Make Money Online

While there’s a ton of hype about micropayments and their role in virtual goods, many economic trends don’t really sink in until there’s a high-profile success story that people can dream about. It doesn’t matter that less than 10% make any serious money, since it’s easier to buy the dream of riches than to face the reality of the statistics.

The real money in virtual goods isn’t found in the iPhone App Store, it’s in social network games and virtual worlds. While I’ve personally seen 20,000 limited edition items sell out on Mafia Wars in one day, that’s just a tiny spec in the new digital economy of digital goods.

Want an idea of what that tiny spec was worth?  The math goes like this: 20,000 items at 42 points/credits each. 42 rewards points costs $10 (source in game marketplace), so 20,000 x 10 = $200,000 retail value in one day. While that item may have been special and not everyone pays cash or PayPal directly for the points; it’s a very suggestive revenue statement – virtual goods are serious business.

But before the bandwagon starts cheering that virtual goods gold rush, I respectfully submit that this is the same trend expanding from virtual worlds to games and has been building momentum for a decade.

Let’s consider some virtual goods economies where there are indeed several high profile success stories to dream about. Forbes discusses the topic, but I’ll point out some highlights with my thoughts. The first goes back to 2004 and is all about an ROI of nearly 400% and a cash outlay of $26,500, but keep dreaming as there huge sums of money to be made in virtual goods:

• Do you seek rare virtual animals or cater to those who do? Then Amethera Treasure Island should peak your interest. This business in virtual world Entropia costs $26,500, but returns ~$100,000 per year.
• Do you want the own the latest hotspot asteroid? Then Club Neverdie in Entropia is your type of business. Purchased for $100,000 in real money in 2005, the nightclub, shopping mall, and sport stadium based on an asteroid is estimated to be worth $1 million.
• If asteroids are too low class for you and you’d rather cater to the luxury minded types? Keep your eye on Crystal Palace Space Station in Entropia which Forbes reports was sold for $330,000 in hopes of charging the wealthy crowd fees to visit and experience the latest in space station luxury.

While the previous examples showcase the money made in virtual real estate and experiences, others are putting the sweat and blood into other ways to earn money:

• Skilled artist or just a collector? Consider dropping north of $11,000 on an Anatomically Correct Virtual Skeleton available only in virtual world Second Life. I’ve met virtual clothing designers who reported that they earned smaller, but respectable monthly incomes selling clothes in Second Life as well.
• White collar criminal or just a hacker? A hacker in Second Life stole the real equivalent of $10,000 when he hacked into Second Life’s stock exchange.

Back in 1999 I remember users of The Palace creating and selling props on eBay. These props could be used by in-world avatars to dress up and show your personal style. Many people made and exchanged virtual goods for free, but even then, people bought, sold, and even stole the virtual good props.

Virtual goods not only are hot, they’ve been hot since 1999, been breaking bank accounts since 2004, and are now becoming a significant factor in reshaping the way we think about making money online. More is happening in this space, so stay tuned.

More here:

The return-on-investment question always dogs proponents of social media marketing. Businesses want to, no, need to know the ROI of campaigns.  Will time spent on social networks mean more customers through the door and more money in the bank?

Researchers at Rice University feel the answer is yes. At least when it comes to Facebook fanpages.

According to the Harvard Business Review, a study by Rice University finds that social media marketing using fanpages on Facebook has a positive impact on customer loyalty and purchases.

Researchers Utpal Dholakia and Emily Durham followed the change in customer activity for one business, Dessert Gallery of Houston, Texas, as it went from no Facebook presence to an active one.

The study based its findings on surveys of more than 1,700 respondents over a three-month period. Dessert Gallery customers who become Facebook fans turned out to be the store’s best customers and increased their purchases after engaging with the store online

Speaking directly to ROI those who were Facebook fans spent 33 percent more than non-fans. Also Facebook fans had 41 percent greater psychological loyalty toward Dessert Gallery, which underlies the promise social media that connections are lasting ones that will continue to benefit the business long after the account has been set up.

But there are questions that this study leaves lingering.

First, whether the results are applicable to larger companies. Since small stores already have a more people-focused, flesh-and-blood relationship, they usually have some customer loyalty to build from. Large “faceless” corporations may have tougher times building loyalty and also face customer service problems often exacerbated by their own redtape (see Lois Whitman debacle or the recent Kevin Smith vs Southwest saga as shining examples).

