Adwords or Pay-per-Click (PPC) advertising is, essentially, the 21st century equivalent of direct marketing, allowing advertisers to test ideas in hours rather than months; and it can be done very effectively for a few hundred dollars and certainly considerably less than thousands. The big advantage of this approach is that you can save yourself a lot of money in the long run and take away the majority of the risk involved with starting a new business.
You see, as a new entrepreneur, before the internet became so widespread, you would start up a business based on an idea you hoped would be appealing to customers. Unless you had a lot of financial backing there was no way you could research whether or not your new business idea was profitable or not.
It would require employing a market research firm and spending tens of thousands of dollars on investigating the market. Most entrepreneurs don’t have access to that kind of money and even if they did, they might feel it would be spent better elsewhere such as on product or service development, marketing or other areas; and certainly not on simply researching the idea.
However, with PPC mechanisms, including AdWords, small business owners can now simply offer online visitors an idea and immediately test their response to it to determine whether or not it will profitable. The advantage is that this can be done with very little expenditure and it can be done in a short time span rather than having to wait for months or weeks. Essentially, you are asking the market what they want and they are answering you in real time.
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Showing posts with label Pay-Per-Click. Show all posts
Showing posts with label Pay-Per-Click. Show all posts
Wednesday, March 13, 2013
Wednesday, September 22, 2010
Cash and Pay-Per-Click Affiliate Programs
There are actually two types of PCC affiliate programs – those who pay a commission based on the number of clicks and the other based on the sales. The pay-per-click scheme is much more popular than pay-per-lead because the affiliate gets paid by just clicking the ad, regardless of whether the visitor buys from the affiliate merchant or not. Plus the chances of a visitor purchasing something from the affiliate merchant are not really that high.
How do I start?
Of course, you need to have a website. Depending on your target audience, choose the best affiliate merchant that is most related to your topic. For example, your website is about Carpentry then you can search for affiliate programs that sell tools used in carpentry.
However, if you don’t have a website, that’s not a problem. You can put up a content site about absolutely anything under the sun like ‘Taking Care of Dogs’ or ‘Decorating your own Home.’ But wait, its not over yet. We are faced by a dilemma – on how to increase traffic! You first need to get Internet surfers to see your website, then the ad.
How do I increase my traffic?
First, design your website in such a way that it will attract Internet users. A user-friendly site is always recommended so that the customers will know which one to click. Take into consideration the look and feel of the advertisement. If it doesn’t look professional, most likely, users will just ignore it. Place the ad on a strategic location – one where users can see it clearly. Visibility of the ad is always important.
Another way is to post a link to your website in forums, web communities, ezine articles or bulletin boards. However, this method requires a lot of effort – that defeats your purpose of getting easy money in the first place! The key is to do something once and forget about it. It’s like putting your business on autopilot. To maintain you pay-per-click business, be sure to track down site activity, so you are updated on how much money you are making.
Can I make more money?
If you think you can go to the next level, you can try a two-tier affiliate program. This gives you the power to recruit affiliates. Other than the money you get from your website’s clicks, you will also get a percentage of what your affiliate generates. Some companies give 30% to a soaring 50% commission on all referral sales.
Remember, you should be able to manage and monitor your affiliate program. If you can recruit more affiliates, then you can get paid more without even moving a finger! Choose affiliates that can most likely attract more Internet users and bring more traffic. You just have to know the right people.
More Articles.: Quality Guidelines Of Google Adword / Read about Ads / Web 2.0 Ad Serving[ The Money making of a Niche ::Free Data Entry Work :: Imtiaztips Weblog :: Free Webmaster Articles :: More iPod Articles :: Download Freeware Software :: Updated Contents about Google AdSense for NEWBIES. ::ImtiazTips Online Business ]
How do I start?
Of course, you need to have a website. Depending on your target audience, choose the best affiliate merchant that is most related to your topic. For example, your website is about Carpentry then you can search for affiliate programs that sell tools used in carpentry.
