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The Most Common Mistake People Make When Making Money with Adsense

By Mikael | 1,187 views

Yesterday I told you why you should stay away from the top pay keywords for Adsense. I guess calling them that is actually a little misleading as most people (the millions I referred to) are making next to nothing from these keywords and they are spending a lot of time chasing them.

In the comments to yesterday’s post Mark asked whether the right way would be to target the high paying keywords that had very little traffic as opposed to the high paying ones that have loads of traffic like “life insurance”, “mesothelioma” and “injury lawyer”.

I would definitely agree that this would stand a much better chance of you having success but I would also argue that most beginners wouldn’t stand a chance because there are so many people that are just looking for the highest paying words but without looking at the traffic stats and thereby you’re still competing against a relatively large portion of fierce marketers and I wouldn’t recommend it.

But what is the most common Adsense mistake?

Tomorrow I am going to talk about how I suggest that you go about picking the right Adsense keywords but now I’ll tell you another thing that you should definitely avoid doing.

You might have heard a lot of people telling you to only start an online business about something that you love to do and that you have a passion for. Normally I totally agree with this statement because it is a lot easier to consistently do something you love instead on doing something that you don’t know anything about or don’t like doing.

But if you want to make money with Adsense then you’ll not want to let your passions get in the way. This is where I see most people fail! They’ll read that they should build something around their passions and hobbies but they’ll then try to make money from it using Adsense.

Unless your hobby is “injury law”, “life insurance” or some other high paying topic you will most likely be working for peanuts and not be able to make the money you’re hoping for.

Let me give you an example. Let’s assume that you’re a cat lover and that you want to write a blog about your hobby “cats”. This will be easy to do because you love cats and can talk (and write) about them all day. That’s great and all but then you go to Google’s Keyword Tool and enter the word “cats”. This is what you’ll find:

Poor Adsense Clicks

There are tons of people looking for things related to cats but there are almost no advertisers paying for the ads in Adwords. The maximum average CPC is $1.20 for the term “cat toys” and the lowest will only cost $0.05 per click.

Normally you can expect to get about 25% of that money or maybe even less if you’re not following the steps I outlined here and here.

This means that if you’re lucky you might be able to get a maximum of $0.30 per click down to about $0.01 per click. Let me ask you this… How many clicks would you need to make a living from clicks that only paid $0.01 a piece? TONS!!!

The main reason that targeting your low paying hobbies (when monetizing with Adsense) is a bad idea is that you will need to put in the same amount of work. You’ll have to write the same amount of articles, do the same amount of link building and basically do just as much work as if you were targeting other keywords that could pay you $1-2 per click or more.

Tomorrow I’ll show you what I suggest that you do if you want to make money with Adsense. It is a lot simpler than you might think so stay tuned and remember to sign up for my RSS feed.

To Your Success,
Mikael

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7 Responses so far

But after doing the same search myself it looks like the advertising competition is actually pretty stiff. Not that that should have any bearing on whether or not you or I should choose that niche. I’m just looking for clarification.

If the CPC is low, then absolutely, we shouldn’t bother with it. I’d much rather put my time and energy (and possibly outsourcing costs) to other high paying niches.

I like what you said about people just following their interests. I can’t tell you how many times I’ve come across niches with great looking numbers, but have nothing to do with my interests — well other than my interest to make money off of it. :) People can certainly be overlooking such things.

Mark, if I understand you correctly you would WANT stiff CPC competition. That often means that there are a lot more money to be made.

The competition that you do NOT want to be stiff is the search engine (organic listings) competition.

Correct, but you had mentioned, “…there are almost no advertisers paying for the ads in Adwords”. That’s what I was confused about.

I see… yes it is true that some words will have many advertisers but still low CPC prices. Personally I have never figured out how that works and I actually think something is wrong with the stats from Google. Sometimes you can also find some extremely high CPC prices but the advertiser bar shows that there is next to no advertisers. Makes no sense either.

Personally, I simply ignore the advertiser competition bars. How much companies are willing to compete against each other is of no consequence to me. That much can be reflected in the CPC. In fact, I rarely even look at the ads that show up on search results.

For me, if the CPC is appealing and the search engine traffic fits within the requirements I’ve set, then that’s enough for me to decide if I should tap into it or not.

You just gave me a good idea for a post because it is not irrelevant what ads show up. I think I’ll write that post later on today. Thanks.

Competitive fields are good to get into if you have the money to spend. There is a greater risk but also a greater reward. You have to pick and choose wisely.

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