One of the best methods to monetize your blog is to take advantage of its advertising potential. Advertising on your blog doesn’t need any extra effort on the part of the publisher. It is great if you have your own product. But even if you don’t, you can still earn great paychecks selling ad space to other advertisers. As a publisher, all you need to do is to approve advertisers or ads of products that match the niche of your site. The scope of online advertising has exponentially risen since the time of its inception. So, what type of advertising is best suited for your blog ?
Once the question of relevance of the products to your blog’s content is sorted, you can approach the best form of advertising from a revenue angle. The ads that earn you the highest revenue while increasing the brand value of your site are the best ones. In order to maximize your ad revenue, you will need to know the money these advertisers pay for the exposure they get or for definite results like clicks and sales.
An ad network like Google adsense is typically believed to share 25% of its ad revenue with the publishers. So, if an advertiser pays $1 per click for a search term, then you may expect 25 cents on every dollar that the advertiser spends on Google for clicks on his ad generated through your site. However, there are some high profit industries for which Google may charge the advertiser a high cost per click, but caps the publisher’s income share on those search terms.
Compare this with an ad network like Tribal Fusion that employs the CPM model to compensate its publishers. The cost per thousand impressions basically means that you get paid a preset dollar amount for every thousand page impressions that the advertiser’s ad receives on your site. So, if the CPM is $1, then that means you will make $1 for every thousand visitors being exposed to the ad. Unlike the adsense scenario where you get paid when the visitor clicks on the ad, here you get paid irrespective of whether or not the ad gets clicked on. So, if your site traffic is 200,000 per month then you can earn at least $200 from just one ad from Tribal Fusion.
Let us now contrast this with another ad network Commission Junction. At CJ, you can choose from numerous advertisers belonging to a plethora of industries. They pay for cost per lead, cost per click and cost per sale. The money that you can make with them varies from industry to industry. For example a lead generated for the emergency loan industry can pay anywhere between $30 to $75 per lead generated. While you may comparatively make a lot more money when the required action is performed, you wouldn’t make any money if no clicks or leads are generated by the visitors.
The fourth ad network that I’d like you to evaluate is Clickbank. CB has a large chunk of advertisers dealing in digital products for which they pay only for sales generated. You need to join their network as an affiliate to get paid a commission for every sale generated from your site. The percentage of commission ranges from 50-75% of the price of the product.
While all these ad networks present lucrative opportunities to optimally monetize your blog and create a passive income stream, you must measure the opportunity cost when choosing one ad network over the other. What may be highly profitable ad in one industry may not perform as well in another. Understanding what form of monetization maximizes the revenue potential for your blog is a gradual process and comes with experimenting with different ad networks.