Secondly, will this small business be able to keep up and sustain the social media interaction it had at launch which enticed the customers to begin with. According to the article, the Facebook page was updated several times a week with photos, promotions and contests. Is that manageable for the internal staff over the long haul?

“We must be cautious in interpreting the study’s results,” Dholakia said. “The fact that only about 5 percent of the store’s 13,000 customers became Facebook fans within three months indicates that Facebook fan pages may work best as niche marketing programs targeted to customers who regularly use Facebook. Social-media marketing must be employed judiciously with other types of marketing programs.”

The promise of social media marketing has always been that conversations with engaged customers would have some real-world reward – let alone a reputation, by amplifying the impact of word-of-mouth. Now, in at least one case, that has proven to be true.

Read the original here:
Rice Study Gives Facebook Fanpages a Passing Grade

You asked for it, you got it! AdSense for Domains, which launched a year ago to help publishers earn revenue through ads placed on undeveloped domains, now uses optional keyword hints more often. These keywords are suggestions supplied to Google by domain owners about the types of content users are looking for when they arrive on an undeveloped domain. They are used to help our system determine the best ads to place on these domains. For example, with the domain www.rockstarsand.com, a publisher might suggest the keywords “bitumen” and “mining” so that ads may appear from advertisers offering oil extraction products.

Keyword hints remain optional. When keyword hints are provided by the publisher, our ad-matching systems will use them more often. As always, we aim to provide the most relevant ads for the user, the best value for advertisers, and the best returns for publishers. This means in some cases, keyword hints will be ignored when we have evidence that other targeting approaches perform better.

Instructions for setting keyword hints for your domains can be found here.

The AdSense for Domains team is continuing to work on additional product improvements, that we will be announcing in the coming months.

Posted by Randy Heath – AdSense for Domains

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AdSense for Domains Expands Use of Keyword Hints

We’ve posted a couple times about how the Custom Search Element can help provide a more customized search experience for your users while enabling you to earn money. Today we’re excited to announce two new features for the Custom Search Element that will enable you to further customize your website search to the look and feel of your site: themes and rich snippets.

Themes

You can now customize the layout and styles of your Custom Search Element. To select a theme for your Custom Search Element, just go to your Custom Search Engine account at http://www.google.com/cse/manage/all and click Control panel. On the Control panel page, in the left-hand menu, click Look and feel.

Custom Search Control documentation.

Rich snippets

Rich snippets are another new feature that allow you to customize the actual Custom Search Element search results with additional relevant content, like thumbnail images and actions. We like to think of rich snippets as a way to add more flair to your Custom Search Element search results.

Here’s an example of search results from a Custom Search Element which uses both themes and rich snippets. The thumbnail image next to each search result shows rich snippets in action.

Rich snippets require you to mark up the page with metadata. For more information, check out the Custom Search Developer’s Guide.

If you have any feedback for us on either of these new features or on the Custom Search Element itself, please leave a comment. We love hearing what publishers have to say about Custom Search!

Posted by Christine Tsai, Google Web Elements team

Continued here:
A more customized search experience for your website

This Thursday, October 22nd, our Dublin-based AdSense team will host a webinar geared towards publishers with sites related to education. We welcome you to join us for an hour, starting at 9am PST/5pm GMT, and learn how you can improve your ad performance. We’ll talk you through our top tips and show you sample implementations, and you’ll be able to put your questions live to an AdSense specialist. Please be sure to sign up via our Help Center if you’re planning to attend.

Posted by Siobhan McCormack – AdSense Optimisation Team

Excerpted from:
A learning opportunity for education sites

In April, we gave you a sneak peek into category filtering, a new feature we’ve been developing to give publishers more control over their ads. Today, we’re excited to announce that we’re extending the beta to publishers in a number of English-speaking countries including, but not limited to, Australia, Canada, India, Ireland, the U.K., and the U.S.

As a reminder, category filtering lets you prevent ads from up to 5 specific categories such as religion, politics, and dating from appearing on your pages. Your filters will be applied to ads in English, regardless of how they’re targeted. In addition, you’ll be able to see the percentage that each category contributes to your earnings, which can help you understand any revenue impact you might notice as a result of filtering.

