In this guide we will discover some of the basic aspects of the Google AdSense program and its benefits. We will cover how it works and help put things in perspective for anyone who is looking to publish ads on their blog. If you are looking to understand how AdSense plays a massive and profitable role in today’s websites and blogs, then you have come to the right place!
We will be covering this topic in depth with guides on how you can start with Google AdSense and what you can do to make it work for you. This is our first guide, in which we cover the basics. We will be coming up with more and progress with various guides and tips on how to make good money with this system.
AdSense is one of Google’s products which allow publishers to put contextual ads on their blogs and websites and earn money from it. It delivers advertisements to YouTube videos, websites and to any other Google publisher on the internet.
Google’s advertising system can be split up into two platforms, AdSense and AdWords. AdSense is a platform that spreads advertisements to websites, AdWords helps businesses reach their costumers faster by making ads show up on search results pages and blogs. Businesses pay Google for this service, so the basic difference between the two is that AdWords takes your money to place your advertisement on its pages, while AdSense gives you money to put its advertisements on your site. AdSense is a program that is made for bloggers and website owners only. Unlike the AdWords program which is only for business owners. An advertiser pays for every click on an advertisement. It is based on the Pay-Per-Click system, which is a popular form of advertising on the Internet these days. AdWords pays the website owner for each of the clicks the advertisements get.
So basically, an advertiser gives the website owner money to show advertisements on the site and Google is the middle man. Google puts the paid advertisements on relevant websites and takes its cut from the profit.
Google pays 68% of the advertisers’ money to the publishers and keeps 32% as commission, which is a pretty fair deal if you ask me.
Various Other Benefits of AdSense
- One AdSense Account for all of your websites – Google is the king of simplicity. There is no need to make different accounts for different blogs, you just have to get your AdSense account approved and you are ready to go.
- It’s easy to set up – When you have your AdSense account approved, you just have to add a line of code to your websites theme file and advertisements will show up.
- Stable payment – AdSense is among the most transparent and most trustworthy advertising programs out there. Not only does AdSense feature a help forum with lots of other publishers out there, but its payment is always on time. If you look at some other companies and advertising programs, you’ll find that some of them are pretty much frauds.
The most beneficial thing about AdSense is the simple fact that it is a completely legitimate advertising system that is ran by Google.
The most surefire way to make money with AdSense is simply by setting up a blog and starting to write content on it. There is a minimum amount of content you must have, but after you have that, you are good to go.
Due to it being a contextual ad network, you will have content specific ads shown up on your site. For example, if your blog or a certain topic is about housecleaning, then ads that are relevant to housecleaning will show up. It also uses the cookie method, which will show targeted ads that are based on the user’s search history and will convert better.
How Google AdSense Works
Google has built a massive business out of placing targeted advertisements in just the right place. They have got exceptionally good at it and that’s why they get accused of stealing your personal information. Google collets your search tendencies and your history and they make use of that data, to decide which ads you will most likely click on.
If you visit most websites nowadays, you will probably come across various ads that offer something on the page you are reading. These are all Google AdSense ads which have been put there as a form of contextual advertising. The long banners you see with some minimal texts or call to actions, the big square shaped flashing pictures on the sides that features a provocative sentence or just some basic text with a link, all these are advertisements put there by Google.
The concept of AdSense is quite simple. Like I said above, business owners pay Google to show their advertisements on publishing websites.
First off, a publisher (usually a blogger) has to get approved by Google. When the account is approved, he/she can go ahead and publish advertisements on the websites he/she might have. Publishers are paid with the money Google is getting from advertisers, from which Google takes a cut from. So this makes it evident that Google AdSense and AdWords is two sides of the same coin.
So the game of advertising can be split up into two teams:
Publishers – These are mainly bloggers (as I mentioned before) and website owners who manufacture content that they use to feature various Google Ads of advertisers on them.
Advertisers – These are the people who pay for various amounts of Google ads to be shown on a publisher’s website.
So the publishers are made up of the thousands of content creators, bloggers and website owners who create their content for money and the advertisers are the business owners who aim to sell or promote their products and services through these websites.
One can go about showing AdSense advertisements on your website in various ways. You can use AdSense for:
- Content – It only has contextual advertisement.
- Search – Ads will show up on search.
- Video – Ads pop up on Youth videos.
- Feeds – Ads that can be seen on feeds.
- Domain – Placing advertisements on domain names.
The most used systems in AdSense are the following:
- Views: The complete number views a blogger or a vlogger receives.
- Visitors: The amount of people visiting sour blog.
- CTR: Click Through Rate, the number of visitors that click on the ads. So if out of all the 100 visitors who visited your website, 1 click on the advertisement then your CTR would be 1%, if 3 of them clicks then it will be 3% and so on.
- CPC: Cost Per Click, the amount of money that a publisher gets when their visitors click on his Ads, which can be between 10 cents and $2 or more.
Google mainly uses two factors to decide which advertisements will be displayed on your site. These two are keywords and bids.
Advertisers can bid varying amounts specific keywords. After choosing the highest bid Google will then select which advertisement will be displayed on your site. Google determines whether your site is relevant to the advertisement or not by analyzing the keywords on each page.
An ideal situation in Google advertising would look like this:
- A person clicks a search for the keyword: “how to fix my computer”
- Google puts out the search results that are relevant to the query.
- The person clicks on something among the results and goes to a webpage that explains how he should fix his PC. He reads the article and sees an AdSense advertisement that offers a fix and a cleanup. He will find that attractive and click on the ad which was chosen by Google.
- It’s a win-win situation for everyone. The person gets he’s PC fixed, the website owner or blog makes money from AdSense, the advertiser makes the sale and Google takes their cut.
How Do You Make Good Money With AdSense?
Some people make hundreds of thousands of dollars each month with AdSense and some only make a couple of bucks.
The difference between the two isn’t because of traffic, but that is a part of it. Some websites have thousands of visitors each day and they might receive $5 at the end of the month and other websites will make $100 a day with the same amount of traffic.
The way you make the most money with AdSense is by featuring competitive niche keywords; keywords that have a high bid rate. For example, you will make a lot more money if you work with keywords, such as the “best lawyer in San Francisco”, than what you would make with the “best free MMO game online”. The first keyword would make around $4 for each click, while the other would make 0.3 USD for each clicks.
So it all comes down to two broad methods:
- Having few clicks on high value ads
- Having many clicks on low-value ads
When you read some of the AdSense articles, you might see people just throwing thousands of dollars, painting a picture of publishers that they only sit on their asses all day and play video games. If it was that easy, everyone would do it. Making good money with AdSense takes a lot of intelligence, creativity and the most important is devotion and hard work. If you have these things than you are all set to start making a lot of money by using Google AdSense to your advantage.
This was the first part of our series in which we have put the basic concepts of AdSense into perspective. There is a lot to know about the art of making some decent money with AdSense and how the system works. We will tell you lot more about this advertising system and how you can use it on your website or build a website that is good enough to place high value ads on it. If you have the dedication and a decent perspective, you can make a lot of cash if you put your back into it and work hard. I’m glad that you have read this article and hope to see you in the next one!