Forum Moderators: martinibuster
Let's say you establish that your AdWords ads generate a 3% clickthrough and that you average .75 per click (just for the sake of argument). And that you've already been with AdWords, so the $5 sign-up is not part of the argument.
For every 100 clicks to your site, that's $5 spent. With three clicks on an average payout, that would be $2.25. So in that case, it wouldn't be worth your while... Now there are intangables involved (the promotion of your site, bookmarking, return visitors, etc.), but nonetheless it is a risky proposition.
Now, if the CTR is higher, or the EPC is higher, then that's a different story. But you would be wise to gain a good grasp on both before proceeding, in my opinion...
For instance if you can determine that "widget polishing" is going for $X per click - you build a site (or page) with a content related to that, throw adsense on it and then start and Adwords campaign for terms that are going for $.0X per click - "red widget polish", "polish for widgets" etc.
Don't expect to make a million dollars per day doing this - because the "oddball" searches just don't generate the necessary traffic.
You also need to experiment a bit with adsense placement and colors to see what works best for you.
I have a site that makes more than 14 times its Adwords spend in Adsense earnings - and it gets absolutely no SE traffic.
I tried this once with a site whose AdSense EPC I -thought- would be higher than it actually turned out to be, so I didn't make much money, but had the AdSense EPC been higher it certainly would have.
Any thoughts?
I am sure there has been discussion of this in the past but I couldn't find it. What are the economics of using AdWords to draw people to the site, hoping that they will then click on Ads to get out?
Economics aside, this sounds like a violation of adsense TOS. Creating a website for the sole purpose of putting adsense ads on it.
If I had to guess, the adword would not make it to the first page of the SERPS resulting in a very small amount of traffic.
Exactly my experience as well on a site that gets nearly zero traffic from SERPs. Even after raising the bid 3x and making it to first page, traffic volume is still very low -- can't even use up my daily $20 limit.
perhaps purchasing PPC trafic from one of the smaller PPC engines like search123 would work better
Did that with kanoodle. Can count the traffic on one hand. Probably depends on the topic, though.
(Just learned how to use these neat quote boxes -- can you tell?)
Economics aside, this sounds like a violation of adsense TOS. Creating a website for the sole purpose of putting adsense ads on it.
I don't think that's quite what they meant by not making a page solely for the adsense ads. Under that logic I couldn't make a site about any specific topic if I intended to later put adsense ads on it. However, guessing that a certain topic is more profitable under the adsense program than other potential topics, and choosing to make a legitimate site based on that assumption should certainly be OK. They are just trying to keep a site about sport widgets from making one irrelevant page devoted to mesothylioma lawyers and morgages.
Hmm... who said that? I happened to make a very informational site about "widgets" and then to help bring some visitors to my highly informational site I chose to use adwords to promote it. Of course, since this site is just starting out, I haven't the capital to bid on the $X keywords, so I am starting out slowly, and bidding on terms with lower volumes of searches, and by extension have lower priced bids.
Currently in order to help supplement the income of my informational site, I've chosen to use Google's excellent Adsense program while the site begins to show up in the search engines.... who knows, maybe I'll just keep on using Adsense and Adwords for the foreseeable future.
What's the problem with that? ;p
I guess I see it not so much that they would click on an ad as that they might sign up for the newsletter, tell friends about the site, mention it on newslists, link it from their site, etc. In the long run it would increase visitors and as a result would help with adsense earnings.
There I bumped the discussion to the top. ;)
Let's underline that phrase "upside down". It means in-the-red, or in-the-hole or losing money.
Be vewy vewy cahful.
1. Start Adwords campaign - Google sends your ad out to a gijillian servers and cntent sites, cached, served as called.
2. Clicks cause a charge to your account and THEN pass along to your website URL.
3. Your website serves the page... and AdSense. Maybe they click, maybe they don't. Play the traffic game, gets lot sof visitors, and make a small percentage on large volume, and your profitable.
4. UH OH! Your website doesn't respond. The user clicks and no response. She clicks again. You pay for the clicks, and she never gets your page. It's 10 pm.. do you know you're website's down? Or Slow? Click, click, click....$$$
5. Eventually you realize your problem, and shut off AdWords. SLOWLY the message propagates throughout the networks, caches, etc to STOP serving your ads at a price-per-click. EVENTUALLY it stops... sometime the next day. Nothing you can do but watch the money flow down the drain.
6. Your AdWords account bill is high/ your AdSense revenue is non-existent.
7. You beg your ISP to fix the problem, your website is back snappy as ever. WANT TO PLAY AGAIN?
DANGER WILL ROBINSON. Remember,if you play a numbers game and scale up big, you need to be FAST to beat the odds. Any momentum game will kill you if you have any kind of lag, and Google has everything custom built in their favor.
To develop a small loyal userbase, bidding $0.05 on every keyword in the related-book is a wonderful idea, if you really believe in your content and the usefulness of your site. It does indeed work, but not directly, it's based on bookmarks and type-ins.