Tuesday, October 2, 2007

AdSense Secrets: Choosing the Best Keywords for AdSense

Ever wondered how to select the best keywords for your Adsense websites? Your focus is earning money as well as attracting organic traffic towards your website. Here is what you need to know while choosing a keyword, a scientific study that maps the ideal keywords for your next upcoming adsense website.

We shall first study how to choose keywords that lead to more Adsense money.
CPC - Advantages and Drawbacks

What does CPC indicate?
When we think of high paying keywords, the first thing that pops up in our mind is CPC. CPC (Cost Per Click) is the maximum amount of money an advertiser is willing to pay you for a click. Higher the CPC of a particular keywod, more will be the payouts you can expect by targeting that keyword in your AdSense websites. You can get the most accurate CPC from the source itself - Google.

However, CPC is not the only factor that tells the profitability of a keyword. There are many other factors that you should consider.
Drawbacks of CPC
- What if there are no advertisers bidding on a keyword having high CPC? Obviously, it means no one is going to pay you that high for a click.
- What if the traffic on the keyword is technical enough and does not click on ads (banner blindness)?
- What if Google gets loads of traffic on that keyword, enough to fulfill the desires of high paying advertisers? In this case, Google will only throw remaining peanuts towards you.

Obviously, Google will like to keep all the high paying ads within its own pages. So you see, CPC just shows you a small part of the entire picture. We shall explore the rest part of the picture...
Number of Sponsors - The Most Important Figure
Keywords with high CPC do not always come with high number of advertisers. There are many keywords in Google's Adwords system that have a high price, but almost no or very less number of advertisers. Now, if you build a web page or website around a keyword on which no one is bidding, Google will try to fill the ad blocks with ads of the related keywords rather than the high paying keyword you were initially targeting. There is no guarantee that ads of the related keywords will be good converters. Therefore, there is every likelihood that your clicks will be passed through SmartPricing Filter, eventually resulting in lesser payouts.

Hence, it is important to see the number of sponsors bidding on the keyword in question. If there are more the advertisers, there will be more competition among them to get the top position. This means that there will be more revenue per click that they are willing to share with you. In other words, more sponsors mean more people fighting against one another other to pay you more Adsense money.
Number of clicks on an Ad
It refers to the number of clicks an advertiser gets when his ad appears on the top. If the number of clicks and number of advertisers is less, just ignore those keywords, no matter what their CPC is. However, if the clicks per month are lower than expected, but the number of advertisers is a good one - it's the right choice for you. Such keywords are called "Niche AdSens' keywords." Here the word 'niche' is used in commercial context. This means that Google is not able to generate traffic on such keyword ads. This makes it difficult for it to exhaust the advertising budgets of the advertisers. Therefore, in order to meet its targets, Google happily shares high paying ads with you, resulting in more payouts. Try to find such "Niche AdSens' keywords."

Coming to Higher number of clicks - It indicates:

Either the traffic segment is ignorant about the online advertising concepts, and click on these ads unknowingly. This means you will experience higher CTR on your ads when placed at appropriate place. You don't have to put in much efforts to fight banner blindness.

Or, the traffic is highly commercial and willing to purchase the advertised product over internet. This means that there are very little chances of your facing the SmartPricing phenomenon.

Number of clicks along with the other stats like Number of sponsors and CPC, can enable you to make more wise decisions while choosing keywords for your AdSense content.
Bidding Quality
It's important to see the pattern in which people are bidding on a keyword. Suppose there are 400 advertisers bidding on a keyword. The top 20 of these are paying something like $15 per click, while the rest of them pay somewhere between $2 and $0.05. Now you might have found some decent tools that give you the average of top 3 or top 5 positions which is good, but not good enough. The point is that although the top 20 advertisers are paying higher, but the rest 380 advertisers are paying quite low. There is a high probability of your getting the ads of those 380 sponsors. Therefore, the average of the top 20 advertises can be really misleading. The solution to this problem is discussed in the later part of this page.

We have enough Adsense money now. Let's build some traffic on your website.