How to Make Money with Google Ads

Using Internet search technology, Google will serve ads on web pages that are based on the specific content of that web page. For instance, if someone is on a webpage that's covering the latest golf tournament, Google will serve ads for golf clubs or golfing attire. If you own that site, you get paid every time someone clicks on that ad. Not too shabby. This is usually called CPC (Cost Per Click) advertising.

The Major Benefits of Google Ads
You may not even notice banner ads any more. As an Internet-savvy society, we have learned to filter them out. There is also banner filtering software available because banner ads can be very annoying, and that could harm your website readership. But Google Adsense is different:

• Google Ads are less intrusive, so they don't annoy people
• The content is RELATIVE, and therefore has more impact
• People trust Google Ads because people trust Google
• The payment model is generous and reliable
• It's possible to make a healthy living from Google Ads

That last point is paramount. How do you make a living from Google Ads? Well, with the right combination of traffic, content and users, you can make thousands of dollars every single month.
Making a Google Adsense Income
Let's be clear. You cannot expect to throw Google Ads onto your site, sit back and watch the money roll in. It doesn't work that way. Like anything in business, it takes an investment of your time to get a return that you can bank on. To understand the logistics of making money, you need to know the basic way Adsense works.

How it Works
Let's say you currently have a blog or website that gets 100,000 visitors every single month. That's over 1 million every year. Sounds like something that could make you money, right? Well, think of this:

1. You have 100,000 ad impressions (views)
2. You have a CTR (click through rate) of 1%, which is standard
3. 1% of 100,000 = 1000
4. If the CPC (cost per click) of the ad is $0.01, you make $10
5. If the CPC (cost per click) of the ad is $1.00, you make $1000

There's a big difference between the two, and obviously most ads do not pay out at the $1/click rate. The more obvious and widespread the keyword of the ad (which is what triggers the ad itself), the lower the CPC. And that is info you can use.

What You Can Do To Maximise Adsense Income
Whether you want to make money off the blog or website you already have, or you want to create a blog with the sole purpose of making Adsense money, there are several ways you can increase your revenue:

• Use SEO (Search Engine Optimization) writing to maximize the keywords in your content.
• Write more. The more you write about your subject, the more keywords you have for Google to search and feed ads to.
• Write often. More content is everything, and the fresher the better.
• Post useful, accurate content. When you post garbage filled with keywords it is difficult to read and doesn't bring people back. You want your site to be sticky, so that it generates traffic.
• Find a niche. Talking about football is all well and good, but thousands of people are doing it. But movie soundtrack collections, that's another story.
• Don't create too much bad traffic. It's easier than you'd think to create a lot of traffic, but if it's not qualified, which means there to read your content, then it will be a flash in the pan. It also affects your CTR.
• Make use of Google Analytics. Google gives you the tools, for free, to make a profit.
• Think differently. Don't just write the same old boring content that everyone else is. Have a new take on Mad Men? Got a better angle on knitting? PlentyofFish.com, earns over $300,000 every month! But it's not just given away. You have to earn it. Now go, be successful.

96 percent of Google’s revenue is advertising, who buys it?

A whopping 96 percent of Google‘s $37.9 billion 2011 revenue came from advertising, but who is putting all that cash in Google’s wallet?
Google is best known for its web search product, which has completely overturned how we research and find answers. But the search itself is only the basis upon which its golden empire has been built. Advertising based on search, as well as banner advertising on websites touches nearly every industry. It even created the jobs of the search engine and display marketers, whose responsibilities include understanding Google AdWords and Adsense, as well as navigating the strategy behind bidding and maintaining ad campaigns.
In 2011 the industry which used Google’s advertising the most was the finance and insurance industry with $4 billion handed over to Google. State Farm topped the charts at a whopping $43.7 million spent. The most common search term in this industry with the highest cost per click was “self-employed health insurance,” which charged advertisers around $43 for every time someone clicked their advertisement.
The retail and general merchandise industry holds second place for most spent on Google ads, with Amazon leading at $55.2 million spent. You would think that number would be so high to accommodate Amazon’s recent debut of the Kindle Fire, but the most commonly search for keyword in the retail industry was actually “Zumba dance DVD.” If we learn anything from common keywords it’s that the economy is down, so people are self-employed and want to dance at home for exercise.
Travel and tourism came in third with $2.4 billion spent on Google advertising. Jobs and education came in fourth, and home and garden in fifth.
Check out the infographic below for more on who contributes to Google’s huge wealth.

