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How Much Profit is a Sufficient Amount? Read This.
Posted in Network Marketing
Optimization is an example of the most typical issues amateurs have when using PPC advertising, like Google Adwords.
Simply selecting a few good keywords and paying a high Cost Per Click ( CPC ) rate isn’t going to keep you in business long. There’s basically some simple arithmetic behind it that will noticeably help you to find your way to profitable PPC campaigns.
Before you start a PPC advert campaign to sell your products, you need to know the following two things:
1.How much profit you make from each sale
2.How many unique visitors you get to to your website (on average) before a sale is made( Note: you should be in a position to get statistics from your internet host that list the amount of unique visitors to your site on a given day.
Let’s say you sell a dog coaching course for $47.00 and you figure out your profit to be $40.00 per sale. You find that your site gets 100 unique visitors before you generate 1 sale.
So, taking the information above… For each unique visitor, you can pay $40.00 / 100 = 0.40 cents to break even, make no money and lose no money. However, since your goal is to earn income, you clearly need to pay less for each unique visitor.
Now when you research the keywords and keyphrases to be employed in your PPC campaign, you now know that you cannot spend more than .40 cents on any click in order to stay out of the negative. A good technique could be to find the keywords and keyprases which will get you a decent Adrank which is the position of your ad with a price of .25 cents or less.
Let’s say you target to pay .25 cents ( approximately ) for each click to your internet site. That should leave you with .15 cents profit for each customer. Granted, not all customers make a purchase, but ultimately if your conversion rates stay the same you should average .15 cents profit on each click.
If you make .15 cents on each unique visitor, and you drive 1000 unique visitors to your site every day through your PPC advertisements, then you’ll make ( roughly ) 1000 x .15 = $150.00 per day.
There’s the easy math behind PPC advertising…
If you are serious about making money with Google Adwords, then you really need to take Chad Trents Profits Blueprint Course. Working From Home Is Hard, If You Have The Wrong Information.