Page 1 of 2 12 LastLast
Results 1 to 25 of 41
  1. #1
    MasterMike HardwareGeek's Avatar
    Join Date
    January 18th, 2005
    Posts
    3,810
    A little experiment I did
    I am a firm believer in being lazy. So I have never done ad words or advertised my site. I just put up quality content and let the spiders cast their web.

    So I did a little non scientific experiment just to see what would happen.

    I opened an ad word account and created an ad for a product, was paying .35 cents per click, it had its own landing page and the landing page focused on a particular phone.

    I then posted the same offer on my sites forum and I let the spider do their job.

    2 weeks later I have made 23 sales from the PPC ad I ran at 35 cents per click. Ad words cost me over 500 dollars, my total comish from those 23 sales was 805 dollars so I only made 305 dollars.

    For the same 2 weeks I made 43 sales from my sites forum post which I paid 0 for. 1505 straight into my pocket.


    BTW the commission paid for the product I was promoting was 35 dollars.

    I am giving up on the PPC thing, maybe I didn't do it right, this was just a test on my part nothing scientific about it others may do better than me just sharing my experience.

    But I am curious have others seen similar results?

  2. #2
    Member geoffmarcy's Avatar
    Join Date
    July 6th, 2005
    Location
    Toronto, ON
    Posts
    127
    PPC doesn't always work for me either and I'm convinced the reasons can vary greatly.

    I would be interested in knowing what kind of keywords you are bidding on for this campaign and which ones you paid on clicks for. I find the least successful PPC campaigns are often using very generic keywords that don't convert well and are overpriced. Long-tail keywords (3 words or more) are the way to go, if you ask around.

    I find in order to maintain a good ROI, you have to watch the stats closely and test everything first. Try different ads, keywords and landing pages to see what converts best.

    This is a fairly useful keyword suggestion tool and it's totally free...

    http://freekeywords.wordtracker.com/
    [B]geofferson marcy[/B]
    [I]affiliate manager[/I]
    [URL=http://www.advaliant.com]www.advaliant.com[/URL]
    [URL=http://www.dna11.com]www.dna11.com[/URL]

  3. #3
    Life is Supposed to be Fun! Rexanne's Avatar
    Join Date
    January 18th, 2005
    Location
    Los Angeles
    Posts
    12,360
    VERY interesting, thanks for sharing your findings Mike.

    I think PPC is for those who do not want to create content. It's an entirely different business model.
    Peace,

    Rexanne

    Rexanne.com
    Loving Everyone's Child Creates Magic


  4. #4
    MasterMike HardwareGeek's Avatar
    Join Date
    January 18th, 2005
    Posts
    3,810
    Quote Originally Posted by geoffmarcy
    PPC doesn't always work for me either and I'm convinced the reasons can vary greatly.

    I would be interested in knowing what kind of keywords you are bidding on for this campaign and which ones you paid on clicks for. I find the least successful PPC campaigns are often using very generic keywords that don't convert well and are overpriced. Long-tail keywords (3 words or more) are the way to go, if you ask around.

    I find in order to maintain a good ROI, you have to watch the stats closely and test everything first. Try different ads, keywords and landing pages to see what converts best.

    This is a fairly useful keyword suggestion tool and it's totally free...

    http://freekeywords.wordtracker.com/
    I don't want to reveal the product because its making me some good money right now lol.

    But the keywords were basically Product name, Free (Product name).

  5. #5
    ABW Ambassador
    Join Date
    January 18th, 2005
    Location
    Nunya, Business
    Posts
    23,684
    "2 weeks later I have made 23 sales from the PPC ad I ran at 35 cents per click. Ad words cost me over 500 dollars, my total comish from those 23 sales was 805 dollars so I only made 305 dollars."

    "I am giving up on the PPC thing, maybe I didn't do it right"

    How is that not right? $500 got you $805.

