Image, Ad Copy, Lander and Offer - Essential Metrics (3)
Hello,
I am a newbie. I have been reading the guides and posts about POF. The information is priceless. Still I am not clear about a few essential metrics.
Any clarification will be of great help:
Question 1- Ad Images:
After A number of impressions if the image still had CTR below B%, then kill the image.
Question 2- Ad Copy:
After A number of impressions if the Ad Copy still had CTR below B%, then kill the ad copy.
Question 3- Lander:
If the CTR of the lander is below A%, kill the lander and try a new one.
Question 4- Offer:
If the ad (image +Ad copy) has A% CTR and Lander has B% CTR and still the offer has Conversion Rate below C%, then do not pursue the offer.
I am trying to find the values of A, B and C in the above questions.
Thanks for your help.
khush
You're focusing on CTR.
Click-through rates do not make you money.
With the logic above, you would kills ads and ad copy and landers that were profitable - because nowhere do you actually look at how much money something is making you vs the costs.
While CTRs are not unimportant - as a higher CTR leads to you spending less to get actionable data, you should focus on the conversion rates and earnings per click for your ads and your landers, and how this stacks up against the corresponding costs per click.
There are some consensus benchmarks sure, e.g. 0.1% CTR on 110x80's on PoF is 'decent' but again, these don't make you money - the CTRs just influence your CPC, and your EPC is then dependent on lander CTR x offer CVR x payout, and both the former components will vary with the ads/ad copy due to interactions.
I'd suggest just launching a test campaign, doing a follow-along, and then assessing how your various metrics line up. Your ultimate goal is to get data (clicks) to the offer, and conversions, so that you can then have revenue to compare to the costs that you incur along the way.
I'd completely agree with Zeno here. There's one further point to consider in all this: CTRs do not make you money, as Zeno says - but they can lose you money.
The reason for that? On platforms like POF, where you're paying CPM, your cost per click (CPC) is inversely proportional to your CTR. In other words, as your ad CTR goes down, your CPC goes up.
If your ad CPC rises above your payout multiplied by the maximum conversion rate you can possibly get, you will always lose money from that campaign. Hence, it is smart to kill any ad that produces a CPC around or above that.
When you're starting out on POF, it's also helpful to get your click costs as low as possible, so you can learn the entire process faster. For that reason, I WOULD advise you to focus on CTR for ads only when you're starting, and kill ads with a very low CTR.
The hurdles I recommend in the Getting Started Guide are deliberately low for that reason. The aim's not to find the "best" ads CTR-wise and only run them, but just to kill ads that are almost certain to be no-hopers.
Hope that makes sense!
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