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Google Adsense and Affiliate Marketing - a comparative glance
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Affiliate Marketing is one of the simplest means to make money online. Affiliate marketing is basically an agreement between two websites - merchant website and affiliate website. The affiliate website agrees to let the merchant website advertise his products on his/ her website in lieu of a pre-determined pay out plan. The merchant website thus gets web-promotion. Further, the ads featured by affiliate websites comprise of link to the advertising merchant website, which act as valuable inbound links for the website. The inbound links outside the website are taken as positive votes by the search engines in their logical deductions to determine the rank of the website in SERPs (Search Engine Rank Pages). As a result, the merchant website has increased traffic and better reputation in the long run.
In exchange, the merchant website pays a small commission to the affiliates in whatever method they mutually agree to. The popular methods of payment are pay per click method or pay per lead method or pay per sale method. While the affiliates prefer pay per click method for obvious reasons, merchant websites prefer pay per lead or pay per sale method. The pay per lead and pay per sale methods let the merchant pay only when a visitor actually registers and converts into a customer, respectively. However, irrespective of the method of payment employed, the affiliate marketing method proves to be way much cheaper and effortless for the merchant website than actually hiring an advertising firm for the task.
As regards the affiliates, making money out of affiliate programs depends more on the number of visitors directed to the affiliate program than the method of payment adopted. The heavier the traffic generated for the merchant website, the better the returns.
On the other hand, the Google AdSense program is a sort of an affiliate program wherein Google plays an intermediary between affiliates and advertiser websites. Google allows advertisers to sign up with the Google's AdSense program and submit their textual ads comprising of link to their respective websites. The advertiser website is also required to place a code on its website and leave the rest of the job entirely to Google. Thereafter, Google places the advertiser's ads across the web through its SERPs (Search Engine Ranking Pages), affiliate websites and registrants with Google AdSense. Google places these ads in tune with the context of the web content so as to ensure better prospects of being seen with interest and better probability to be clicked if seen. If an affiliate changes the web content, Google automatically modulates the ads to be relevant to the new subject of the content. Google charges the advertisers for this on a pay per click method, a part of which it shares with its affiliate responsible for the clicked ad.
Associating with Google AdSense is a winsome situation for both the advertiser and the affiliate alike. While the advertiser gets extensive exposure through Google for a low cost in a hassle free manner as compared to hiring an advertising firm, the affiliate gets to render its web pages look more professional with contextual advertising by Google brand name, as well as, make some extra income in the process. Google AdSense also provides a tracking tool to the advertiser website so that the same can monitor the returns from each text ad placed by them at Google AdSense and thus improve upon the effectiveness of their ads.
The contextual advertising outside the advertiser's website also helps the advertiser in terms of Search Engine Optimization. Search engines count these links embedded in the advertisements as positive votes for the website for ranking purposes.
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