Google Adwords is
one type of Pay Per Click program
which allow advertiser to get quick
and targeted customer to their website
in just blink of an eye. It allows
you to display ads which link directly
to your website when some one searches
for your keyword or key phrase your
ad will be displayed in the right
pane of Google search and with Adsense
your ad can be displayed on many Google
partner website.
Learning
Google Adwords can be
tricky and hard however once you know
the concept behind, it will be like
fun for you. When you create your
ads, you choose a set of keywords
for which you want to display ads
and then select the area or location
in which you want your ad to be appeared
and last you have to bid for the ads.
Since Google Adwords is based on pay
per click model, you will only pay
when someone click on your ads.
Adwords also allow you to save money
as its Program Discounter automatically
reduces the cost per click of your
ad based on the competition to maintain
the position of your ad ($0.01 above
your competitor).
How to make better profit from Adwords
Google Adwords is now a day one of
the vast pay per click program used
by advertisers. Why most of the advertisers
prefer it because the benefit of using
is more. How you can profit from it
depends solely on you. First you have
to determine how much you are willing
to pay for cost per click. Doing this
is important as it enables you to
know how much you can afford to make
profit from your business. In order
to know how much you should bid, you
first need to find out the conversion
ratio, you can calculate your conversion
ratio by dividing your total number
of unique visitors by number of sales
you made from that number of users
and then you can multiply it by 100
to get the percentage of sales you
are making per number of visitors.
Let’s take an example on the above
scenario: Suppose you are getting
10000 unique visitors per month to
your site and in that number of visitors
300 peoples buy your product giving
you $50 each. So your conversion ratio
will be (300/10000)*100= 3%. That
means for every hundred visitors you
are getting to your website you are
making three sales giving you profit
of $150.
To get the exact amount you need to
bid on your ads to still make profit
from it divide your gross profit ($150)
by 100 to see how much amount you
can afford per click with Adwords.
In this case you can bid $1.5/click
to make sale with no loss and gain.
So I would suggest always bid lower
amount than the $1.5/click in this
case. Google Adwords allow advertiser
to start with $0.05 cents per click
so play your card safely and cautiously
at initial stages.
Here is the part2
of Learning
Google Adwords, in which
you will learn how to choose appropriate
keywords for successful Adword campaign
and how to create attention grabbing
ad copy. And at the end of part2 you
will get direct downloadable free
e-book Adowrd Made Easy by Brad Callen.
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