It’s easy to confuse two things that sound the same. Take Google Ads and Google AdSense for example.
Both obviously come from the world’s largest search engine and concern ads, so you can swap them, right?
No, because they are much more different than similar.
Partner for digital government talks at length about their differences. This article compares both based on their business model, users, and cost (or revenue). You will also learn how to use both to grow your business online.
How do you work?
First, what is the business model of Google Ads and Google Adsense? How does each work?
Google Ads is a paid advertising platform that displays business ads on Google.com and its vast network, as well as partner websites. It works on a pay-per-click (PPC) model, so advertisers only pay when someone clicks on those ads.
The tool also has customizable parameters. For example, advertisers can target specific keywords, locations, and demographics. They can also set their budget, use ad extensions, choose which keywords to bid on, and manage ad content.
Overall, Google Ads is effective in reaching potential customers and grow a business. It helps businesses control their spending and improve their bottom lines.
What is Google AdSense?
Google AdSense is very different. The program allows website owners to place targeted ads on their websites and Google products like YouTube.
The search engine manages and maintains the platform while the ads come from Google Ads. In other words, your site becomes an affiliate site.
Many people join the Google AdSense program because they can monetize their website without selling ad space directly to companies. They can also control the ads that may appear on their site. They can even block content or keywords that are not related to their target audience.
Who uses Google Ads and Google AdSense?
You call Google Ads users advertiserswhile referring to those who participate in the Google AdSense program Publisher.
Advertisers include small businesses, large corporations, and agencies looking to reach potential customers on Google. These can be local companies or global brands. The platform is flexible enough to work for all types of organizations.
Publishers are website or Google account owners who want to monetize their traffic. These people do not necessarily sell products or services online. They can also be bloggers, social media influencers, or even infopreneurs.
Some people are both advertisers and publishers. For example, a business owner can advertise on Google while placing ads on their business website. In other words, they can make money while promoting their products or services.
How much does the service cost?
Google Ads comes with a cost. The amount depends on your keyword bid, ad relevance, and the landing page where the ads appear.
A study by Verizon shares more specific information about Google Ads spend. So it could costs you less than $1 per click when you advertise on other people’s websites. It’s about the exact amount when you display ads in banners, videos and apps.
Your spend could double if you plan to show your ads in search results. This is understandable as you may need to bid on more competitive keywords.
Your CPC could reach at least $50 if you target highly competitive keywords in industries with high Customer Lifetime Values (CLVs). However, you can reduce the amount and improve your ranking by creating compelling, targeted ads.
In general, a small business spends around $10,000 a month on paid Google search. Big brands typically spend a whopping $50 million annually.
How Much Do You Earn With AdSense?
Running an AdSense program also has a cost associated with it. You may have to pay for a domain and web host. You can even spend on marketing to get more people to click on the ads.
But by its very nature, Google pays you to show the ads, although how much you get depends on many factors such as: B. the web traffic and the ad position. People are more likely to click on the ones above the fold as they don’t like to scroll down.
The location of your website visitors also plays a role. For example, an ad can pay an affiliate $0.30 in the US and only $0.10 in other countries.
Another factor that can affect your earnings is the ad type. Depending on the site, more visual ads may offer higher prices.
Finally, your income percentage may vary. Contrary to what you might think, you don’t pocket all the sales.
Instead, you share it with Google, which uses the money to improve the program. Publisher under Google AdSense for content gets 68%. Those who participate in AdSense for search get 51%.
Can you use both to grow your business online?
The answer is yes. Many people use both Google Ads and AdSense to improve their online presence.
Google Ads will help you with that attract more website visitors. By increasing your traffic, you also increase the number of potential customers.
With AdSense, you can monetize your website even if you don’t sell anything. If you are a content creator, you can run it on your website or video channel.
You can also use AdSense to supplement your Google Ads income. For example, if the CPC is low for your keywords, you can compensate by running more ads on your site.
The key is to know your current business goal. Use AdSense to generate cash flow and Google Ads to aggressively promote your business online.
Google Ads and AdSense are two different programs with different purposes. Google Ads is a paid service that you can use to grow your business. AdSense is a way to monetize your website.
You can use both to achieve your online goals. But you need to define your marketing goals to know what to focus on.
Sometimes it can be difficult to manage a PPC campaign yourself or grow your AdSense business if you are not familiar with the process. Remember, you can always turn to a reliable digital marketing agency to make your job easier.