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Increase Adsense Ad Revenue by Improving CPC and CTR of Ads Displaying On Your Website

I have been using Google Adsense to monetize my blogs for more than 5 years. With this experience, I would like to write an article about the basic facts which affect the revenue from Adsense ads displaying on a website. I hope it will help at least a few newbie webmasters to monetize their website effectively using this program. Traffic is the key of AdSense success but still you should learn other factors which affects total advertisement earning. Though there are many factors affecting the Advertisement revenue I would like to concentrate just two factors CPC and CTR in this article. It is important to note that the tips explained here are valid only for a quality website.

High CPC Assure Higher Adsense Revenue
In advertisers point of view CPC of Adsense units showing is the amount they pays to display their ads and it is just above the amount bid by the competitor immediate below him(not the maximum amount they bid). According to a webmaster, Cost Per Click of ad units displaying on his website is the amount he is getting when a reader clicks them (amount payed by the advertiser minus Google's share). Now the million dollar question, how to improve CPC of Advertisements showing ? To crack down the secret facts of CPC, we should learn the factors affecting it. I recommend you to read my previous article on the secret facts which determine the CPC. Some of them are:
  1. Use of highly Competitive keywords attracts Adsense Ads with higher CPC

  2. Limit the number of ad units displaying on a webpage

  3. Placement of Ad unit on webpage (Ad units on above the fold have higher CPC)

  4. Use Keywords where advertisers willing to bid more

  5. Target visitors from the geographical area where advertisers bid more

  6. Use the better performing unit to increase revenue

To read more about the facts which affect CPC, click on the link below.
Learn How to Calculate and Factors Affecting Cost Per Click

Relation Between CTR and Google Adsense Earning
CTR (Click Through Rate) is the ratio of total clicks on the ads by the total ads impressions and is expressed as a percentage. This equation will help you to find the CTR of PPC Ads displayed on your website.

CTR = (Total Clicks/ Total impressions) X 100

By increasing the CTR, you can improve your earnings. Though there is no optimum Click Through Rate, I believe it is better having between 2 to 5 percent. To increase CTR, you should care following factors.
  1. Ads placement affects CTR and always experiment new positions on your website

  2. Perfect blending of ad units with website can improve it. It means link color, font size, text color etc of Ad unit should match the same on the website.

  3. Get more visitors from Search Engine because organic traffic always increase Click Though Rate

  4. Relevant ad can assure higher CTR
To learn more about the influence of CTR (Click Through Rate) on revenue, follow the link below.
How to Calculate CTR of Ad Units Displaying On Your Website

I know how much curious you are to check the potential of your blog after perfectly optimizing the CTR and CPC of Adsense Ads showing on your website. Following link leads to one of my previous article which tells a way to calculate your possible daily PPC revenue. To learn more about it click on the link below.
When Will My Domain Earn $100 From Google Ads