How do you use display advertising for making money online?

How do you use display advertising for making money online?

Placing ad code on your website allows you to make money with display advertising. Money is earned whenever someone visits the page or clicks on an ad. Depending on your niche, you can usually earn between $5 and $30 per thousand page views.

Imagine, making passive income by owning a website. What if you had a website which would   earn $2,000 per month using display ads?

Websites are the perfect tool to generate cash flow.

You can also use advertising for your product. Nailing down an advertising strategy can result in continued sales month after month.

Luckily for you, I’m going to show you how to use display advertising for making money online. Keep in mind, making money through display advertising takes work. However, with consistent action you can be making a good income with your website. 

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What are display ads good for?

Display advertising is good for making money on your website or through advertising your products. Website owners can earn profit from people advertising their product or services. Advertisers need somewhere to showcase their product and generate leads. 

Benefits for website owners

Website owners are paid depending on their niche, pageviews, and numbers of ads displayed. Any one of these factors will greatly determine how much money you can earn.

Your niche (or website focus) determines how much advertisers are willing to spend. For example, weight loss and fitness has a lot of advertisers and products needing advertising. However, choosing a niche like anime doesn’t have a whole lot of buyers, advertisers, or products.

Weight loss and fitness is simply more competitive. The cost of advertising goes up when you have competition amongst advertisers.

Website owners do have more control over their pageviews. You are paid anywhere between $5 and $30 per thousand page views or RPM. Therefore, if you want to make more money simply increase your pageviews.

Imagine, making a $15 RPM on your website with 50,000 pageviews. Your income from ads would be $750. Doubling your pageviews to 100,000 per month would result in double the income or $1,500.

Alternatively, you can choose to show more ads. The chances of someone clicking on an ad increase with the more display ads show. However, use caution as more ads tend to make websites to look more spammy.

Benefits for advertisers

Advertisers can use display ads to advertise their product. An effective advertisement will convert potential leads into buyers. Once an advertisement has proven successful, you can simply increase ad spend to increase profits.

Imagine, having a product that you can sell through your e-commerce website. You can set up a display advertising campaign which leads to your landing or sales page.

You can use Facebook advertising or Google ads to advertise your product. Your product will be displayed on Facebook or on pages across the internet.

Advertising is getting really specific when it comes to targeting an audience. For example, on Facebook you can target people who like a specific group. Therefore, you can target your advertisement towards people who have already expressed an interest.

Maybe your product is in the parenting niche. Facebook has a lot of groups dedicated to moms. Therefore, you can create advertising which specifically targets mom groups.

You will convert more people into sales when the product closely matches their interests. Display advertising gives you the power to find those people with similar interest.

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How do you use display advertising?

Website owners can place a snippet of code onto their website to make money with display advertising. Alternatively, advertisers can select targeted keywords and websites for their advertisements to be displayed on. Both website owners and advertisers want people clicking on ads to make a sale.

Website owners have it easy for making money. Display advertising has to be set up once and then you can forget about it. Your goal is to drive traffic to your website to increase your earnings.

Advertisers will have more of a challenge. you will have to experiment with your ads, landing pages, and offer price to maximize conversions. However, once you figure it out then you can increase your advertising spending.

How do I set up display ads on my website?

Website owners will have to set up display ads by signing up for an ad Network. Once approved, you can take a snippet of code and paste it on your website. You’re then paid when visitors to your website view or click and ad.

Sign up for an ad network

The first step is to determine your ad network. An ad network is responsible for providing you ads and tracking the performance of that ad. They deal with finding advertisers who are willing to pay for ad space.

There are many different ad networks to choose from, but they all have their own requirements. some ad networks are more difficult than others to get into. Generally, the harder it is to get into an ad network the more they will pay.

Common ad networks include the following:

  • Google AdSense 
  • Ezoic
  • Monumetric – Requires 10,000 pageviews per month to join
  • Mediavine – Requires 50,000 sessions per month to join
  • AdThrive – Requires 100,000 pageviews per month to join

Most bloggers will start with Google AdSense until they can reach either Monumetric or Mediavine.

Install ad Code

Once you sign up for your ad Network, you can get your ad code. Ad code is a small snippet of code which you can place on your website. Once the code is installed, ads will automatically appear.

