Quote:
Originally Posted by georgeyw
Your click/$ method is deeply flawed. It does not take into account time &/or expenses.
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Yes it does. As mentioned a few times earlier in the thread, we are talking about NET $/click.
In order to determine your $/click you need to figure out two simple things.
1 - Exactly how much total value did you get. That includes any cash paid to you, branding value, bonus amounts, traffic deals, ancillary business etc.. Depending on your business model the total value may be as simple as 'the check says X and that's the total' or it can become very complicated as it does in my case since I operate affiliate sites, paysites of my own, service provider sites and so on. If you can not figure out your own total value received, you are seriously in the wrong business. If you can't figure out someone else's total value, don't worry... knowing it wouldn't help you anyway.
2 - You must know the exact cost per click you sent. Not all clicks are the same. Creating a review site and sending clicks from it has a much higher cost per click than creating a landing page and trading traffic to it. Buying clicks are all at different prices depending on the source, niche, volume and so on. Again, you must be able to determine your own cost per click or you are lost... but it makes no difference whether or not you think you can accurately ascertain the cost someone else is expending to get clicks.
Once you know your total value received and your complete cost per click, you are ready to divide one by the other to determine your own NET $/click. Without that calculation you as well take your money, pass it through a blender and stuff it in your ass...
Now that you know your own NET $/click you have a decision to make. Am I happy with where the traffic is going now and unwilling to risk trying another sponsor? Do I want to send to many sponsors to reduce risk or go with a single sponsor to increase my status with a particular program? How can I squeeze the maximum value out of each click, and how can I reduce the cost of acquiring each click as much as possible? THAT is what you do for a living as an affiliate. Everything else is nonsense.
If creating clicks for a sponsor is too costly... find another way to do it or find another sponsor. If the value you receive is too low, find a better sponsor or build a better alternative yourself.
Read the post above. You are right that I did not invent this.... It was explained to me very early in my web career by people who took the time to educate me. Quiet, Sheri, Easton, Pornwolf, Noone, Shok and dozens of other people who were kind enough to show me how to make money at this.... the big difference is I listened when other people taught me a clearer way to think and so did many others back then... now it seems people are more interested in drama than they are in profitability.
