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How does Google Adsense Works?

What is Google Adsense and how does it works? Can you make a living out of Adsense or is it another myth? Read our guide for beginners to Google Adsense and learn how you can start using Adsense on your website or blog.

 What is Google Adsense?
If you are a beginner to blogging and to the online World in general, you may have heard about Google Adsense or seen the adsense ads when you searched something on Google and visited a website that is using Adsense.
In this guide, I will try to give you an overview of what is Adsense and how it works by taking into account my thoughts when I first started using Adsense (15 years ago) and questions I received from other bloggers over the years.
Adsense highlights:
  • It is owned by Google.
  • It generates a large part of Google’s income.
  • Adsense ads are shown in the websites that participate in the Google Adsense program (these are called the Adsense Publishers).
  • Adsense is a platform for publishers i.e. those people that have a website and want to show Google Ads. The system for advertisers i.e those who want to advertise their products or services in Google, is Google Ads.
  • Adsense ads can be shown on mobile devices as well.
  • Adsense works with EPC (earnings per click) and CPC (cost per click). Publishers will get paid for clicks on ads appearing in their websites.
  • Currently (July 2018), Adsense publishers receive 68% of the click cost and Google 32%. This means that if an advertiser pays $1 for each click on his ads, the adsense publisher will get $0.68 and Google $0.32
  • Anybody (above 18) with a website that meets the Google Adsense guidelines can participate in the program.
  • Adsense has strict rules that should not be violated for any reason. It is your responsibility as an adsense publisher to know and follow the rules.
  • Adsense has a number of products suited for desktop websites, videos, games, mobile apps and more.
  • Adsense ads can have a number of formats and sizes including text and images.
  • Adsense publishers get paid monthly by Google.

 How does Google Adsense works?

Now that you have a better idea on what is adsense, let’s see how it works.

Application process

#1 – Create Adsense Account
The first step is to go to http://www.google.com/adsense  and create an account. Your adsense account is associated with a Google Account like the one you use to login to gmail, youtube etc.
#2 – Add Adsense to your website
Before being accepted to the program, Google needs to check that your website adheres to the adsense guidelines. To pass this step, you need to add adsense code to your site so that the Google crawler can access your website’s content.
This is a very important step because as we will see below there are cases that your application may not be accepted.
During this step and until you are fully approved, adsense ads are not shown to your website but they are hidden by default. If your application is accepted, ads will start to show and you will get paid for the clicks.
Have in mind that this is a once off process since after you are accepted as an adsense publisher, you can run adsense on any website you want (provided of course that it is not violating any adsense rules).
#3 – Setup your payment information
The next and final process in the application process is to add your payment information so that you receive payment and the end of the month and once you passed the minimum threshold of $100.
Please note that before receiving any money from Adsense, Google will verify your postal address by sending you an envelope with a confirmation code so make sure that the details you provide for your postal address are correct.

Ad placement

Where do the ads appear?
When you are a verified adsense user, you can login to your dashboard and create new ad units.
When creating an ad unit you will select the size (for example responsive ads, 336×280), type (text and display ads, matched content, in-article ads, in-feed ads), style (text and border colours) and then you will be given a code (javascript) to add in your website where you want the particular ad to appear.
In the space provided Google may decide to show 1 or more ads.
How many adsense ads can you show per page?
In the past you were allowed to show up-to 3 adsense units per page but this rule is no longer valid. You can show as many ads you have per page, provided that they do not interfere with the user experience.
Where should I place my ads?
The general rule is to place the ads where they can be seen by your visitors but without violating any adsense or google webmaster quality guidelines.
You can use these simple rules:
  • Place 1 ad unit above the fold in the main content of the website (not sidebar)
  • Place 1 ad unit in the sidebar. The 160×600 is very good for placing in the sidebar
  • Place 1 ad unit at the end of your page or article (preferably in the main content area)....

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