  6. #6
    MasterMike HardwareGeek's Avatar
    Join Date
    January 18th, 2005
    Posts
    3,810
    Compared to my forum post 305 profit is nothing IMO. Just made Google Richer, when I'm the one who wants to get rich

  7. #7
    Classic Rocker Mack's Avatar
    Join Date
    January 27th, 2007
    Location
    Lower Left Coast
    Posts
    1,167
    Quote Originally Posted by HardwareGeek
    2 weeks later I have made 23 sales from the PPC ad I ran at 35 cents per click. Ad words cost me over 500 dollars, my total comish from those 23 sales was 805 dollars so I only made 305 dollars.
    So that would be 610 dollars for the month. And if you did 10 campaigns just like that......

  8. #8
    MasterMike HardwareGeek's Avatar
    Join Date
    January 18th, 2005
    Posts
    3,810
    I don't know of 10 companies that sell the same product for 35 dollar comish.

    Plus the price of the keywords are bound to go up eventually

  9. #9
    Full Member ADesertRose's Avatar
    Join Date
    January 19th, 2005
    Posts
    423
    PPC is very hard to nail down formula wise, you gotta play with keywords and landing pages and watch for nonperforming stuff...about 20% of what I make off a campaign goes into the keyword bidding. You spent over 50% of what you made on the ppc campaign you tested, so yes, you made money; but I probably wouldn't continue with those stats myself. I don't mind spending 20 to pull in a hundred, but I wouldn't spend 60 to make the same 100. Not a large enough profit margin for my taste.
    Good content is going to get you traffic and add value to your site, unlike driving simple clicks from a PPC platform. I see much more long-term value there too.

  10. #10
    ABW Ambassador
    Join Date
    January 18th, 2005
    Location
    Nunya, Business
    Posts
    23,684
    "Compared to my forum post 305 profit is nothing IMO. Just made Google Richer, when I'm the one who wants to get rich"

    Compared to your forum yeah but I see it more as an addition to what you're already making. You're making money, let it roll. Most people lose money doing PPC, especially when first starting out. You're making money, don't see a reason to stop it. If it's something you want to stop, you can PM the keywords and any other info and I'll give it a shot

  11. #11
    Moderator MichaelColey's Avatar
    Join Date
    January 18th, 2005
    Location
    Mansfield, TX
    Posts
    16,232
    Quote Originally Posted by HardwareGeek
    2 weeks later I have made 23 sales from the PPC ad I ran at 35 cents per click. Ad words cost me over 500 dollars, my total comish from those 23 sales was 805 dollars so I only made 305 dollars.

    For the same 2 weeks I made 43 sales from my sites forum post which I paid 0 for. 1505 straight into my pocket.
    So you'd rather make $1505 than $1810?

    If you can make a decent profit at PPC, I'd do it. As you learn more about it, you'll just get better.
    Michael Coley
    Amazing-Bargains.com
     Affiliate Tips | Merchant Best Practices | Affiliate Friendly? | Couponing | CPA Networks? | ABW Tips | Activating Affiliates
    "Education is the most powerful weapon which you can use to change the world." Nelson Mandela

  12. #12
    Full Member KODea's Avatar
    Join Date
    May 18th, 2005
    Posts
    236
    I only wished I had started with a good organic SEO program instead of the quick PPC campaigns. At this time I spending more money with getting backlinks and blogs, than
    with PPC, I hoping to go 50/50 in the neat future.

  13. #13
    MasterMike HardwareGeek's Avatar
    Join Date
    January 18th, 2005
    Posts
    3,810
    Quote Originally Posted by MichaelColey
    So you'd rather make $1505 than $1810?

    If you can make a decent profit at PPC, I'd do it. As you learn more about it, you'll just get better.
    If I didn't spend the 500 odd dollars on PPC I would of had 2005 instead of 1810.

  14. #14
    ABW Ambassador MoneyBusiness's Avatar
    Join Date
    March 14th, 2006
    Posts
    2,051
    Mike,

    $805 in sales, $500 spent on adwords, $305 in profit. It's not huge, but good grief, it's extra money you would make, as long as you left your campaign alone (assuming it'll continue that route). I'd be happy to spend $500 out of my pocket to make $300, and it's something I do with multiple websites - with a bit more spent on Adwords per month.

