Arbitrage reality check

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n0other

n0other

be like.no.other™
Dec 18, 2006
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Consider the following 7search -> adsense scenario:

- I spend $8 / day on 7search.com.
- The max number of users I would get at $0.06 is 133.
- With CTR of 30% that would result in 40 clicks.
- To break even, the CPC should be $0.2

If I get CPC of $0.3, which seems pretty high for me, I would make $12 and spend $8 leaving me with $4 profit and 1.5:1 ROI.

How is that for a guideline?

Some specific questions.

Does the get-133-users-for-$0.06-per-user work in practise?

Is CTR of 30% hard to get? I've read the master arbi thread and I think I have an understanding of what a good template is (no leaks, one rectangle at left etc.).

Is CPC of $0.3 rare and how to search for niches capable of delivering such CPC.

How many niches would be optimal for such budged or that doesn't matter?

If it's a shitty scenario, please do tell and mention why.. Also it would be great to know its weak points as to know how to make it better :)
 


NO0ther;
All of your questions have been previously answered in the big arbi threads in the Affiliate Marketing section. Read, read, read, and learn. :)

But from my point of view:

- I have yet to receive more than 50 daily visitors a day from any keyword in 7search, but perhaps I have had bad luck. My average is 3-5 visitors a day per keyword. And that's for bids with high traffic where I bid anywhere from $0.06 to $0.40. So perhaps you have had luck getting 133 with your keyword at only $0.06

- No, 30% CTR is not hard or uncommon. My average CTR is 45% and some sites that do consitently 75-100% CTR. The problem is I can't get enough traffic to them.

- No, $0.30 is not rare, although it seems to be harder to come by these days (which leads some arbi critics to claim that arbi is dead). I wouldn't go that far, but I do see that higher paying CPCs are harder to come by. I have some niches where I get $1.70 CPC. Some $0.90. Get a good keyword tool like Keyword Country to find niches with high CPCs.

- Only you can determine the right number of niches based on what you think you can deliver as far as traffic and CTR. As long as you have positive ROI there is no reason to limit or stop your site expansions.
 
Thanks ImagesAndWords, so I should direct my attention to filling the budged (as small as it is now), and do that by adding more pages/niches/keywords. I already read those threads and I'll probably read them again soon, it's just that I always want to have a plan before jumping on everything. Testing is a must I agree, especially in arbi, but what's wrong with trying to learn from others mistakes than yours? That's what smart people do.
 
Yeah it doesn't hurt to ask for advice. After all, that's partiallly what a forum like this is for. To share ideas and experiences. :)

Good luck with your testing. Remember too that as long as you can at least break even, you will always get back the money that you spent.

Tip: For each niche - watch your average CPCs in Adsense and multiply it by your average CTR, and you will know the maximum PPC you can spend to break even. ;)
 
make sure you have made enough pages and run them at the same time for a true guideline for future arbitrage endeavors. what I mean is you are using "theory" instead of "practice". I have quite a few keywords that get me 85 to 300 clicks a day in 7 search and I pay less than $.10. it is there but you have to understand that all the info you have will not make you money or give you good information to learn until you have 20+ pages running at the same time were there is good traffic. the longer you test the higher your ctr is going to be. never be satisfied with your ctr, always work on improvement! gather real info and then ask more questions!
just my advise
 
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