You can find your ad code by logging into your ad network provider. In Google Adsense, ad code can be found under Ads then Overview.

WordPress users can install a plug-in called Ad Injection. Ad injection will automatically place your ad code so you only have to paste it once.

Once Ad Injection is installed and running, you can focus on building traffic. Some ad networks like Mediavine handle ad placement for you. 

How do I use display ads to advertise my product?

You can use display ads to send people to a squeeze page which sells your product. Alternatively, you can use display advertising to get people to sign up for an email list. Email lists are a good way building trust with an audience before you sell something to them.

Selling physical products is easier because it requires buyers to trust you less. The buyer knows they are getting something in return for their money. Therefore, you can advertise your physical product directly to a sales page.

Alternatively, you may be selling a digital product or course. Selling a digital course usually requires trust to be built between yourself and the consumer. Generally, trust is built by getting someone to sign up for an email list followed by sending a series of emails.

For example, an online weight loss course may get users to sign up for email.You would then send a series of emails with helpful information on weight loss. Finally, you would then send an offer to buy your product.

Regardless of your methods, you need to know how to optimize your system for conversions. Which would you rather have?

  • Spend $500 on Facebook ads for 3,000 clicks to your product page ($50 nutritional supplement).
  • 1% conversion or $1,500 in sales.


  • Spend $500 on FB ads (3,000 clicks, $50 product)
  • 5% conversion rate or $7,500 in sales

You can greatly increase your profits with conversion optimization. Sometimes you need to make your ad more relevant. Other times, you just need a better sales page. Often a small change can mean a huge difference in profits.

Are display ads effective?

Most advertisers see a positive return on investment when they use display ads. Landing pages usually convert around 2 to 5% of visitor’s. Top landing pages will convert over 10% of visitors into customers.

Starting small is an advertiser’s best friend. You can run a test campaign for a small amount of money. Your test campaign will highlight areas for improvement to increase your sales.

You can then increase your ad spending once you have figured your display ad strategy.

Maybe your first campaign look something like this:

  • Spend $500 on Facebook ads (3000 clicks, $50 product)
  • 1% conversion rate or $1,500 in sales.

You aren’t converting very many people. Maybe, you should focus on your sales page. After rewriting a sales page your sales funnel looks like this:

  • Spend $500 on Facebook ads (3000 clicks, $50 product)
  • 2% conversion rate or $3,000 in sales.

Awesome! However, you’re not done yet. Maybe, your product is too expensive. Let’s drop the price to $25 and see what happens. Running the same campaign:

  • 4% conversion rate or $3,000 in sales.

You sold more products, but brought in the same number of sales. Maybe, your ideal price is between $25-$50. You can always try to increase your conversions by finding more qualified leads.

Remember, optimizing your website and sales page is one piece of the puzzle. You also need to focus your efforts on your lead generation. In other words, make your offer and ad more relevant to the people you are targeting.

Don’t advertise your tea product to a Facebook group of hunters. Instead, advertise your swaddle blankets to new mom groups.

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Summary: How do you use display advertising?

As you can see, you can either earn money with display advertising through websites or selling your product or service. You can either be the person where ADS are shown or the person creating the ads. 

Personally, my opinion is that a website is much easier and cheaper than creating a product. However, both are very profitable options.

Website owners are paid every time someone clicks or views an ad. Generally, revenue is in the form of per thousand views (RPM). Therefore, website owners can expect to make between $5 and $30 per thousand pageviews.

You can start advertising by joining an ad network. Simply grab your ad code and paste it onto your website.

Advertisers can make money by advertising their product or service. You will have to learn how to create ads and optimize your sales pages. Good conversion rates are between 2 and 5%.

Once you have a proven sales funnel, you can scale up your ad spend. Selling a product online is all about the numbers.  monitor your sales funnels and you can have a predicted income stream.

John is the founder of TightFist Finance and an expert in the field of personal finance. John has studied personal finance for over 10 years and has used his knowledge to pay down debt, grow his investment portfolio, and launch a financial based business. He is committed to sharing content related to personal finance based on his experience in his career, investing, and path towards reaching financial independence.