How Can I Use Google PPC To Market a $20 Product?

Discussion in 'Google AdWords' started by mdotwhite, Feb 16, 2009.

  1. #1
    I'm curious to know, how can I use Google PPC to market a $20 product, that pay's a $20 commission? I know Google can be expensive and that it might not be logical to use PPC to market such a low cost product. Can anyone give me some advice on how I can use Google PPC and make a profit with this $20 product?
     
    mdotwhite, Feb 16, 2009 IP
  2. pipes

    pipes Prominent Member

    Messages:
    12,766
    Likes Received:
    958
    Best Answers:
    0
    Trophy Points:
    360
    #2
    From my understanding, you need to work out a low enough cpc so that even at a pretty low conversion rate you still profit.
     
    pipes, Feb 16, 2009 IP
  3. vesparich

    vesparich Peon

    Messages:
    332
    Likes Received:
    4
    Best Answers:
    0
    Trophy Points:
    0
    #3
    I regularly promote offers that pay as low as $1. Here's an example using your $20 commission:

    Target ROI: 100%
    Expected conversion: 1%
    Max ad spend: $10
    Max CPC: 10 cents

    So, you'd spend $10 to gross $20 and net $10.
     
    vesparich, Feb 16, 2009 IP
  4. SoCalDude

    SoCalDude Peon

    Messages:
    96
    Likes Received:
    0
    Best Answers:
    0
    Trophy Points:
    0
    #4
    Thats gonna be thin margins but you can do it. Just have to keep your cpc down.
     
    SoCalDude, Feb 16, 2009 IP
  5. pipes

    pipes Prominent Member

    Messages:
    12,766
    Likes Received:
    958
    Best Answers:
    0
    Trophy Points:
    360
    #5
    Also something else that may make it more acheivable (im just beginning to understand this slightly better myself) is even if its a niche with really quite expensive keywords, like £5 - 10 CPC i think it can still be manageable by looking for keyword phrases within that and obviously not going for the top 3 positions.

    Right at this moment im looking at a niche that at a glance seems ridiculous and impossible to profit from, so im copy n pasting from the advertisers page, 2 and 3 word combos and seeing high search volume and more affordable keyword phrases within that niche, that will still make sense if placed in the ad text.

    Obviously lower positioned ads 4 - 6 and 7 - 10, but i see potential.

    I think its finally sinking in for me, if you drill down deep enough you can find usable and affordable keywords still on first page if you look, am i understanding all this correctly so far?

    Average CPC im looking at 12pence, 15 pence, things like that.
     
    pipes, Feb 16, 2009 IP
  6. mdotwhite

    mdotwhite Peon

    Messages:
    3
    Likes Received:
    0
    Best Answers:
    0
    Trophy Points:
    0
    #6
    Thanks guy's. I appreciate all of the tips. I was thinking maybe I should try focusing on PPC marketing in smaller search engines such as Ask.com. I hear that the CPC can be much cheaper than Google. How effevtive would that be?
     
    mdotwhite, Feb 16, 2009 IP
  7. pipes

    pipes Prominent Member

    Messages:
    12,766
    Likes Received:
    958
    Best Answers:
    0
    Trophy Points:
    360
    #7
    Would the loss of search volume be significant though? im guessing that could make it a less attractive direction to take.
     
    pipes, Feb 16, 2009 IP
  8. mariya

    mariya Peon

    Messages:
    51
    Likes Received:
    0
    Best Answers:
    0
    Trophy Points:
    0
    #8
    Definitely possible. I've been able to make over $500/day from email submits via PPC. Keep in mind that that email submits may a bit over a dollar only. I was running close to a 70% ROI.

    So it's totally possible, you just need to work on keeping your bids as low as possible, and try out content network. You'll be paying less per click via content network.
     
    mariya, Feb 16, 2009 IP