What makes contextual ad publishing an excellent home based business opportunity?
By: ilango karuppannan | Posted: 25th April 2006
Overview of contextual advertising
The dot.com crash brought down with the drying out of revenue from traditional online advertising. The lowest point was reached in2002. The following year Google came out with a solution in the form of contextual advertising called Google AdSense. Today it provides a re-invigorated source of earning source from online advertising.
What sets Google Adsense unique is that it delivers ads that are contextually relevant to the audience. In other words Google Adsense basically allows any website owner to act as an affiliate for Google by displaying Google's paid 'Adwords' adverts on their own website.
Adwords, by the way, is the boxed results down the right-hand side that we see when do a Google search. AdWords provides pay-per-click advertising from a minimum 5 cents per click to a maximum of $100 per click. In joining the AdWords program advertisers are given the necessary tools to pick their keywords, write their ads as well as to track performance of their advertisements.
Google AdSense uses proprietary advanced technology to determine the contents of the website and deliver the appropriate advertisement based on the web content. Adsense publishers paste some HTML code that Google provides into their web page. The code creates the relevant contextual ads. The publisher is paid each time a visitor clicks one of the Adsense ads. Advertisers pay Google each time their ad is clicked and a percentage is paid to What makes Google Adsense work for most anyone is the simplicity. The most important criteria to be a successful Google AdSense publisher is richness of the content of the website.
What makes AdSense publishing an excellent home based business opportunity?
1st Reason: Simplicity
All you have to do is to have QUALITY content on the website and Google will do the rest. The system allows full ad customization. Webmasters can choose between the various options including the color scheme to making the ads a much more natural fit. In addition, Google also provides real-time feedback reporting for the website owners to track and monitor the performance of their Ads as well as monitor trends. This allows them to make further refinements to optimize their ads.
On top of it Google will pay you a percentage of every cent they earn when someone clicks on an advert on one of your pages. Remember that AdWords work on a pay-per-click basis ranging from 5 cents to $100 per click. Statistically speaking most of the words are going to fall within the middle range that is estimated to be between 20 cents to 50 cents. Hence if the website offers good content it would certainly attract many visitors and consequently larger revenue.
2nd Reason: You can virtually control what you earn
Targeted advertisements based on the audience' needs are bound to generate higher response. Indeed it has been found that the more relevant the advertisement the more likely is it going to be read. Hence there is greater chance of making money with contextual ads rather than the usual ones. Furthermore an advertisement that is blended within the content ultimately becomes a content factor itself and this also elevates the content value of the website and in turn the revenue. In other words you can boost your revenue by employing strategies to enrich the content of your website.
3rd Reason: It's a potentially never ending income stream
Studies have shown that better content attracts more clicks on the ads. So you can concentrate on continuously improving your web content and attract more visitors. Hence AdSense in a way provides an opportunity to create a potentially a never ending revenue stream.
How much can you earn from AdSense?
The pay per click advertising is estimated to be a $3 billion industry. While more than 200 million searches are conducted every day for goods and services, there are only less than 100,000 advertisers. Hence demand FAR outstrips supply. This suggests that this is one niche that provides great potential to make a lot of money. In fact this is the type of ideal market we all learn in marketing. Secondly it also suggests that it is possible for individual entrepreneurs with attractive web content to generate extraordinarily large amounts of revenue. Three of the highest earning individuals are Jason Calacanis, Markus Frind and Joel Comm.
Jason Calacanis runs Weblogs Inc., a network dedicated to creating trade weblogs across niche industries. His company only started using AdSense in September 2004. Before the end of 2005, Jason made history by earning $1 million. You can read Jason's million dollar blog entry http://calacanis.weblogsinc.com/entry/1234000403051129/.
One of the best success story with Adsense is Markus Frind who operates the immensely popular online dating website PlentyofFish.com . In a post at Webmasterworld.com, Markus revealed that he has earned $1 million from Adsense alone in 3 months.
Joel Comm is no stranger to AdSense. In fact he is known as Dr AdSense. He makes more than $18,343 in a single month.
If you think that making money from Google AdSense is difficult think again. There are many individuals who make more than $ 20,000 per month from AdSense earnings. Some individuals earn in the 6 figure range. Read the many blogs and forums out there. You too can do it.
Does Google AdSense face competition?
Although Google AdSense still rules the roost in contextual advertising, new entrants are beginning to fill in sub-niches. Among the contenders are Kontera, Vibrant Media, Chitika.
Kontera is unique in the sense that while it is provides ad banners similar to AdSense, it also uses keywords within the page text as ads - by underlining them and giving ads in the form of tool tips upon a mouse over of the underlined text (ad). Vibrant Media also provides similar services. Both differ from Google Adsense in that you would have to have high-quality content-rich site that enjoys high web traffic. This effectively cuts out newbies.
Chitika or better known as eMiniMalls is a product-advertising service that uses both contextual and keyword specific advertising (you can choose one of two) to display product information on your website. eMiniMalls can be configured to run both contextually or by manually specifying keywords.
These alternatives will be dealt with in greater detail in a separate article.
Copyright 2006 Ilango Karuppannan
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Tags: google, google search, google adsense, quality content, home based business, simplicity, color scheme, click advertising, necessary tools, adverts, advanced technology, web content, website owner, home based business opportunity, based business opportunity, richness, dot com crash, contextual ads