What percentage of your daily AdSense income do you spend on AdWords?

I have only found one keyword that consistently gives me a 4:1 ratio...

[YesMom]

I've found one keyword that I can spend 25% of my AdSense income on to get that perfect balance. For every .25 cents I spend (bringing in customers with a low bid of .05) I get $1.00 in AdSense income returned to me daily.

I've tried other keywords and phrases, but they don't give me the return on investment.

How about everyone else? What is an "acceptable" amount to spend on AdWords to bring in an AdSense income?

I'd love to find more keywords that I can spend a nickel on, but so far I haven't come up with any. I average $45 a day in AS income... with more "magic" nickel keywords I could dramatically increase that!

I'd love to hear from others.

[YesMom]

OK, let's pretend my link already comes up in the top 10 listing for most of what I would be advertising, pretend nothing, it already does. So basically I'd be paying to get on the same pages I'm already on for FREE?
Someone tell me how that makes sense, I'm willing to learn.

Your mileage may vary

You stole my line!

Yes, you are right. This only works with keyword phrases you do NOT already show up in first page results for. The idea here is not to think of your normal keywords, the ones you show up in natural results for, but keywords which will target visitors who will not only be interested in your AdWords ad, but be even more interested in the AdSense ads displayed on your site once they get there!

It takes a bit of thinking outside the box, but if you find just *one* of these magic keywords you will know what I mean. My particular word only works for me... and it isn't a "high-paying" word... but the formula works!

Oh... I stole your line on purpose. It has been growing on me. I knew it was *your* line! ;-)

[YesMom]

Why limit your bid to .05 if you are making a profit? You should be able to increase your bid by a few cents and bring in more traffic. Your ROI in percentage terms wont be as high but in absolute terms it should be higher.

DonMateo --

Someone stickied me about this and you are absolutely right! I might try going higher on my bid soon.

The only reason I've hesitated is that I'm already in position 4.2 for my "magic" word at 5 cents.

Do you think there will be that much difference moving to top position?

[adamxcl]

Sometimes it bugs me to advertise on the first page for terms that I am already top ranking. But then again, you are getting two spots on that first page instead of one. And in a few cases where I have more than one site page on the first page result, even three spots! I think it depends on the price of the keyword too. If you are paying a dime to get two spots on a result page, that is great. A couple bucks for two spots when you have one for free....well. You have to think about that one.

There is also something to be said for credibility in that a visitor sees you ranking high and then also sees a ad. Some weary searchers may think that is a more established business. It's also more branding if that is something you are after.

[incrediBILL]

The idea here is not to think of your normal keywords, the ones you show up in natural results for, but keywords which will target visitors who will not only be interested in your AdWords ad, but be even more interested in the AdSense ads displayed on your site once they get there!

I understand the concept, but you would have to see my area and see the keywords already in the SERPS, I'm drawing a blank on what would be "out of the box" that I'm not covering that would have substantial traffic to be worthwhile.

It may exist, I'm thinking on it, but I'm not finding it - my coverage is to say the least, massive.

Maybe I need to think outside a much bigger box :)

I'll check my SERPs today and maybe if one of my better keywords has slipped I'll experiment there to see what happens.

[YesMom]

I'll let you know what has happened next Saturday

OptiRex --

Any tentative conclusions? :-)

YM