How the heck do Ads make money?

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I heard they make money through user clicks, I don’t remember giving any money to anyone. Is clicking ads like mining bitcoins?

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Anonymous 0 Comments

>I heard they make money through user clicks

Yes they do

>I don’t remember giving any money to anyone

The money isn’t from you, it’s from the company that is buying the advertising space from the website. It’s like when a company pays to put an ad on a billboard, expect it goes on a website instead.

Example: Nike goes to Google and says “Hey can you show people an ad for our shoes? We (Nike) will pay you (Google) $1 for every 1000 people that see/click on the ad”. Google agrees, includes Nike ads in the search results for “sneakers”, and Nike pays Google per click on the ad, or per views.

So when Google is showing you Nike ads, those ads are making money *for Google*, and *costing* money for Nike who bought the advertising space. The money doesn’t come from the people clicking on the ads, it comes from the company paying for the ad space.

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