Where Adsense Should Appear

When deciding whether to incorporate Adsense into your website there are several factors to consider. Many feel that it diminishes their brand, whilst others see it as a useful tool for visitors which creates revenues and makes their content profitable.

The choice can largely come down to the commercial goals and the purpose of your website. Many businesses who sell products decide to place Adsense adverts within their website. This would appear to be a strange choice, opening up opportunities for rivals to promote their service or product to your potential customer base. 

Many publishers claim that they are only doing this to allow companies who provide ancillary services to advertise. These claims have some merit, as those who for example sell pillows could provide those who sell bedding with an opportunity to advertise.

Although this would make sense, there are still those online retailers who allow rivals to penetrate their audience. Many claim that there are still benefits in allowing your direct competitors to advertise within your website. One of these is that ultimately if visitors wish to see your competitors they would be able to see them through a Google search regardless. This may be true however the thought of an established brand like coco-cola having a Pepsi advert in their website is not even a possibility. 

Another factor which is considered in this situation is that publishers do not feel that Adsense is effective in making conversions. They feel that visitors who would click on adverts are not highly qualified customers, as they would quickly navigate to the materials or products that interest them if they were.

Despite Adsense being a questionable choice for online retailers, it is surely a good supplementary service for other varieties of online publishers. For example, a website which provides a free service like dictionary.com gets high levels of traffic, and is able to make their service profitable through adsense. This has been the case for Bloggers who originally provided content free of charge, being unable to reach the scale that is necessary to contract with advertisers directly.

This could also apply to other previously free services, including wider forms of information broadcast, and news for example. In 2006 a man who later published a selection of Videos claims to make $19,000 a month through adsense, claiming that he was also contacted through Google to help him increase the CTR (Click Through Rate) that he achieved. The thought of success like this has been a major factor in stimulating online publishers to opt for Adsense.

Many publishers also claim that adsense makes their website look more professional. Those who are able to contract with advertisers are generally seen to provide a service with large appeal, and therefore those unfamiliar with the program may feel that the Adsense advertiser is in this position.

Adsense however, is also aligned with those publishers who use the service purely to provide links to adverts. Everyone has done a Google search, clicked on an Adwords advert and came into a website which reads top ten resources on… This is a major problem, as is generally something that surfers find frustrating. If people see that it says adverts by Google, and they then see adverts by Google on another site, they may align that site with consumer unfriendly practices. This is therefore an issue which Google has to address, to maintain Adsense as a reputable service.

Regardless of the disadvantages and the websites for which the service may be inappropriate it is still a useful tool for website visitors. Those who visit a website, and click on a link provide revenues for the publisher, whilst those who provide free services are able to generate revenue.

The only fear that Google has, is that rival PPC programs offer better deals to publishers and they decide to go elsewhere, therefore taking advertisers with them. However, ultimately it is best for advertisers and publishers if they largely remain in same PPC circuit.

The Disadvantages Of Adsense

As adsense becomes the most popular publisher program for Price per Click advertising, flaws and disadvantages still exist. Since its inception advertisers have chosen to advertise in search because they felt that visitors would be less targeted. This is a genuine concern and one that makes perfect sense. If you are visiting a website, and notice an advert then the chances are you are not particularly concentrating on its content.

Adsense has also become so popular that people can distinguish them from other adverts. Therefore people may choose to ignore them without even paying them a thought. This has been a hot topic discussed by Bloggers and one that could contain a lot of truth. Many have blamed Google for this, and their decision to include text that says “ads by Google” beneath the advert.

Many publishers also fail to ever gain the revenues they anticipated when starting the program. Those only gaining 30 – 40 visitors a day to their website would be unlikely to earn even one dollar a day. Many advertisers talk of rates such as 1.5%- 5% for traffic to click conversion, whilst only gaining around $0.10 per click. The maths doesn’t work out great, but you can hardly blame advertisers or Google if you are not bringing enough traffic. The key is to bring targeted traffic to your website that are likely to click on adverts, however it is said that it may be easier on other programs which allow figures such as 75% share of advertising revenues for publishers.

Another disadvantage in adsense is that it has almost become tacky. Its appearance on websites that generally appear to be designed in a DIY fashion has lead people to associate them inextricably. This can only be tackled through adsense evolving to be more attractive to the bigger brands, whilst those who currently use adsense are restricted.

Google Adsense also has to tackle the issue of click fraud which is anticipated to count for over 15% of click through rate in content. This has meant that advertiser’s who have been particularly affected, have moved away to other programs or have restricted their advertising to search.

