Making Money With Google Adsense.

Google AdSense is an ad-serving program that places ads based on relevant content and assumptions about who might be interested in that content. AdSense is an application of the broader concept of Contextual Marketing

Contextual Marketing is just what it sounds like. On a website about pet dogs, you might have an ad for dog food. On a website about learning dance, you might have an ad for dance tutors. A hockey site might advertise hockey sticks…and a tennis site, tennis shoes.

Contextual Marketing just means aligning the ad serving with the context/nature of the website and its audience, the same way like items are grouped in a store. And the “context” can be cut much finer than website level, it can be page level, article level, and so on, so the ads always match the material they are appearing near, and thus, appeal to the interest of the reader/buyer at any given moment.
So what’s in it for you – the website publisher/owner?

That’s easy. Every time a visitor to your site clicks one of these ads, you make money. The better the ads are targeted, the more clicks you get, the more money you make. AdSense displays easy-to-read, text-based, relevant ads that don’t overshadow the content of your website or annoy visitors. Actually, you have seen hundreds of these ads yourself, as you’ll realize in a moment.

The magic of Google AdSense is this: It allows you to earn money through every page of your website. On top of that, with algorithms used to align ad content with page content Google automatically selects and displays ads for your website that are likely to generate the highest revenue for you.
How the Ads Get On Your Site

Once you join the AdSense program – and Google approves your site or sites,the actual process of displaying ads on your website is extremely simple. You are provided with a small HTML (javascript) script, which you can paste anywhere on your webpage. You may paste this code on multiple pages, and watch the ads get served! Google automatically places AdWords ads that are most relevant, from its extensive advertiser base. Google employs various sophisticated algorithms to determine the relevancy of the ads to your content.

You can even place adsense on free blog sites like blogspot and free webpages like googlepage.

TIP: Read the terms and conditions of google and follow them strictly. If you violate google terms & condition, your adsense account will be terminated and you will loose a genuine money making opportunity on the net.