How to Create your Ads, And How to optimize your ads

The choice of AdSense formats can be overwhelming. Many people let Google decide for them, preferring to stick with the default settings that AdSense provides.
Big mistake!

From my own experience I can tell you that’s like swapping a hundred-dollar bill for a ten-dollar bill. For almost a year I settled for just a tenth of what I could have been making just because I didn’t bother to control the look and placement of my AdSense units.

The various ad formats, colors and locations on the Web page can make up thousands of different combinations. You can literally spend hours every day experimenting with every possible combination. But you don’t want to, do you?
Ultimately, there are three ways to increase your AdSense revenue.

1. Tweak the Ads

Even small changes to the appearance of your AdSense units can have a dramatic effect on the clickthrough rate;

2. Optimize your Website

The context in which the ads appear is important too. What Google calls 'content relevance' will affect the kinds of ads you receive, and the value of the clicks on those ads.

3. Track Visitor Response

If you don't know what works (and what doesn't work) in trying to increase your AdSense revenue, you're shooting arrows in the dark! Analyzing your stats can reveal a great deal about your visitors and answer fundamental questions such as what they're looking for and what makes them click. Once you've figured that out, you're on your way to big AdSense bucks.

Remember this  golden rule: Don’t let your AdSense units look like ads! People don't visit your website for ads. They want good content.