Before You Start a PPC Campaign You Need To Know 2 Things.

Optimization is one of the most common problems beginners have when using PPC ( PPC) advertising, like Google Adwords. 

Simply choosing some good keywords and paying a high Cost Per Click (CPC) rate isn’t going to keep you in business long. There’s really some simple mathematics behind it that can significantly help you in finding your way to profitable PPC campaigns. 

Before you start a PPC ad 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’re able to your website (on average) before a sale is done (Note: you should be in a position to get statistical data from your internet host that list the quantity of unique visitors to your website on a given day.

Let’s say you sell a dog training course for $47.00 and you work out your profit to be $40.00 per sale. You find that your internet site gets 100 unique visitors before you generate one sale.

So, taking the info 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 money, you obviously 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 can’t spend more than .40 cents on any click in order to stay out of the negative. A good plan might 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 ( roughly ) for each click to your site. That should leave you with .15 cents profit for each shopper. Granted, not all purchasers make a purchase, but eventually 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 adverts, then you will make (on average) 1000 x .15 = $150.00 per day.

There’s the simple mathematics 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.

 

 

 

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