High CPC low cost item trouble
- SEO |
I am new to this forum and have learned a great deal of useful marketing ideas thus far from reading. I was going to see if it is possible to just get some advice.
The dilemma I am running into is my PPC campaign. The problem is with my goal that I would like to achieve and current numbers things are not adding up.
Let me explain. The goal is to have a ROI of 3:1.
Now here is where the numbers don't add up for me. My product sells for $27.99 and I would like to have an ROI of 3:1. Based upon my results thus far and numbers this seems like an impossible task.
Currently my stats are this:
max CPC: .50
Average CPC: .40
CTR: .8%
Ranking: 4.8
CR: 1%
This is leaving me with ROI of -30%. Now in order to get the ROI of 300% I need to change a few things.
Some information on my product and market. I sell a male performance enhancer called Leyzene. Competition is extremely cutthroat in this field. My competitors rank higher than me, which I attribute to quality score and bid. Based upon research and errors I have found that my competitors are not bidding more that .60c a click. Typically, they also charge more for a product than I do. Usually in the mid $30 range.
The questions that I have is this. Is it possible to have a ROI of 300%, in a PPC campaign with a product that sells for $28 (ignore production cost, lets solely focus on advertising)?
I feel that if I drop my CPC to .30 which is extremely low, my ranking will not be high and get quality traffic to convert. When it was this low I was averaging a rank of 6.5. I need to raise my conversion rate for sure. Is it possible to have a CR of 5% or higher? In a PPC is it possible to have a CPC of .6 and a CR of 6.5%?
What would be some practical advice to achieve a ROI 300%?
Anson
The dilemma I am running into is my PPC campaign. The problem is with my goal that I would like to achieve and current numbers things are not adding up.
Let me explain. The goal is to have a ROI of 3:1.
Now here is where the numbers don't add up for me. My product sells for $27.99 and I would like to have an ROI of 3:1. Based upon my results thus far and numbers this seems like an impossible task.
Currently my stats are this:
max CPC: .50
Average CPC: .40
CTR: .8%
Ranking: 4.8
CR: 1%
This is leaving me with ROI of -30%. Now in order to get the ROI of 300% I need to change a few things.
Some information on my product and market. I sell a male performance enhancer called Leyzene. Competition is extremely cutthroat in this field. My competitors rank higher than me, which I attribute to quality score and bid. Based upon research and errors I have found that my competitors are not bidding more that .60c a click. Typically, they also charge more for a product than I do. Usually in the mid $30 range.
The questions that I have is this. Is it possible to have a ROI of 300%, in a PPC campaign with a product that sells for $28 (ignore production cost, lets solely focus on advertising)?
I feel that if I drop my CPC to .30 which is extremely low, my ranking will not be high and get quality traffic to convert. When it was this low I was averaging a rank of 6.5. I need to raise my conversion rate for sure. Is it possible to have a CR of 5% or higher? In a PPC is it possible to have a CPC of .6 and a CR of 6.5%?
What would be some practical advice to achieve a ROI 300%?
Anson