogle.jpg

MIVA…you’ve heard of them right? Second tier engine…not a big name…not mentioned anywhere…public company. In its third quarter, the company pulled $36.7 million to $37.1 million in revenue if I understood right…that’s a lot of money, agreed?

How do you pull that…a second tier engine like MIVA. Interestingly enough, Google Adsense plays a big role in the MIVA business model. You can read all about it in the article but let’s take a quick look at the numbers:

“MIVA generated approximately $0.07 per lead on its 240 million clickthroughs during the third quarter of 2006. By outsourcing some of the billable ad space on its online destinations, search portals, widgets, and desktop toolbars to Google through the Google AdSense program, MIVA stood to make more on each generated lead, even after Google took its cut.”

If they made .7 cents a lead with 240 million click through and I’m doing the numbers right…that is $16,800,000.00. Arbitrage?????

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Comments (6)

 

  1. IPB Guy says:

    Fraud source :-) No idea why Google won’t ban them.

  2. Pablo Palatnik says:

    I’ve done some ppc with Miva…not very recommendable…I’d go as far as saying they may use bots for clicking (as that was the word before) in engines such as Kanoodle and others I believe, but i can’t say for sure, obviously never had proof of that myself.

    I don’t know if what they are doing with Adsense is fraud though…I don’t think so.

  3. Google seems to be pretty on top of things. So either Google is sure everything is legit, or Google is making a killing off them. :)

    Either way, Kudos to Miva. They’re doing something right.

  4. Pablo Palatnik says:

    As well all know…Google always makes a killing. Google made more than .7 cents per click of MIVA…so if MIVA made $16 million…Google is past that…hence the greatest online company in the world I have to say. Pure traffic brokering.

  5. Blog Software and Blogging Resources

    Sorry, it just sounds like a crazy idea for me :)

  6. atarax says:

    Fraud source No idea why Google won’t ban them.

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