Roi on a Website Business

Discussion in 'General Business' started by luden, Jul 13, 2008.

  1. #1
    hi,

    i own a website www.penplease.com and i would like to invest money on a adwords campaign i'll get the money back from adsense and thru link sales.

    How much time will it take to get a return on my investisment?

    For example if i invest 1000$ now i am not sure to get the money back from adsense or link sales now but may be in one year!!

    Should i optimize my website to get a fast roi?

    Regards

    Frank
     
    luden, Jul 13, 2008 IP
  2. ericabiz

    ericabiz Peon

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    #2
    Hi Frank,

    Buying AdWords to drive traffic through AdSense is kind of like buying a cashflow-negative real estate property for the "tax breaks". For every $1 you spend, you'll only get a fraction back. Why?

    - The person may not click on an ad.
    - The ads on your site will likely be less valuable than the ads you're paying for (that's how it works, since Google takes a cut of the money you make from your site.)

    My suggestion is to find a niche (online classifieds are not a niche!) where you can do better than craigslist, and then advertise that niche on craigslist. I've seen this executed well with high-end luxury rental sites, vacation rentals, and online dating, for instance.

    -Erica
     
    ericabiz, Jul 13, 2008 IP
  3. BrisbaneWebmaster

    BrisbaneWebmaster Peon

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    Absolutely agree, especially if you have no experience doing adwords yet alone adwords arbitrage. If you are charging for the listings then it may work out for you if you are getting a lot of listings, otherwise you would be better doing organic seo/buying traffic via partnerships with websites.
     
    BrisbaneWebmaster, Jul 13, 2008 IP