There are a lot of webmasters who use Google Adwords to increase traffic on their websites. Unfortunately, I often see these same webmasters put Google Adsense ads on their sites.
When I ask these webmasters for their reasons, they often say “they want to reduce their advertising costs”. But, do you realize what you are doing exactly?
Before I start my explanation, you ought to know that this article is NOT for webmasters who use the publisher’s business model. For this specific group, it can be sensible to use Google Adwords (traffic and reputation) in combination with Google Adsense.
No, this article is for webmasters who have a sales business model. Like a company website or any other website with a selling purpose.
These webmasters are advertising with Google Adwords. Their goal is (or should be) to get potential customers to their website. A healthy Google Adwords campaign will produce those visitors and they will give you a turnover.
A lot of webmasters get frightened when they see the costs of a Google Adwords campaign. Most often this is a wrong conclusion. They don’t know the real turnover and they don’t calculate the estimated return on investment (see ROI Management Tool for E-commerce decisions).
To reduce costs, webmasters are looking for alternative income and they often use Google Adsense. Put a simple code on your website and make easy money…
Unfortunately, in most circumstances this construction will give you a loss. Often, the costs of this construction are higher then the revenues. Do you read it! You are making a negative net income or your ROI is negative!
What are you doing exactly? You are buying visitors with Adwords and you are showing them the ads of your competitors. I am sure your competitors will be very happy. Especially when you know that adds in the Google search network will cost you more than an add in Adsense channel. You are buying expensive visitors and you are selling them cheaply for a small price to your own competitors!
I have discussed a lot about this situation. Often webmasters argue that now they still can earn some money from visitors who cannot find what they are looking for on your website.
But, how do you know if a visitor clicks directly to a competitor. He hasn’t even seen your website at all. So you lost a potential customer, which has cost you money and you have send it to your competitor!
Here are a few tips:
• Make sure you are only buying targeted visitors with Google Adwords. In that case, you are absolutely certain; these visitors can find on your website what they are looking for. So, you don’t have to send them to your competitors;
• Instead of Google Adsense, you can promote a newsletter. Make sure you are really offering them something for example an e-book or something else. You can try to make costumers from these subscribers with your email campaign (which you should have).
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1 comment for this entry ↓
1 adwords coordinator salary, // Feb 17, 2008 at 6:24 pm
adwords coordinator salary,…
It is important that you find the dominant web sites….
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