As Terry was kind enough to start this Adsense section of this forum, I thought I could start off by contributing with a little tutorial on how to properly estimate the CPC you will be receiving from a keyword. God was I disappointed when I started to rank and gain Adsense clicks on my hair removal site that in my eyes had a 6$ CPC keyword and I actually only gained about 0.5$ per click.
1. Well here is what most people do wrong.... Lets head up to Google Keyword tool and look for the CPC of "cheap auto insurance online".
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The CPC here is shown in SEK because i live in Sweden, but roughly 1USD = 6SEK. At first glance it looks like we as publishers will make 68% of 350SEK (58$) for each click that forward trough my money site! Well this is a misstake, the CPC shown there is what advertisers are paying to be able to be visible for the ads on the search network, not in content.
2.To get a way better estimate you should click on the Contextual Targeting Tool in the menu. At the screen shot bellow we have type din the exact same keyword and we will get a whole new figure, 20SEK!
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The contextual targeting tool shows the suggested bid advertisers have to pay for content ads. So our estimate CPC that we will receive in this case will be 68%(which is what Google gives us in commission) of 20SEK (3.3$) which is 2.6$. Now this can fluctuate a bit, but from my experience it's a really close estimate of what you will get.
Just post or PM any questions.
Edited by Parto, 14 February 2012 - 08:52.