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Google Adsense| Article #110 :MAKING SENSE OF ADSENSE – PART 5

In this installment of Making Sense Of Adsense, we're going to discuss the practice of traffic arbitrage. This is one of the most common and most successful forms of using Google Adsense and can earn you a decent monthly check if you follow the tips in this article.

First, we need to discuss exactly what the concept of traffic arbitrage is. Once you understand that much, the rest becomes relatively easy. Traffic arbitrage is the practice of directing traffic from one place to another. Think of it as being a broker for a stock or bond. You buy the stock or bond at one price and sell it for, hopefully, a higher price. That in a sense is what traffic arbitrage is all about. So how exactly does it work?

Google Adsense is a great program because what Google charges for their ads is at a premium in comparison to other search engines that have PPC ads. This is why traffic arbitrage is such a great concept. The best way to explain it is with an example. Hopefully, after reading the example, you'll understand exactly what is involved.

Let's for argument sake say that you have a web page of wedding tips. The articles on the page explain exactly how to plan for your wedding day. Now, let's also say that the Adsense ads that appear on your page collect as much as 30 cents for one click, maybe more. Okay, the problem you're having is not getting people to click on the ads but simply getting people to go to your site in the first place. This is where traffic arbitrage comes in.

What you do is go to another search engine PPC site, say Miva. You open an account there and set up something similar to an Adwords campaign where you are paying so much per click for every person who sees your ad and clicks on it. Now, a site like Miva, because they don't have as much traffic, is going to be cheaper to advertise on than a site like Google. So it may only cost you 5 cents per click to get somebody to your page. This is where the arbitrage part comes in.

Once they arrive at your page, the first thing they are going to see is your Adsense ads. If they click on one of those ads, guess what happens? You probably get paid about 30 cents for that click. You've spent 5 cents, you make 30 cents, your net profit is 25 cents for that click.

Obviously, we have simplified this process. It's actually a lot more complicated than this to run a successful traffic arbitrage campaign. You need to properly research keywords, word your ads just right, set up your page a certain way, not only content wise but in respect to how you set up your Adsense ads and you also need to understand that not everybody who goes to your site is going to click on an Adsense ad. This is why you need to have other possible sources of income on the page, otherwise you're libel to lose money.

In our next article we'll discuss more Adsense techniques.

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