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PPC Management - All About Visitor Value

By: Kirt Christensen

The marketers who make the real bucks are the ones whose web sites have the highest visitor value, which is the average sales value of each click they get.

When you see your 'visitor value' go up, it means you will see more money getting put in your banking account. It also means more affiliates and JV partners will come looking for you because you can aggressively advertise and payout more money to them.

Every business and every industry has a basic measure of success. Retail is real estate, and the real estate in your local mall is leased on a square-footage basis, so in retail sales the measure of the store's success is sales per square foot.

You buy your traffic from Google by paying money for each visitor. This is the same way you measure your success, dollars per visitor. So when you have one hundred people visit your site and you have two hundred dollars in sales, then you get a visitor value of two dollars. This is the basic unit for your success.

Your mission in life is to have a high visitor value, or high value per visitor.

With a higher value per visitor, you will be in the exalted company of: Nordstrom, Lord & Taylor, Starbucks, Saks Fifth Ave, and Macy's.

Having a low visitor value, you are in the company of larger strip mall retailers such as Dollar General, TJ. Maxx, Piercing Pagoda, and Wal-Mart.

If your visitor value is even lower than that, you're on the slag heap, eeking out a meager existence at a flea market, or hawking your excess inventory on eBay.

Profiting is the aim here. The whole reason you are in business. However profits alone don't tell the story of the effectiveness of your sales process. You may be having a run of luck with uncommonly inexpensive clicks.

Visitor value is the measure of what your clicks are actually worth. It's a measure of how smart your web site is, how effective your sales copy is, how powerful your offer is.

How do you calculate visitor value? Simple:

Visitor Value = (Your Total Sales Value) / (Your Number of Clicks)

Say you are making a fifty percent profit on a one thousand dollar product and 1 in every one hundred clicks equals a sale, then you have a visitor value of ten dollars. Theoretically you can expend five dollars for each visitor to get traffic and still break even. If 1 in every one thousand clicks you make a sale then you have a visitor value of one dollar, and theoretically you can expend fifty cents per click to buy traffic.

Of course this is an oversimplified explanation of how this works. But this part is definite: visitor value helps you know the value of your clicks and what you can do about them.

Article Source: http://www.articlewheel.com

Kirt Christensen's dynamic flair in PPC Management as he handled more than $612,000 of yearly internet advertising for clients, has them raving about him! managemypayperclick.com

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