Why racios? Should it not be $/click
 

In discussions on this board people throw around racios 20:1 2000:1 etc and from what I know ( and I freely admit that is not much on the marketing side of the busines ) these are meanless figures....

For one thing a 20:1 racio for a $1 signup is worse than a 200:1 for a $15 signup...


Is there any agreed objective way of evaluating a sponsors way of converting trafic into cash?

Of course it would be a rough guide as there is traffic that just will not convert...but at the least an advance on racios.

I think the main reason people just drop ratios is because most programs have a very similar payout, 30-40 pps, and most people all know the backends people are running and how they count the clicks, Nats for example across numerous sites, or ccbill.

And maybe just getting back to old school marketing principles. $35 sounds better then $.06 when talking of 'what it made'.

Why racios? Should it not be ratios?

WHat is a "racio" ? Is that an Italian word for minority?

Oh you mean RATIO. The C is nowhere near the T.

Maybe we should start with language/writing fundamentals and then work our way up to math? Just a thought.

Conversion ratios are meaningless to anyone but yourself :2 cents:

Conversion ratios sound great and yet give no information to anyone about how unsuccessful your program really is... thats why no one wants to talk about $/click, because that says a lot about how well your converting traffic.

We're using EPC (Earnings per Click) at Adult Sponsor Test, makes it a lot easier to compare PPS/Revshare/Dating/VOD/Cams/etc.

people just use it as a shorthand. don't read too much into it.

I'm not racios.

A lady at the hospital yesterday told me she got racios from the black guy down the street. :Oh crap

If you want to be picky about it, even earning per click is worthless...

What if sponsor A gets 10 cents per click with 5% CTR... while sponsor B gets only 5 cents per click with 15% CTR?

Thanks for the interesting replies,


Yes sorry about my spelling mistake, you are very clever.

The link to Adult Sponsor Test does seem to work.... when ir does I'll check it out....

Is there a form that you think would be a good way for a program to present its figures that would be helpful and honest?

This is a selfish question as we want to present our program in a good light....

If you want to try promoting your program's $/click, just do it. Put it in your sig linked to your affiliate program. :2 cents: See how it goes, it is worth a shot.

If you want to get technical, earnings per thousand impressions PER AD SPOT is the best ratio to look at. I use earnings per click primarily because I keep a close eye on my CTR anyway.

Ratios are helpful to compare similar programs, so if a few dating sites that generally pay around the same rate are converting differently then that's good information.

I can't see the relevance of impressions, after all those are the people that know they don't want the product, not even to take a look...

Thank you for you help and comments, I have found it interesting... I wonder what the general value of one click is , or from what to what?

The relevance of impressions is to show you what your users are interested in and which they're more likely to spend money on. I'll give you an example:

Site A receives 100,000 impressions per day and displays an even rotation of 4 total ads in Advertisement Slot A, so each ad receives 25,000 impressions daily. We will only use sites that pay per sign-up because getting into revshare becomes more complicated than I want to make my example. :)

Advertisement 1 is a general porn pass site which pays $30.
Advertisement 2 is an adult dating site which pays $50.
Advertisement 3 is a MILF reality site which pays $25.
Advertisement 4 is an adult webcam site which pays $75.

Advertisement 1 receives a CTR of 4% and converts 1:300.
Advertisement 2 receives a CTR of 3% and converts 1:500.
Advertisement 3 receives a CTR of 2% and converts 1:700.
Advertisement 4 receives a CTR of 1% and converts 1:400.

Which do you think you will make the most money on over a 30 day period?

Well let's run the numbers...

In 30 days you will have earned the following:

$7,185 broken down as:
Porn pass site- $3,000 or $0.10/RPC or $4/RPM
Dating site- $2,250 or $0.10/RPC or $3/RPM
MILF site- $535 or $0.04/RPC or $0.71/RPM
Webcam site- $1,400 or $0.19/RPC or $1.88/RPM

Notice that the webcam site earned you MORE on a RPC basis than the porn pass site but considerably LESS on a RPM basis. Using this data, you could surmise that if you displayed the porn pass site advertisement more often than the other advertisements in the rotation you would make more money. Let's try taking 150,000 impressions evenly from Advertisements 2-4 and giving them to Advertisement 1 instead.

Assuming the other variables remain the same, here are your new monthly numbers...

$8,153 broken down as:
Porn pass site- $4,800 or $0.10/RPC or $4/RPM
Dating site- $1,800 or $0.10/RPC or $3/RPM
MILF site- $428 or $0.04/RPC or $0.71/RPM
Webcam site- $1,125 or $0.19/RPC or $1.88/RPM

By weighting the advertisement that doesn't receive the best RPC but DOES receive the best RPM you have earned an additional $1,000!

I should write a blog about this on MY BLOG. :winkwink:

racios:

http://www.thelifefiles.com/wp-conte...9/05/cher1.jpg

:thumbsup

I think I follow that, but of course you are looking at it from the POV of affiliate, where as for us we are selling what we have with the good and bad points of that. Good that we make exclusive erotic movies, bad in the way that most want typical porn and lack of awareness of what we make even exists...

That means that we try and sell what we have...


I see that you quote one price per sale, whereas what we get depends on the option our client chooses, so that varies a lot too.

One thing strikes me though is that if our program is making money and we have very few affiliates, it means that people are making more money with other sponsers, so the complaining about poor returns is due to low traffic not lack of sponsors....

Selling your own products will require a different ratio than my example but the underlying theme is the same. What product garners the most attention?

Say streaming Movie A at the top of your homepage gets 1:50 people to purchase a $5 product while streaming Movie B at the top of your homepage gets 1:200 people to purchase a $15 product.

With 20,000 unique visitors to each scenario you have earned $2,000 with your Movie A landing page and $1,500 with your Movie B landing page. Even though Movie A is a much cheaper product, it's earned you more money on the same amount of visitors.

When all is said and done. It does not really matter.
You and the next person will have different traffic, different ways that they may have pre sold the customer and so forth. All of that is unique.

So even if person A is earning .21 per unique, you very well could be earning .07 per unique - both from say google search engine traffic. Then as a site owner I could not in any honest fashion explain to you why person A is earning three times you are without cheating person A and disclosing what they are doing which no one should do.

What is racios?

Move along.. nothing to see here... :2 cents:

Come on, when we all know what someone is really actually trying to say why do we need to point it out over and over.

It is almost the same as jumping people for fucking up there and their, or your and you're when we the reader know what they meant.