more ads = less money?

Hello
I read on http://www.makewords.com/this-type-of-website-can-make-you-a-fortune-with-adsense.aspx
"
The more adsense ads there are on a web page the less value each ad's click will generate, ie it seems that the advertising revenue becomes diluted as the number of ads increases "

Is this true? If it is, i'll remove ad blocks that never get hits

 

It's correct...
Publisher A pays $1.00 to be in the top spot
Publisher B pays $0.75 to be second
Publisher C pays $0.50 to be third...

The more ads you have then the ones towards the lower end of the page could be clicked and it could mean that it's publisher K who pays $0.01

So the lesser ads you have the more high paid ads will appear on your page.

You just need to get the correct balance though in my opinion and put the ads in a good place.

 

and so.....the more ads you have the less the chance is the "high paying links" will be clicked,see the point now?

 

yea the more the ads the less the money,advertiser will sure pay more if you display only one ads ,but if you have many ads it'll be divided into all

 

less ads also could mean less likely they'll click anything

 

wow..greate info..should i pull down all my ads and leave only one up? lol

 

No, its not true.

It would be true if said like that

More ads = Less CPC

 

The advertiser will still pay the same amount if the user clicks on the first ad, but there are more chances of clicking on the lower paying ads.

If you just have 1 ad then that could lower CTR as they might not get noticed. It's all about balance.

 

Less ads = Less CTR

 

ads must be attached really carefully to you websites.. and only then it will bring a lot of money and high CTR... you must just think of that what you are doing and what make yours potential client (website visitor) needs

 

Well, sure, you will get some ads that are of lower value than others. The keywords for different will be different and their bid value will be different as well.

 

That is true ... but with a rich content page there will be no problem ..

 

it`s not less money, it`s just that there`s less chance to click on the top paying ad. The less the number of advertisements, the more noticeable the highest paying ad.

 

A good tip – I ll try to minimize the number of ad blocks in all my sites

 

Now i've gotta decide:
More ads, with lower avg payout, but higher chance of being clicked
Or less ads, higher avg payout, lower chance of being clicked.......

 

So having 3 ads blocks on 1 page will mean that the top spot block will pay less then if you just have 1 block up top instead of 1 up top, middle, and bottom?

 

lol, this thread is incredibly confusing, every time I read it it seems to come out with a different message

 

no the top spot will pay the same as if you have one block on your page

 

Exactly! It's all about getting the correct balance to keep CTR high but payouts still being good. Trying to implement that is a full time job in it's self if you have a lot of pages. Also it makes it hard to find because publishers are also adjusting their maximum bid... so any calculations that you just did might be pointless 10 minutes later

 

I see, thats what I thought.