It is almost impossible
Unless it is super low competitive niche and your semantics is really good.

Hi webbill,

While it is certainly possible to get $0.01 clicks, I would advice against trying that.

There is a usually a good reason that the clicks are only a penny, and in most cases it's because the clicks have a value that is significantly less than one penny, but since that is the lowest denomination in AdWords they cannot price the clicks any lower than that. If you target that type of traffic you'll likely spend far more than the traffic is ever going to be worth.

If you still want to pursue that worthless traffic it's rather easy to do within AdWords. Just set your campaign to "Display-Network-Only campaign type, location targeting to all countries, and you max CPC to $0.01. You will get a ton of traffic from places like Bangladesh, Nigeria, and other 3rd world countries. Most of the traffic will be from PTC sweat shops where people work 10 hour days, for as little as $1 per day, clicking on your ads all day long to earn that dollar.

It's generally a complete waste of your time and money to pursue $0.01 clicks.

Being honest, there's no such thing for me as 'competitve niche'
You will always have someone promoting same type of service/product, since if you don't its either 1) shit niche 2) Really Really New Niche which is hard to find

The truth is 80 % of advertisers on those platforms don't know how to advertise properly. They spend so much money on their keywords..

So my answer is you SHOULD NOT be afraid of going into competitive niches since those are the places where you can make money.
However, you need to work really hard on setting up your campaign in high competitve niches. You need to make sure your semantics is HUGE, negative keywords set up, ads PERFECTLY set up for every single keyword to make your ad SUPER RELEVANT, and you don't pay suggested bid
Remember: with HUGE semantics you don't need to pay bids that get you to the first page, you can still get a lot of clicks from second, third, etc. pages.

Regards.

Is your goal higher ROI, or higher total profit?

If you focus on ROI instead of total profit your competitors will eat you alive. They will get hundreds of conversions for your every one. You will eventually be squeezed out of the market due to lack of sales. Sure you'll have a positive ROAS, but that's just a metric. Metrics are not going to pay your bills, for that you need profit, the more total profit the more bills you can pay.

Here's the formula for calculating profit:

(Value Per Click - CPC ) * Clicks = Total Profit

If you focus on maximizing ROI your click volume drops to practically nothing. Instead of making $1200 per hour, you may find yourself making only $1200 per year. Is that what you want?