AdSense is a system where Google places its AdWords ads on the content pages of non-Google web sites. It is a pay-per-click (PPC) service where webmasters are paid a portion of the revenue collected by Google from the advertisers. The advertiser pays Google a pre-determined amount each time a web site visitor clicks on an AdSense advertisement.
AdWords is the Source of AdSense Income
AdWords ads are the source of all the AdSense income you are able to generate. As a result, you need to fully understand the AdWords system in order to appreciate how the AdSense system works.
Google describes AdWords as “a quick and simple way to purchase highly targeted cost-per-click (CPC) advertising, regardless of your budget.” These paid ads (sponsored links) are displayed by Google on the search engine results page along with the non-paid (natural results) for a given keyword search.
In order to create a Google AdWords ad, it is necessary to specify what keyword or keyword phrase must be input by the visitor before your AdWords ad will be displayed. In addition, you need to set the maximum amount that you will pay to Google for each click on your AdWord.
There is a nominal activation fee but Google does not have a minimum monthly charge. Google provides an account Control Center that allows you to track the performance of your ad. The ad will be displayed within minutes to the searchers after your account billing information has been submitted to Google.
AdWords ads must adhere to specific Google requirements. The title can contain up to 25 characters, the ad text can have up to 70 characters and the display URL must be less than 36 characters.
AdWords Ranking
Google will rank an AdWords ad based on the maximum CPC, the click through rate (CTR) and the relevancy of the ad text. Google prefers relevant and well-targeted AdWords ads. Google determines ad placement using the value formula: CPC x CTR. The ad is placed higher as the valuation rises. It’s possible for an advertiser to have a
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high rank position with a low CPC if the CTR makes the value to Google higher than other ads with a higher CPC.
Google requires a minimum CTR in order to protect the AdWords program value for its users. The CTR of all AdWords ads are monitored by Google on a continuous basis. An under-performing AdWords ad may be disabled by Google if the CTR does not improve.
AdSense Program
You need to apply and be accepted by Google before you can display the AdSense ads on your web site. They are very particular about the sites that are eligible and accepted. Google’s name is on the ads and they cannot risk hurting the perceived value of the AdSense and AdWords programs.
Google requires you to comply with their program policies if your website is accepted into the AdSense program. Otherwise, your website may be dropped from the program.
Your site must be content-focused to be accepted. Google wants sites that offer high quality information or rich in relevant content. You should have lots of interesting and informative content for your site visitors.
As previously mentioned, AdSense is a program in which you get paid for your web site visitors clicking on targeted AdWords ads placed on your site. A click through is when a visitor clicks on one of the ads. The ads are placed in a display box that you put on your website in a location that earns you money.
You have a chance to make a significant amount of money if the AdSense box is placed in a strategic location on your site and you have sufficient targeted traffic.
The AdWords advertiser pays as little as $0.05 per click up to $100 per click depending on the unique keywords. The AdWords campaigns are usually budgeted for a specific period of time by the advertisers.
Contextual Advertising
Google uses proprietary algorithms to determine the content on each page of your web site with an AdSense box. It will identify the AdWords ads that are contextually relevant to your website visitors based on the content of your site. The identified AdWords ads are then displayed in your AdSense box. The ads on your site are the same ads that appear on the right side of a Google search results page for a specific keyword.
Contextual advertising is the process of displaying ads on a web site that are targeted to the individuals visiting the specific web site. The Google contextual advertising system scans the content text on your web site for keywords on each web page with the AdSense box. Google will display ads on each web page based on what it believes is the keyword theme for that specific page.
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For example, if Google determines that the theme of a specific web site is about “fishing” then fishing-related AdWords ads will be displayed in the AdSense box. The ads about fishing are an approximate fit to the context or subject of the web page as determined by Google.
Monetize Your Content Rich Website
Every webmaster with high-quality and focused web page content can monetize their knowledge and expertise by using AdSense. You need interesting and informative content on your site in order to bring free and targeted traffic to your web site and capitalize on the AdSense model.
You can generate revenue on your AdSense website on a consistent basis if your web site has a focused theme with targeted traffic. It’s a good idea to have multiple pages with rich content on various topics that are centered around the specific theme of your website. Google can then target relevant ads to display on each web page that contains the AdSense box.
Google performs all the technological work for you to use the AdSense program. After your web site is accepted into the AdSense program, you obtain the HTML code to insert into your web pages from Google. The code will incorporate whatever specific customization you choose for the AdSense box.
It does not take very long before relevant ads appear on your web pages. If the ads are not relevant then you need to modify your content and keywords to help Google isolate the theme of your site. This will involve trial and error.
AdSense Factor
The items needed (I call it the AdSense Factor) to make substantial money using the AdSense program include:
• A website with multiple web pages with a central content theme that draws significant targeted traffic.
• Ads with high click values that are relevant to the theme on each web page.
• A high click through rate by your website visitors.
Website Central Theme
Your website should be based on a specific theme. This is where brainstorming comes into play. You need to spend ample time determining what the theme of your site should be. Generate a list of all your skills, capabilities and areas of interest as you would in developing a niche market.
Select one or more of the niches and identify a keyword phrase to be the central theme of your web site. Identify the “wants and needs” of individuals in that niche
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that desire information to be satisfied or produce a solution to a problem. In your brainstorming session, identify all the keywords you can that relate to the central theme.
As an example, assume your central keyword theme is “fishing.” Potential supporting keywords could include (depending on the direction you take): fishing rods, lures, tackle, bait, gear, reels, boats and a long list of related items. You then need to develop a separate web page for every keyword item that you use to support the central theme.
Keyword Page Content
Each keyword page needs to have quality content that would be of interest and informative to your prospective visitors looking for information. You can develop the content yourself, use existing free information or pay someone to develop the content for you.
As a starter, you should attempt to generate the content yourself. Research each topic keyword and write articles of 200 to 600 words. The articles should be informative and rich in keywords for each web page with an AdSense box. Remember that “more” is better. The more content-related pages you have then the more AdSense ads you will be able to display and hopefully the more money you will make.
If you believe that you absolutely cannot write articles for whatever reason then look for existing free articles on your web page topic(s). You can also hire a freelance or ghostwriter at very reasonable rates to write articles for you. The choice is yours on how you proceed to get content for your web pages.
When you write your own articles, try to write your articles as if you were talking to someone. Plan on inserting the keyword or keyword phrase in as many places that make sense. The keyword density should be in the 5 to 10% range. This means that the keyword should be included about once every 10 to 20 words in the article. In order to help Google determine the theme for each of your web pages with the AdSense box: use headings and subheadings, use
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