Google AdWords profitablity and average CPC and $$ per click costumer value
 

Just a rant..Comparing data for the past couple of years, I've come to an conclusion: Adwords is too expensive. :)

As a base of reference I'll take into account the quality of traffic sources, which IMO, arranged (from low to high) grade like this:

#9 - (worst) Mailers, spam
#8 - Traffic brokers (Chokers etc)
#7 - TGP gallery traffic, free listings
#6 - SEO (black hat)
#5 - SEO (white)
#4 - MPG, free listings
#3 - PPC (adult search engines)
#2 - Partner TGP/MPG listings on quality TGP sites
#1 - Typein traffic

IMO, typein traffic, being on top of this ladder, if properly managed, can produce $$ per unique from $0.01 to $0.26

Now, this averages at around $0.10 per click (40+ sponsors) over the period of the last 3 years.

If you filter out the low converting sponsor, that leaves you with a list of 10 or so sponsors I've tried that make from $0.15 to $0.26 per unique visitor.

The #1 spot belonged to a program that isn't active anymore (its active but doesnt make sales at all) and the following programs from #2 to #5 make the following:

#2 - $0.19
#3 - $0.16 (after switch to Executive stats, stopped making sales)
#4 - $0.15
#5 - $0.09

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So, my point is, if the best traffic source online averages at $0.10 per click and Google sells spots (for adult) with minimum $0.10 (yet, quality of traffic is up to five time worse)... google is overcharging and leaving a dead zone for other search engine opportunists to fill in offering cheaper CPC (MSN, yahoo).

...

I agree on that. They should drop thier price to about 7 cents min. Anf that would be much better.

I love adwords.

who cares what u love sigwhore.

Damn dude, you are very wrong!

#9 - (worst) Mailers, spam - Mail traffic can be very very good. Way better than most other traffic.
#8 - Traffic brokers (Chokers etc) - I agree, most of them total shit. Maybe good to feed trades.
#7 - TGP gallery traffic, free listings - I do 1:300 with some programs with unfiltered tgp traffic. Tgp traffic is quite good.
#6 - SEO (black hat)
#5 - SEO (white) Both good if targeted. Se traffic is nothing better than tgp traffic in my opinion. You just have the advantage of being able to target it to a certain niche 100% which makes the ratios better. Try to send ass traffic to a tits site and even SE traffic will do 1:5000. Saying SE traffic is way better than other traffic is bs imo.
#4 -MPG, free listings - Maybe a bit better than tgp.
#3 - PPC (adult search engines) i can do 1:10000 with ppc traffic. Once again, highly targeted and its worth money but ONLY highly targeted.
#2 - Partner TGP/MPG listings on quality TGP sites - Total bs to put this on #2 - As if the surfer knows you have a paid pass or not. Just as good or worse as any other tgp/mgp traffic.
#1 - Typein traffic - Once again, totally depends on what exactly they type in. Type in traffic is very overhyped by idiot domain sellers. I rather have 1000 mgp hits than 1000 people typing in free porn.

You obviously cared enough to reply. Anyway, you read above. Im trying to learn you something here.

Black hat traffic cost much less to create. So while your average visitor may not be worth as much, your effort to create that visitor was much less. Profitibility is how much traffic you can generate with X amount of work.

As to adwords - you need to purchase targeted terms in a niche you fufill. "Smoking shemale midgets giving footjobs" probably converts really well and would be worth more than .10 per visitor.

Bumperoo

targetted PPC traffic has equivalent value with type-in traffic, same goes for good optin-in mailouts

Mmmmm, opt-in mail. Delicioius.

MGP listing over SE traffic?

what about blog traffic? that stuff can be gold...

Well let's make sure that we say the best traffic for "YOU" averages .10 cents per click.


Adwords are a very inexpensive form of traffic for a program owner.
I would much rather pay $12 to $19 CPA as opposed to paying an affiliate $25-$35 CPA

:2 cents:

To each his own I suppose because my list of traffic sources would definitely vary quite widely compared to your list (in terms of quality).
WG

Couldn't agree more! :thumbsup

First of all Goolge's minimum is 1 cent not 10 and it used to be 5 cents. And if you are only make 10 cents per click GROSS then you suck and need to do something else besides adwords.

Also it depends on what you are selling and if you know what you are doing. I have one campaign that over the last 7 months I've paid 51 cent a click and made over 41 cents a click PROFIT. That's 92 cents per click gross by the way. So who cares if 50 cents a click seems outrageous.

Also Yahoo's minimum bid is 10 cents so how is that cheaper? And MSN doesn't take adult.

PPC traffic can be profitable, you just need to buy lots it. Spend 20k a day on it like wiredguy

Are you gonna be in Phoenix or are you still in South America? Lemme know, we'll meet up. [email protected]

heh Some of the ratios I've seen from mailers makes me think it's some of the best quality traffic.

Google PPC traffic is driven by demand. I don't care if they start it at .01 per click the price is going to be whatever the market dictates. Rarely will you find a phrase with much traffic that isn't bid on by multiple parties. You have to remember that you are competing with people that can pay much more money per customer earned than you can. While you can only pay $30 or whatever you decide to aquire a new customer that same paysite could afford $50 or $60 to aquire them. They can factor in rebills, return sales, cross sales, email collection, and dozens of other things you can't.

Misinformation is the best way to avoid competition from your competitors, hence it's wise to attack ones profitable traffic sources on forums as being useless.

you missed out offline to online

mail traffic is #1 not #9 lol.

So true but i dont think hes smart enough to do that. Im pretty sure this is just a post from someone without too much clue.

Mail traffic definatley isn't in last place. ESPECIALLY Opt-in mail traffic.

But then again it depends on what you're mailing. 100,000 Mortgage e-mails that generate 200 leads and out of that 200 leads 20 actually close....thats an easy 80k-160k.

P.S. I'm completly against Spam....I am referring to Opt-In