Pay per Click
A Pay
per click strategy can be very useful within the early days of
your website. You pay x amount per click every time someone
clicks on a particular word or search term and visits your
website. How much you pay depends on how popular the keyword is
and what position on the website you bid for (the higher the
position, the higher the cost).
Before you consider this route, you will have
to understand very well how each system works and ensure that
it pays for you (is cost effective).The reason why pay per
click should be considered early on is because your website is
not likely to achieve a lot of traffic for 6 months or longer.
Even brilliantly put together websites, with links, great
content etc mature over time with the search engines. So, one
way to get some initial business is to pay for targeted
traffic.
The two pay per click systems we recommend
are:
Once you are getting tons of targeted traffic,
you probably will not want to pay for traffic. In the mean
time be very careful, we advise the following when using a
pay per click campaign.
- Know what you can afford per click: If your product
sells for $120 and your costs are $20, your profit
margin is $100.
If you pay for 1000 clicks
at 1$ per click and sell 20 products you make $2000=ROI (return
on Investment) =2$ per click
Alternatively if you sold 10 products you would
have received $1000 and so would have broken even, earning
nil profit.
To know what you can afford to click you will
need to know your profit margin and your conversion rate
(how many visitors convert to a sale i.e. 2%).
- Set a capped limit. It is your money, be careful
that you do not get carried away with the excitement of
the process.
- Bid on targeted search terms. If you are selling
golf shoes, you would not bid on shoes. The more
targeted the search term the better.
- Bid on less competitive terms. You could have more
success bidding on 100 less competitive targeted terms
than 5 highly competitive ones.
- Test in small ways, with little cost involved. Keep
testing and focus on the most successful terms. Keep
reviewing.
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