Google AdSense is the service from Google which allows to insert ads on your website and to be paid in proportion with the number of visitors clicking on the ads.
Before starting the description of the AdSense services and in the purpose of training you to the technical computerese, here is a glossary:
Advertisement: ads banner
Advertiser: company that wants to advertise about itself on others websites. An advertiser is a company ready to spend money to increase the number of its clients.
Editor: Individual or a company owning a website and wishing to be paid for displaying ads.
Advertising sales division: Company (to be specific Google) linking the advertiser to the editor. Obviously, this linkage is not unpaid (a percentage of the incomes generated is collected by Google).
CPM: Amount paid by the advertiser for 1000 displays of his ads.
eCPM: Conversion of the CPC in average cost estimated for 1000 ads display
Daily budget: Maximum amount that the advertiser wish to spend daily for one ads.
CPC (Cost Per Click): Cost price of one click for an ads chosen by the advertiser.
AdSense ads profitability
AdSense ads profitability depends directly on the advertiser budget.
The advertiser sets via the Google AdWords service (which enables to manage the internet ads campaign) a maximum daily budget for the diffusion of his ads as well as their cost per click (CPC). Obviously, the higher the CPC the more often the ad will be displayed et will be well positioned in the banner and the more profitable the ads will be for the editor. But, once the budget is spent, the ad is not visible anymore for the day.
With the keywords generator AdWords, the advertiser can see, together with choosing the keywords of his campaigns, a cost and positioning estimation of his ads according to the CPC.
Some statistics help to establish which keywords or ads theme are currently the most profitable for the editors (the one for which the advertisers have enough money to set a high CPC for ads corresponding to these themes):
- Car insurrance
In order to display profitable ads (with high CPC) on his website, the editor have to display pages talking about profitable themes (in the case of contextual ads) or to force the ads targeting by keywords (Only for Premium).
What about Google?
Google earn a part (non quantified) of the budget sets by the advertiser, the rest is shared proportionally between the editors according to the view pages and especially according to the number of clicks on their website.
How to integrate Google AdSense into a website
Each line starting by “google_” is one of the ad’s parameter, the last line asks Google to display an ad with the parametres previously defined.
The ads are contextual, which means that the ad is chosen by Google according to the contents of the page that displays the ad. For instance, if inside the editor website, a page is talking about wedding, the ads display on this particular page will surely be (it will depends on the words used) in keeping with wedding. Totally different annonces can be displayed on each of the pages of the website depending on their content.
In order to distinguish some of the ads in order to follow the incomes rigorously, the editor can creates analyses criteria (or Channel). a criteria is an ad parameter.
The editor can affect the same criteria to a whole ensemble of ads (those displayed at the end of the page, those displays in one of the website section, those displayed in a forum, in the company description…) in order to group the reports (see below) the incomes generated by these pages.
The Editor can screen the ads in order to prevent some advertiser to display their ads on his website (concurrents for example).
Targeting per section
It is possible to force or prevent the contextual analyses for parts or sections of pages thanks to the targeting per section
The parameter “weight=…” is optional ( by default it is equal to “medium”), it can take the values “ignore”, “low”, “medium”, “high” and it allows to balance the page sections for the analysis.
Google supplies a quite complete interface to check the incomes. The reports can be screened by criteria or by date. Report generation and e-mail sending can also be planned.
These kind of account is reserved for website having more than 10 millions of pages seen per month.
Google strategy is to favoured those who are the most profitables. Premium is not only giving access to all the standard function from AdSense but also allows a better customization of the ads in order to increase their impact on the visitors and thus the number of clicks (remember, “at least 10 000 000 pages seen per month”).
With an account AdSense Premium, the editor have access to:
Customizable ads formats
More accurate screening and targeting functions
Help for websites optimisation
Technical help by a commercial engineer
A personnal account manager
parametrizable ads format
Google can gives (sparingly) informations to customize ads format. You will have to strongly insist on the commercial manager in order to activate some functions.
For instance, it is possible to force the opening of the advertiser website in a new window (popup instead of replacing the current page) simply by adding the suffix “_new” in the ads format:
google_ad_format = "160x600_as_new";
Relevance for the editor: the visitor is not definitively diverted to the advertiser website.
Relevance for the advertiser: the visitor can keep the advertiser website open even if he wants to surf on the editor website. le site de l’
For Google, the main cash cow is the advertier. Thus, the advertiser has a lots of means for customizing his ads in order to make them more relevant. The standard editor gots somehow a raw deal (even if he gets incomes) because he is used just as the advertising room for Google.
By having an AdSense Premium account, the editor (who will be called “Partner”) will become as important (if not more) as the advertiser.
Google is thus playing on two boards, he is trying to make everyone happy but there is always on more priviledged.
Finally, the Google AdSense service is very complete and is able to staisfy everyone, from the small blogger to the multinational comapny.
The incomes depends mainely upon the traffic of the website (the number of visitor has an impact on the number of clicks) and upon the pages contents (the content has an impact on the ads screening).