    Rexanne,

    I'm not sure blanketing all PPC'ers that way is right. It may have been the case back in the day (or at least more often than now), but that kind of PPC activity (with no content) doesn't work well at all anymore, unless you're linking direct-to-merchant. This is assuming the use of Adwords and Google's new algorithms.

    I love writing content (as tedious as it can be sometimes), and paying others to write content. Aside from also getting the search engines to index and send traffic, I also advertise via PPC. It's a good combo that's worked pretty darn well for me, and unless there's some good reason for it, I'm not sure why more aren't following that idea...

  15. #15
    MasterMike HardwareGeek's Avatar
    Join Date
    January 18th, 2005
    Posts
    3,810
    I guess I was hoping to make more than what I did by spending 500 dollars. I'm spoiled I guess.

  16. #16
    Moderator MichaelColey's Avatar
    Join Date
    January 18th, 2005
    Location
    Mansfield, TX
    Posts
    16,232
    The nice thing about PPC is that it's so scalable. If you can spend $500, earn $805, and profit $305 just from a single product, look for others. Find 19 others like that, and you're making $6k/month. Find 99 others like it, and you're making $30k/month.

    Where else can you make 60% on your money in two weeks? You turned $500 into $805.
    Michael Coley
    Amazing-Bargains.com
     Affiliate Tips | Merchant Best Practices | Affiliate Friendly? | Couponing | CPA Networks? | ABW Tips | Activating Affiliates
    "Education is the most powerful weapon which you can use to change the world." Nelson Mandela

  17. #17
    .
    Join Date
    January 18th, 2005
    Posts
    2,973
    OK, I really don't get it. You spent $500 and generated $800 in commissions, for $300 gross profit from that activity. That's a 60% ROI.

    Why would you turn it off? Why would you "close" a channel of profit? I can understand if you say that the time spent on AdWords campaign management isn't justified by the return, or if you earn more per hour spent on improving and promoting natural search for your content sites. But why not ADD the AdWords activity to your other activity, and get both sources of revenue? That's what I do.

    Another issue: have you tested the results if you reduce your bid amount? If you spent 35 cents each to get sales that brought an ROI of 60%, then perhaps if you bid 20 cents each you'd get an ROI of 200% (on a lower spend and lower sales).

    I generally don't chase bid amounts up to 35 cents if the ROI is only 60% -- indeed, most of my PPC activity is below 20 cents per click. That makes it easier to get positive ROI, and reduces the risk of negative ROI from activity.

  18. #18
    Internet Cowboy
    Join Date
    January 18th, 2005
    Posts
    4,662
    Mike,
    Think of it like this. When you go to carwash A, put a dollar in the coin changer, you get 4 quarters. Go to carwash B, put a dollar in the coin changer and get 6 quarters. Which one will you do?
    At 50% + ROI, you should continue to run the PPC. Sure, it makes Google richer, but it is also making you money. As for the cost of the clicks increasing, write your ads well and send them to a good landing page and you have a nice chance of seeing the cost of your clicks go down over time. Competition can drive them up, but beating the competition at quality can drive them down.

    Try more of this. There are always going to be losers, just notice them and stop those efforts and move on to the next thing. You will be amazed at how much income you can add to your bottom line by using PPC properly.


  19. #19
    ABW Ambassador Snib's Avatar
    Join Date
    January 18th, 2005
    Location
    Virginia
    Posts
    5,303
    Wish I had a 60% ROI on my first try. Just think if you can do this well right out of the gate what will happen if you really put some serious time and thought into it?

    - Scott
    Hatred stirs up strife, But love covers all transgressions.

  20. #20
    Merchant & ABW Ambassador
    Join Date
    May 31st, 2006
    Location
    Houston TX
    Posts
    4,731
    On your site/forum, you have a base of customers/members, and that does not happen over night. You already have a leg up on that.

    On PPC, you can jump into the fire and start earning lots of $$ if you are good at it. PPC guys would be all of this if they spent $500 and made $800. For a 60% ROI, I doubt that there are lots of invetment that are paying that % or return.

