Sudden drop in Adsense/Youtube earnings.

Did you notice a huge drop in Adsense/Youtube earnings. I had a huge drop in my earnings few days back. Both the views and earnings of my website have been constantly increasing till 31 Dec 2013. The views continued to increase but the earnings have dropped by 40 to 50% from 1st Jan 2014.


It was a kind of panic situation. There were a lot of questions in mind as why there was such a sudden drop, is there any kind of rating mechanism which downgraded my account.

After a bit of research, it turns out that this is because of the 'advertising budget' of advertisers. As understandable, the years budget is planned till 31st Dec and new budget need to be planned and allocated for 2014. While some companies plan it in advance, some will plan during the initial weeks of the year after the holiday season.

I was working for a software company and similar situation was faced there too every year. Things like new projects, resource additions etc from clients used to get postponed till their departments were given the budgets and planning was complete. January was the time when our sales was low.

So hopefully the earnings should once again start increasing as companies plan their advertising budget, after all this is where the adsense revenue comes from. It is also to be noted that the earnings in Nov and Dec are usually high because advertisers spend more on advertising for the holiday season.

Comments

  1. Stephen GallagherFebruary 28, 2014

    I've seen this before a few times, but I think maybe it was more noticeable this year compared to previous years.

    It could be that as the economic conditions are slowly improving, retailers are spending a bit more on marketing during the run-up to Dec. 25th and the New Year. So the drop-off after that feels a bit sharper than it might have done before.

    There's some more investigation here into this with some figures from the Interactive Advertising Bureau:

    The January Decrease in Adsense Earnings

    ReplyDelete

Post a Comment