The More You Know...

There is a saying, from Socrates I think, that goes something like, "the more I know the more know I don't know" or "if I am wise it is because I know that I don't know."

In other words, I am learning about AdSense Arbitrage and as soon as I think I am understanding a concept I find something new and confusing. The important thing for me right now is to just test and test. The hard part is to keep the tests affordable.

I have one site that usually earns me a few cents to a couple dollars a day. Then, I go and try something like bid high for a word, get a bunch of clicks and then don't get a good compensation rate for the AdSense clicks. My CTR is good on AdSense but I am not getting high payouts.

I found a website:

http://www.wolf-howl.com/sem/adsense-arbitrage-tips-tricks-secrets/

and it is very informational. It isn't a giant advertisement or trying to sell anything. It does have AdSense on it and that is about all the advertising I saw. It links to other blogs about AdSense Arbitrage. It is helpful if you want a little more information about arbitrage.

One thing I found out was how AdSense does some sort of Smart Pricing. They penalize your earnings per click if your traffic doesn't convert to sales for the Advertisers or something weird like that. I also learned a little more about how to choose a keyword to bid on.

As for today's niche 'dating' and the list I generated, I didn't find any keywords that seem profitable. Now, the thing I am having trouble grasping is the two different arbitrage philosophies:

1. Bid lower than what AdSense will pay you
2. Bid low no matter what

What I mean is, should I bid to get my ad shown or should I just have many keywords with low bids that generate traffic? I guess I am going to have to experiment. For right now, I haven't yet put into practice what I learned from the website I mentioned earlier, and I made less in AdSense than I spent in AdWords.

One site made me $1.06 and one cost me $2.74. so I made -$1.68. Not too costly of a mistake but one I must definitely improve upon. I am going to do another research project tonight but I won't finish until tomorrow. I am going to implement some new strategies when deciding on which keywords to use. I will also explain my decision tomorrow.