Google AdSense is a free advertising program that allows online publishers to earn money by displaying third-party Google ads on their sites. Businesses pay to advertise through AdSense. And site owners receive a share of that revenue based on clicks or ad impressions.

How Does Google AdSense Work? 

Google AdSense uses an auction system to place ads on your website. When you use AdSense, you allow advertisers to bid for ad space on your site. This happens in real-time whenever someone visits your page.

Understanding the Auction

When a visitor arrives at your site, AdSense instantly triggers an auction. Advertisers who have indicated a desire to reach your audience automatically compete in this auction to display their ads. They place bids—amounts they’re willing to pay for every click on the ad.

The Role of Ad Quality and Bid Amount

The highest bidder does not always win the auction. Google also evaluates the relevance and quality of each ad. An ad more relevant to your visitors might win over a higher bid.This ensures that the ads displayed are useful to your audience. Which can lead to higher engagement and earnings for you.

You Get Paid

You earn money when visitors interact with the ads, typically through clicks. The actual amount you earn per click depends on the auction’s winning bid. Google AdSense pays you monthly through direct deposit once your earnings reach the minimum threshold.

How Much Can You Earn With AdSense?

You can’t really know how much money you’ll make with AdSense until you try it. The amount depends on many factors, like:

• How much traffic you get
• Your niche
• Where searchers are located
• Where ads are displayed on your site
• What kinds of ads you choose to display
• The current digital ad market

But you can get rough estimates. First, try out AdSense’s revenue calculator. 

Set your visitor location and site content category (finance, games, health, etc.). And you’ll get a projection of what your annual revenue can look like.