How to Maximize Your Blog’s Earnings With Contextual Advertising

by WorkFromHome on September 26, 2011

Most of the blogs that monetize with contextual advertising leave tons of money on the table each year because they haven’t been optimized for performance. If you want to successfully work from home with blogging, then a lot of your work will be centered around making the most money you can from the web traffic you have at any given moment. Along these lines, there are a number of important tasks that you absolutely must perform if you want to get all you can from contextual advertising. Note that we’re going to assume that you understand the basic idea of split testing to see which ads will get a higher click-thru rate. If you put the following strategies to work on your blog, then you can start getting improved results immediately.

The Hidden Power of Rotation and Testing

Before we cover any other aspect of making money blogging with contextual advertising, you have to understand the hidden benefit of rotating advertisements. The best way to explain this is with an example. Suppose you have two randomly rotating contextual ad units on your page that are exactly the same except one uses blue link text and the other uses red link text. Testing has shown that the blue ads you have rotating with the red ads will have a higher click-thru rate than if the blue ads were the only ones showing. The red ads rotating with the blue will also have higher click-thru rates than if they were by themselves.

This boost in CTR happens because the advertisements changing color catches the attention of your readers and makes them less “blind” to the ads. The idea you need to understand here is that even though you gain in the long run by performing split testing because you find formats and placements that work better in the long run, you also gain in the short run by boosting the performance of each individual ad type.

Rotating Advertisement Placement

Most people who make money blogging with contextual advertising use a small DIV tag to section off the code for their advertising blocks. There is a style attribute added to the DIV tag that aligns the section either to the left or the right side of a paragraph. We’re recommending that you split test left aligned ads against right aligned ads instead of keeping the ad block on one side or another. This should be based on a 50/50 split that randomly places the ad block on either the left or right side of the paragraph. If you eventually get a winner between the left and the right, then you should change your distribution to be a 75/25 or 80/20 split between the left and the right sides. The idea here is to have the best performing side show up the most often, but to mix it up enough with switching the ads from left to right that users don’t become “blind” to your ads.

The Downfall of Using Multiple Ad Units

Most of the contextual advertising companies allow you to use multiple advertising blocks on your website. If you’re serious about making money online with a blog, then you’re probably going to be better off only using one unit on each page, and here we’re going to show you why. Advertisements are listed in the units based on how much money you will make if they are clicked on. The most profitable ads are the ones shown first. If a single unit shows the four most profitable ads, then two units will be showing four more ads that aren’t as profitable. Having multiple ad units on your page will drastically lower the amount of money you make on each click, so it’s better in the vast majority of cases for you to focus on improving your click-thru rates using only one contextual advertising unit.

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