I get asked this question so much, I decided to post about it. I have around 200 niche sites with adsense on them. This should make me rich, right? Wrong! I made some mistakes and I would like to share some very hard-won information with you so that you don't fall into the same traps that I did. Here's what I found:
1) Niche choice is important. Here's why: I have several websites that target small niches which Google pays me $0.04/click. These websites only make a few dollars/month. Generally, I view a site as a success if it makes over $10/day. I think that is reasonable. Let's take our real world $0.04/click for a "poor" niche and see what it would take to get $10/day. I go to my adsense account and see that on average, 4.49% of my visitors click the ads. Let's crunch some numbers: to get $10/day, at $0.04/click, we need 250 clicks/day. OK, sounds great. Now how many people need to see that with a CTR of 4.49%. That number is 5568 visitors per day! Ouch! OK, how many visitors is that per month? Well, just a shade over 167 THOUSAND visitors/month. OK, let's say for illustration, we assume that each keyword here (I actually looked at on of my sites for this number) has around 2,000 searches/month. Let's be kind and say that we capture every visitor. That would mean we need around 167/2 or around 84 articles to get there.
2) Optimizing and testing is soooooo important. Here's why: Let's say that we optimized our website for clicks and got a 10% CTR. That would mean we could get away with writing 38 articles instead of 84! Hey, big incentive there! People, that means you should be doing everything you can to get that click! OK, let's say we got that 10% CTR, moving on, what else can we do? Here's what: target keywords that get $0.20/click instead of $0.04/click. Really, it is not hard at all. Google's external keyword tool now has CPC (cost per click) data. Fixing our website to target these clicks means we need 1/5 the traffic. Well, how much is that? 5568/5 is a much more reasonable 1114 visitors/day. With all our previous numbers being equal, that would mean we target 38/5 keywords, or 8 keyword phrases. Isn't that MUCH better? Doing some research definitely means all the difference between success and failure.
Well, as you see in my example, choosing the right niche and testing and optimizing your CTR makes the difference between writing and promoting and dominating 84 niche phrases or just 8 phrases. Which would you rather do? Now go out there and make some cash.
Thomas C. Gajdjis