Earnings and expectations from Adsense

For people who are creating blogs recently, or have just learned about the program called Adsense, there is a compelling urge to try to learn as to how much money they could make. In some cases, there is an expectation that now that a site has been created and ads put in, the money will start to flow in (and literally make a person rich). I know the feeling, the first time I put an ad in, I was watching the reports for some days before the first click trickled in. What will help a person is to be realistic about what can happen, and spend time learning about the nuts and bolts of the whole process.
Google has a site dealing with Adsense, and there are many questions and answers on that page, and it makes for good reading. Here is the link to this page (and I would recommend that you read this if you are not very experienced with blogs or about how to generate more money from advertising)
Here are some excerpts from this page:

There are many factors that influence earnings. Below is a list of some of the main factors that drive your earnings:
– Traffic – How much traffic does your site receive? While many factors influence earnings, traffic is the most significant.
– For example, for every thousand page impressions you receive, you might earn anywhere from $0.05 to $5.00.
– Cost Per Click (CPC) – How much will you earn per click? This question is difficult to answer because it varies so widely. The CPC for any ad is determined by the advertiser. Some advertisers may be willing to pay more per click than others, depending on what they’re advertising.
– Clickthrough Rate (CTR) – The other factor that influences earnings is clickthrough rate (CTR). CTR is a measure of how often users click on your ads. For example, if you receive one click on your ad after 100 people have viewed that ad, you are said to have a CTR of 1%. Once again, the “average” CTR for a website will vary based on the site. However, for a larger site, 1% might be considered a decent clickthrough rate.
– Effective CPM (eCPM) – Finally, while CPC and CTR are important factors in determining how much you may earn, you may find eCPM to be a more helpful statistic to keep track of your earnings. Earnings per 1000 impressions, or eCPM, is an estimate of how much money you would receive if you had 1000 impressions. For example, if you made one dollar with 100 impressions, your eCPM would be $10.00 ($1/100 impressions X 1000 impressions).
– Content – Last but not least, the quality of your content is also an important factor in determining your expected earnings. If your site provides rich, compelling content and a good user experience, then your site will receive more interested users.

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