We’ve are seeing a lot of publishers talking about adx and their interest in opting to adx from adsense. Today, we thought of writing a post that would help you choose whether you should get started with adx or stick to adsense. It is not necessary that you’ll see higher ad revenue by simply switching from AdSense to Ad Exchange. A lot depends on the niche of the website, the traffic quality and the ad offerings. Ad Exchange works well for highly trafficked sites which whose ad performances are maintained by adops team to ensure that the best converting campaigns are served through Ad Exchange.
Money is the end game!
Publishers believe than adx pays better than adsense and that by simply shifting to adx, one may able to increase the ad revenue by 30-50%. Well, this is not completely true.
Ad Exchange is a tool that is built on DoubleClick keeping in mind the requirements of bigger publishers. While AdSense is a tool that is built keeping in mind the mid scale and niche publishers. Both the tools work a bit differently and one should not confuse that AdX means much higher rates.
The fact that Ad Exchange means higher revenue is somewhat supported because Google’s revenue share for AdSense is (publisher:google:: 68:32) while for Ad Exchange it is (publisher:google::80:20). So, publishers tend to make more revenue from Ad Exchange because Google’s share is less. However, Ad Exchange and AdSense works differently.
How Ad Exchange Works?
Ad Exchange works on a CPM model. Publishers are paid each time an ad is displayed to a visitor. The CPM for an ad impression is predetermined by the auction and the competition/buying demand of the ad network.
Publishers are given the flexibility as to which advertisers they are willing to work with and which campaigns can be displayed on publisher sites. Advertisers can be hand picked, and continuous monitoring can result in better yield across a publisher website.
It needs to be noted that AdSense is one of the ad network in Ad Exchange, however, the performance of adsense is monitored on a click through basis. So, even if you’re getting paid on CPM basis, if you don’t generate enough clicks, the CPM will slowly dip, resulting in lowering of your ad revenue.
Programmatic buying becomes more pronounced in case of ad exchange as algorithms tend to assess the value of every impression and determines whether the ad should be displayed.
How AdSense Works?
On the other hand, AdSense is more contextually analysed, and based of the keyword competition and the quality of the publisher site, traffic quality, the CPC is estimated. There isn’t any programmatic approach to it. AdSense performs better for niche sites, since action and conversions are closely tied within Google’s network and the data being shared can provide better info and converting clicks will result in higher CPC rates.
AdSense vs Ad Exchange: When to Use?
Ad Exchange is recommended for publishers with high volume of traffic and less targeted keywords (generic terms). Here, due to the nature of ad exchange, the CPMs will be higher as more networks bid for your ad inventory, thereby increasing the competition and higher revenue. Also, you need not to put much attention on the CTR metric.
Also, if you’ve a blog which has a high time on site and very long form of content, you may auto refresh ad exchange ads at intervals of 60 seconds to increase your overall ad revenue.
If you run niche blogs which more targeted traffic and have higher CPC rates, then optimizing the adsense ads for a higher CTR will result in better yield than using Ad Exchange.
In addition to AdSense, you can use Media.net if you’ve a good influx of traffic from US, UK and Canada. Through Media.net accepts worldwide traffic, performance is better if you’ve traffic from these regions. Also, make sure you ask your media.net representative to activate display ads should you signup with Media.net. The exclusive link below offers you a 10% bonus on top of your regular earnings.
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