How to Truly Conquer PPC as an Affiliate
OK guys...I'd love your comments on this one. I'm pretty much copying, pasting and reworking this to be relevant...
First off, you need to know the product’s conversion ratio. This is simply a ratio of buyers to website visitors. You can usually ask the product owner/webmaster for this figure. If he/she can't provide you with that statistic, then you probably don't need to be promoting their product, as they're not even that well informed of their own sales data. This would make me question the validity of their product and their sales page.
Like I said, you can usually find out the conversion ratio of a product by simply asking the product owner.
Now, multiply that by the price of the product, and then multiply THAT by how much your affiliate commission is.
EXAMPLE:
You're promoting a $47 product, that converts at 3% and your get paid 60% per sale that you refer.
So, $47 x 0.03 (3% conversion) x 0.60 (60% commission) = $0.84
So what does $0.84 mean? Well, this is how much you should ‘virtually’ get for every person you refer to the product's website. So, for this example, your ‘visitor value’ is $0.84 and you should virtually earn $0.84 for every person you send to their site.
So what does this have to do with PPC?
Well...don't bid more than the visitor value!
In our example, the visitor value was $0.84. So, when I start creating PPC campaigns via Adwords or GoClick or Bidvertiser...I'm going to make my bids less than $0.84. Just to be on the safe side, I'd probably would bid more than HALF of that.
When researching keywords and the estimated CPC (cost per click) across the network, don't get involved in keywords where the average or estimated CPC exceeds your visitor value.
That's why you hear a lot of talk of focusing on 'long-tail' keywords instead of broader one or 2-word keywords. The long tail keywords get less searches, and most of the time you get more targeted traffic too. In the end, you'll find less competition when bidding on those keywords, and you'll find lower CPCs, too.
So, like I said...find out the 'visitor value' for the product you want to promote, and make sure you don't bid more than the visitor value on a click. Point blank.
Hope this helps you guys out...and definitely throw me some feedback on this.
|
Linear Mode
