Google Adsense

Is Google Crazy ?

"What's the catch here? Why would Google just give away money advertisers are paying them?"  The answer... Because Google is very smart.

Now that I understand how AdSense works, I can see that it's a win-win situation for everyone involved, and the bottom line benefits Google. Let me explain...

Since the advertiser's ads are now being displayed on more web sites all over the internet (instead of just Google's site), they are getting much more exposure.  More exposure means more clicks and even more traffic for their site over a shorter period of time. This is good news for Google because the more traffic the advertisers receive, the faster their advertising funds are used up.  Remember, they get charged every time their site gets a visit; and of course, it is Google's hope that they'll continue to keep funneling more money into their account for more ad exposure. What an ingenious way for Google to increase the amount of money they earn from advertisers while building loyalty with website owners (like us) who are now getting paid to help them advertise. Of course, I'd expect nothing less from the most popular search engine on the web. :-)

Why I Believe AdSense Works So Well

For years, website owners have tried to make money from their sites by putting up banner ads in hopes of visitors clicking them. The problem with banner ads is that the Internet audience is so immune to them, people do not click on them anymore. When's the last time you clicked a banner ad?   ...Exactly! Second, in order for the web site owner to earn money from that banner ad, usually the web surfer that clicks has to purchase something. With AdSense, your visitors just have to click the ads. They don't have to purchase a single thing. Third, most people that use banner ads do not do a good job of matching the ads to the website's content so the click thru percentages are dismal. With Google's AdSense, not only are you displaying text ads, (which tend to receive a much higher click-thru rate than banner ads), but you are displaying contextual ads that match your website's content....thanks to Google's advanced technology. 

How Google Matches the Ads to Your Site's Content

One of the main reasons this program is so successful is because the ads that are displayed closely match the content of your website.  This increases the chances that someone will click on the ads. Here's how Google accomplishes the content match... "...We go beyond simple keyword matching to understand the context and content of web pages. Based on an algorithm that includes such factors as keyword analysis, word frequency, font size, and the overall link structure of the web, we know what a page is about, and can precisely match Google ads to each page." So let's say you have an information website about yoga.  Once you join AdSense and paste their ad code into your site, Google's technology will determine the topic of the pages by scanning for keyword repeats, page title, etc.   If successful, you will see ads that relate to yoga displayed on your web pages. Of course, the more related the ads are to your site's content, the better the click-thru. Keep in mind, the ads may not be an exact match because it depends on the ads inside Google's database. So instead of seeing yoga ads, you may see more generic ads like exercise, healthy eating, etc.  This is not a bad thing because these are topics your visitors will likely be interested in as well.  "What's the catch here? Why would Google just give away money advertisers are paying them?"  The answer...

Google is very smart. !! Now that I understand how AdSense works, I can see that it's a win-win situation for everyone involved, and the bottom line benefits Google. Let me explain...Since the advertiser's ads are now being displayed on more web sites all over the internet (instead of just Google's site), they are getting much more exposure.  More exposure means more clicks and even more traffic for their site over a shorter period of time. This is good news for Google because the more traffic the advertisers receive, the faster their advertising funds are used up. Remember, they get charged every time their site gets a visit; and of course, it is Google's hope that they'll continue to keep funneling more money into their account for more ad exposure. What an ingenious way for Google to increase the amount of money they earn from advertisers while building loyalty with website owners (like us) who are now getting paid to help them advertise.