Based on feedback from our initial beta testers, we’ve also made a few improvements to the feature:

• Ad impression impact: To give you a better sense of how many ads you’d be filtering, we’ve now added an extra column to show you the percentage of ad impressions on your pages which fall into each category.

  : We’ve added details about each category directly within your account to help you understand the types of ads that may fall into each.

To see whether category filtering has been enabled for your location, sign in and visit the Ad Review Center, located under the ‘AdSense Setup’ tab. We’re working on expanding this beta to additional languages and countries, and will be sure to announce any updates here on the blog. If you’d like to learn more about category filtering, please visit our Help Center.

Posted by Arlene Lee – Inside AdSense Team

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Extending the category filtering beta for English-language ads

Since introducing reports in Euros for publishers located in France, Germany, Italy, the Netherlands, and Spain, we’ve received a number of questions about this launch. For publishers in these regions, we’ve addressed some of your concerns below.

How will my earnings be converted to Euros?
Once you switch to the new reports, earnings generated from advertisers paying in currencies other than the Euro will be converted. This will happen on a daily basis using the prevailing market rate from the previous day. If you generate earnings from an advertiser paying in Euros, they won’t be converted.

When I’m issued a payment, will my earnings be converted again?
If you’ve switched to Euro reports and are receiving payments in Euros, there will be no additional conversions when your payments are issued. However, if you’re receiving payments in U.S. Dollars, your payment will be converted from Euros to U.S. Dollars at the end of the month.

When I switch to Euro reports, will that automatically change the currency of my payments?
No, your selected payment currency and method won’t change after you switch to Euro reports — unless, of course, you want them to change. (You can update them by visiting the ‘Payments Details’ section under your My Account tab.)

Will there be a delay in receiving my unpaid earnings once I make this change?
No, making this change will not affect the timing of your payments. After you switch to Euro reports, your unpaid earnings in U.S. Dollars will be converted to Euros before the next upcoming payment selection deadline (typically the 15th of each month). For instance, if you make this switch on June 3rd, your unpaid earnings will be converted by June 15th; if you make this switch on June 20th, your unpaid earnings will be converted by July 15th.

How will this change influence VAT and any taxes I have to pay?
While you may receive your payments in your local currency, all payments are being made by Google Ireland, a company incorporated under the laws of Ireland, in accordance with the terms of your agreement with Google. Unless your business is in Ireland, you shouldn’t have an obligation to charge Google VAT or treat any of our payments to you as VAT that needs to be paid to any VAT authorities. If your billing address is located in Ireland, you may have an obligation to charge Google Irish VAT. For more specific answers, we suggest you head for your local tax adviser.

I’m not located in France, Germany, Italy, the Netherlands, or Spain. When will you include other countries?
We’re working to offer Euro reports to publishers located in additional countries. When we do, we’ll be sure to post any updates here on Inside AdSense.

Do I need to update my account if I’m eligible?
Although this change is currently optional, in the future we will require that publishers located in eligible countries make this switch. Eligible publishers who haven’t yet updated their accounts will currently see an interstitial page with additional information after signing in. We understand that some eligible publishers would like to continue receiving payments in U.S. Dollars; while you can still choose to be paid in U.S. Dollars, it will be mandatory to view your reports in Euros.

If you’re eligible to make the switch to Euro reporting, we encourage you to review the updated Terms and Conditions and update your account soon. To get started, sign in to your account and look for the prompt, “See your daily earnings reported in Euro amounts!” on your Reports Overview page. You can also find more information in our Help Center.

Posted by Arlene Lee – The Inside AdSense Team

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Euro reporting and you: your questions answered

To help you increase the visibility of your sites to potential advertisers, we’ve just launched the Publisher Center in Google Ad Planner. This will allow you to provide details about your sites to help attract advertisers. Though the Publisher Center is only available in English at this time, any publisher can use the tool.

As a quick reminder, Ad Planner is a media planning tool that helps agencies and advertisers find sites that cater to their target audiences. In the new Publisher Center within Ad Planner, you can claim sites you own and customize the descriptions for each. For each site, you can also add up to five categories that describe your site’s content, and the types, sizes, and formats of ads that your site supports.

