I'm a bit stuck on a problem relating to statistics in photon counting. I'm measuring a spectra with a spectrometer and can set a measurement time and number of times to repeat the measurement in order to get an average. I know that a stream of photons exhibits shot noise and can be modeled by a Poisson distribution, yielding a standard deviation of $\sqrt{N}$.
So if I plot the results of a large number of measurements as a histogram, the standard deviation would be $\sqrt{N}$. If this is true then what advantage does taking the average of a number of photon counting measurements have? The values clearly gets closer to its 'true' average, but the standard deviation always remains $\sqrt{N}$.
In my head I have this idea that taking a larger number of measurements should reduce the standard deviation. Is this something inherently different in 'randomly' occurring events as in a Poisson distribution?
EDIT: Okay I just got a bit confused. I think it's just the standard error of the mean. The square root of the average number of photons would be the standard deviation of the distribution. And then the SE of the mean is equal to that divided by the square root of the amount of measurements.
$s_{mean}=\frac{\sqrt{N_{photons,avg}}}{\sqrt{N_{measurements}}}$