In this article I will describe what is quality contextual advertising setup, how it is performed how to recognize it.
Why does the entrepreneur order contextual advertising? You, as a businessman, want transparency in the expenditure of their money. Investing money without any benchmarks, in a month or two you will be disappointed with the process, if you do not immediately hit the "bullseye". But that rarely happens.
Let's understand what you would like to get, ordering contextual advertising
You want applications! Good, specific, when we sell a product or service to the final, solvent customer.
Planning contextual advertising, attracting visitors to the site, we need clear guidelines in rubles. We need to be sure that everything is going according to plan, the parameters and performance of contextual advertising we have normal, or at least we see where to move.
Now about the numbers.
The first figure we need - is how much we are willing to pay for a client in rubles. This figure depends on the net profit from the average sale. Suppose the real profit from one sale is 5000 rubles, and for a client with money you are ready to pay a maximum of 2000 rubles.
The second figure. You have to understand how much money you can lay out to attract one treatment, call. Not every call from contextual advertising will turn into a sale. Let's enter the conversion ratio of calls, for example 0,5 - half of the calls will be wasted, the other half of the callers will make an order. This figure depends on whether you have the right product or service, how competent managers on the phone, how generated the demand for the service or product, etc.
The third figure - it's quality, the conversion of your site. This is a separate big topic. But there are average numbers to guide you. For most sites, the usual conversion rate of 2-3%. This means that every 100 visitors to the site 2 or 3 will order a preliminary call or call themselves. For sites selling pizza or sushi site conversion reaches more than 10%, but we do not count on it, although the conversion depends on the subject. If the specifics of business is that there is nothing to choose from, pay da get, then maybe 10 and 15% ...
Of these three figures are the cost per click, conversion on contextual ads, which we focus on using in the further analysis. It's easy!
In our example, 2000 * 0.5 / 2.5% = 25 rubles. The cost of clicks on contextual advertising should not exceed 25 rubles! 40 clicks on 25 rubles will give us a customer call, 2 calls will give us the sale. Total, as planned, for one sale will be spent no more than 2000 rubles.