What Does $2.59 Adsense Mean?

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I have to confess, while I get Adsense money from all over the place, I'm not quite sure how the calculation works. On one site, I got a $2.59 payment -- does that mean someone spent $2,590 on something or is this calculated with some sort of pay-per-click formula included in the Adsense algorithm*?

*For those of you who don't know what an algorithm is, it means "a bunch of things I don't understand."
#$259 #adsense
  • Profile picture of the author ExRat
    Hi thunderbird,

    It's -

    calculated with some sort of pay-per-click formula included in the Adsense algorithm
    Try here and here
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    Roger Davis

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  • Profile picture of the author thunderbird
    Thanks. So, here it is in plain black & white. Not sure why I never dug that up myself:
    "With AdSense for content, these ads you display on your site can be either cost-per-click (CPC) or cost-per-thousand-impression (CPM) ads. For CPC ads, you'll generate earnings when your users click on the ads. For CPM ads, you'll generate earnings every time the ad appears to a user viewing your site."
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    Project HERE.

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    • Profile picture of the author ExRat
      Hi thunderbird,

      With AdSense for content, these ads you display on your site can be either cost-per-click (CPC) or cost-per-thousand-impression (CPM) ads. For CPC ads, you'll generate earnings when your users click on the ads. For CPM ads, you'll generate earnings every time the ad appears to a user viewing your site.
      To be honest it goes a little deeper than that.

      For example - many beginners think that if they see a google estimate for how much a specific click will cost on PPC, they are not clear that -

      a) this is not what they will get paid - it's much less, and decided by the algo (after Google takes their cut)

      b) it's not just about 'getting the click'. It's also about what the clicker does once they click through - Google wants to send targeted prospects to their customers, so in many cases that means buyers. If you send these type of people, you get paid much more. Whereas if someone clicks an adsesne link just to 'escape' from your site, you'll get low rewards and maybe even smart-priced.

      In case you're about to ask about smart-pricing I'll pre-empt the question with this link.
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      Roger Davis

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