Hi all,
I've put together a trashy arbitrage site and I'm promoting it via native ads from mgid.
The CPC that the AM recommended there was $0.07 and it's been 3 days since the campaign has started and I'm in the red by about 40% of a total spend of around $150. I'm monetizing the site with adsense, mgid and content.ad
I have read in various places that the CPC eventually comes down and that it is very much possible to run profitable campaigns.
My questions are the following:
1) What does going the direction of profitable campaigns involve? Is it a matter of spending more money?
2) Is this something that is arrived at by trying various combinations of ads and titles and by achieving a high CTR on the ad?
I'm just figuring stuff out as I go and this is my first foray into paid advertising.
Cheers
Just an update - I researched some more and it seems like the general word is that I should try to have ads with high CTR and that will allow me to reduce the bidding cost.
Any idea what this threshold might be?
Native traffic is generally delivered based on effective CPM - calculated by a combination of your CPC and CTR.
So yes, you are testing various ad/title combos to achieve the highest CTR possible while also remaining congruent to your site.
Keep in mind that with Adsense, your earning is somewhat relative to your spending on ad networks. Sometimes the higher your bid CPC is, the higher your Adsense CPC becomes. Similarly, lowering your bid CPC might sounds like a good idea, but your Adsense CPC will decrease accordingly, thus lowering your ROI.
This is called Google Adsense Smart Pricing, and you can learn more about this here: https://support.google.com/adsense/answer/190436?hl=en. The trick is finding the sweet spot between the two CPC's, which can take a lot of experimenting. Good luck!
I don't know of its any good as my copy won't arrive until tomorrow, but one of the guys from Native Ad Buzz has just launched this book on native arbitrage - you might find it useful:
https://www.amazon.com/Native-Advert...ve+advertising
Thanks a lot for the pointers. I have managed to get my CTR up to almost 0.8% and that dropped the CPCs down to $0.03 to $0.04 on an average for US traffic.
I also bought the native ad arbitrage book and it's got some neat information I used to improve the layout of my site and increase my ROI.
Cheers guys
how could you possibly set a CPC to lower than $0.1?
I am targeting the US and it shows a red box "the minimum bid shouldn't be lower than $0.3"