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May 23rd, 2011, 11:20 AM #1
Is my math correct?
- Join Date
- May 23rd, 2011
I am brand new to affiliate marketing and had a questions regarding revenue statistics and term definition.
From what I understand, and please correct me if I am wrong, Click Through Rate (CTR) refers to the number of clicks from your site to product site. Earnings Per Click (EPC) refers to the average revenue per click based on average sales, commissions and conversion rate.
So if my CTR is 5% and the EPC is $.20 then 10,000 visitors would produce $100. 10,000 visitors x 5% = 500 click x $0.20 per click = $100. ( I recognize that this is just an average not a set amount.
I have seen some numbers suggesting CTR is around 1% meaning the same 10000 visitors would produce $20.
Is this math correct or am I missing something?
Does the CTR differ on banner vs product vs text links? And if so by how much?
Thanks for the help.
May 23rd, 2011, 02:59 PM #2
Unfortunately, the definition of EPC can differ on a per-network basis. So for example, EPC on Commission Junction is measured on a per 100 clicks basis, where as on the eBay Partner Network, EPC is measured per single click.
So for eBay, your original calculation is correct.
For Commission Junction, the earnings is actually $1.00
10,000 visitors x 5% = (500 click / 100) x $0.20 per click = $1
Last edited by isellstuff; May 23rd, 2011 at 03:01 PM.Merchants, any data you provide to Google Shopping should also be in your affiliate network datafeed. More data means more sales!
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