Google Ads vs. Adsense: All You Need To Know

Google can help marketers, advertisers, and publishers make the most out of their online presence with their ad platforms, Google Ads and Google AdSense. Whether or not you're hiring a Google Ads agency, learning the differences between these platforms can help you make sound decisions about your marketing campaigns.

What Is Google Ads?

Google Ads is a platform for advertisers. You need it if you wish to advertise your services or products on websites or apps. If your goal is to grow your business, increase sales, or boost traffic to your website, Google Ads is the ideal platform to use.

With Google Ads, your ads will be on Google search results pages and various publisher websites. Your ads will be on the top page with the "Ads" tag in search results. Your business will be accessible to customers who are more likely to click on your ads and avail of your services.

What Is Google AdSense?

Google AdSense is for publishers. You need it to monetize your website, blog site, or forum sites. With Google AdSense, third-party ads will appear on your website, and you will earn revenue depending on the number of people who click on or view these ads.

Are There Differences Between Google Ads and Google AdSense?

The most noticeable difference between Google Ads and Google AdSense is their user base. Ads is for marketers, while AdSense is for publishers. With Google Ads, you buy advertising space from Google. Meanwhile, Google AdSense sells advertising space to Google.

Read on to know the other differences between the two platforms.

     1. When Were Google Ads and Google AdSense First Used?

Google Ads was once called Google AdWords. AdWords was launched in 2000 as a paid service where Google managed a company’s paid ads campaign. Soon, the search engine giant created a self-service platform to accommodate DIY marketers and small businesses.

After several revisions and improved campaigns, Google rebranded AdWords into Ads in 2018. In 2020, Google Ads became Alphabet Inc.'s primary revenue source, with almost $169 billion in revenue. The following year, Google Ads produced more than $256 billion in revenue.

Google AdSense was initially called "content targeting advertising" in 2003. Applied Semantics first used the word “AdSense,” but after Google acquired the company in 2003, Google also adopted the term.

After many challenges, AdSense has become one of the major revenue contributors to Google. New features were released in 2009, including the ability to allow many networks to promote ads. AdSense is a part of the AdChoices platform, and as of 2021, it's estimated that more than 40 million websites benefit from Google AdSense.

     2. How Are Google Ads and Google AdSense Accounts Set Up?

Google Ads and Google AdSense accounts are set up differently. It's easy to create a Google Ads account. You can sign up with your Google account. Once you're signed in, set the time zone and your preferred currency for payment.

Meanwhile, creating a Google AdSense account is more complicated and takes more time. It requires an application that will ask for your website URL, preferred website language, account type (business or personal/individual), and NAP (business name, address, and phone number).

Aside from these initial requirements, you must agree to policies covering the use of Google AdSense. Here are some of them:

• Do not place ads on pornographic sites or those with pornographic content.
• Do not place ads on websites that offer incentives to users who will click on featured ads.
• Do not click on Google ads that you are serving using Google AdSense.

In addition, you must certify that:

• You are at least 18 years of age.
• You have read and understood the AdSense Program Policies.
• You don’t have an approved account under Google AdSense.
• Your name matches the name you use on your bank account.

After submitting all this information, decide whether to use your existing Google account for your Google AdSense or create a new one instead. Your application will undergo a review. Usually, it will take around one or two days to know if your application is approved.

     3. How Are Google Ads and Google AdSense Ads Formatted?

Formatting ads for Google Ads is more flexible than for Google AdSense. Advertisers can change the ad text. This is not possible with AdSense.

However, AdSense users can control the ad formats they want to use for their pages. They can choose to have images, videos, links, flash, and text ads and decide on the ad color and size.

     4. Is There an Ad Limit for Google Ads and Google AdSense?

Google AdSense limits the number of ads on its sites. It allows three link ads, three content ads, and only two search boxes to provide text-based targeted ads. On the other hand, Google Ads users can have only one ad at a time on Google Search, Google, and the Google Display Network.

     5. How Are the Pricing System Options Different?

On the Google Display Network, a Google Ads user can select from different pricing systems such as cost-per-click, cost-per-conversion, cost-per-impression, or target return on advertising spend (ROAS). On the other hand, a publisher can’t decide on the pricing model used by the ads featured on their website.

     6. Are There Differences in Payments?

Advertisers can decide on their ad spending by selecting a maximum bid amount per keyword. Meanwhile, publishers don't have any control over the cost-per-click of ads. They simply earn by publishing for Google. Publishers can increase their revenue by creating websites for a specific industry and develop ways to boost traffic to their websites.

Final Words

Google AdSense is for online publishers who want to monetize their websites by hosting ads. Google Ads can help marketers and advertisers who wish to promote their products or services through Google's vast network. Whether you're a marketer or a publisher, using these Google platforms properly can lead to tremendous benefits.