However, if you don’t have a website, that’s not a problem. You can put up a content site about absolutely anything under the sun like ‘Taking Care of Dogs’ or ‘Decorating your own Home.’ But wait, its not over yet. We are faced by a dilemma – on how to increase traffic! You first need to get Internet surfers to see your website, then the ad.
How do I increase my traffic?
First, design your website in such a way that it will attract Internet users. A user-friendly site is always recommended so that the customers will know which one to click. Take into consideration the look and feel of the advertisement. If it doesn’t look professional, most likely, users will just ignore it. Place the ad on a strategic location – one where users can see it clearly. Visibility of the ad is always important.
Another way is to post a link to your website in forums, web communities, ezine articles or bulletin boards. However, this method requires a lot of effort – that defeats your purpose of getting easy money in the first place! The key is to do something once and forget about it. It’s like putting your business on autopilot. To maintain you pay-per-click business, be sure to track down site activity, so you are updated on how much money you are making.
Can I make more money?
If you think you can go to the next level, you can try a two-tier affiliate program. This gives you the power to recruit affiliates. Other than the money you get from your website’s clicks, you will also get a percentage of what your affiliate generates. Some companies give 30% to a soaring 50% commission on all referral sales.
Remember, you should be able to manage and monitor your affiliate program. If you can recruit more affiliates, then you can get paid more without even moving a finger! Choose affiliates that can most likely attract more Internet users and bring more traffic. You just have to know the right people.
More Articles.: Quality Guidelines Of Google Adword / Read about Ads / Web 2.0 Ad Serving[ The Money making of a Niche ::Free Data Entry Work :: Imtiaztips Weblog :: Free Webmaster Articles :: More iPod Articles :: Download Freeware Software :: Updated Contents about Google AdSense for NEWBIES. ::ImtiazTips Online Business ]
Wednesday, September 15, 2010
Thinking about the whole Pay-Per-Click model.
Pay-per-click (PPC) has been around for more a decade, and while Google has made some positive changes to it, it's showing its age. If you think of the Internet advertising process as a series of actions, it would go like this:
Impression -> Click -> Action
Back in the old days the metric was CPM (cost per thousand), and advertisers paid per impression (getting the ad on the screen). CPM favored the publisher over the advertiser, as the publisher's responsibility ended at the first part of the process. DoubleClick, an early ad serving company, came up with their DART system to match the right advertiser with the right screen in order to maximize the return on CPM.
PPC moved the metric forward in the process, measuring success (and payment) based not on how many times the ad was served, but how many times it was actually clicked. When most people think of PPC they think of Adsense, Google's contextual advertising engine. But PPC is employed in banner advertising, on big ad farms like Doubleclick and other companies, and in some affiliate programs, though the number seems to be waning.
The latest incarnation of search engine based PPC (thanks to Google), works like this: you select keywords that you think people will use to search for stuff related to what you sell. For example, if you sell pretzel dough you might want to advertise under pretzels or making pretzels or something along those lines. Selecting keywords is way beyond the scope of this article, but there are plenty of companies out there that make a living helping you pick keywords.
Anyway, you then bid on those keywords and your ad is shown on the page with the search results.
With Adsense Google moved the context from the search engine results page to your web site content. It reads your site and decides what keywords to use to display advertising on your site, just as it would with a Google search.
For affiliate programs it's a little different, but the concept is the same. You choose the ads (or pay someone a piece of the action to choose the ads for you), and they get displayed on your pages. Rather than selecting the keywords explicitly, you are selecting the ads based on what you (or your agent) thinks people who have chosen to read your content may have an interest in seeing.
When someone clicks on the ad, you get paid. It's that simple.