Posted by Wayne Lin – Product Manager, Google Ad Planner

See the original post here:
Showcase your site with Google Ad Planner’s Publisher Center

Many members of the AdSense team enjoy using Twitter — and we’ve seen that many of our publishers have made it a part of their daily workflow as well. If you’re a Twitter user and have something to say about AdSense, chances are you’ll “tweet” about it. Twitter has given us daily snapshots of what we’re doing right, and what we could be doing better. If there’s an issue affecting many publishers, Twitter is one of the very first places we hear about it. (Not familiar with Twitter? Check out Twitter’s Getting Started Guide.)

We’re thrilled to launch @adsense to communicate with AdSense publishers who use Twitter. Our tweets will be a mix of fresh product news, optimization tips, interesting links, upcoming events, and possibly even pictures of our dogs. Our entire AdSense team contributes, so if you have any suggestions for what you want to see, feel free to send an @reply to us!

Please note that since we want to make this feed as useful as possible to everyone following us, we can’t respond via Twitter to questions regarding individual AdSense accounts. Please continue to visit the AdSense Help Center and Help Forum to troubleshoot your specific issues.

Let the tweeting begin!

Posted by Erica dela Cruz – Inside AdSense Team

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AdSense is a-Twitter

From a few of us on the Irish AdSense team in Dublin, Happy St. Patrick’s Day!

(Beannachtaí na Féile Pádraig oraibh go léir ó foireann AdSense!)

Posted by the AdSense Ireland Team

See the rest here:
I’m feeling Irish

This Saturday, our engineers will be performing routine site maintenance from 10am to 2pm PDT. You won’t be able to log in to your account during this time, but your ad targeting won’t be affected, and we’ll continue to record your clicks, impressions, and earnings as usual.

We’ve provided the maintenance start time in a few other cities for our international readers:

London – 5pm Saturday
Kiev – 7pm Saturday
Mumbai – 10:30 pm Saturday
Singapore – 1am Sunday
Sydney – 4am Sunday

Posted by Arlene Lee – Inside AdSense Team

Here is the original post:
Site maintenance on Saturday, March 14

A few months ago, we shared a number of AdSense for search optimization tips with you. Here’s the story of one AdSense publisher who recently tried some of these techniques and saw substantial results after making a few small changes.

VanGoghGallery.com is an art resource site that provides information about the life and work of Vincent van Gogh. Site owner Greg Alexander runs the Van Gogh Gallery to educate and share information about the artist, and has also used the site to explore new Internet marketing techniques. Greg joined AdSense in 2007, and although he didn’t know much about the program at first, he found it “a great opportunity to generate some revenue without spending the effort to sell ads.” He also tried other ad providers, “but none of them yielded the results that AdSense did. In addition, AdSense was the only one that provided relevant ads for our visitors.”

To help users navigate through the many pages of the Van Gogh Gallery, Greg added an AdSense for search box to the right column of his pages. By enabling SiteSearch and displaying search results on his own pages, he was able to help users find what they were looking for while staying on his site.

As an optimization experiment, Greg recently moved his search box to the center column of his pages and extended it to twice its original width.

In addition, Greg made slight changes to the search results pages — he removed the borders from the ads and search results, and added a new search box to the search results pages. According to Greg, “altogether, these changes took less than 15 minutes to do.”

After making these updates, Greg noticed a dramatic and immediate increase in the usage of search on the Van Gogh Gallery. He found that “the number of queries performed each day increased 8 to 10 times, and search ad clicks and revenues increased even more.” His search earnings quickly grew from less than a dollar a day to double digits since his optimization test. “Now we frequently receive more search ad clicks than our total number of searches pre-optimization,” says Greg. “I’m still amazed at how simple changes can have such an incredible impact.”

Greg has started using the earnings from his AdSearch optimization efforts to build and host additional websites about other artists. “Ultimately,” Greg says,”we hope to use the earnings to fund research trips to Europe to see the works of the masters and expand the quality of information we offer visitors to our sites.”

Have you also tried our AdSense for search optimization tips and found success? Let us know.

Posted by Jane Brinkley – AdSense Optimization Team

See more here:
Get Goghing with AdSense for search

Yesterday, we experienced an issue which caused AdSense and Google Ad Manager reports to be delayed through the day. The issue began at 4am PST and lasted several hours, but has now been resolved. No stats from yesterday were lost, and our engineers have been working to restore your reports with the clicks, impressions, and earnings accrued from your sites. Most publisher reports have now been updated with yesterday’s data, with a few accounts still catching up.

