A lot of marketers have discovered that the key to success is to increase conversion rate.
If you pay 15 cents a click on Ad Words for terms related to learn Spanish, SSL, Speak Latin American, and South American travel and Link your Ad Words ads directly to a learn Spanish affiliate program that pays you a handsome commission of $66 on an $88 dollar product, you are only likely to get about a 1% conversion rate. Let's look at an example.
You get 100 clicks a day from google key word searches and 100 from site targeted Ad Sense clicks through's (at a minimum of 30 cents each) to your Ad words ad. That's (100 X 0.15) + (100 X 0.30) = $45 cost, and (200 X 0.01) = 2 purchases @ $66 each = $132 revenue ($90 profit) / 200 Clicks = $0.66 revenue per click ($0.45 Profit) you can also calculate ($66 x 0.01) = $0.66 revenue per click.
How do the smart marketers increase this conversion rate?
They create a small web site, what we like to call a sub site, that's used to PRE-SELL the affiliate program and increase conversion rate, provide more useful content to web viewers, thus making them more likely to buy. Pre-selling on sub sites is where you don't approach people with a marketing pitch, but instead you give them what they want, useful information and beneficial/intriguing/entertaining content, then at the end you can hook in a friendly recommendation or review. Thus you have warmed up the prospect, got them in a positive friendly mode and can make a peer to peer recommendation as opposed to a marketing on-slaught. The learn Spanish video uses one technique of pre-selling, giving out a free trial. Site Build It's founder Ken Envoy wrote the book (free at that) on pre-selling, we recommend you check it out, it should be required reading for web newbies and gurus a like! Site Build It can not only teach you the art of pre-selling for free but they can host your site for you, however we don't exactly recommend them (although there program has been rated on of the best out there) for the simple fact that they are expensive at $200 for a year! Instead we would suggest the cheaper Homestead.
Creating sub sites can not only allow you to pre-sell and increase your conversion rate, they can provide additional streams of revenue. Of all the people reading your site approximately 5% will click on Ad Sense ads! If your Ad Words link directly to your affiliate programs this 5% is lost (maybe they click on your affiliates Ad Sense?) this group is the fence sitters, interested, but not necessarily ready or willing to purchase. These are people who like what you have said and feel as if they should reciprocate, are interested in the the topic at hand or have ADD and would like to continue surfing.
Sub sites can also profit from forced lead and landing page strategies. These sources of income are simple. If you use programs like Commission Junction you can find all sorts of people willing to pay you big bucks for targeted leads. To target your leads you need to force or incentivize them in a certain targeted area. Some categories pay as high as $50 a lead! If you take debt consolidation, or real estate, there are companies offering $20 a lead, you then incentive/force the lead. Offering a tax reduction strategy booklet, a home appraisal improvement kit, real estate flipping, budget investing, credit card refinancing or what ever. The person says YES I need this! As soon as they say this they are targeted, they simply fill out the lead form, get access to the goods, and the companies can follow up. You are happy you get $20, the company is happy they have a high yield, very interested/targeted customer, and the customer is happy, they get their bonus and help that the company offers should they choose to accept it. It's a win-win-win the trick is to find valuable, targetable free stuff/incentives. Creating a landing sub page is much simpler you just ask for the peoples contact info thriugh a pastable HTML form and follow up via e-mail, possably offering site acess or some other reason/bonus.
Let's look at an other example.
The Difference Between Ad Words And Ad Sense
Created to boost Google income and give quality PPC traffic to any average Joe online. This includes the little guy who isn't on the first 5 pages of Google’s free search results. You see these Sponsored Links on the right hand side, and occasionally the top of Google searches so a lot of eager eyes are bound to click.
Further more each Ad Words account is under the supervision of the owner giving them the power to choose how they want their campaign to pan out. They can select the relevant key words to be shown and the bid they are willing to pay. They write their own ads, and include the link to where ever they want the ad to go.
Thus Web site owners are not the only ones using Ad Words to promote their site. Smart marketers have figured out how to profit with this tool using affiliate programs. They simply sign up to a site like Commission Junction or Click Bank and find some reliable, useful, high converting and well paying affiliate programs. Then they get the necessary referral URL links that credit their account, and BANG they are off promoting with Ad Words, no web site necessary. So if optimization is the job of the account holder, what does Google do?
