WHAT WE DO

Pay per Click Marketing usually refers to purchasing ads on search engines such as Google and Bing. These are the premium listings that you often see at the top and right column of the search pages. You are only charged when a user clicks on your listing and visits your website. You decide how much you are willing to pay for per click and how much in total you will spend -- this can be per day, per week or per month. You can even specify how much or little you want to spend during parts of each day and on specific days of the week.

Now you might be thinking that you only want organic and free listings and do not have the budget to spend on Pay per Click Marketing. What if we were to tell you that you can afford to spend thousands of dollars on this form of marketing? In fact, we have had clients who spend over $100,000 per month! And they too did not have the budget for this. Well how then could this be possible? The answer is quite simple. Sure they spent $100,000 per month, but they were making $130,000 per month! Its all about arbitrage. Let us say that again... IT'S ALL ABOUT ARBITRAGE!

The beauty of Pay per Click marketing, if done correctly, is that everything can be tracked. With the proper analytics in place, you will know exactly what you are spending in real-time, what users who visit your site from the ads are doing on your website, and when a conversion takes place from the related visit exactly what the financial impact is. Now it is critical to know what the value of the interaction and conversion is. If the customer is purchasing online products, the task becomes much easier, because we can track the specific transaction and most vendors have a good idea of their relative profit per transaction. Things become a bit more difficult if the conversion is a lead -- a phone call, filling out a webform, sending an email, etc. We will work with you to help place financial values on these transactions and setting up the proper tracking.

Another area that is crucial to the success of the campaign is to identify the appropriate keywords and keyword phrases that are most profitable to your business. We will do the initial evaluation, help you set up performance metrics, constantly monitor traffic, revenue, profitability and continue to redefine the best keyword phrases.

Lifetime Value of a Customer

The last piece of the puzzle is to determine the Lifetime Value of a new Customer. Let's say you own an online clothing shop. You spend $200 on a Google Adwords Pay per Click campaign. Your average cost per click is $2, so you received 100 visits. Of those visits you had a 5% conversion rate which equates to 5 orders. If your average order was for $50, you are now looking at revenue of $250. With a cost of $200, things don't look very profitable because your profit from the $250 of orders is only $100. However, there is one thing missing here. You know from proper analysis that a new customer to your website can be counted on to make 2 additional order over the next 3 months and the average order total for any new customer, during their lifetime with you is $600. So we now can realistically count on $3,000 of orders (5 new customers x $600 life time value) from the $200 cost. Not too shabby! So the key, is understanding what is really happening on your site, tracking all activity in real-time and making quick decisions based on the analytics you are seeing.

We would love to discuss how we can help you profit quickly from a Pay per Click Advertising Campaign.