How Google Makes Its Billions: The 20 Most Expensive AdWords Keyword Categories

Insurance keywords are the most searched for on Google, making insurance the most expensive category on Google AdWords and the top PPC money-maker for Google. Bidding on insurance keywords can cost advertisers up to $55 per click, according to a new study from SEM software company WordStream that aimed to determine the top 20 categories that see the highest search volume and cost per click (CPC).
Loan, mortgage, attorney, and credit keywords rounded out the top five.
Google continued to shatter quarterly revenue records in Q2, and has made $32.2 billion in total advertising revenue over the last year – which is 97 percent of Google's revenue, WordStream noted. Google AdWords is the biggest source of profits for Google, so to determine where Google is making its billions from, WordStream used data from its own keyword database, as well as the Google Keyword Tool, and found these 20 categories make up the most competitive terms and CPCs (at least during the unspecified 90-day period WordStream studied):

1. Insurance (e.g., "buy car insurance online," "auto insurance price quotes"); 24 percent of keywords; top CPC of $54.91
2. Loans (e.g., "consolidate graduate student loans," "cheapest homeowner loans"); 12.8 percent of keywords; top CPC of $44.28
3. Mortgage (e.g., “refinanced second mortgages,” “remortgage with bad credit”), 9 percent; $47.12
4. Attorney (e.g., “personal injury attorney,” “dui defense attorney”); 3.6 percent; $47.07
5. Credit (e.g., “home equity line of credit” and “bad credit home buyer”); 3.2 percent, $36.06
6. Lawyer (e.g., "personal injury lawyer," "criminal defense lawyer); 3 percent; $42.51
7. Donate (e.g., "car donation centers," "donating a used car"); 2.5 percent; $42.02
8. Degree (e.g., "criminal justice degrees online," "psychology bachelors degree online"); 2.2 percent; $40.61
9. Hosting (e.g., "hosting ms exchange," "managed web hosting solution"); 2.2 percent; $31.91
10. Claim (e.g., "personal injury claim," "accident claims no win no fee"); 1.4 percent; $45.51
11. Conference Call (e.g., "best conference call service," "conference calls toll free"); 0.9 percent; $42.05
12. Trading (e.g., "cheap online trading," "stock trades online"); 0.8 percent; $33.19
13. Software (e.g., "crm software programs," "help desk software cheap"); 0.8 percent; $35.29
14. Recovery (e.g., "raid server data recovery," "hard drive recovery laptop"); 0.7 percent; $42.03
15. Transfer (e.g., "zero apr balance transfer," "credit card balance transfer zero interest"); 0.6 percent; $29.86
16. Gas/Electricity (e.g., "business electricity price comparison," "switch gas and electricity suppliers"); 0.6 percent; $54.62
17. Classes (e.g., "criminal justice online classes," "online classes business administration"); 0.5 percent; $35.04
18. Rehab (e.g., "alcohol rehab centers," "crack rehab centers"); 0.5 percent; $33.59
19. Treatment (e.g., "mesothelioma treatment options," "drug treatment centers"); 0.4 percent; $37.18
20. Cord Blood (e.g., "cordblood bank," "store umbilical cord blood"); 0.4 percent; $27.80

WordStream also offered four PPC tips for bidding in a competitive keyword niche:

1. Target specific, 3-5 word keywords.
2. Use negative keywords to eliminate keywords that aren’t relevant to your business.
3. Break up large keyword lists into smaller, more targeted lists.
4. Test various offers to improve conversions with landing page optimization.
   

WordStream also released this snazzy infographic:

How Google Rakes In Over $100 Million in Search Advertising Daily

Each day, Google makes over $100 million in search advertising, with 5.6 billion daily ad impressions through Google search and another 24.2 billion impressions from the Display Network.
On a typical day, there are 237.9 million Google ad clicks across search and the network. The AdWords cash cow is stronger than ever, according to research from search marketing software provider WordStream.
Larry Kim and his WordStream team have put together an infographic packed with insights into the daily search marketing activity of the dominant player in the field. Despite investor disappointment, Google just raked in their largest quarterly revenue to date, reporting $14.10 billion for Q3 2012.
Google search ads have a slightly higher conversion rate, at 5.63 percent, compared to 4.68 percent for Google Display Network ads. The average cost per click is now $0.35, down 18.2 percent from the quarter before.
Which verticals contribute most to Google’s search marketing income? Finance tops the list with the highest CPC at $3.09, as well as the most conversions, with 1.39 million transactions (sales or leads) completed daily as a direct result of AdWords ads. State Farm, Geico and Quicken Loans top of the list of companies with deep pockets for AdWords campaigns.
Travel companies like Expedia, Hotels.com and Booking.com take the second spot on the list of industries that spend the most on Google AdWords. This is in spite of their earning the lowest average conversion rate on the list, at 1.45 percent.
Shopping ranks third on the list of industries spending freely on Google. A 5.23 percent click-through-rate puts them at the top of the list for that metric. The average CPC in shopping, for companies like Amazon, eBay and JC Penney, is just $0.25 on Google Search and $0.27 across the display network.
Also on the big spenders list: Jobs & Education, Internet & Telecom, Computers & Electronics, Business & Industrial, Home & Garden, Autos & Vehicles, and Beauty & Fitness.

