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Pay Per Click
General PPC Discussion
How can i scale a cpc campaign without sacrificing the profit margins?
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<blockquote data-quote="Hailie Connel" data-source="post: 17892" data-attributes="member: 7521"><p>I’ve been doing media buying as an affiliate for some time now. I primarily work with affiliate networks that pay me on a CPL (Cost Per Lead) basis, which I find to be the most convenient model. While I’ve had some success, I’m finding it challenging to scale my campaigns.</p><p></p><p>As a general rule, if an offer pays $3 CPL, I aim for a 15% profit margin, meaning my cost per lead should be no more than $2.65. To determine my maximum CPC (Cost Per Click), I also factor in the conversion rate. For example, with a 4% conversion rate, I calculate the maximum CPC using this formula:</p><p></p><p>(2.65x4)/100=0.10CPC.</p><p></p><p>This means that based on these KPIs, my CPC shouldn’t exceed $0.10.</p><p></p><p>However, if I want to scale a source I like and my current CPC is $0.10, how can I scale it without increasing the CPC? Also, $0.10 is often too low for many traffic sources. How can I pay a higher CPC while still ensuring the campaign remains profitable?</p></blockquote><p></p>
[QUOTE="Hailie Connel, post: 17892, member: 7521"] I’ve been doing media buying as an affiliate for some time now. I primarily work with affiliate networks that pay me on a CPL (Cost Per Lead) basis, which I find to be the most convenient model. While I’ve had some success, I’m finding it challenging to scale my campaigns. As a general rule, if an offer pays $3 CPL, I aim for a 15% profit margin, meaning my cost per lead should be no more than $2.65. To determine my maximum CPC (Cost Per Click), I also factor in the conversion rate. For example, with a 4% conversion rate, I calculate the maximum CPC using this formula: (2.65x4)/100=0.10CPC. This means that based on these KPIs, my CPC shouldn’t exceed $0.10. However, if I want to scale a source I like and my current CPC is $0.10, how can I scale it without increasing the CPC? Also, $0.10 is often too low for many traffic sources. How can I pay a higher CPC while still ensuring the campaign remains profitable? [/QUOTE]
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General PPC Discussion
How can i scale a cpc campaign without sacrificing the profit margins?
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