For Adsense, appearing first on the list makes all the difference. A study suggests that being the #1 choice increases your chance of being clicked by up to 40%, because a lot of people don't look past the first entry (I always check the first few). The difference in bids between the first position and second position could be staggering. For example, 1900 people searched Google for the word tax yesterday. The top spot in Adsense would have cost you $25.12. Positions 2 and 3 drop to $6.96, and 4 and 5 would have cost you $4.24.
My experience with Adsense tells me that in this case the first position would probably pay Google close to $10.
As the publisher, this is a home run. Every time the person clicks I get a $5 bill. God, what a country!
As the advertiser, $10 to get the person in the door seems like a lot of money to me. If I'm selling a high margin item (like maybe tax software or one of those quickie tax loans), it seems like it may be okay.
But I still have to get them to buy. Conversion rates (getting the person to take some action once they've clicked on the ad and gone to your site) vary wildly, but I always use 1.5 - 3% of those who click on an ad. That means that 97 - 98.5% of the people who click on the ad do not buy. Let's use 2% as an example. That means that for all the five dollar bills flying into the publisher's pocket, only about 2 people out of every hundred will buy anything. So for every $1000 I spend I get 20 sales. That means that every sale costs me $50. Your results will vary, of course, depending on how targeted your keywords are and your industry and offer. Get the conversion up to 5%, for example, and you will be down to $20 per sale, which is a little better. I am designing a what-if tool to help with this, and I'll post it when it's ready.
One of the reasons for low conversion is probably click fraud. If an unscrupulous person wants to make money in PPC, all he needs to do is find a bunch of people (or computers) to click on the ads on his website continually, and he'll reap the rewards.
Barron's believes that the smart money is getting out of PPC. They cite FTD as an example:
Flower giant FTD Group (FTD) recently complained about the high price of search advertising. "During the Christmas season, certain online search engine costs increased significantly over the prior year, and as such we made the decision not to pursue the resulting high-cost order volume," said Michael Soenen, chief executive officer.
First off, let me just say that as an advertising exec I pitched FTD, and they didn't strike me as the brightest bulbs in the chandelier. That being said, it's easy to see why FTD wants out. Being #1 or #2 in the keyword Flowers around Valentine's Day would have cost between $6.25 and $10.00. There were 100,000 searches on the days close to VD on that keyword, and 11,500 on Flowers Delivered, which would have cost between $5.03 and $6.72.
Some simple arithmetic shows me that FTD nets about $6.20 per transaction across its network. So the transaction is either a wash or a loss. FTD is the number 1 ad on Google for their keywords, so I guess they decided to eat that first transaction, counting on continuity to save them. According to Barron's this isn't going to work either:
One industry executive noted that the lifetime value of a customer acquired through Google for his/her business had approached zero. Oops. So much for that theory.
So the answer seems to be that the big guys are getting out. Using the flowers example, though, the top 5 ads are FTD, ProFlowers, Hallmark, 1-800-Flowers and Teleflora. So I guess it's going to happen over time. So where is the future? According to the inventor of pay-per-click himself, Bill Gross (formerly of GoTo.com), the future is in pay-per-action, which moves the metric down to the final part of the Internet advertising transaction, where we think it belongs. There's a terrific article on Seochat.com that has more information on this. Pay-per-action is simple both parties have a stake in the outcome of the click.
More Articles.: Quality Guidelines Of Google Adword / Read about Ads / Web 2.0 Ad Serving
[ The Money making of a Niche ::Free Data Entry Work :: Imtiaztips Weblog :: Free Webmaster Articles :: More iPod Articles :: Download Freeware Software :: Updated Contents about Google AdSense for NEWBIES. ::ImtiazTips Online Business ]
Impression -> Click -> Action
Back in the old days the metric was CPM (cost per thousand), and advertisers paid per impression (getting the ad on the screen). CPM favored the publisher over the advertiser, as the publisher's responsibility ended at the first part of the process. DoubleClick, an early ad serving company, came up with their DART system to match the right advertiser with the right screen in order to maximize the return on CPM.
