How is money generated in paid blogs

[smbwallace]

I have a question about blogging for money. Just exactly HOW is the money generated? Is it through page views? Is it through clicking on the ads?

[justinpowell]

The main way blogs generate money is through advertising. The three main ways blogs handle advertising is to charge by impressions, by a set period of time, or by click through.

There are some advertising services in place that are popular with blogs. The biggest is Google Adsense, which pays on a click-through basis (aka it's Pay Per Click or PPC). Another popular one is BlogAds.com, which handles ads for a specified period of time (typically by the week).

Many blogs use a blend of these methods and ad services to maximize their revenue potential. As the blogger, the key is to gain as much of an audience as possible to make your site attractive to advertisers.

[smbwallace]

So when someone clicks on a Google Adsense ad that is in your blog, you supposedly make money?

[justinpowell]

Yes. In the Adsense scenario, displaying the ad won't earn you anything, but if someone clicks through you will earn a few cents up to about a dollar, depending on what the advertiser bid for the particular keyword the ad is keyed in on.

So an answer the next question you'll probably have ;), Google scans your blog's text to determine relevant keywords. In your case, it will probably pick up on Arkansas and the topics of you blog posts. In this way Google displays ads it believes are most relevant to your readers and thus tries to increase the chance someone will click through.

[smbwallace]

Thank you Justin!