Does anyone know a good price to pay for a pay-to-click ad?
LoveLyLiLLadY asked:
I’m doing an internet marketing project where I have to make up hypothetical pay per click ads. I just have no idea what the rates are, what is considered expensive?
I’m doing an internet marketing project where I have to make up hypothetical pay per click ads. I just have no idea what the rates are, what is considered expensive?
If you do it right and advertise on lower competition keywords with a great quality score, a good price is under 10 cents per click. I have paid as little as 1 cent per click.
I am not sure what the exact nature is with your project but maybe this will help. The success rate of a pay per click campaign is determined based on 3 factors.
1) The keyword entered by user
2) The ad they click
3) The landing page they land on
When those three play in harmony the advertiser screams with joy because they are making money. The cost to get the click is not as an important factor as ROI (return on investment) is.
Try the blastyourprofit.com offers many pay to click sites that really sure to pays you.
Set-up your own Google AdWords account and run use the Keyword Tool to help build a list with CPC information. The Setup is free and you won’t be charged unless you setup an ad. Even if you don’t run an ad, you will still have access to all of the tools.
Keywords can range from $5.00 a click to $$0.05 a click…most will be between $0.50 and $1.00.
The kicker of your project will be that CPC’s don’t matter nearly as much as ROI. Through a bunch of tools like Omniture SearchCenter or DART Search, you can track how many sales you drive through your cpc campaign. Most business won’t care if you spend $100 or $100,000 as long as you make more than what you spend.
Use a conversion rate of 2% (most websites operate around that, although it is not uncommon have a higher conversion rate). Depending on what your project states, multiply your ave. sales value times how many conversions you have to find out the ave revenue amount (12 conversion x $35/sale = $420).
By using an ROAS formula, you can get the ROI (Sales Amount/ Adverting Cost).
If you can master those numbers, you will surely be able to go above and beyond your answer for your project.