Google Changes Referral Policy For AdSense Referrals

The Google AdSense Blog announced they have made changes to one of the Google referral products policies. The two changes made to this referrals pricing structure only impact referrals to the AdSense product. Those changes include:

• Pricing structure change for North America, Latin America, or Japan: If you are based in North America, Latin America, or Japan, and you refer someone to become an AdSense publisher via the Google referrals program, you will now earn a lot less. Starting the last week in January, the payout for referring a user who generates $100 with AdSense in the first 180 days will be $100. In the past, you earned $5 if the AdSense publisher you referred made $5 within 180 days; plus, if that publisher made $100 within 180 days, you get $250; plus, if you referred 25 people who make $100 within 180 days, you get a bonus of $2,000.
• Program is canceled for publishers outside of North America, Latin America, or Japan: Google will stop paying a commission to those affiliates who refer publishers to sign up with AdSense, if that affiliate is based outside of North America, Latin America, or Japan.

Again, this only impacts the AdSense referral product. This does not impact the referral products for AdWords, Checkout, Google Pack, and so on.

This has generated a lot of negative reaction from the contextual ad community:

• AdSense Change Rules - Stupidity Stupidity Stupidity from ProBlogger
• Adsense Slaps Foreign Webmasters in the Face from ShoeMoney
• AdSense Changes AdSense Referrals Policy By Insulting Affiliates from Search Engine Roundtable

Postscript: Google has heard AdSense publishers complaints and have made some changes that include:

• Now it is about user location and not the publisher location.
• You’ll earn $100 for every user you refer to AdSense who is located in North America, Latin America or Japan when they generate $100 in AdSense revenue within 180 days and they remove all payment holds. You’ll no longer be paid for users you refer who are located elsewhere.