Friday, May 22, 2009

What it Takes to Earn Big Bucks with AdSense

The general idea of Google AdSense is very, very simple: drop some code on
your web pages and when people click the ads, you make money.
But there are a number of important questions to ask when building sites so
that you earn the most money for your time and effort. The most important
of those questions are:
1. How do I design a site so that will get the most clicks?
2. What topics are the most valuable and will earn me the most money?
3. How can I track the results of my efforts to see where I can expand
and improve?
Those are the big questions. And there are good answers to those
questions!

AdSense In A Nutshell

So that’s AdSense in a nutshell: you drop some javascript code on your web
pages, Google figures out what ads to show, and when people click on those
ads you earn money. Once a month Google will either send you a check or
make a direct deposit into your bank account for the money that you earned
in the month prior (as long as you’ve earned at least $100). So, for
example, if you earn $1,000 in January, toward the end of February you will
get paid your $1,000. Toward the end of March you will get paid for
February’s clicks, etc.
But you can’t earn a dime without an AdSense account, can you? If you
don’t already have an AdSense account, the next section will tell how to go
about getting one–even if you don’t already have a website.

Google Adwords Launches the AdSense Revolution

Enter Google AdWords. AdWords are those little ads you see on the right
hand side of the search results when you do a search at Google.com.
Advertisers pay to have their ads shown when people search for the
keywords they want to target. So, for example, if somebody is selling
synthetic engine oil, they would tell Google to show their ad when somebody
searched for “engine oil” or “synthetic engine oil” or other similar keywords.
And they choose how much they are willing to pay every time somebody
clicks on their ad.
AdWords literally exploded a vendor’s ability to sell their products online,
and it quickly grew into a huge money maker for Google. Google wanted to
find more ways to earn money from these advertisers, and they came up
with a brilliant idea: AdSense.
Google said, ‘hey, we’re a search engine, we know how to figure out what a
web page is all about, so why not figure out what a page is about and show
ads related to that page content?’ That’s what AdSense does. Now, instead
of the “synthetic engine oil” vendor only having his ad show on the Google search results, he could have his ad show up on websites that were about
engine oil or car maintenance or whatever else the advertiser wanted to
target. Every time somebody clicks on one of those ads, the webmaster
whose site the ad is on gets paid a percentage of the click value, and Google
keeps the rest.
This was a huge boon to the small time website publisher. Before AdSense
they just didn’t get enough traffic to sell ad space or for the big networks to
let them in. A lot of the webmasters still had day jobs, so they couldn’t
exactly get into the product creation and selling business, and the didn’t
have the time or money to try their hand at affiliate marketing either. Now
with AdSense they could put up a content site about their chosen subjects
and actually get paid to write about it!
It didn’t take long for webmasters the world over to catch on. There was no
selling, no customer support, no maintenance, no hassle. You didn’t even
have to select which ads to display because Google figured that out for you!
That’s what makes AdSense so wonderful: you can focus on the content of
your sites and on getting people to your sites, and let AdSense take care of
creating your paycheck for you. It’s so easy to do, and it pays well in tiny
markets where you couldn’t get paid before, like with small hobby sites. Large publishers with thousands or millions of pages spread across dozens
or hundreds of sites were made instantly wealthy due to the program.

What is Google AdSense?

If you are already familiar with AdSense and already have an account and a
website, you can probably skip this section. However, if you’ve heard about
this “Google AdSense thing” and aren’t sure exactly how it works or how to
make money with it, then this section is for you.
Let me start with a little history lesson. Don’t worry, it’s not too boring. :)
Before Google developed the AdSense program, a person or business that
owned a website had four basic ways they could make money with the site:
1. They could sell their own products on the site.
2. They could sell other people’s products on the site.
3. They could sell banner ads to other companies.
4. They could show banner ads from one of the advertising networks.
The first method made the most money, and is still a very common way of
making money online. But it was (and is) the most difficult way to make
money on the web. You had to create a good product that people will want
to buy, and you had to support that product either via email or on the phone
(or both). You had to be able to handle refunds and affiliates (salespeople).
You can’t make everybody happy all of the time, either, so you had to grow a thick skin and not get angry when you read the occasional “this guy and
his product sucks!” post on a forum somewhere. You had to advertise your
product and compete with other people who have similar products. It’s
doable (I know because I do it), and the rewards are great, but it takes a lot
of time and a lot of work.
Number two was easier than number one because you were just an affiliate,
or salesperson. You sold the product but you didn’t handle the refunds, you
didn’t do the support, and you didn’t have to worry about what people said
about you (because who complains about the salesperson?). There was still
a lot of work involved though, because you had to pre-sell your visitors and
learn to write convincing “why you should buy this product” articles. And
you never knew if all of that work would flop because the product just didn’t
sell well, or worse–the company who created the product went out of
business (it happens)!
Number three, selling banner ads on your site, required almost as much
work as number one, because you had to seek out advertisers and handle
their needs and setup scripts to track views and clicks and reporting and it
was just a big hassle.
Number four was the easiest, because all you had to do was drop some code
from the advertising network onto your website and the network would select ads to show and pay you for showing them. It was easy, but the pay
just stunk unless you had a huge volume of traffic.

Your Vision

Know where you want to go with your business and why. Every business that thrives has a soul and a purpose. What is it that you want long term? Do you want to become financially independent?
What do you want short term? Do you want to make a steady income every week? If so, how much? Give yourself something to shoot for and try to surpass it.
Remember in the beginning to keep plugging away. The toughest time is at the start. Everyone has to serve as an apprentice before they can truly master what they do.
When you're starting out be willing to absorb every ounce of helpful information your brain can hold.

Pick Your Niche and Define Your Market

This is ground zero for your success strategy. Find your own niche. Define your market. Then you can know the type of person you’re going to be selling to and the types of product you want to sell.
You're auction sales letters will be a hundred times better if you know the person who you are writing for.
Along with being in a superior position to take advantage of repeat business, the benefits from becoming specialized are endless.
We well be getting into this a little more later.