6 {{ upvoteCount | shortNum }}
6 {{ upvoteCount | shortNum }}

What's the minimum product price for paid advertising?

by zendot
5 replies
Hello,

I've decided to start in affiliate marketing with "email marketing / blogging".

The plan is to create a very simple landing page that will capture e-mail addresses. I would offer a 100% free 5 day course (5 emails in a row) about bitcoins / creating apps / and other various stuff. After the course is done, I would offer my short report (between 10 and 15 pages) about the topic and the price would probably be 10 USD. If there would be a similar, but bigger affiliate product available on the chosen topic, I would offer it in my 10th email (5 content emails -> product offer -> another 5 content emails -> another product offer).

Since my landing page would get no organic visitors, I would need to use an advertising network as my main source of traffic. I really don't know much about these and I've never used one.

So could you please help out a little? How much would 100.000 impressions cost, what's the average CTR, and out of those, how many would on average buy the product?

10 USD per sale is not much, so my main concern is, that I would not be able to get back the money, which I'd spend on advertising.

On a side note - I have a few apps on Google Play, and on average, the CTR on banner ads is 1%. So, if I have 1000 ad impressions, about 10 people will click on the ad (for free app download), and out of those, about 2 will convert. Is this comparable to other types of advertising?

Thanks!
#advertising #minimum #paid #price #product
  • Profile picture of the author speedylikesKJ
    how much budget is required no one exactly can tell you as you need to decide a traffic source you want to go with first and than see whats minimum price you can start with , In my opinion your plan is missing important aspects so i`d advise you to revise your plan best bet would be to write down your plan and also work on marketing side as well as do SWOT analysis too
    Signature

    {{ DiscussionBoard.errors[8643318].message }}
  • Profile picture of the author zendot
    Thanks for the reply. I've just read that on most ad networks (AdWords, Bing Ads, etc.) ads cost between 0.10 and 0.25 USD per click, while on Facebook, they could go as low as 0.04 per click.

    With a 10 USD profit per sale, this would probably not go well. I think I'll just use the same method and offer an affiliate product instead.

    By the way, are simple landing pages (with minimal text) accepted on bigger ad networks? I have in mind something like this (this is an expired example): MyMint | Money Intelligence Software
    {{ DiscussionBoard.errors[8643353].message }}
  • Profile picture of the author sonixkid3000
    It can definitely work it's not bad at all. But you need to keep in mind that it needs to be very high quality content within those first 5 emails leading up to your report. If it's not good they're not going to feel like they should buy it or like you even care about them as your subscribers. It's something that I struggle with in reaching my subscribers... if you're not into that e-mail you're writing for them, don't write it at all lol.

    With that said paid advertising is a beautiful thing but there's a lot of know-how involved with it. Aside from the fact that there's a learning curve no matter what network you go to, you never stop tweaking your campaigns to maximize ROI and your subscriber base. You have plenty of options for paid advertising.

    If you're just getting started I would recommend going into PPC advertising where you would pay per click of your ad, regardless of impressions. 7Search would probably be the best place to start. While the traffic quality isn't wonderful the CPC is way lower than something like bing or adwords. It's $25 to start and a good place to get your feet wet. I don't know how others on here feel about this but I'd strongly urge you not to go straight into Adwords or Bing. You're going to spend a lot of money and keyword competition on those larger networks can destroy all your campaigns. That's not to say they're not great networks, but you should have some basic knowledge of PPC before you move in there.

    Moving on from PPC model you have the CPM model, which from I understand you're familiar with so I won't talk too much about it but there's also a ton of great networks here. Once you get the hang of PPC, Plenty of Fish (POF) is a great CPM network to start on. I'd be prepared to spend at least $200 here in testing and tweaking though, and definitely read some of the POF guides that are on here before you do that. I've had the most success in building my list is with POF.

    Now, Facebook offers PPC and CPM models of advertising and you can be very successful with it. With that said, Facebook is its own game, and CPM advertising there isn't what it used to be.

    And from there there's tons of other ways you can build your list such as CPV/PPV but I'm sure you can find some resources on that.

    With that said, the impression I got from your post is that you were only doing 10 e-mails. Now I'm not sure if this is the case, but if it is I'd urge you to reconsider. If you can target these people again and again then why not do it?

    Lastly, I think your concern about your product revenue vs advertising cost is reasonable. I'd recommend making your product at least $19 and then really focus on giving them high-quality content that you could charge them money for in those first 5 e-mails. Make them think that they should be paying money for those first 5 emails... because then they're going to wonder how fantastic the product is when your start asking for money.
    {{ DiscussionBoard.errors[8643376].message }}
    • Profile picture of the author zendot
      It can definitely work it's not bad at all. But you need to keep in mind that it needs to be very high quality content within those first 5 emails leading up to your report.
      Yep, that's what I plan to do. 5 super high quality emails with no more than 400 or 500 words each. I think this method (if pulled off correctly) will convert more visitors, than a landing page or direct linking. I want to build trust first and only those people will subscribe who will really be interested.

      If you're just getting started I would recommend going into PPC advertising where you would pay per click of your ad, regardless of impressions. 7Search would probably be the best place to start. While the traffic quality isn't wonderful the CPC is way lower than something like bing or adwords.
      Do they accept ads for a landing page with almost no content? That's my biggest worry, next to costs.

      Thanks for the AdWords and Bing tip - I will stay away from those at the start.

      Moving on from PPC model you have the CPM model, which from I understand you're familiar with so I won't talk too much about it but there's also a ton of great networks here.
      My only experience with CPM is this - I run House Ads in my AdMob account, which means, that I advertise my apps between my existing apps. I can run, for example, an ad in 15 of my apps, which all promote my 16th app.

      Plenty of Fish (POF) is a great CPM network to start on.
      On Stack That Money forum this is where they send all newbies to. I'm a newbie, but as far as I understand, they are more or less good for only dating and weight loss products?

      With that said, the impression I got from your post is that you were only doing 10 e-mails. Now I'm not sure if this is the case, but if it is I'd urge you to reconsider. If you can target these people again and again then why not do it?
      Yes, 10 e-mails. But I will cut the 10 USD product. I will just focus on writing 5 epic emails (I'll outsource it for grammar and readability) and then offer the affilaite product on a new landing page.

      Lastly, I think your concern about your product revenue vs advertising cost is reasonable. I'd recommend making your product at least $19 and then really focus on giving them high-quality content that you could charge them money for in those first 5 e-mails.
      Thanks for the 20 USD tip.
      {{ DiscussionBoard.errors[8643465].message }}
  • Profile picture of the author johnbrown12
    It's hard to tell you exactly how much money required.
    Signature
    How to make money from $3000 to $7000 per month:

    http://forms.aweber.com/form/85/530278285.htm

    *JOIN 900+ Warriors*
    {{ DiscussionBoard.errors[8643517].message }}

Trending Topics