If you’re new to building a business online, or have recently bought a $97 clickbank course on media buying and decided to throw a few gold coins into the advertising kitty, this article might just save you a small fortune and a lot of time (and misery).
buying traffic from advertising networks is a complicated business. Turning a profit with that same traffic is proving to be close to impossible for the average online business owner.
I know…you’re NOT the average business owner!
Let’s break this down into small, easy-to-digest pieces to take the mystery out of media buying and make your life a little easier…and (hopefully) a lot more profitable.
About Ad Networks
Ad Networks are set up in such a way that they are able to offer advertising to clients either exclusively (offering a sales mechanism to a single, stand-alone client operating in one particular niche) or to a group of advertisers who are doing business in the same sector online.
The networks sell what’s referred to as inventory – advertising space on a website or group of websites across their network of partner sites. Google is the largest and best known advertising network using the AdSense platform for publishers who want to earn money from visitors who click the ads on their website.
Ad networks sell traffic, for the most part, in two ways – CPM (per page impressions/per 1,000) and CPC (cost per click).
This means that you (the advertiser) are paying either every time the page loads (CPM) or whenever your ad creative (banner or text) is clicked on. This may look like a straight forward choice to start with but it isn’t. A hungry business owner could find themselves easily confused and quickly swallowed up if they make the wrong choice and select the wrong type of traffic on the wrong ad network. CPC may seem to be the right approach (you know what the cost of the click will be, right?) but this isn’t always the case. A good ad creative, placed in the right position on the right website can provide a much better return on investment.
Here’s how it works…
Larger advertising networks use an auction based bidding system like Google’s, where the highest bidder is rewarded with the impression immediately after a website visitor clicks a link on a partner website. This happens in a tiny fraction of a second and provides the advertiser with the exact traffic they want at a price they’re willing to pay the ad network. The ad network pay a portion of the advertising fee (the cost of the click or the impression) to the website owner and everyone is happy. In theory at least. 😉
As an advertiser, you are bidding or agreeing to pay the network a fee based on the value that visitor will deliver.
What does this mean for you and your business?
When you bid or agree to pay a certain amount for traffic (CPC or CPM) you MUST know the visitor value of your website or you’ll be dead in the water.
Here are four questions you need to ask before buying traffic:
- How much money can you afford to spend to get a visitor to your website?
- How many leads will your website produce for every 100 visitors?
- How many people will you need to get on your subscriber list to make a sale?
- How many sales will you make on average from each of your customers?
Buying website traffic will break the bank…
if you don’t know the answer to these questions.
Want to keep your little piggy-bank intact? Want to eliminate both the learning curve and the stress? Then book a Done-For-You-Traffic Consultation today and leave all the question (and the nasty details) to us!