It’s hard to find blogs without AdSense now a days. Bloggers prefer Google AdSense as their first choice to monetise their blog. Every one love Google’s Advertisement Platform as it gives good money to publishers. But are we exploring the possibilities Google offers. The answer is No. Google is generous enough to provide lots of insights into AdSense ad but many of us are quite lazy to go through the possibilities it offers. Those who find time to check their analysis tools make profit from the ads. CPC, CTR and RPM are the general terms one should understand to analyse the performance of Google ads. So in this post we are going to discuss the same and try to give answer to your queries like why my CPC is low?, What is CPC, CTR and RPM? how to calculate CPC, CTR, RPM? etc.
Before explaining why my CPC is low, we should first understand the terms. We can learn Google CPC, CTR and RPM with the help of a Google Spreadsheet.
1. Go to your AdSence Account and click to view Performance>View Report. Now it’s available on the homepage of AdSense.
2. Let us analyse two weeks AdSense data. Actually it’s not enough to understand the trend. But for learning CPC or CTR, its enough.
On the view report change the period as below and click apply.
3. Copy the data below the chart.
4. Open a blank Google Spreadsheet and paste the data which you’ve just copied.
5. Delete all the columns except Date, Page Views, Clicks, Estimated Earnings and your table should look like as below.
6. Sort the column Page Views. To do that select entire table and go to Data>Sort Range>Sort by Page Views.
7. Now let us have a look at the formula to calculate CTR, CPC and RPM.
Formula to calculate CTR % [Click Through Rate]
Clicks/Page Views * 100
Higher CTR means the number of clicks are higher in comparison with page views.
If you have good page views and less number of clicks, it means low CTR. In this case you have to carefully check your ad placement, ad colour, page layout etc. to increase the number of clicks.
Formula to calculate CPC [Cost Per Click]
What to do if my CPC is low? The answer you can find at the end of this post.
Formula to calculate RPM [Rate / 1000 Impressions]
Estimated Earnings/Page Views * 1000
The above formulas you can apply in a Google Spreadsheet as below. Don’t bother about the colours on the cells right now.
8. Now you can apply conditional formatting. Select the cells under Page Views and apply the conditional formatting rule as;
Format>Conditional Formatting and set the rule as per the image show below. Similarly apply the conditional formatting in Cells under CTR and CPC.
White colour indicates lower in value and red colour for higher value. Make comparison side by side of CTR and CPC.
How to compare CTR and CPC side by side using colour? Check the below screenshot. It explains the comparison of CPC and CTR side by side.
Why My CPC is Low?
Instead of answering why my CPC is low it is better to know how can we improve CPC. It will answer both.
Improve CPC Google ways.
- Use of optimal sizes ads – 720×90, 336×280, 160×600, and the 320×100 mobile banner.
- Don’t block ads – Many bloggers advise to block ads on some category to improve CPC. But as per Google allow all the ads.
- Show both text and image ad units.
Other than the above what can cause low CPC? The following comes immediately in my mind.
- Posts without unique or rich content to appear relevant ads.
- Ignoring Link Ads.
- Targeting country.
Why My CTR is Low?
CTR can easily improve compared to CPC. To improve CTR;
- Check your page speed on Google Page Speed Checker. If it’s poor, you should consider revamping your blog with new theme, removing poor coded and unwanted plugins, etc.
- Reduce the number of ads. Few ads can load faster and avoid blank space instead of ads appearing to users.
- Placement of ads are important. Adhere to Googles AdSense policy while placing the ads. You can refer popular blogs of your niche to refer ad placement. Ad colours should perfectly mingle with your theme. This’s is important.
Why My CPC has Suddenly Become Low!
If your CPC were higher and suddenly got decrease, first check you are getting the same page views as before. If it’s same you need not worry. There is a seasonal impact on AdSense income. Hope that the good old days will come back soon.