Thanks for your continued patience, and we apologize for the alarm and inconvenience caused by this reporting delay.

Posted by Arlene Lee – Inside AdSense Team

See original here:
Reports being updated

Welcome to our first-ever guest blog post on Inside AdSense. We’re thrilled to have none other than Blogging Evangelist himself, Darren Rowse, to share his expert tips on AdSense optimisation.

We recently caught up with Darren at his home office in Melbourne Australia, and asked him about his experience with Google AdSense.

October 4, 2003 is a date I’ll never forget – that was a day that my life changed. It was the day that I discovered AdSense and added it to my very first blog. I added that first advertisement to my blog on a whim, with what I thought was the lofty dream that I might be able to pay for my blogs hosting costs. Over 5 years later, those little text ads have paid my mortgage, fed my family, and enabled me to move my blogging from a hobby, to a part time job, to a full time job and beyond.

It’s not been an ‘overnight success’ by any means but as I’ve learned to use it, AdSense has been one of my highest online income streams.

My #1 Tip for Using AdSense

If I had to narrow my advice on using AdSense down to a single word it would be ‘experiment’. Let me explain.

That day back in October of 2003 I had no idea on what I was doing. The next day when I logged in to see how much I’d earned it was barely enough to buy me a coffee.

However, on that day I decided that those few dollars in earnings showed potential and I determined within myself to learn how best to use AdSense to grow that income. Almost everything I’ve learned since that day has been through trial and error.

It has been a long process of testing and tracking results. You see, while there are a few good home truths that seem to work on most sites, every website that I’ve used AdSense on is different. Some things work well on some sites, but it is rare to find something that will work on every site. As a result I tend to experiment with my use of AdSense in these six ways:

1. Ad Position – Most AdSense publishers have seen the neat little heat map that AdSense has produced to show where ads work best on websites. In general it works fairly well and is a great place to start, but make sure you experiment with new positions for ads and see what works best for your site.

   Hint: Ads near (or even surrounded by) content have worked the best. I’ve also found ads at the end of content perform well. People get to the end of reading your article and then are looking for something to do or click — an ad positioned there can work well.

   

2. Numbers of Ads – More ads earn more than less ads… don’t they? Unfortunately it isn’t always the case.

   Test different combinations and numbers of ad units on your site. There’s usually a ‘tipping point’ where you hit a ceiling of how many ads your users will accept — push it too far and you could hurt reader engagement, traffic, and in the long run your earnings. On the flip side of this, don’t be afraid to have more than one or two ads on a page, particularly if you have long pages with lots of content.

3. Ad Design – I can still see the first ads that I first used on my blog back in 2003. I can still see them because they fried their imprints into my retina — they were so LOUD!

   I figured that the ads would do best if people noticed them so I went for the most crazy color scheme I could come up with. Over the years I began to experiment with different combinations of ads and found that more subtle or blended ads tended to work best for me. Having said that, you can sometimes blend too much, to the point that the ads become invisible to your reader. So test different colors and designs of ads to see which work best. Use the ad rotating tool that AdSense offer publishers to rotate different designs to work against ad blindness among regular readers.

4. Ad Sizes – AdSense offers us a range of different ad sizes, so experiment with them all to see which works best. Hint: Some might think that the bigger the ad the better it performs. This is not always true.

   For example, I found that the ‘large rectangle’ ad (336 x 280) didn’t work as well for me as the smaller ‘medium rectangle’ ad (300 x 250). It turns out that more advertisers (at least those in my niche) prefer the medium rectangle ad as it’s a more standard ad unit size than the larger one. Again, the key is to experiment and see what works best for your site and niche.

5. Ad Formats – I’ve found that choosing image and text ads works better than just choosing text ads, but that’s not the only choice we get as AdSense publishers.

   AdSense also allow us to run link units, AdSense for search, etc. I’ve found that each of these different formats will work differently from site to site. I’ve had blogs where the link unit ads were the best performing units on the site while on other sites it didn’t really perform at all. You’ll never know unless you test it!

6. Which Content Converts? – One of the best advances that AdSense has made in the last year has been the integration between it and Google Analytics. To be honest I’m still digging into the metrics that this opens up, but the insight that this gives has amazing potential to increase earnings.

