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I'm sorry but I don't see anything horrible about that. Maybe I am just seeing the sponsor end of things...but I do see how even PPC has to be productive enough for them to cover their costs.
Yes, they have to convert it, but if your traffic just isn't converting it is unwise for them to continue to pay you when your traffic isn't generating a lot of income.
Try to compare it to google. Say you ran google ads and you kept paying google, but never made any sign-ups. Would you not evaluate your decision to continue paying Google for non-productive traffic, and perhaps discontinue?
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