Selling direct ads gives you a bigger cut, because you eliminate the middlemen. Google Adsense takes like 40-50% of the cut, so you are left just with 60-50%, WordPress WordAds is similar.
With direct ads there is more management, but more profit.
If you happen to make a good blog with decent amount of traffic, you can ask decent amounts of money for direct ads, currently I sell direct ad for 5€ a pop.
As this blog is fairly new, I won’t make a lot of money, but as I populate the blog with content, I might be sitting on a fair amount of money.
If you want something to work – you need to work, right? 😀
Vygintas Varnas 