Saturday, November 26, 2011

Basic GOogle AdSense Terms and Tips For New Blogger's Owners

Basic GOogle AdSense Terms and Tips For New Blogger's Owners

Impression Count
Impression count is the total number of times your Google AdSense Ad units are displayed. It is directly proportional to the web traffic coming towards your website or blog. If there are more visitors, there will be more impressions and the impression count will increase.

CPC ( Cost-per-click )
CPC is the earnings you get per click on a Google AdSense Ad. In other words, you can say that, it is the amount a particular advertiser will pay you ( the Adsense publisher ) for a click.

CTR ( Click Through Rate )
CTR is the ratio of clicks per impressions. Obviously, more clicks will increase Click Through Rate. For example if your Google AdSense Ad block gets 20 impressions and 2 clicks, in a particular time period. Then CTR = Clicks / Impressions * 100.
After putting the given values:
CTR = 2 /20 *100 = 10 %

Smart Pricing
Smart Pricing is an AdSense method to find out how valuable a click is for a particular advertiser. It will estimate the worth of clicks from your website, for a particular advertiser. Google introduced smart pricing to protect Advertisers from click fraud. Many factors determine the price of a particular ad unit like conversion rate, the advertiser's bid, the quality of the ad, the other ads competing for the space. By experience, we can guess the following factors:

1. The relevancy of the Google AdSense Ads clicked, with the niche of your website or blog.

2. The contents of the website or blog.

3. Age of the website or blog.

4. Click Through Rate.

5. The frequency of updates to your blog or website.

6. Adding latest contents continuously.

7. Geo location of Ad clicker. A geo location that has low conversion trend will give your click a low price.

8. Conversion rate. Low conversion rate will give low pricing value for clicks and you will get only a fraction ( a few cents ) of Cost Per Click.

9. Advertiser's ROI - Return Of Investment. It is one of the most important factors. Because, if advertisers will get their investment on Google Ad-sense with profit, they will continue the advertisement campaign with Google, otherwise they may stop using the advertisement services. Higher conversion rates will increase ROI rate.

AdSense Earnings Formula

AdSense Earning = Impression Count x CTR x CPC x Smart Pricing Factor.

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