Google Adsense, from using it for the past five years, is by far the best way to make money online if you have a website that is generating traffic. However, understanding how to use Google Adsense and understand the performance reports is crucial to optimising your Adsense revenue stream – for the majority of people, they probably will not spend much time looking at the performance reports and analysing the performance of their Adsense account. Therefore, to make sure the performance reports in Google Adsense can be utilised as much as possible by publishers of PPC, here are some statistics that you need to know in the PPC program.
- Page RPM ($) – This is the page revenue that your website generates per 1,000 page impressions. The way this is calculated is through dividing your estimated earnings by the number of page views and then multiplying by 1000. It is a good statistic to go by since it gives you an overview of how well the pages on your website are generating revenue.
- Impressions RPM ($) – Commonly mistaken for page RPM, the impressions RPM is the amount of revenue your website generates per 1,000 ad impressions. This is the difference between impressions RPM and page RPM. For example, if your website has three Adsense adverts on it for every page view generated there will be three ad impressions generated. For this reason, you will usually find the impressions RPM is lower than page RPM (unless you only have one advert on your website).
- Active view viewable (%) – The active view viewable is the percentage of your adverts that were viewed from the page impressions. An ‘active view’ is calculated based on the advert being shown for at least one second and 50% of the advert is viewable on the web page. The higher the percentage is for this, the better as it states that more of your adverts is viewable for the web user to click onto.
- Click Through Rate (CTR) (%) – It seems that Google Adsense is treating the impressions and page RPM as more important than the CTR and CPC now. However, what the RPM does not tell you is whether your CPC or CTR is low/high – the statistic combines them both. Anyway, the click through rate is the percentage of your traffic that click onto an advert – the higher the better.
- Cost Per Click (CPC) ($) – The cost per click, as it says in the name, is the revenue generated per click on an advert. Just like with the CTR, you will want this to be as high as possible.
As standard, performance reports default to adopting the page RPM and impression RPM. However, as I have already stated, this doesn’t give the clearest picture on just exactly what part of your Adsense is performing well and not – for this, it is a wise choice to look into the click through rate and cost per clock.