I would definetly appreciate any answers since I thought a lot but couldnt find any soluition to this.
Thanks in advance
We do this with our clients and it works well (although we charge 20% or a flat fee). It works both ways in such an arrangement though, you have responsibilities too, just today I called a customer to explain an overspend and remedy the situation.
My absense from the business for nearly a month (family illness) meant that spending on an account went 44% over budget for last month. As we are honest about our methods I was able to have a simple conversation with my client in which we took responsibility and offered to cover the overspend from our quarterly fees. We also do SEO work for the client and they are very happy with us. My contact there even went as far to thank me for my honesty, it turns out the overspend had been spotted so when I called with a solution he was able to answer the query from his chief exec. I think the honesty will mean we keep them as a client for some time.
You do need to take a percentage to run a business. Don't be afraid to tell people how you work, they will only wonder otherwise.
Campaign XYZ
Adwords spend: $100
Campaign Fee:(15%) $ 15
----
Total XYZ campaign $115
Just adding on the fee to the Adwords spend and billing your client would fully make him aware of what was actually spent on the campaign, and the fee associated with it for your services to maintain and monitor the campaign.
If the client has a set maximum monthly advertising fund then it would be a simple case of monitoring the adword campaign and turning it off when advertising fund limit was reached... explaining this to the client, and depending on results the client could increase the monthly budget + account for your 15% accordingly.
No point in deception, as in the long run it would have an adverse affect on your reputation... although I do not believe it is possible to do the fees directly in adsense - you could convert a campaign to excel + add in the fees easily enough.
Thanks, what i would like to do is show my client he paid $115.00 for the traffic received whereas I paid $100.00 for that traffic and I pocket $15.00 bucks. Is that possible?
It's really tough to make money even at 100% markup on a spend of even $500/month unless the camaign just runs and you can pile ona bunch of them with clients that don't ask many questions and wnt to change their campaings all the time.
A lead to a real estate broker should be worth a lot so you could potentially pass through the ad cost w/o a markup and get paid per lead you generate through the program.
Also, if you're afraid charging for your time, be confident and know that others in our space are charging $300 even $500 per hour!
Also, know that what you're doing for clients is almost as if you're their sales team. You're in essence generating leads for them which they would have to pay thousands for unless they use your services... Most agents end up paying for newspaper ads, magazine/realty publications, grocery cart advertising( hehe) but none of those methods are measurable or as effective as PPCs ..
I would take the CPL of a PPC campaign for even the highest CPC campaigns then the CPL of a congested newspaper/real estate publication
I work with real estate agents and some of the leads we've generated have resulted in thousands of dollars of commissions..
Just the mere fact that your giving the agent the potentiality of being able to get leads you should be rewarded well... Many new agents struggle getting business and don't know how to leverage search marketing so you deserve to get paid for your time.. It's only fair for you and the client