this is what I read from the adsense blog.. Myth: Image ads take too long to load and I hate those ‘Shoot the Duck’-type ads Fact: We have strict guidelines for both animated and static image ads restricting them to a maximum size of 50 kb, so they’ll load quickly on your site – and no Shoot the Duck ads allowed! Myth: Image ads don’t pay as well as text ads Fact: All ads served by AdSense – whether image or text, contextual or site-targeted – go through the same auction process. Opting into image ads maximizes your site’s revenue potential by allowing a greater pool of advertisements to compete for space on your site. Image ads will only appear if our technology determines they will be more effective than any other ads for a particular page. Myth: Image ads aren’t relevant. Fact: When serving contextually-targeted ads, we use the same algorithm to match ads to your content whether image or text ads appear. With site targeting, an advertiser has determined that their ads are specifically relevant to your users Myth: All text-based ads are paid on cost-per-click (CPC) basis, and all image-based ads are paid on a cost-per-thousand impressions (CPM) basis. Fact: Both text and image ads can be paid on either a CPC or CPM basis. AdWords advertisers can choose which type of ad they'd like to create -- e.g., CPM vs. CPC or text vs. image. In order for a CPM ad or an image CPC ad to win in the ad unit auction and appear on your site, it has to produce an effective CPM greater than the sum of the individual text ads that would otherwise appear. Myth: If I set my ad unit to 'image only', I'll get exclusively CPM ads. Fact: As mentioned above, image ads can be either CPC or CPM ads, so you could also see CPC image ads. You might also see public service ads if there is a limited inventory of image ads relevant to your site content. As a rule of thumb, we recommend opting into both text and image ads. Doing so expands the pool of advertisers competing to display on your site – both on a CPC and CPM basis – therefore maximizing your site's revenue potential. It also helps to choose an ad format that supports both text and image ads.Keep in mind that currently, all CPM ads are site targeted, meaning that your site will only display CPM ads if an AdWords advertiser has decided your content is relevant to their ad campaign. To increase advertiser bidding on your site, you may wish to customize your Onsite Advertiser Sign-up landing page. Myth: I can't participate in Onsite Advertiser Sign-up because I only want to display text ads on my site. Fact: Since site-targeted CPM ads can be either text-based or image-based, you can still take advantage of this program even if you only want to show text ads. Advertisers who want to display on your site can create text-based site-targeted ads.
nice to share us about this info. that would help many people to understand more about image ads. good job.
Today, when consumers are more visual than ever, your banner ad may be the first chance you have at making a sale and bringing potential buyers to your website. I would suggest using well designed flash banners and make sure they work with Google AdWords. A large gallery of customizable flash banners can be found on AttractiveBanners.com