This has meant that there is less competition in content and therefore smaller revenues for publishers. Publisher’s who previously had high yielding ads, are now having to alter their content to ensure they get any adverts at all. This has largely been the fault of the publishers themselves however the issue is one that; if not addressed could bring adsense to its knees. 

Google Adsense also has the disadvantage of not paying enough for their search program. Other similar programs pay higher rates, and if publishers decide to go elsewhere then problems will occur for advertisers and publishers alike. Although Google fail to pay enough for search another major problem with Adsense is that it does not have a powerful database of graphic adverts. Many advertisers prefer showing graphically drive advertisements, however this has yet to materialise. As several other programs exist for PPC graphic distribution problems could occur.

Whilst this may not be a problem for all publishers, many complain that the adverts within their site do not change, so their repeat visitors fail to see fresh adverts so therefore fail to visit them. This is a problem which could be addressed through making adverts rotate. However if adverts rotate then how will that be linked with advertisers paying a rate per click? These are all problems which Google has to address to ensure that Adsense remains the market leader.

Adwords on the other hand also has major advantages, and remains the best in the market. It’s CPC rates can be chosen by the advertisers so that even when they feel that they are not getting the results they expect they can lower their prices whilst still using the service.

Whilst many issues remain with adsense the program still remains the most popular amongst publishers, whilst Google Adwords remains the most popular amongst advertisers; with a database of over 140,000 Adwords will remain on top for the time to come.

Text V Graphic On Adsense

Google Adsense provides advertisers and publishers with the opportunity to place adverts in both text and graphic format.

As advertisers decide to put adsense into their website over banner advertising, the question still remains. Which is the best for advertisers and which is the best for publishers?

On one hand advertisers may feel that image adverts are more responsive yet less likely to stimulate a sale. On the other hand text adverts may convert more, whilst being less visible to the consumer.

Text based adverts are considered the least intrusive of the two formats. However does that mean that Graphic advertising is better? Consumers are used to graphic advertising from signing into free email accounts, and from using other web based services. Through being used to graphic advertising they have almost programmed their selves to ignore it. Through the adverts being untargeted, the consumer is used to brand advertising which they feel is generally less purposeful. This may cause the consumer to ignore the graphic advert from the assumption that it will be the same.

Text adverts are not forced upon surfers. Through being less obvious some people will not see them at all, however those who do see them, and read them are significantly more likely to click on them. This is for a number of reasons, but the first is that they provide more information. Generally, someone who is reading text on a page is not going to be fully satisfied by what they read, and if they check adsense adverts they will most likely read something which will further supplement whatever their intention is next. With an image advert, it is far more of a gamble for the surfer.

Graphic advertising is often paid per impression. This is because the advertiser may be trying to promote their brand, instead of promoting a specifically useful service. They therefore are assumed to have worse conversion rates, and with this text adverts are in the consumers eyes more effective. However, if the text contained within an advert was placed in graphic format, which would be the most effective? Well firstly it can assumed that the surfer will be more likely to view it, however if their were multiple image adverts appearing next to each other they may feel overwhelmed. 

Graphic adverts are also harder to regulate. Let’s consider Google allowing adverts to be changed frequently and without regulation. The advertiser could claim affiliation from the website they are advertising on, and contain keywords such as “ipod” which cannot be contained within a text advert. Although more regulation and quality control could be in place, a pornographic image for example could be made to appear in an advertiser’s adverts unknowingly.

Text adverts also have a broader market appeal, as advertisers don’t generally have the in house resources to create an image advert, but do have the in house resources to write a text advert. This could mean that a wider array of advertisers find text advertising accessible, through text adverts being less burden on the advertiser, and being easy to change.

Text adverts are also cheaper for the advertiser to create, where as a graphically designed advert may cost in excess of $200. Through removing this fixed cost advertisers may be willing to allot a higher rate to advertising itself; thus benefiting the advertiser and the publisher.

Text advertising appears to be the preference of the advertiser. They pay a CTR (click through rate) and only receive targeted traffic. This removes risks from businesses that previously had to worry that adverts were not only seen, but clicked on and stimulating sales. As CPC (Cost Per Click) is more relevant to text adverts, advertisers are able to gain exposure without needing a high click through rate to be effective.

The big brands are willing to advertise in both formats however the broad market appeal of text inevitably makes it the winner. As flash websites disappear with image adverts, it is becoming clear that text and information is the preference of the website users.