Here is my Business Plan... Am I into something?

Discussion in 'General Marketing' started by web2074, Dec 19, 2006.

  1. #1
    Here is the deal....

    I'm planning to launch my e-commerce store selling....only a single product!

    This is a set of posters, they are realy unique and different, really cool design and this is a must for a home office.

    I will need to sell 280 of them at $25 per set a month to start with.

    This will bring a total revenue of $7,000.

    My cost per poster set is $5.

    I'm budgeting a marketing cost of $10 per set for CPC.

    And $10 per product for me in gross profit...


    I have several question:

    1) My keywords are not very wide. I'm planning to create a campaign with a lot of generic term added to the word poster to create my list of keyword.

    2) Is 0.7% Sales Conversion high for a single product offer on my site?

    3) I will love to create 40,000 visitors from my $2800 a month, this is a click at $0.07 max... Is it possible to generate that many clicks thru the month at this low bid?

    4) Does 40% of my sales price into Marketing too much?

    Thank you for your help!
     
    web2074, Dec 19, 2006 IP
  2. drig

    drig Peon

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    #2
    What about:
    shipping, hosting, design, development, etc?

    You should also consider advertising through:
    affiliates, froogle, etc

    Sorry those really didnt answer your questions, but I hope it steered you in the right direction.
     
    drig, Dec 19, 2006 IP
  3. tke71709

    tke71709 Peon

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    #3
    The hardest part is going to be finding 40k targeted visitors a month for 7 cents each.

    You most likely won't come anywhere near that through CPC.

    You'll need to go viral to do that. Maybe put the posters into a screensaver format and include a link to your site to buy the actual posters.
     
    tke71709, Dec 21, 2006 IP
  4. web2074

    web2074 Peon

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    #4
    Thanks for the feedback guys.

    Is there a company that can generate thousands of keywords that will be generating 40,000 clicks a month at $0.07 maximum?
     
    web2074, Dec 21, 2006 IP
  5. reapr

    reapr Peon

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    #5
    I agree it will be hard but many keywords/phrases can be easily had in many niches the problem in his yes it will likely be difficult.

     
    reapr, Dec 21, 2006 IP
  6. WillB

    WillB Peon

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    #6
    PPC isn't the only way to get traffic. Natural search engine traffic
    will come if you fill your site with plenty of content, and you can
    put adverts on similar or complementary sites under a CPM model.
    http://Adbrite.com will sort you out some good deals for your
    $2,800.

    Also, how about selling them on eBay?

    0.7% is not too high. I aim for 2-5% with my digital products.
     
    WillB, Dec 22, 2006 IP
  7. web2074

    web2074 Peon

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    #7
    Is 40% of selling price into Marketing for PPC is too much?
     
    web2074, Dec 29, 2006 IP
  8. MTbiker

    MTbiker Well-Known Member

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    #8
    Well not if you have a 50% conversion rate.

    But if you are paying 40% of the product's price for each click, you could easily lose lots of money. First you'll want to figure out what each visitor is worth and go from there.
     
    MTbiker, Dec 29, 2006 IP
  9. nate_king1

    nate_king1 Active Member

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    #9
    I hardly consider this a business plan, but good luck.
     
    nate_king1, Dec 29, 2006 IP
  10. goodman0000

    goodman0000 Peon

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    #10
    EBay is a really good place to start and you can always promote you site within eBay or on outgoing sales receipts to market more products and/or product deals.
    With eBay everyone is searching and you easier to find instead of combing through a search on Google if you ranking isn’t good or simply because the competition is high and there is a lot of other site using the same keywords. Doesn’t take much to get stated on eBay too.
     
    goodman0000, Dec 29, 2006 IP
  11. web2074

    web2074 Peon

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    #11
    I guess you're right! Is there a dedicated Marketing and Business Plan forum out there like DP?
     
    web2074, Jan 7, 2007 IP