   By looking at this data you can see what type of content is converting and what isn’t. You can also see what type of traffic is converting and what isn’t. For example, I’ve found that search engine referrals are converting better than traffic from social media sites on one of my blogs. Knowing this is powerful as it tells you what type of ads to serve to what types of traffic, what type of promotion to put effort towards, and what type of content to write more of.

Test Track Test Track….

There are books, blogs, articles, forums, and other kinds of resources available to AdSense publishers to help them learn how to use AdSense better. However, in my experience the best way to learn is to ‘do’. Put time aside to try new things and then put more time aside to review what you learn.

But don’t leave it at that. When you learn something — test it against something else (do some research on A/B split testing to learn how to do this). This continual learning will help you to grow in your own expertise of AdSense and increase your earnings.

Posted by Darren Rowse – Blogging Evangelist and AdSense publisher

Here is the original post:
Six ways to experiment with AdSense and grow your earnings

AskDaveTaylor.com offers tech support Q&A on subjects ranging from mp3 players to Linux to AdSense. We recently chatted with founder Dave Taylor about his site and his AdSense experience.

Inside AdSense: Where did the idea for your ‘Ask Dave Taylor’ site come from?

Dave Taylor: There’s a great backstory, actually. I’ve written twenty different books on various business and technical topics, including Teach Yourself Unix in 24 Hours and Creating Cool Web Sites. Each time I’d publish, I would be sure to include my email address and other contact information. Problem was, people would send me email with questions. Lots of email with questions.

Over time I found myself answering the same questions again and again and realized that there had to be a better way for readers to search through an archive of already answered questions. I tried an online discussion forum, but it didn’t really work very well (though it did give me an excuse to write my own bbs system from scratch, but that’s another story!).

Then early in 2003 this “weblog” thing started to gain a bit of traction. When I first saw how it was built upon the concept of an author writing entries and others being able to add their comments, I realized that it could be ideal for my needs.

IA: Why did you join the AdSense program?

DT: As a businessperson, I had always viewed my website as a cost center. I mean, you had to pay for hosting, you had to pay for graphic design, you had to pay for Internet connectivity, etc. That was just my mindset. It was a marketing expense and its purpose was lead generation for my consulting and book sales.

In mid-2003 my friend told me about this “AdSense thing” and said that he’d been experimenting with it and making some money. So I finally decided that I’d try putting some adverts on my site (I’d been on the Web since 1996 but never had any adverts on my sites until that point). That first month I made more than I expected by simply adding the AdSense adverts to my pages and was surprised as heck. Then it started to grow…

That’s when it hit me, that my website was becoming a profit center for my business, not a cost center. I began to pay more attention to the site and published new content on a more regular basis. Within a few months I was earning enough to pay my mortgage, and today my website, and specifically Google AdSense, is a primary revenue stream for my entire company.

IA: Can you talk a little about your experience with optimizing your ads?

Once I began working with AdSense in earnest, I began to wonder how ad placement, size, color, and design would affect earnings, and how to balance my desire to offer a splendid user experience with the need to simultaneously maximize revenue.

Enter A/B testing. I read and talked with many AdSense publishers, tried what they suggested and what had worked for them, fiddled with my own ideas, and generally tried every variation I could imagine to see if I could improve the click-through-rate of my ad blocks. The greatest boosts I saw in clickthrough rate were when I moved the advert into the middle of my articles, when I made sure it had the same color background as the material around it, and when there wasn’t a solid border or other visual element to make the ad stand out from the surrounding content.

Truth be told, I’ve also paid close attention to the sites profiled on the AdSense blog, looking at how they integrated ads into their own design and trying to emulate their successful techniques on my own site.

IA: Glad to hear you used the blog! Any other optimization tips for our readers?

1. Focus on generating really good content that meets real user needs.
2. Design your blog so that there are minimal distractions for the user.
3. Wrap your blog entry around the Google ad unit and put the ads where users will see them, though make sure you have them visually distinct from your content: trying to trick readers into clicking on ads is a definite no-no and anti-reader too.

IA: Thanks for the interview, Dave, and good luck with your site!

Do you also have an AdSense success story to share? Let us know.

Posted by Arlene Lee – Inside AdSense Team

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Asking Dave Taylor about AdSense