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June 13th, 2006, 04:26 PM #1Ad 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?
June 13th, 2006, 05:00 PM #2
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.
June 13th, 2006, 05:18 PM #3On one hand you say you'r in the black, but you also say you have neg ROI
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
June 13th, 2006, 08:08 PM #4
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.
June 13th, 2006, 09:01 PM #5I go for 300 minimum and try to reach 500
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.
June 13th, 2006, 09:20 PM #6
- Join Date
- January 18th, 2005
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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