Hello everyone! This is my first case study! Here we go!
I decided to do a case study on a traffic source that has gotten a little bit of buzz around here from some of the members. Some folks like HeavyT have spent (and made) some serious money with this network: http://50onred.com/
Before we get started, you should know a few things about this network. They're a text link network and they have a TON of international inventory. I've run traffic in some European countries and now some in south america. They MOST traffic is actually in Mexico and Brazil (1 Cent Clicks) - when you sign up your account manager can give you a list of the countries with the most traffic - and at what $ amount the clicks start at (US = $0.10/Click, European Countries $0.05/Click, Most other countries $0.01/Click). Very helpful.
I had some luck with Groupon offers in European countries (0.05/Click Minimum) so I figured I would find a good daily deal offer and see if I could make it work in Brazil.
Here is the offer I found and decided to try:
Network: Matomy Market
Offer: Click Cupom Brasil
Payout: $0.70
URL: http://www.clickcupom.com.br/sao-paulo/
**The actual offer URL had a light box pop up when the user arrived on the page. The lite box had an X on it which made it easy to close, and thus easy for the user to avoid the quick conversion.
**I Direct Linked to this offer, no landing page**
I choose to direct link because it was simple and easy to get started.
Now, in the past, when I was running the groupon offers in europe you had to use a landing page and I was having all my ad copy translated by OneHourTranslation.com. This was a big ass hassel.
What my groupon ads looked like:

Big hassel those are...
But, recently, 50OnRed added a NEW ad type which is really cool. You can now upload a 300x250 banner and you're good to go! No translation! makes it easy to get started! The offer I was using had a lot of great creatives, so I grabbed one and through up a campaign!
My best banner (the button blinked)/:

Ok - so that was my banner, now what did I target? Well, to start, I went with some obvious terms - and then translated them into Portuguese:
deal
offer
coupon
etc.
With 50OnRed, I've had the most luck with single words, sometime a phrase will work well. The problem though is CONTEXT and VOLUME, and in this case translation issues. When you bid on a word, for example "deal" (or in our case the translation), this term could mean many different things in context when translated into Portuguese - the translation could mean "card dealer" as an example and then your ad would display in a totally non relavant way. You've just got to role with this shit and see what happens.
I ran this test for a couple of days and had some success - broke even over the course of a week but I had really low volume 100-200 clicks (at 1 cent) with 2-3 conversions a day...nothing to rave about. However, over time, this gave me enough data to make some assumptions. Any keywords that were making money, I put into the google keyword tool (Country=Brazil, Language= Portuguese) and then I sorted by search volume to find the MOST COMON words related to any winning keywords.
After all was said and done (the campaign maybe ran a week or two) here was what I ended up with:

I ran around 2000 clicks to this offer, with this angle. It essentially broke even. See number below.
When I saw a little bit of success, I built 5-6 more campaigns around this offer, but with various angles. They had a lot of creatives aimed at different niches - Paintball/Spas/Vacations/etc - but none of these angles did as well as the basic "coupon" angle that I took initially.
Here is an example of the Beauty Salon Ad:

As I said, the offer was pulled, but I think this campaign had some potential There just wasn't a lot of volume for the keywords I was bidding on - I got at most 500 clicks a day from all 6 campaigns.
Total Spent - All Campaigns: $60.46
Clicks Sent to offer: ~3000
AVG CPC: $0.02
Conversion Rate: 3% or so.
Leads Generated: 85
Total Earned: 59.50
PROFIT/LOSS: $-0.96
I learned a lot!
I think what I should have done was bid on EXTREMELY broad terms like "brazil" or "brasil" and the names of cities, or other common words (translated of course) like "click" or "buy" or "now". If I could have gotten a ton of volume, and then introduced a landing page, it possible could have been really big. But who knows!
There is a ton of traffic in some of these countries, and a lot of offers starving for attention!
Please ask lots of questions! I will be happy to answer them in detail!
Nice case study dude. Did you hit you daily budget caps? Did you just set it to $10/day? Any idea of what spend is available when hitting the broad keywords? I heard their traffic is pretty limited.
Hey, I'm going to be posting my 50onRed case study soon too!
Haven't decided on the offer yet though.
Nice case study, short and sweet.
Thanks for the case study! I've come across 50onred a few times now, figure it's time to give it a test.
Is this a network where I can spend $xxx/x,xxx/day? Do they have any keyword tokens for tracking?
Yeah I found that some wild keywords definately have volume haha, it also helps to duplicate...
Thank you for your advice...I am not sure...what is the meaning of keyword tokens/geo token...could you please explain
He means, you can Dynamically add country name of the visitor into your Ad 
I think there's a lot more room if you go broad (so i hear), which has sparked an idea for a campaign I'll test. Still haven't touched 50onred though, so it's about time for me to get my feet wet

thank you canopus...for explaining
Awesome post! You think there is still a lot of money to be made on 50onred, or is saturated with affiliates? This thread sparked some interest!
-MJ
Any chance to see your case study on 50onREd...please help...can not still figure out how to test coupon offers or where else to look for more examples/articles etc
I'll be doing another case study on 50OnRed here eventually. I may set everything up today.