Is to facilitate and optimize, objectively, the entire overall campaign. Apparently they try to optimize the minimum PPC bid for all Ad Words accounts; this not only saves you money but is suppose to reduce click fraud and internet click inflation.
They also have to rank the ads in the order they are to be shown. Although all are given ABOUT equal opportunity, those with a higher budget (a nice trick to increase your placement) higher bids per click and proven click throughs get a bonus when compared with others. Google also has to try to best meet the daily budget individually set by each account holder.
People learnt how to optimize their Ad Words campaign from Google, once you know how they work you can start giving them what they want, and getting what you want. Thus begins the delicate tight rope walk of Ad Words optimization.
Ultimately Google caters to the searchers; they are the primary audience, so by being more relevant to their searches you are doing them and Google a favor. Thus when optimizing key words get specific, but if your web site has a broad topic and/or you want more traffic get general, but general costs more.
When optimizing bids keep them low to maximize profits (per click) and high to increase traffic volume.
To increase click throughs differentiate, write outrageous ads and get more specific and relevant.
One can also optimize the web sites that will display their Ad Words ads, provided the page has Ad Sense. This means additional targeted exposure, and is generally up to individual savvy, for best results look for category, and content connections. This cost a minimum bid of $0.30, Ad Sense sites must get paid some how! Of course Google will place your ad in relevant positions any way, unless you wish otherwise.
Created to expand the Ad Words network and provide a revenue stream for web site owners. By displaying Ad Words ads on their site through Ad Sense site owners can make a portion of the Ad Words PPC bid (approximately half, but Google doesn’t say exactly. We think it's graduated giving a higher % to those who get less clicks)
Income depends on the ads bid, the minimum is $0.30 with some key words as high as $20 leaving about $10 for the Ad Sense site owner, or around 50%.
Web sites have cropped up all over the internet that are dedicated to profiting with Ad Sense and Ad Sense only. A web master’s job should be to provide useful content to the internet! Google seems to think this way too, so sites that are solely intended for Ad Sense still require enough key word rich and relevant content to get ads targeted to their site. Although we do suggest that web masters look into affiliate programs (on Click Bank) and drop shipping to monetize traffic and increase their bottom line. Still, including Ad Sense to a site is as easy as copy and paste and a web master’s job of providing content is simple as well. Programs will even do it for you, unfortunately googles job isn’t so easy.
Then Google got a good idea "why don’t we increase the range of Ad Words, by putting the search results on related by content and keyword sites? This will not only allow us to expand, but will give the web site owners a chance to profit with us!" Thus Ad Sense is created and web sites every where find a new way to profit with their traffic. Through Google Ad Words PPC ads displayed on their site via Ad Sense.
Is a large one, they have to crawl the Ad Sense sites to find key word/content related ads to put up, additionally factoring in the demand for certain ads to be displayed on specific pages. While splitting the revenue with the Ad Sense partners. Of course Google runs into a problem, they want their Ad Words users to save money and their Ad Sense users to make money. So the logic is that they will optimize with the most relevant ads, thus they are more likely to get clicked on. No clicks equals no money (for any body) thus it pays to have good content. Google has to weed out those that don’t, having only Ad Sense Ads, flipping clicks, or paying people to click.
Of Course each Ad Sense site owner wants to make more money with their Ad sense account.
By creating sites in high paying PPC areas, more can be made (find high paying key words, Here, Here and Here)
By creating sites in popular Traffic areas more clicks can be made (use the Key word Assistant tool Here)
By being specific more people are likely to click through.
By optimizing your web sites content you can get more specific ads (keyword, concept and category) and become more favorable in Google, viewer and potential advertiser eyes.
More competition for key words can mean less over all revenue, Differentiate!
Situate your ads in smart places to get views and clicks, making them flow and blend with content (but not to much) is a good idea, as is including ads at the end of articles.
Track your campaigns so you know what percentage of traffic is clicking Ad Sesne ads, and how much you make.
