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Is online advertising revenue directly proportional to website traffic?

by M Dee Dubroff

Created on: May 10, 2009   Last Updated: May 25, 2009

Are we dealing with myths or reality when we speak of on-line advertising revenue and its proportional effects on website traffic? Is it true that the more traffic generated always equals an increase in ad revenue gleaned? Read on for some details that may or may not surprise you.

Probably the most important single element involved in producing on-line ad revenue is premium, original content. This may mean buying it, but even if that is the case, it is often money well spent. While many traffic-generating strategies are free, that old adage of getting what you pay for should ring a bell somewhere. The right content is sure to draw quick visitors to your site while it is new and in an experimental stage of development, and it will give you a window into making an educated guess as to whether your site will work in the long run or not.

When you consider that some of the Internet heavyweights like Facebook, Twitter and YouTube are still not raging high-income earners, it is enough to pause for a moment and wonder why. YouTube supports much more overhead than the other two, and according to experts, may stand to lose as much as $470 million in 2009 alone. The problem is the high cost of maintaining its infrastructure (download servers, backups etc). YouTube might not have made it to its current status had Google not bought it.

So the answer to online revenue success cannot be the increase of traffic alone. Advertising is a complicated process and discovering what works for you is an important part of the successful equation. Once you discover which type of ads work best, the next step is to target your audience by transforming those top- selling ads into emails, blogs, articles, videos and new products to sell.

Effective advertising is directly proportional to increased on-line revenue. This entails several important factors; knowing when to run ads, where to run them and how to track their success and/or failures. If you are new to the on-line ad game and wondering where to begin, why not start at the framework for all Internet advertising content, namely, keywords? Learn what they are and how you can use them to your advantage. They will slowly but surely take over all your Internet marketing strategies.

The way it works is that your ads will be created around the keywords that generate the most traffic to your site. Once you determine what those are, you can use them for emails, newsletters, blog posts, articles, videos, special reports and books centered

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