Those involved in Internet marketing have some idea of the gains of Google Adsense and earning money. Google Adsense can be used to make not inconsiderable amounts of money, so it is worth spending the time to study how Adsense works.
With the consent of the web site owner, small contextual ads called as Google Adsense are published on their sites. When selling products and/or creating brand awareness, publishers can create the ads. The ads that are created are called Adwords and they are also a Google sponsored program.
Google Adwords and Adsense run hand in hand. Every time someone does a search on Google or one of their partner networks and clicks on one of the sponsored ads, then the person who created that ad will pay Google a predetermined price. This is what is known as 'pay per click.'
The Adsense program allows the owner of the web site where the Adwords ads appear to split the amount of money that Google has taken from the creator of the ad. It is not common knowledge exactly what the percentage split is, and it is not always the same, but let's assume for our purposes 50%.
If the ad creator is fine to pay .40 per click for his Adwords ad, then the website host who has joined the Adsense scheme can expect to receive approximately .20 when the ad is clicked. Google keeps the remaining .20. So in effect, this is a partnership between the web site owners and Google.
Adsense is shown in the most relevant way possible. What does this mean? Well, probably the best way to illustrate this would be through an example. Mary had a web site, let's say, featuring women's clothing. Ads on clothing or specifically women's clothing can be shown on Mary's web site, if Mary decides to monetize her web site with Google Adsense. In her web site if shoes are dedicated to a particular page, then on that page there would be Adsense ads appearing for women's shoes.
So how do we determine the price per click? This is where the Adwords side of the equation kicks in. Keywords are bid on by Adwords publishers. A more sought after keyword will result in the publisher paying more for each click. Keywords range anywhere from a few cents to in excess of $50 per click.
It doesn't take a genius to see how a popular web site with a lot of traffic can make quite a bit of money through Google Adsense. Several Internet marketers will actually create specifically targeted sites in order to attract lucrative Adsense ads. -
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Tuesday, April 1, 2008
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