Using AdSense CPC with Search Volume

How to properly leverage the AdWords Keyword Tool Keyword Research Results

This article highlights techniques for using the AdSense Keyword Tool as a keyword research resource, using both CPC and Search Volumes effectively - and why you need to use both!

Regulars here at the KeywordCracker blog will know that I often preach that the CPC column in the Google AdWords Keyword Research Tool is the best way to gauge the profitability of a keyword or keyword phrase. Of course, this works well for beginners, but some of us want to master AdSense, as well as drill down onto keywords that will enrich us via other revenue streams.

If you only look at AdSense revenue, of course, CPC remains a good indicator; after all the higher the CPC, the more the keyword will make when a visitor clicks on it. And since you are using the Keyword Cracker methodology, you know where the tipover point is, as well as the anticipated conversion rate for both the keyword phrase, and other products on the page. From a purely revenue point of view, this is enough for a throwaway site.

However, if you are building for long term visibility and wealth generation, the equation shifts slightly.

Now, not only do you want to know how much a keyword will pay (relative to other keywords, of course), you also want to know what the traffic will be on that keyword. In addition, it would be nice to know where the tipover for the whole keyword set is. In other words - which keyword has to take priority, based on current and historical search volumes?

Luckily, Google have made this really easy for us. The first thing to do is export the keywords to a spreadsheet. That could be a Google Document, OpenOffice Calc spreadsheet, or an Excel sheet; it's not important. What is important is to make sure that you have exported the CPC, Search Volume, and Average Search Volume, along with the Advertiser Competition.

These are the four metrics that you will use to create a 'score' for each keyword phrase.

I have been fooling around with this for a while, and I think I have found a good combination which yields the most profitable keywords, and at the same time, identifies those that will offer long term wealth. But it's a moving target, and has to be recalculated every month as seasonal demands change.

And don't be fooled - every single keyword phrase can be subject to seasonal shifts, not just the traditional ones like weight loss, diets, sunglasses and vacation destinations.

My current formula multiplies the CPC by the Advertiser Competition, and multiples that by the average search volume over three months in the same period of the previous year. The result of this multiplication is then weighted by last months search volumes, where available.

I'll keep you posted as to how that gets on!

Learn more about this topic in 'The Adsense and Keyword Research Guide'.

Until next time,
Guy

The KeywordCracker
'The Adsense and Keyword Research Guide'