According to Google’s AdWords Team, there is a new BETA for advertisers wanting to test cost-per-click site-targeted campaigns.
The new BETA will help advertisers with increased flexibility. If you are site targeting it allows advetisers to choosing the bidding option of most interest. In addition, it will be possible to create new CPC campaigns and switch between CPC and CPM.
This BETA is for US advertisiers only. Sign up here (if you dare): https://services.google.com/ads_inquiry/cpc_sitetargeting
Google is most likely doing this to follow suit to Yahoo and MSN who have setup “Premium Networks” for advertisers who want to place their ads on high quality sites and while I can understand it from their perspective, I don’t agree with it. The biggest problem with site-targeted campaigns (aka Adsense) is the click fraud. I still suspect that roughly 40% of Adsense clicks are either fraudulent or accidental. While I have no basis for this information other than information from people I know who use Adsense, I believe the point is the same: Don’t use site-targeted campaigns, especially not on a CPC basis!