The problem with advertising on Digg Social networking

Digg, which enjoys all the privileges of publishers' AdSense Premium, today dropped Google Advertising for Microsoft, which will now serve as advertising over 150 million eyeballs that hit Digg all month. Kevin Rose and Digg army wise not fans of Microsoft. Infact, even if you submit an article on Digg Highlighting some error in MS-DOS in the early 90's, he is likely to reach the main page of Digg in no time. So why Kevin GOOG MSFT?
Digg Google ads
[Study shows Microsoft on Digg Google ads related to diabetes, cholesterol, and valves]
Poor conversion of ads CPC:
I was listening to Tim Ferris week four o'clock here, and he says that his blog was at least half a dozen times page of Digg in less than a month. Whenever that happens, it will be an avalanche of visitors to your site, but the exchange rate was negligible.

Tim said that the majority of visitors was 15 years old, as Digg Warcraft ** love of children who came, who saw and then went away. On the other hand, if the post is linked / recommended by some influential bloggers like Robert Scoble, Tim felt much better, since the exchange rate was concerned.

Tim observation may explain why advertisers are shying away from placing ads in front of the CPC highly tech-savvy audience of Digg - they are not converting. [TechCrunch PDA digits]

Traffic from search engines:
It is well known that visitors who come via search engines convert better, because they need information and, thus, to buy food. Digg story in a good position in organic results, often at a higher position than the actual story, but traffic from search engines may not be so converted.

Why? Because search engines visitors are less likely to read online advertisements on the site Digg - they are more inclined to visit a site that is linked to this page on Digg. Thus, the impression CPM ads can go waste.

See also: My experience with Digg Traffic
Lisa Barone and Todd Bishop Interestingly, like Digg users will react to the site of association with "evil" Microsoft.
** According to Federated Media, Digg's readership 94% men, 39% publish their own blogs, 52% are professionals, and most of them are in the group 18-39 years.

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