PPC moved the metric forward in the process, measuring success (and payment) based not on how many times the ad was served, but how many times it was actually clicked. When most people think of PPC they think of Adsense, Google's contextual advertising engine. But PPC is employed in banner advertising, on big ad farms like Doubleclick and other companies, and in some affiliate programs, though the number seems to be waning.
The latest incarnation of search engine based PPC (thanks to Google), works like this: you select keywords that you think people will use to search for stuff related to what you sell. For example, if you sell pretzel dough you might want to advertise under pretzels or making pretzels or something along those lines. Selecting keywords is way beyond the scope of this article, but there are plenty of companies out there that make a living helping you pick keywords.
Anyway, you then bid on those keywords and your ad is shown on the page with the search results.
With Adsense Google moved the context from the search engine results page to your web site content. It reads your site and decides what keywords to use to display advertising on your site, just as it would with a Google search.
For affiliate programs it's a little different, but the concept is the same. You choose the ads (or pay someone a piece of the action to choose the ads for you), and they get displayed on your pages. Rather than selecting the keywords explicitly, you are selecting the ads based on what you (or your agent) thinks people who have chosen to read your content may have an interest in seeing.
When someone clicks on the ad, you get paid. It's that simple.
For Adsense, appearing first on the list makes all the difference. A study suggests that being the #1 choice increases your chance of being clicked by up to 40%, because a lot of people don't look past the first entry (I always check the first few). The difference in bids between the first position and second position could be staggering. For example, 1900 people searched Google for the word tax yesterday. The top spot in Adsense would have cost you $25.12. Positions 2 and 3 drop to $6.96, and 4 and 5 would have cost you $4.24.
My experience with Adsense tells me that in this case the first position would probably pay Google close to $10.
As the publisher, this is a home run. Every time the person clicks I get a $5 bill. God, what a country!
As the advertiser, $10 to get the person in the door seems like a lot of money to me. If I'm selling a high margin item (like maybe tax software or one of those quickie tax loans), it seems like it may be okay.
But I still have to get them to buy. Conversion rates (getting the person to take some action once they've clicked on the ad and gone to your site) vary wildly, but I always use 1.5 - 3% of those who click on an ad. That means that 97 - 98.5% of the people who click on the ad do not buy. Let's use 2% as an example. That means that for all the five dollar bills flying into the publisher's pocket, only about 2 people out of every hundred will buy anything. So for every $1000 I spend I get 20 sales. That means that every sale costs me $50. Your results will vary, of course, depending on how targeted your keywords are and your industry and offer. Get the conversion up to 5%, for example, and you will be down to $20 per sale, which is a little better. I am designing a what-if tool to help with this, and I'll post it when it's ready.
One of the reasons for low conversion is probably click fraud. If an unscrupulous person wants to make money in PPC, all he needs to do is find a bunch of people (or computers) to click on the ads on his website continually, and he'll reap the rewards.
Barron's believes that the smart money is getting out of PPC. They cite FTD as an example:
Flower giant FTD Group (FTD) recently complained about the high price of search advertising. "During the Christmas season, certain online search engine costs increased significantly over the prior year, and as such we made the decision not to pursue the resulting high-cost order volume," said Michael Soenen, chief executive officer.
First off, let me just say that as an advertising exec I pitched FTD, and they didn't strike me as the brightest bulbs in the chandelier. That being said, it's easy to see why FTD wants out. Being #1 or #2 in the keyword Flowers around Valentine's Day would have cost between $6.25 and $10.00. There were 100,000 searches on the days close to VD on that keyword, and 11,500 on Flowers Delivered, which would have cost between $5.03 and $6.72.
Some simple arithmetic shows me that FTD nets about $6.20 per transaction across its network. So the transaction is either a wash or a loss. FTD is the number 1 ad on Google for their keywords, so I guess they decided to eat that first transaction, counting on continuity to save them. According to Barron's this isn't going to work either:
One industry executive noted that the lifetime value of a customer acquired through Google for his/her business had approached zero. Oops. So much for that theory.
