The math behind profitability

[a1call]

Hi,

I did some simple arithmetic.
Divided my monthly revenue by the number of unique visitors per month to get the revenue per unique visitor.
the magic number for my case is about $0.015

Would it be worthwhile for me to invest in PPC traffic such as adWords?

Should I increase the item prices?

Should I look into some other means of generating more traffic.

Thanks for your inputs in Advance.

[toddb]

It is pretty hard to get lots of traffic for less then .02/unique.

But this is not how adwords works. You would recieve targeted traffic and that has a better conversion rate.

[NetPro]

It largely depends on what you're advertising on your site and who you're including in those site stats.

If you receive traffic from multiple countries, but your revenue generator is specific to US visitors, then your revenue per click is going to be diluted somewhat.

Also, PPCs allow you to target a much more qualified visitor. One who is more likely to make a purchase. So you will likely see a much higher revenue per click based purely on PPC stats.

But from the stats you've given, it's really impossible to say.