@rameshmehay thanks for reaching out!
Am I right in thinking it reduces the resource load on mobile devices by displaying them optimally?
The AMP plugin provides a way to serve your website’s pages and posts using the AMP framework. A big goal of AMP is to provide best practices for user experience and performance to both your mobile and desktop site visitors. Depending on where your site visitors come from and what mode you are serving AMP, they would encounter this optimized version.
For Adsense, using AMP ads can also provide performance benefits, which may translate to increased traffic and time visitors spend on pages (read more here).
For configuring the AMP plugin, you are right that there are three modes to choose from. Without having details of your site, I advise you read the product website to get more familiar. A summary is as follows:
1) Reader Mode: provides an AMP version along with the non-AMP version of your site. The AMP version of your site uses the plugin’s AMP-ready reader mode templates. Using this mode is a great start if you are new to AMP (note we are expanding the variety of reader mode themes in the next version 2.0. The beta is available now.)
2) Transitional Mode: provides an AMP version along with the non-AMP version of your site. The AMP version uses your theme’s look and feel and transforms them into AMP-valid pages.
3) Standard Mode: makes your site fully AMP/ only the AMP version is available. Like Transitional mode, it takes the look and feel of your site and transforms them into AMP-valid pages.
And should the box be ticked for “Serve all templates as AMP regardless of what is being queried”?
That would depend on where you want the AMP version to be available. Some users have a preference based on their goals and site set up.
Some additional things to note:
1) If you are going to use Transitional or Standard mode, it is best to ensure that your theme and plugins are AMP-ready. AMP pages needed to follow certain specifications. If your theme or plugins add code to the AMP pages that are not compatible, then this can invalidate them (and may result in visual and functional issues). We have a list of AMP-ready plugins and themes here on our website. Reader mode is a safe option because the templates for AMP are ready to go.
2) To serve AMP ads, you’ll need to add code specifically for these types of Ads. The good news it that there are plugins that can help.
One is the Site Kit plugin if you are using Auto Ads. You can find more options for placing AMP ads on your WordPress site in this article.