So the answer seems to be that the big guys are getting out. Using the flowers example, though, the top 5 ads are FTD, ProFlowers, Hallmark, 1-800-Flowers and Teleflora. So I guess it's going to happen over time. So where is the future? According to the inventor of pay-per-click himself, Bill Gross (formerly of GoTo.com), the future is in pay-per-action, which moves the metric down to the final part of the Internet advertising transaction, where we think it belongs. There's a terrific article on Seochat.com that has more information on this. Pay-per-action is simple both parties have a stake in the outcome of the click.
More Articles.: Quality Guidelines Of Google Adword / Read about Ads / Web 2.0 Ad Serving
[ The Money making of a Niche ::Free Data Entry Work :: Imtiaztips Weblog :: Free Webmaster Articles :: More iPod Articles :: Download Freeware Software :: Updated Contents about Google AdSense for NEWBIES. ::ImtiazTips Online Business ]
Friday, August 6, 2010
4 Quick and Easy Insider Tips To Turbo-Charge Your Google Adwords’ Sales
You want to boost your clickthrough rates and slash your advertising costs moments from now, then pay close attention. Because you're about to uncover 4 surefire techniques to dominate your Adwords' listings… practically wiping-out your competition at the same time.Best of all, they're quick and easy to apply.
1. Experiment with dynamic headlines - Dynamic headlines replace your normal ad headline with what the searcher types in. So, if the searcher types, “Furniture”, this appears in the headline. And if the searcher types in a search phrase that can't fit, such as “Affordable quality furniture,” then it reverts back to your default headline.. Use it by inputting, “{KeyWord:Quality Furniture}” in the headline portion of your ad. “Quality Furniture” is your default headline.
Also, note that the “K” and “W” are capitalized in “KeyWord”. This means that the first letter in each search phrased is capitalized. For instance, “Fun Furniture,” instead of “Fun furniture” (if you had “Keyword”).
Dynamic headlines almost always significantly boost clickthrough rates. But, they also sometimes reduce the quality traffic you get.
You should experiment with dynamic headlines. If you find that an Ad Group is producing low-quality traffic, then you would toss the dynamic headline… and add a qualifier instead. Some examples of a qualifier are to add a price to your ad, using the words “For serious customers only”, “buy now”, or to use words that call-out targeted customers to click on your ad. Also, try adding words around the dynamic headline, such as, “Unique {Keyword:Furniture}”. This works best in Ad Groups with only a few keywords.
2. Test ad positions - because the highest one isn't always the best.
Keep in mind, the number 1 position usually produces the MOST traffic. However, it does not always produce the BEST quality traffic.
Instead, you can continually adjust your bids (based on several days data) to target lower positions instead. Depending on your market, you may target position three or four.
Remember, many bidders daily budgets cut off their campaigns near the end of the day. This means you get their top positions for a fraction of the cost!
3. How to use site selection correctly - The site selection option allows advertisers to place their ads on specific content sites. It is a completely different animal than search traffic. And varies from normal content ads.
Because instead of paying per click, you're paying for impressions (or how many times your ad is seen). This can be a lifesaver for some businesses and a waste of money for others. It depends on the market. Some markets produce terrible results with search traffic. But, are great for selected sites. Why?
Well, usually it's because a market is in its infancy. And your target market is NOT searching for what your have to offer. Instead, the only way they can be reached is in their communities. You must go to them. These communities might be blogs, discussion forums, or news sites. An example, might be a tool that creates video blogs.
Very few people are looking to do this. But, LOT'S of normal blog publishers may easily be convinced that this is something they need to be doing. The bottom line - if you get good results with search traffic, then you probably want to pay per click for your content advertising. The only exception is if you have a killer ad (that generates lots of clicks). Because it will be cheaper to pay for impressions.
