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Old 12-20-2010, 02:41 AM   #1
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Default CPA + PPC Problem/Question

So i decided to try my luck with a single CPA offer using PPC targeted facebook ads.

My problem is the payout is low but the conversion is very high, around 50%
if i only get $0.23 per lead then it wouldn't make since to pay $0.86 to a $1.27 per click.

Should I aim at something with a higher payout (I don't want too because this is seasonal targeted and very easy to complete)

Or should I attempt to bid 50% of the payout per click?

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Old 12-20-2010, 06:14 PM   #2
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Default Re: CPA + PPC Problem/Question

So the conversion rate is around 50%, but the payout is only $.23 per conversion/lead? If that's the case, you will bleed money unless you can get clicks at $.11 or less. If this is Facebook, it is a CPM model I believe, so you aren't paying for clicks, but rather per view, or 1000 views, etc.

I haven't used Facebook yet, so are you saying the $.86-1.27 is a per click cost, or CPM (cost per 1000 views)? Have you been running the ad long at all, do you have any solid data?

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Old 12-20-2010, 06:34 PM   #3
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Default Re: CPA + PPC Problem/Question

Quote:
Originally Posted by alphazulu View Post
So i decided to try my luck with a single CPA offer using PPC targeted facebook ads.

My problem is the payout is low but the conversion is very high, around 50%
if i only get $0.23 per lead then it wouldn't make since to pay $0.86 to a $1.27 per click.

Should I aim at something with a higher payout (I don't want too because this is seasonal targeted and very easy to complete)

Or should I attempt to bid 50% of the payout per click?


The payout is less than a quarter per lead for a regular CPA offer? Not sure what your traffic has been like but the 50% conversion may not be sustainable if statistically not significant.

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Old 12-20-2010, 10:58 PM   #4
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Default Re: CPA + PPC Problem/Question

Its a high converting CPALead offer

When looking at the stats for the offer it converts very very well

you can pay PPC with facebook, and they recommend whatever it was I said before.

I am going to bid low and see if i can get any hits on it worst case senerio I lose 20 bucks

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Old 12-21-2010, 06:18 AM   #5
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Default Re: CPA + PPC Problem/Question

Quote:
Originally Posted by alphazulu View Post
Its a high converting CPALead offer

When looking at the stats for the offer it converts very very well

you can pay PPC with facebook, and they recommend whatever it was I said before.

I am going to bid low and see if i can get any hits on it worst case senerio I lose 20 bucks
Buddy, you're using the wrong network. CPALead can be great for incent, but their offers are not the best for FB ads.

It will be very, very hard to get profitable with an offer that pays 23c, even if you convert at 100%.

So what I recommend you to do is join other networks (take a look on 500+ CPA Networks and Publisher Affiliate Networks Reviewed // AffiliatePaying.com) and start working with non-incent offers. You can go with the same niche and audience, just find a similar offer with a better payout.


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Old 12-21-2010, 08:33 AM   #6
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Default Re: CPA + PPC Problem/Question

Quote:
Originally Posted by alphazulu View Post
Its a high converting CPALead offer

When looking at the stats for the offer it converts very very well

you can pay PPC with facebook, and they recommend whatever it was I said before.

I am going to bid low and see if i can get any hits on it worst case senerio I lose 20 bucks


It converts well but how many visitors or conversions have you had. I was just saying that maybe you drove 30 visitors and 15 converted. That is a great conversion rate but not necessarily sustainable. The more data you have the more statistical confidence you will have in your metrics.

Just something to think about.

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