How to make low payout offers profitable? (5)
Hey everyone,
I've been experimenting with a Mobile Content offer the last 2 days that pays $0.08 and it has been swinging between being -50% ROI and almost profitable. I have over 100 conversions with a conversion rate of 1% which is the most I have received on any offer yet.
My question is how to get these profitable? It seems that you'd need a really high conversions rate to have any hope of turning a profit on something like this. I am able to get it near profitability, and then 1 bad placement receives too much traffic and its back down to -50% ROI. I am curious how you would optimize something like this that has a small margin for error.
Thanks in advance!
Did you try to turn off that 1 bad placement?
That would be an easy solution 
I assume you already have your winner LP and you did a solid A/B testing. If not, take that step as well.
Otherwise I would dig deeper into the stats and would look for any patterns / pockets of profits.
Is there any OS / OS Versions / Browser / Browser versions / ISP / Connection Type that is making or sucking money?
I bet you will find something when look at deeper levels.
Nowadays it's all about being good at segmenting your traffic.
Another thing you can try is - different bidding or extracting the profitable zones/widgets into their own whitelist campaign.
There is always something to try and make it GREEN.
Hey,
I think as on the testing phases you should try with a limited budget, so even if there is any bad placement, losses should be minimum.
For eg- Try with 5$-10$ overall, once you will get to know the bad placement, remove it and try it again. After some testing like this, when you remove all the bad placements, it should be going well for a longer period of time.
Running a pretty low budget test just to get an idea of how much traffic percentage wise is coming from 1 or 2 huge placements is usually a good idea. There's a lot of placements that will eat easily 50%+ of your overall spending unless cut and if this placement doesn't convert, a potentially positive campaign can turn red big time.
Somr sources allow a cap per placement on spent which can help especially in the beginning, once you know what's working, create a separated campaigns with those placements, adjust bids and bank.
It sounds to me like it's a problem with bad placements, which has nothing to do with the low payout.
Is this a situation where you're having new bad placements pop up out of the blue to zap your budget?
If this is happening on a regular basis, try to check the camp multiple times a day to catch them early. Better, use an automation tool to blacklist them automatically.
Also - have you checked the bigger traffic segments like OS/browser/carrier like Erik has suggested? If the campaign is going from green to red to green to red, it may be better to cut a larger traffic segment that has a negative/low ROI to stabilize things a bit.
Amy
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