wheel - 12:47 pm on Sep 7, 2011 (gmt 0)
If I pay $100 in adwords, and get $50 in sales profit - is that viable?
It's perfectly viable. The problem isn't adwords, it's that you suck at adwords.
Seriously. Adwords is hard. Fail, and it's much more likely an indication that you didn't do the job right than it is that adwords doesn't work. Adwords has opportunities for one to lower costs dramatically, it's not anywhere near as simple as $100 in costs, $50 in sales.
I used to run PPC ads where initial cost was $25 per click to be anywhere near the front page - and looked like it was $50 per click to be near the top. Conversions were worth about $25 - so how does that work? Yet I was able to run a profitable campaign.