Google Adsense delivers text and image ads that are targeted, on a page-by-page basis to the content on your website. Website owners simply copy Google's HTML code into their webpages, and then Google automatically delivers ads based on the content of each page.
Whenever a website visitor clicks on these ads, the advertiser pays Google, and Google splits the revenue with the website owner.
Price of Keywords
Google charges advertisers on a price per click (PPC) basis.That is, advertisers pay only when a user clicks on their advertisement.
Advertisers bid against each other to receive better placement in the results,and the bidding price for each keyword differs.
For example, the keyword ‘weather’ is only worth 5 cents or less to most advertisers,while keywords such as ‘mortgage’ often yield $5 or more per click.Since Google splits its advertising revenue with you on a click-by-click basis,you obviously want the ads that Google delivers to include the highest paying keywords.
By optimizing the text of your website to include high priced keywords, Google will deliver ads based on these higher priced keywords, thus yielding you significantly more revenue per click.
Specifically, by understanding which keywords are the highest priced, you can generate more revenues by:
- Modifying the text of existing web pages
- Creating new web pages for existing websites; and/or
- Creating completely new websites
For instance, a site about baby names (baby names is a $0.05 keyword) could include content about life insurance (life insurance is a $6.00 keyword). In this case, the correlation is that when parents have children, they should make sure they have the best life insurance policy.
