By Cody Moya

Many smart web entrepreneurs have discovered how to use the power of Google AdSense, but the first step is to understand just what this program is and what it has to offer web site owners.

Google AdSense is a program which serves up ads on the hosting web site, but the key is that the ads that are placed there are related to the subject of the web site on which they appear. For instance, a web site devoted to the antique car hobby might host ads for companies selling cars, promoting car shows and the like.

In fact, AdSense is part of an advertising principle known as contextual marketing. Placing the ads in context, as with the old car web site, increases the chances that those ads will be seen and responded to. After all, the general public may not be interested in buying fancy chrome wheels or hubcaps for a Model T, but owners of classic cars may be.

The possibilities for contextual advertising in general, and Google AdSense in particular, are endless. A hockey site can host ads for hockey equipment and hockey sticks, a tennis web site could host ads for tennis balls and tickets to tennis tournaments. It is easy to see why this program has become so popular and so well respected with internet users and web site owners alike.

The good news for web site owners is that Google AdSense can be quite a lucrative endeavor, especially for high profile sites and those sites with excellent, high quality and in demand content.

One of the best things about the Google AdSense program is that the ads are highly targeted and relevant to the subject of the web site. Targeting the ads makes a great deal of sense, since targeted ads are more likely to get the click throughs that generate revenue.

Google AdSense ads are text only, unobtrusive and very easy to read. Unlike banner ads and pop up ads, these ads do not get in the way of the web site visitor’s experience, and they are designed in such a way that they do not overwhelm or overshadow the content of the web site itself. Chances are the average web user has already seen hundreds, if not thousands, of Google AdSense ads.

There are not many places left where web site owners can make money directly off of their web sites, but Google AdSense is one such destination. Google AdSense allows web site owners to make an income off of every page of the web site. In addition, the algorithms used by Google to index web sites automatically select the best ads for each page of the web site, providing highly targeted and effective ads for their advertisers and lots of income for the owner of the site.

Those web site owners and designers who have been around for awhile may remember a concept known as AdWords. In essence, Google AdSense is an offshoot of the initial AdWords model. It is important to keep in mind, however that AdWords and AdSense are not the same thing.

When you do a Google search, you have probably noticed the small text ads which are displayed to the right hand side of the search results. These are contextual ads, served up based on the search criteria. These targeted ads are known as AdWords, and they are used by various companies to generate revenue and drive new customers to their web sites.

Google AdWords uses the pay per click model to generate income for Google. When a user clicks on one of the AdWords, that advertiser pays Google an agreed upon amount of money. This process is fully automated and easily trackable by all parties. The amount of money changing hands with each click varies all the time and is subject to word bidding. The placement of the ads, and the amount of revenue received for each click, is subject to market forces, just as in the brick and mortar advertising world.

With Google being the predominant search engine today, the company has continued to exert its power and influence, and the ads served up by Google, both through AdWords and AdSense, can be powerful revenue generating machines. Many smart web site owners have already discovered the power of Google AdSense in generating revenue and profiting from their web site content, and many more web site owners are discovering this power every day.

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