4 Tips Novices Can Use To Start Having Success With Google Adwords

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If you have the dream of using Google Adwords to earn a nice income every month on autopilot, then you are not alone. Many advertisers are living this dream each and day, and some people only use Google Adwords to promote their business. But the one thing that separates the person who makes $5,000 a month with adwords and the person who makes $0 with adwords is how they structure their campaigns.
Many people have different ways to tailoring campaigns. Google no longer allows marketers to link directly to an affiliate program page, so that method is now out of the question. However, if Google still allowed you to link to an affiliate product page, would that still be the best way to market a product or service?
Many people have different views on this, and the argument could go both ways. But you need to know what methods have been proven to work, and that still work for improving your business using Adwords.
Below are 4 great tips for beginners for using Adwords to its maximum effect. You will find that these strategies are easy to follow, but are very effective if you follow them exactly. Trying to go from beginner to expert in 10 minutes is the surest way to blow all of your money on a non-profitable campaign. Here's the first tip.
TIP #1: Understand Adwords
The best way to get acquainted with Adwords is to first find out more about it. The best thing about this is that, Google has a ton of videos and articles on making your Adwords campaigns profitable. They want to succeed. And the only way they can succeed, is to help you succeed. So I suggest you utilize their free and helpful tools as much as possible.
But Google isn't the only one who shares helpful advice on Adwords. There are numerous books, courses, and even ebooks on the subject. Almost all of them provide great information, but you will want to pick the ones that are from credible authors or websites. These ebooks sometimes contain an abundance of helpful information on how to get the most from your campaigns.
TIP #2: Write your first ad
Next you will want to write your first ad. Your ad shouldn't be boring or bland, however it should be relevant to your business or to what you're selling. You want to get as many clicks as possible, and an attractive and creative ad will help you to do that.
The best way to get ideas on what to write is to take a look at some of your competitors ads. Simply go to the Google search engine and type in a keyword that someone would type when searching for products that you sell. When you see your competitors ads come up, read them ask yourself, "if I was a buyer, would I want to click on this ad?"
Whether or not you answer yes or no to this question, you will still want to study the ads to get ideas on what to write for your ad. This is a great way to start writing ads that will work for you immediately. Here's tip number three.
TIP #3: Create a list of targeted keywords
This might be the most important part of your Adwords campaign. You will want a large keyword list that is as targeted as possible. You want a large keyword list so that you can bid on keywords that no one is bidding on, and so that you can get these keywords at a very low cost.
You want your keyword list as targeted as possible so that you don't waste any money on advertising. You want to nothing but targeted and interested visitors clicking on your ads and visiting your website. And with a targeted keyword list, your funds won't be depleted so quickly, and you can get the best clicks for your money.
A great tool to use for generating a large keyword list is Google's free keyword tool (https: //adwords.google.com/select/KeywordToolExternal). Here you can type in a keyword that a prospect would type in to find your site, and find tons of other relevant keywords that you can bid on.
If you have an offline business, you may want to consider adding your city name at the end of each keyword. For example, if you're a florist, you may want to select a local keyword such as, "florist in los angeles" or "florist in los angeles, CA", and etc.
TIP #4: Know how much you can spend daily and monthly
You need to know the maximum you can afford to spend daily on your Adwords campaign. You won't know this immediately when you first begin, but you can test certain budgets. So if you initially set your budget at $100 a day, and find out that you deplete your daily budget every day, then you may want to consider raising this number if your campaign proves to be profitable to you.
Even if you don't know much about Adwords, these 4 tips will go along way in making your efforts to make Adwords profitable worthwhile. Start using these tips today so that you can start seeing returns on your Adwords investment immediately.

Why You Should be Using Google Adwords

Websites thrive on traffic.  Business websites need customers.  Blogs need consumers to read them and subscribe. 

As a website owner, you'll probably spending a large portion of your time driving traffic to you website.  There are several ways to bring traffic.  You can optimize pages for the search engines.  You can write articles and submit them.  You can use social networking to build relationships on the internet.

One very important method of driving traffic is Google Adwords.  Adwords has one important difference from all the other methods mentioned.  Adwords costs money.   You design an ad for your website, and then Google places your ad on their search engine results, in the paid or sponsored links section.  You pay Google every time someone clicks your ad.

