Banner advertising is FREE. And Banners Do Make Money.
It is no secret that banners make money provided you choose your merchant program carefully and have enough traffic accessing your site. In my experience once you reach around 100 visitors a day is a good time to add a few banners to your blog.
How Do I Make Money from Banners on My Blogger Blog?
Affiliate marketing banners make money for the publisher - that's you. When you place a banner on your blog the affiliate program gives you a snippet of code to add to your template which makes the banner display and identifies you as the publisher. When a visitor clicks on a banner on your website that click is recorded as originating from your site and you make money as a result of that click. Depending on the merchant program that you have signed up for you can earn a commission for providing a lead, or receive a percentage of the sale.
An Example of How Banners Work
After having placed your banner ad on your Blogger blog your site gets 100 visitors in a day. Out of that 100 people 5 people click on a banner which takes them through to the merchant's website. From those 5 people one person makes a purchase of around $100.00. Assuming your commission is 10% of the sale you have just made yourself $10.00. It's that easy.
Making the Most Out of Advertising Banners
To make money from banner ads you need volume as only a small percentage of your visitors will take any notice of the advertising on your blog and only a much smaller percentage of that pool will actually buy anything once they click. That's why it is really important that you focus your energies on building site traffic. If you need to grow your traffic read my articles on tips to increase traffic to your Blogger blog.
Of course you do need to choose your affiliate banners carefully as obviously some advertising will have more appeal than others. To some extent this is a matter of trial and error as you can never be completely sure how a banner will perform until you try it. You can increase the odds of success however, by choosing merchant programs that are related to your blog in some way. For instance if your blog is about cars then advertisers of car accessories like audio units would be a good place to start.
How Do I Add Affiliate Banners to My Blogger Blog?
Adding affiliate banners to your blog is pretty easy. Pretty much copy and paste stuff which anyone can do. Please read my article providing step by step instructions on how to Add Affiliate Banner Ads to the Blogger Sidebar of your Blogger blog if you are unsure. If you want to place a banner in the header of your blog please refer to Add an Affiliate Banner to Blogger Header
Disadvantages of Banner Ads
Too many banner ads can give your visitors the impression you are just in it for the money. So make sure you don't go overboard with too much advertising that will overshadow or detract from the content of your blog. Remember less is more so place your banners ads strategically on your blog. I like a small cluster of about 4 banner ads usually 125x125 somewhere fairly close to the top in the sidebar and a 468x60 banner in the header. The header is a prime position for an effective banner advertising campaign. Read more about how to place a banner ad in the header of your Blogger blog in my adding banners to Blogger series of tutorials.
The other main problem with banner ads is that they encourage visitors to leave your site and as we all know one of the hardest jobs is to attract the visitor in the first place. Do you really want them leaving your site before they have had a chance to look around? I don't think so. Only place banner ads on your blog that you are confident will reap you some rewards otherwise forget it. You might actually lose traffic if you provide too many inducements to leave your site.
Banner Ads Make Money
In this article I have discussed banner advertising as it relates to Blogger Blogspot blogs. You have learned a little about how affiliate programs work and how you might use banner ads on your own blog to make extra money. For tutorials on adding banner ads to your Blogger Blogspot blog please refer to Add Affiliate Banner Ads to a Blogger Sidebar and Add an Affiliate Banner to Blogger Header.