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  1. #1
    Comfortably Numb John Powell's Avatar
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    Ad Group - When to Pull the Plug
    OK so you have an ad group with all the right keywords and a beautiful ad leading to the best landing page. You have a CTR that seems fair and the keyword price is dropping. Users are clicking through to the merchant, but there is a negative ROI.

    My question is what kind of traffic into the merchant is considered statistically acceptable to determine success or failure. One doesn't want to be a quitter so how do you know when to hold em or know when to fold em?

    I have sent a merchant 40 visitors for 3 sales this month. That gives me a EPC-Month of $138.58. While I am in the black the sample size just doesn't seem big enough yet, but how big is big enough?


  2. #2
    general fuq mrbshouse's Avatar
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    On one hand you say you'r in the black, but you also say you have neg ROI. You still have to factor in returns and cookies reporting after the initial click.

    Neg ROI says enough for me, but you'll need a few clicks to tell what is what..100 or less depending on what your losses (if any) and CPC are. If the advertiser has a problem, they will tell you....watch your bottom line and any defined keyword limitations.

  3. #3
    Comfortably Numb John Powell's Avatar
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    On one hand you say you'r in the black, but you also say you have neg ROI
    Sorry to be unclear. I was trying to use two different situations.

    but you'll need a few clicks to tell what is what..100 or less depending on what your losses (if any) and CPC are
    This is where my uncertainty lies. I think in statistics they call it "sample size".


  4. #4
    Lite On The Do, Heavy On The Nuts Donuts's Avatar
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    I go for 300 minimum and try to reach 500 before I make firm business decisions on the data (especially if I think it's a winner based on what else I see). Sometimes I break these rules depending on several factors, most of which you mentioned.

    In my opinion, 40 clicks/visitors is insufficient.

  5. #5
    Comfortably Numb John Powell's Avatar
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    I go for 300 minimum and try to reach 500
    Thats what I was looking for Donuts.

    I hope that storm didn't mess you all up over there. Us Hurricane target folks can feel each others pain. We hosted Rita last year.


  6. #6
    Internet Cowboy
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    Agree with Donuts. 40 visitors is not a large enough sample.

    I have a $200 rule. After $200 I re-evaluate the program, if it is a pure PPC program.

    If I am getting some natural traffic and looking to enhance it with PPC, I am a little more tolerant of a slow start. I will let the sales from the natural traffic support the PPC effort for a while.

    If you have not made a profit after 500 clicks through to the merchant from your landing page you are spinning your wheels.


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