
Many of us think how much can be earned from google adsense and how to calculate our earnings. Well the answer is pretty simple the more you work the more you make money. As you all know you in google's adsense program we get paid on the number of genuine clicks made on the google adds.
Let see how that works and gets calculated.
Google offers a program called google adwords with the help of which you can promote your business online. Under this program you have full control to spend on advertisements online. You can bid $ 0.01 / click and you can also bid $20/click so which means google different from all the adds. Now when you apply for google adsense, google's robots read the content your site and decide put a relevant add on your website or blog and the proof is this is almost all the adds on my blog are about google services, SEO, etc. So you don't know which add will display on your website and how much you will get paid for every single click.
Calculation
First of all google tracks how much adds were displayed to the folks on your website. After that the count how many of them clicked on the add. This ratio of this is called Page CTR. Now, here is where you can put your effort. Let say you page CTR is not good then that means folks are coming on your website but are not clicking on the add. Again google puts only the relevant adds on your site so folks who are visiting you site are also good prospectives to click on the adds, you have to figure out why they are not clicking on the adds. One possible reason is they might not be able to see the adds because it's at the bottom of your web page and they didn't even know there is an add for a relevant service.. Once page CTR is calculated google calculates your google calculates your Page eCPM. Page eCMP is what you get for every 1000 impressions shown on your website. It can be calculated by the help of this formula. Total earnings/total number of impressions*1000.
Let me show you an example to make sure you all get this. In the image above total page impressions are 1980 and clicks are 99 so Page CTR would be (99*100/1980=5%). Total estimated earnings completely depends on how much google is getting paid from it's clients to advertise and how much they are paying for each click so there is no way to calculate Estimated earnings. In the above image total estimated earnings are $7.70 for 99 clicks which means we got 7.7/99=.077 for each click. If advertisers increase their bid this will automatically go up for new clicks and reverse versa.
Page eCPM = Total earnings/total number of impressions*1000 = 7.70/1980*1000 = 3.89.
I hope this was helpful for all of you guys. If you have any questions in regards to any of the products or services offered by google feel free to put it in your comments right at the bottom of the post or you guys can also email me at bharatntekwani@gmail.com.. Thanks guys.