If this is your first time when you hear about how to display ads on your website to generate some revenue you should sign-up for AdSense and try it out before further reading. If you already using Google AdSense on your website you are probably searching to find out how to earn more money.
The things that matter are the traffic that you have on your website, the Click trough rate ( the percent of clicks on google ads from your total page impressions ) and the average cost per click you receive.
To improve the traffic to your website takes time and money, but it is necessary to significantly increase your adsense revenue. But this is not an option to increase your AdSense revenue. While it will get your more clicks, as your website grows and traffic comes more monetization methods will open up and you can better forget about adsense. What you really need is to generate more revenue from AdSense while your website is still small and can’t make money trough other methods.
To improve your CTR, you may need to show up more ads on your website, which will make your website look spammy and it will be harder for you to grow, many people will leave immediately after seeing your website and others will leave trough ads, not really a good way to grow your website. If you manage to increase your CTR, let’s say from 2% to 4%, your earnings will not double their value. Why? Sending more clicks to advertiser websites, google will notice and think that more visitors leaving your website on ads means that their value is lower and some of them clicks on ads my mistake or they are not very interested, resulting in a lower payout for every click. If you think about the future of your website and you don’t want just to get some quick money and sell it, raising CTR is just a temporary option.
The part that all AdSense advertisers want to improve and will have no negative aspects is the payout per click. Google claims that they will give you 68% of the revenue they make you with you, leading to the thinking that if you manage to show better paying ads on your website you will get more revenue. It is not entirely true. If you manage to show better paying ads, others than the ads that are naturally appearing, you visitors may not be very interested in what the ads are offering and will result in lower CTR and lower pay per click because they are not 100% targeted.
Google AdSense is a very complicated system, and you need a lot of time to cheat, time that you can better use improving your website. While Google AdSense is still a good option for small website, it is not getting any better. At the beginning of my online business journey I was very impressed that I can make few dollars a day with AdSense and this is what made me to continue because at that point I was very unsure about the website monetization and Google AdSense gave me hope, but once I got my first website out of AdSense due to better paying options that were made available to my website, I am very sceptic in showing ads even on new websites I create. For few bucks a day I will better keep the website clean.
If you are just starting your online business, don’t forget that once your website grows you will have enough monetization methods and you don’t have to worry that you can’t monetize your website. Focus on growing your traffic and don’t let yourself discouraged by the very low AdSense revenue. There are many other methods that are not available to you right now.