You will have 3-4 ads on your page MAX. (NOT ad blocks. ADS). The fewer Adsense ads show on a page, the higher the average earnings per click for you.

If you place more ads on your page, they will show ads that rank lower on Adwords (and are cheaper). You don't want people to click on ads that pay you $0.05. You want them to click on ads that pay you $0.50! Adwords are generally disproportionately expensive on the top positions. After a while, the bids "normalize" and you won't get paid as much for showing that "Adsense" on your site.

Also keep in mind that many options confuse people. Give them few links to click on.

Don't forget to create channels to track your ads. You can set up a new channel by following this path inside your Adsense account:

Adsense set up ==> Channels ==> Add new custom channels

Be descriptive in your channel name so you know what is going on and you don't get confused. For example, if you have a page on golf clubs and you are testing a 250X250 square on the top left of the screen, use a name like: golfclub250X250left

Also make sure that you don't use channels you have used in ads in previous different markets. I have found that this can confuse the system some times and your page can show ads for the OLD market you were in. This happens especially if there is not a lot of ad inventory in the new market you are in.

Many webmasters like the big rectangle. Why? Because it works! It gets very good CTR. However, I'm not sure that most people have actually tracked the profitability of their ads. Different markets can respond differently BUT, here are a few things to consider:

The 250X250 square, has almost the exact same look like the big rectangle. One ad below the other. But it shows three ads instead of four. What does that mean? It means that you give your visitors fewer options to choose from (but not too few) and they may decide to click more easily. Not only that but you now eliminated the 4th ad which would be, on average, the lowest paying of the four.

Can we push this even more? We can. We can create a similar block of ads with only two ads this time. Just create two 234X60 half banner ads and put one under the other. You now have a "mini rectangle" with only two ads. In many markets, two ads is the sweet spot not only as far as CTR but also as far as earnings per click go.

What about having only one ad then? This would definitely give you the highest earnings per click. But one ad usually doesn't give people that much of an option. If it's not compelling enough, they won't click it. I would have at least two ads on my page.

Note: if you use the trick with the two half banners one on top of the other, make sure that you use different channels. I found that, if I use the same channel name, the exact same ad can show twice on my page! Use different channel names. It makes sense from a tracking standpoint anyway.

Make sure you disable the "advertise on this site" link that your Adsense ads show by default. This will make your ads look less like, well, ads - and more like helpful resources. Login to your Adsense account and click "My Account". Scroll down where it says: Onsite Advertiser Sign-Up [edit]. Under that it should say: Subscription: You are not currently subscribed to Onsite Advertiser Sign-Up. If it says you are signed up, click the edit link and uncheck the box on the next page. All "advertise on this site" links on your ads should disappear in a few hours max...

If you want to discover more ways to increase your Adsense CTR and earnings per click, visit Adsense Arbitrage Voodoo!

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