Organizing is simple... reduce stress in your life! Optimizing has already been covered but in this case we can optimize to increase traffic volume, I wouldn't complain if I was making a cent off a million people. There are two ways we do this, one by writing more effective ads to increase click through's, and secondly using/optimizing free search engine listings.
First organizing your campaign, Ad Sense doesn't really need to be organized, just intelligently placed and targeted. For Ad Words we recommend the following...
Create 2 campaigns for each of your affiliate programs and 2 campaigns for each sub site. One campaign is Key word targeted traffic the other is site targeted traffic, then track meticulously. Google makes this easy for you, simply put in your affiliate sales pages and viola they let you know every time you have a conversion! Ad Sense is the same they tell you where your clicks are coming from (what channels) and how much you are making. Be sure to follow up with a magnifying glass because tracking helps you adapt for the future!
To get the optimum amount of traffic through your Ad Words account you need to know how to write good ads here is how it's done. Also Look At the Ad Sense ads on this page and see which ads catch your eye. Everything can be a lesson.
Organizing and Optimizing
People often ask "what's the difference between a sub site and a main site?" Here is where we like to draw the line. generally main sites use e-zines to create and maintain relation ships while trying to increase the number and frequency of visits/purchases. Some sub site owners have far to many sites to be bothered with e-zines, however this differentiation is not necessarily accurate as there are still some sub site owners who use e-zines. There are really two more specific qualities that set main sites apart form sub sites, one is that a main site has its own product, (this could even be an e-book you wrote) service (your consultation?) program (members area or program created by another) the second quality of a main site is that it expands its profitability by taking advantage of e-commerce dropshipping. In essence this is having your own e-store, and selling whole sale goods on it. You make the sales on the site at retail price (just under would be nice) and the wholesaler sends the product from their warehouse to the consumer, you then keep the difference between wholesale and retail price, while never touchign the product. To do this you need to find reliable wholesalers, like suggest Salehoo, Doba, and World Wide Brands you can then sell items on eBay free and clear with out a web site! If you want to dropship through your own web site you need an e-commerece store, you can get one from Yahoo or upgrade your account with Homestead, SBI comes pre-equipped to deal with this. (maybe that's why they are the best, and turn out so much success!)
6) Get a store front through Yahoo or your domain provider and create your own e-commerce store for your web site.
7) Get more search engine traffic to your site with Engine Seeker. Improve your position with auto link directory submitter getting you more incoming links. Text Link ads can also help. If you want more than search engine traffic, guaranteed hits is a way to go, 10 million hits can deliver..
Optimizing for search engines is fairly simple you just need to know how they work. Firstly you need good content, if you are pre-selling you have this already. Some tips are to lace your content with key words, relative concepts and a good deal of synonyms. Search engines also want links, to get incoming links you can 1) pay bloggers to post about your site 2) write articles in directories (get paid) and include valuable links (maybe even affiliate ones?) 3) get reciprocal links 4) pay people to link to you 5) give out awards with links attached 6) Post in fourms 7) join link directories 8) get links from high authority sites like government pages, if they don't accept create a little site they will and link from there. To further increase your search engine traffic we suggest Engine seeker. Not only do they have their list of 225 smaller search engines that display searches evenly, but thy can help you optimize your site for search engines, while guaranteeing you top placement, among many other features. You can also simply sign up to all the major search engines. Yahoo, Goggle, Meta Crawler, Dog Pile, Ask Jeeves, Enhance, 7 Search, MSN, MIVA, Kanoodleand any others you can think of. P.S CHECK OUT LINK SHARE!
In this example our sub site helped to double conversions, and add 2 additional streams of revenue. Google Ad Sense and forced leads. Our profit went from $132 a day to $306. One must also consider that we can get more traffic because we can use search engines, and our topic is broader covering more inter-related subjects. The Revenue Per Click (using the same daily traffic quotas) is now $1.53 per visitor, up from $0.66. all things considered we wouldn't be surprised if you could generate 800 visits a day.
Google Internet Income
This site was designed not only to teach you the difference between ad sense and ad words, but to show you how you can use them to make a lot of money online. Whether you want to supplement your income or quit your job, with only a few hours of “work” a week Google can help.
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