However, Adwords has advantages that offset the costs.  Why should you use Google Adwords to drive traffic?  What are the arguments for Adwords?

1) Google Adwords will start sending your website traffic immediately.
It takes time for a website to rank high enough to appear on organic search results.  It takes time to write articles and submit them.  It takes time to build a social network.  All the other methods of driving traffic require an investment of time.  These alternatives require hours of work to establish, and then may take weeks or months to show results.

Adwords will start sending traffic to your website today.  As soon as you create a campaign and an ad, you can begin getting traffic. 

2) Google will help you every step of the way.
Google makes a significant portion of their revenue from Adwords ads.  Google makes money by you participating in Adwords and wants you to succeed.  Google publishes user guides, blogs and other information to make using Adwords as easy as possible.

3) Adwords provides the information about your campaign that you need to succeed.
Adwords provides keyword research tools so you know what consumers are searching for.  Adwords helps you evaluate your campaign after it is created.  Adwords supplies you with the impressions, click through rates and costs of you campaign.  It informs you of the Quality Score for your ads, on a scale of 1 to 10.  It offers advice on how to improve the Quality Score.

4) You can control the cost of Adwords with the proper strategy.
Knowing how to obtain a good Quality Score for your ad can reduce your cost per click.  A well optimized campaign can deliver traffic for just a few cents per click.  The Free Adwords Strategy Guide describes step by step how to optimize your ads.

5) Anyone can obtain the top ad positions.
Adwords values quality over price.  Adwords doesn't simply award the highest ad position to the highest bidder.  The ad quality score is the primary factor in ad positions.  That means you can advertise in highly competitive markets, using a good Quality Score to beat out other advertisers who are simply spending more.  The Free Adwords Strategy Guide reveals exactly how to get a good Quality Score.

Learn The Basics, Tips And Tricks Of Google Adwords

Google has its focus on the search market rather the competition it has to face. With all that said there are so many places that Google shows for selling. One can achieve a profitable stage when priority is given to the most favorable Adwords as against the competition.
Google vs. Overture: Google Adwords has Overture as one of its biggest competitor. One can observe that the gambit is highly priced where there are lot of editors required to take care of the maintenance stringently. The statistical data is made use of by Google in two ways one is that they have so many editors and the other one is that they calculate the click through rate. What is the purpose of Google Adwords keeping track of the click through rate?
Google AdWords Details: Click Through Rate
Click through rate is a coarse approximation of relevancy; in numerous tactics this parallels the theory of grading the Internet on links. A related ad may have upper click through rates than a non related listing.
Google advertisements aren't exactly price driven. Some suppose the further relevancy issue relates to the phrases in add, whilst this is relatively actual, the real drawback is click through rate. If a website has 3 point degree as a click through rate, which suggests Google may promote your website with a 3 as marketing your website. A one third click through rate is the site where Google brings down its cost to almost 1/3rd by placing the ads in a selective manner.
Google AdWords Details: Key phrase Variety. One can have perfect knowledge in Adwords with their video course.
Profitable ad consumers discover ways to lower their costs and attract more visitors on the website tweaking them in to fit what the finish user is searching for. Bidding wars must always be evaded as they're techniques that imply a loss of creativity. There are so many techniques that one can make use of when talking of similar things as a lot of them try to be as creative as possible for the search term." The adwords video course is aimed at absolute learning - Yes, you may precisely describe your product in a video course, however you want the individuals who have an issue in finding your answer climate or not it exists. There might be a need for the specification of the measure of keywords that have to be given in the question outline.
Atleast the usage of a creative term ensures that it adds distinctiveness to your website making it seem like the only solution for the issue. When you have got the keywords you need to appear good inside your textual content, they'll be pre-determined when folks seek for them. This may additionally add to your click through rate.
The traffic must display a grade. It is when one make use of a one term phrase in the website that they tend to get unreceptive visitors to the site thereby increasing the costs. You will not be able to make cash with every ad.
Google AdWords Information: Basic Google AdWords Checklist Features
Google has three split tactics you may see at AdWords to add more visitors to the site
AdWords A AdWords B, will pick up any search string with AdWords A AdWords B in it, even if they're in any order. Your advertisements are displayed as per the necessary synonyms.
"AdWords A AdWords B" will pick up any search with that specific word "AdWords A AdWords B" incorporated in the search string.
[AdWords A AdWords B] will solely pick up on searches for AdWords A AdWords B
Along with the above methods of qualification, you might additionally check which words you don't need in the query. In case you didn't need the phrase "free" in the search you could put - free at the finish of your key phrases checklist or collection of your terrible key phrases at the campaign degree.