Just got this in the mail, and set up a test campaign. Sounds very exciting!
Dear AdWords Advertiser,
You have been selected to test Site Targeting — a new AdWords feature that will allow you to easily target your ads to specific content sites across the Google Network, giving you a new way to reach people who will find your ads relevant and useful.
The Site Targeting feature consists of the following components:
You can select specific content sites across the Google Network where you would like your ads shown. This lets you connect with people who are likely to be interested in your product or service.
With site targeting, you set a maximum CPM — that is, the maximum price you are willing to pay for every thousand impressions your ad receives on a particular site. Your ads compete for placement on a site with other CPM and CPC ads in Google's auction. Google's approach is different from other CPM models, where advertisers must pay a fixed CPM. On AdWords, you pay no more than the minimum price needed to run an ad on a site.
New Ad Formats
In addition to text-based ads and static image ads, you can run animated image ads within your site-targeted campaigns. This is an enhancement to the image ads option we introduced last year. Image ads are carefully evaluated before they are allowed to run on content sites in the Google Network.
Site Targeting is not yet available to all advertisers — but you can get started today by following the instructions below. If you are not an AdWords advertiser, please sign up for AdWords or learn more.
Log in to your AdWords account.
Click 'User Preferences' under the 'My Account' tab.
Click 'Edit Campaign Type' above the AdWords Terms and Conditions.
In Section 5, 'Where to show my ads,' locate the checkboxes below 'Show ads on Google and...'
Click the checkbox next to 'Enable site-targeted campaigns' and 'Save Changes.'
This will change the 'Campaign Types' setting.
All new campaigns that are created will now give you the option of selecting whether you would like to create either a keyword-targeted or a site-targeted campaign.