How Pay Per Click And Online Advertising Works

If you have ever wondered how people make money through their blogs and websites, then it might interest you to know that advertising usually makes up a hefty portion of people’s monthly profits. Although some can make substantial amounts by selling their own products and launching campaigns, online advertisements account for most of the cash flow with many web-based entrepreneurs. The reason for this is that businesses and product creators can increase their visibility by advertising on relevant sites. Since banners and the like are essentially the online equivalent of renting a billboard, many are willing to pay for the privilege.

Pay Per Click

Pay per click is one of the more well known types of online ads. To make money with this model you start by placing ads around your content. When readers click on one you make a set amount of cash. PPC is very popular in large part because it is easy to get started with this type of advertising. Depending on your niche and how much traffic you receive, there is good money to be made in monetizing your site or blog with pay per click advertisements.

Pay Per Impression

Sometimes called PPI for short, pay per impression advertisements are another alternative that online hosts can take on. What makes these so well liked by some is the fact that the host makes money whether readers click on the ads or not. When a visitor to your site loads the page that a pay per impression ad is on, you are paid the amount that was agreed on which is often a set number of dollars per 1000+ impressions or so.

Which Direction to Go

There are pros and cons to each type of advertising. While pay per click ads can result in great revenues each month and it is easy to find and register for programs like Google AdSense, it can be tough to figure out exactly how much you can expect to make per click. Depending on what your area of expertise is, another point to consider is that your readers may not be the type to click on advertisements. Consequently, even with decent numbers you might have a hard time profiting. PPI is easier in the sense that it does not require anything of your readers. However, you will need to have built up substantial traffic in order to see decent money with this approach. Your current situation will play a major role in determining which form of advertising is in your best interests.

As you can imagine, the possibilities for making money through the internet are virtually unlimited. In order to realize some of that financial potential however, you will need to find a way to make those advertisements count. If you have lower numbers of traffic then pay for click advertising might be your best moneymaker. In the event that your traffic is fairly high, PPI ads will likely be your better option. Ultimately, there is nothing stopping you from experimenting and forming your own conclusions. After all, different approaches work for different people.