My profit per sale is $45. The conversion rate is 0.7%, which is 1 in every 143 clicks. To get 143 clicks, I have to pay $71.5 (143 * $0.5). So, $45 - $71.5 = $26.5 in the hole. Does that mean as far as PPC I'm SOL until I increase the conversion rate, or is there another way to look at this?
Are you saying that any website in the world should have a conversion rate of at least 2-3%? Man, if I had that conversion rate, I'd be set.
Yep you are SOL. You need to reconsider your ads and get rid of the ones that not making you any money. Try redesigning, or rewriting your sales pitch page. If an ad cost you money and does not make you money it's not worth it. I'm assuming your talking about adwords correct? If so I would just target the search engine and not the content network. Best of Luck
No way that your SOL... How can the CPC be $0.50 EVERYWHERE? have you tried yahoo, bing, ask, Facebook? If it's google... a) improve your qs b) improve your CTR (which helps qs) c) you need to look for different keywords that also convert NO WAY you're SOL IMO (wow, acronyms batman!)
wow - totally agree with thesilly1. Take the data and improve other parts of the campaign. Kill bad keywords first. tweak copy and/or LPs.