What are most efficient Internet Marketing Channels in web design niche?

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Hi,

we were doing business related to selling templates and modules for popular CMS for last 8 years. We were able to build one of the best products in our niche. Almost 99% of our clients like them. Our support team also always trying to make our clients happy.

Now we are facing problem reaching new clients. It's getting more and more difficult for us. When we started 8 years ago doing that business we were one of the first companies working in that niche. Today we have more then 20 companies and getting SEO traffic is quite challenging. Also it's quite sad but our old site got hit by Penguin 2 years ago so our company visibility in SERPS also reduced.

We created new site with new special products and offer. Right nowe we are working focused on Content marketing strategy for that site. We are trying to do everything as "whitehat" as possible there. And after 5 months Google started slowly give us some traffic. But anyway things are still goes very slow.

I was always responsible for building new products and improving our sites. Marketing was not my primary responsibility but now i was assigned to work on active promotion of our services and products.

So i really need advice on different internet marketing channels.

First i do have understanding of SEO and we already working on that.

Also we have access to all our clients emails and we are working on email marketing.

Now i'm really interested in CPC. From our previous experience it was quite difficult to get direct conversion from Adwords. So my first question is what ROI is considered to be normal for Adwords. Is it possible to get something more then 200%?

The second new channel we are considering is Affiliate marketing. We already have affiliate software installed at our sites and we can offer 25% from each sale. But main question how we can find affiliates that will promote our services and how much traffic they can offer?

Any advice will be greatly appreciated!
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