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Re:The Massive Mystery In Google's Finances by tlack on Friday July 15, 2011 @12:09PM (#2767933)
One more aspect: a lot of PPC advertisers do not like to use network ads (i.e., partner sites) because they are perceived as yielding lower quality clicks. Clicks from Google itself are seen to be more likely to monetize for the advertiser.
Re:The Massive Mystery In Google's Finances by chopsueyar on Saturday July 16, 2011 @07:52AM (#2770604)
This is a very good point. As users of Adwords become more familair with its abilities to customize campaigns, they can spend less and keep their same conversion rates.

For instance, only advertising at certain times of day, or certain keywords for specific regions, not advertising in specific geographical locations, the use of quotes and brackets in keywords, etc...