Remember when I said “Every blog must have a niche and your niche has a lot to do with how successful you are going to be in your new field” ? I meant it. Your niche will play a key role in your CPC and your CTR. CPC means Cost per click and is the amount an advertiser pays you per single click on an advert. When contextual Ads are shown, they are made to be relevant to one’s content and the CPC will vary.
If your page talks about fashion, you will possibly see an Aliexpress, Jumia or any of the popular e-commerce sites Ads on your page. These Ads pay as little as 1 cent when clicked, because of what its conversion could mean for the seller. They may pay as high as $1 per click, but the CPC is usually very low. This same applies to relationship, dating etc.
But those in the automobile niche, insurance, student loans, banking and even law will have a different story. Some Ads in this category can pay as high as $100 per click because of what a conversion could mean for the advertiser. A single click can fetch the advertiser thousands of dollars if the visitor is genuinely interested in the product.
You can use keyword research tools to find out which niche keywords pay higher.
CTR means Click Through Rate, and this is a measure of how many clicks an advert receives per 100 page views (with ads shown). Sometimes, CTR can be as low as 0% and as high as 100%. But remember that as your page views increase, CTR is likely to fall. When your daily page view is less than 1000, your CTR should be up to 2%. However, as the page views go higher, expect a slightly lower CTR. When your CTR falls below 0.5%, it is possible you are doing something wrong with Ads Layout. If Ads layout is fine, then your niche attracts people with knowledge of what Ads are and how to avoid them. This happens most in Technology and blogging niche. You only receive clicks when they think you’ve been helpful and want to support.
You will learn more about optimizing Layout for best CTR later on.