4. Put your best performing text ad on your banner.
Most advertisers either stick only with text ads. Or they use ineffective banner ads. These are costly mistakes. The smart way to do it is to find a very effective text ad. Then, put it on your banner ad. You will find that these normally out-perform your text ads. And will be your most profitable. Images may say a thousands words, but it's the right words that close more sales!
Please visit: ImtiazTips- Webmaster Articles & Website Design, Development Tutorial for more information about web design.[The Money making of a Niche ::Free Data Entry Work :: Imtiaztips Weblog :: Free Webmaster Articles :: More iPod Articles :: Download Freeware Software :: Updated Contents about Google AdSense for NEWBIES.]
1. Experiment with dynamic headlines - Dynamic headlines replace your normal ad headline with what the searcher types in. So, if the searcher types, “Furniture”, this appears in the headline. And if the searcher types in a search phrase that can't fit, such as “Affordable quality furniture,” then it reverts back to your default headline.. Use it by inputting, “{KeyWord:Quality Furniture}” in the headline portion of your ad. “Quality Furniture” is your default headline.
Also, note that the “K” and “W” are capitalized in “KeyWord”. This means that the first letter in each search phrased is capitalized. For instance, “Fun Furniture,” instead of “Fun furniture” (if you had “Keyword”).
Dynamic headlines almost always significantly boost clickthrough rates. But, they also sometimes reduce the quality traffic you get.
You should experiment with dynamic headlines. If you find that an Ad Group is producing low-quality traffic, then you would toss the dynamic headline… and add a qualifier instead. Some examples of a qualifier are to add a price to your ad, using the words “For serious customers only”, “buy now”, or to use words that call-out targeted customers to click on your ad. Also, try adding words around the dynamic headline, such as, “Unique {Keyword:Furniture}”. This works best in Ad Groups with only a few keywords.
2. Test ad positions - because the highest one isn't always the best.
Keep in mind, the number 1 position usually produces the MOST traffic. However, it does not always produce the BEST quality traffic.
Instead, you can continually adjust your bids (based on several days data) to target lower positions instead. Depending on your market, you may target position three or four.
Remember, many bidders daily budgets cut off their campaigns near the end of the day. This means you get their top positions for a fraction of the cost!
3. How to use site selection correctly - The site selection option allows advertisers to place their ads on specific content sites. It is a completely different animal than search traffic. And varies from normal content ads.
Because instead of paying per click, you're paying for impressions (or how many times your ad is seen). This can be a lifesaver for some businesses and a waste of money for others. It depends on the market. Some markets produce terrible results with search traffic. But, are great for selected sites. Why?
Well, usually it's because a market is in its infancy. And your target market is NOT searching for what your have to offer. Instead, the only way they can be reached is in their communities. You must go to them. These communities might be blogs, discussion forums, or news sites. An example, might be a tool that creates video blogs.
Very few people are looking to do this. But, LOT'S of normal blog publishers may easily be convinced that this is something they need to be doing. The bottom line - if you get good results with search traffic, then you probably want to pay per click for your content advertising. The only exception is if you have a killer ad (that generates lots of clicks). Because it will be cheaper to pay for impressions.
4. Put your best performing text ad on your banner.
Most advertisers either stick only with text ads. Or they use ineffective banner ads. These are costly mistakes. The smart way to do it is to find a very effective text ad. Then, put it on your banner ad. You will find that these normally out-perform your text ads. And will be your most profitable. Images may say a thousands words, but it's the right words that close more sales!
Please visit: ImtiazTips- Webmaster Articles & Website Design, Development Tutorial for more information about web design.[The Money making of a Niche ::Free Data Entry Work :: Imtiaztips Weblog :: Free Webmaster Articles :: More iPod Articles :: Download Freeware Software :: Updated Contents about Google AdSense for NEWBIES.]
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