    I know of some PPC guys who are working on a margin of 10-15%. But then again, they are into many verticals.

    I would continue doing both things.

  21. #21
    MasterMike HardwareGeek's Avatar
    Join Date
    January 18th, 2005
    Posts
    3,810
    Quote Originally Posted by FairFieldGetaway-EricEwe
    On your site/forum, you have a base of customers/members, and that does not happen over night. You already have a leg up on that.

    On PPC, you can jump into the fire and start earning lots of $$ if you are good at it. PPC guys would be all of this if they spent $500 and made $800. For a 60% ROI, I doubt that there are lots of invetment that are paying that % or return.

    I know of some PPC guys who are working on a margin of 10-15%. But then again, they are into many verticals.

    I would continue doing both things.
    Oh my site forum I have a member base true, but this particular thread was of no real interest to my member base and I doubt any of them would buy it. I am also getting a large amount of traffic to tha thread from Google and Yahoo from the term "Free Product name no ******"

    Also the first few days I got no sales on my forum took to the 4th day of it being up before I got my first sale and from there it sky rocketed.

  22. #22
    MasterMike HardwareGeek's Avatar
    Join Date
    January 18th, 2005
    Posts
    3,810
    Quote Originally Posted by Snib
    Wish I had a 60% ROI on my first try. Just think if you can do this well right out of the gate what will happen if you really put some serious time and thought into it?

    - Scott
    Like I said at the sart of my post I'm a lazy wana be rich guy lol.

    Maybe I should narrate an ebook and sell it.

  23. #23
    Classic Rocker Mack's Avatar
    Join Date
    January 27th, 2007
    Location
    Lower Left Coast
    Posts
    1,167
    Quote Originally Posted by Snib
    Just think if you can do this well right out of the gate what will happen if you really put some serious time and thought into it?
    - Scott
    That the part where I usually go wrong.

  24. #24
    Analytics Dude Kevin's Avatar
    Join Date
    January 18th, 2005
    Location
    Rochester, NY
    Posts
    5,904
    Interesting Mike. That is a good ROI though, as mentioned before.

    Many, many, many affiliates would kill for that

    PPC is always interesting for affiliates though. Aff margins are thinner than merchant margins, making the affiliate have to be BETTER at it than the merchants.

    But as any good affiliate manager or OPM will tell you, it's better for merchants (especially smaller and less web savvy ones) to let their experienced affiliates handle the PPC for you....
    Kevin Webster
    twitter: levelanalytics

    Kayak Fishing
    Web Analytics and Affiliate Marketing

  25. #25
    Merchant & ABW Ambassador
    Join Date
    May 31st, 2006
    Location
    Houston TX
    Posts
    4,731
    Quote Originally Posted by HardwareGeek
    Oh my site forum I have a member base true, but this particular thread was of no real interest to my member base and I doubt any of them would buy it. I am also getting a large amount of traffic to tha thread from Google and Yahoo from the term "Free Product name no ******"

    Also the first few days I got no sales on my forum took to the 4th day of it being up before I got my first sale and from there it sky rocketed.
    In those SEO terms, your site gives you authority.

    It would be hard for a PPC guy to accomplish what you are doing cos it takes time and lots of effort.

    I think SEO is one of the best way but if you are good at PPC and have no establish website, PPC can make a person a millionair too. I have interviewed with companies that does PPC as their core business. They are about a 5-10 men / woman operation and they are well paid.

    Like what coley said, if you can make more and not see red in for both programs, GO FOR IT

+ Reply to Thread
Page 1 of 2 12 LastLast

Similar Threads

  1. Affiliate Blogging Experiment
    By applesofgoldjewelry in forum Midnight Cafe'
    Replies: 2
    Last Post: February 17th, 2009, 11:38 PM
  2. Link Experiment
    By Core in forum Midnight Cafe'
    Replies: 7
    Last Post: March 21st, 2007, 01:59 PM
  3. Experiment
    By icicle in forum Midnight Cafe'
    Replies: 0
    Last Post: April 23rd, 2002, 09:44 PM

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •