To start understanding the potential, think about how you make money with this program. Each time someone clicks an ad on your pages, you get a percentage of what Google is paid for placing that ad.
FORMULA
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Revenue (or Income) from an Ad =
Click through value of the ad X Payout Rate
X Click through rate of the Ad
X Web page traffic X Frequency of Ad
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Click through Value = 30 cents or $0.30
(The advertiser pays 30 cents
per click for the Ad, to Google)
Payout Rate = 50% or 0.5
(This is an assumption based on what many experts
believe to be the current payout rate for most deals)
Click through rate of the Ad
= the ad is displayed
100 times within the day and clicked by 9 people
= the clickthrough rate would be 0.09
Webpage traffic =
150 visitors during the days
Frequency of Ad = 100
The Income per day from a single ad would be
= 0.30 X 0.5 X 0.09 X 150 X 100 = $202.5 per day
If you consider this to be the average income per day, the total revenue generated within a month would be more than $6000.
This is incredible, considering you basically did nothing to earn that money. We know of cases where people have earned even more than $25,000 a month with AdSense, which is a large sum to anyone.
