Adsense is Profitable for Everyone

Mar 162010

When they announced the creation of the Adsense system, there were many who thought Google was making a major mistake and that the system would never catch on, much less ever make any money. Yet today, Adsense generates more than One BILLION dollars in revenue for Google each year! By any measure, Adsense is one of the most successful and profitable systems on the web. The doubters ought to have realized that the folks at Google would never make such a massive investment in something unless they had thoroughly analyzed it and seen the large profit potential.

Yet Adsense isn’t successful because it is profitable for Google. The success of Adsense is based on the fact that it is profitable for all three of the groups of people who use the system. The first group of is the sellers who advertise through using Google AdWords in the hope that their sales will increase. Second is a group of individual web site owners who have realized that they can earn money by displaying the seller’s ads on their sites. And, lastly, the third group is the millions of people that spend time “surfing” the internet.

Think about the situation of the first group, the vendor of a product or service. The logical thing to do is to build a website and try to capture visitors searching for a few search words (or “keywords”) relevant to the product. The problem here is that this only targets the people who are already looking for the product! And, unless the seller has done a really great job at getting the web site towards the top from the search rankings for the keyword, individuals might have to be looking for the exact product name to ever find the seller’s website! The website is hopelessly narrow in its scope but the seller does not have the time or money to produce more sites to capture a larger portion of the possible traffic.

Very few sellers have the resources to create websites to capture more than a handful of search keywords. Googles Adwords system permits these sellers to produce a list of ALL the research keywords they would like to attract traffic for, make small, concise ads for them and then pay Google only when someone clicks on these ads to come to their web site! The more popular the keyword, the more it will cost the Adwords buyer for those clicks, but a daily budget can be set and changed at any time. This provides a huge increase to the seller’s marketing effectiveness on the web and allows the Adwords buyer to literally “buy” visitors to their web site!

The seller also can choose whether to display their ads only in the Google search results page, or also on something called the “Content Network”. By using the content network, the small ads the seller has created will appear on websites that have content related to what their ad is about! Many sellers have figured out that this generates additional streams of traffic to their websites. The content network allows sellers to attract internet surfers who were not searching for or even thinking about their product. It is much like using a brightly colored box to attract the attention of shoppers walking down the aisles of the local grocery store. Once a seller taps into this huge additional source of traffic, their sales expand dramatically!

This brings us to the second team, the Adsense publishers who really make up the Content Network. These people are individual web site owners who’ve realized that, by agreeing to display Google advertisements, they are able to create additional income from clicks on those advertisements. The more web traffic their site has, the more clicks there should be. Adsense publishers have found that a few low traffic sites can create a few dollars a month in Adsense revenue, while other more popular websites can easily generate hundreds of dollars a month.

It did not take people long to figure out that they could specialize in the creation of these Adsense websites and potentially make a lot of money! Yet this motivation to create websites to serve Google ads is the genius of the Adsense system! Instead of sellers having to work alone to increase their own sales, they now have thousands of Adsense publishers searching for every way possible to produce clicks to these sellers websites! There is no way these sellers, Google or any other single organization entity could possibly duplicate the drive, creativity and imagination behind this effort to increase clicks and connect the potential buyer with the seller!

The third group, the web surfer, is the beneficiary of all this activity. Sure, there was a time when web surfing could get pretty frustrating because many of the websites in the search results just contained a bunch of Adsense ads and nothing else! However Google has become very effective at weeding out these types of websites and, these days, a site has to have great, relevant info on what is being searched for to remain at the top from the search results for long. You can find still many websites designed to display Adsense advertisements, however the successful ones additionally provide good information to the visitor.

So all three of the groups involved benefit from the Adsense system: the Adwords buyer with a item or service to sell, the Adsense publisher who profits from sending visitors to the seller’s website and, maybe most of all, the web surfer whose time on the internet is more enjoyable and productive than ever. This system that some thought would never perform will only get larger in the future and that will be to the advantage of all of us!

After specializing in websites on weight control, fitness and internet marketing for over a year, Jason Canpolo has departed from his normal topics and created www.eileenfisherpants.com, a site that reviews and lists the best Pants by Eileen Fisher.

The Success Zone

Neil Walker

Recommended

Free Report

Sponsor Ads

Resources

Archives