Google has rolled out the beta version of their new ‘affiliate’ influenced Pay-Per-Action Adwords model where advertisers pay Google & its publishers only when a user has clicked on the ad then performed a specific action.

Action does not only mean a sale, it could be a lead, the completion of a contact form, or perhaps even a free trial subscription or download.

More from Google:

• First, you’ll create an ad and define the action that you want a user to perform when they visit your site, such as signing up for your newsletter or purchasing a product.
• Then you’ll set the amount that you’re willing to pay when this action is completed.
• Finally, you’ll install conversion tracking code on your website so that we can verify when an action has been completed.

Google AdSense publishers in the Google content network then choose to place such ads on their website, payouts only occur when an action is met.

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. This beta feature is currently available to AdWords advertisers in the United States on a limited basis as part of our beta test.

Andy Beal adds that the new PPA system will also include a text link style ad format which can be integrated into content:

Publishers also get a new “text link ad” format, which allows them to display JavaScript ads that appear as a single text link. Publishers will be able to search for text link ads that match their chosen text string. Perfect for bloggers looking to monetize their site, but would prefer to add embedded text links, rather than whole blocks of ads.

Why would Google allow publishers to embed links in their content for PPA and not normal AdSense? Because the advertiser, in this case, is not paying for the click, but for the conversion.

If Google Pay-Per-Action is a success, how will this effect the affiliate marketing sector and do you see Google expanding their network via acquisitions of established affiliate networks? I do.

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