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PPC Management - All About Visitor Value

By: Kirt Christensen

In internet marketing, the ones who make real money are the ones who have websites that have the highest visitor value. Visitor value is the average sales value of the clicks they get.



When you grow your visitor value, it means more money getting deposited into your bank account. Plus it means more affiliates and joint venture partners will come seek you out because you can advertise more aggressively and pay more money to everyone.



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.



On Google, traffic is charged for on the basis of dollars per visitor. So success is also measured in dollars per visitor. If 100 people come to your site and you get $200 of sales, then your value per visitor is $2. This is the most fundamental measure of your web site's success.



Your main objective for your business is to get the best visitor value that you can.



Having a higher visitor value, you will be up there with the likes of Nordstrom, Lord & Taylor, Starbucks, Saks Fifth Avenue, and Macy's.



If you have a low visitor value, you're destined to be like the strip-mall stores: Dollar General, TJ. Maxx, Piercing Pagoda, and Wal-Mart.



With a per visitor value below that you are living a miserly existence selling at flea-markets and pitching your stock on E bay.



Your purpose is profits. This is the main purpose for your going in to business, but profits alone can't give you a complete picture of how streamlined and effective your sales methods are, it may be just some momentarily great click costs.



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 50 percent profit margin on your $1000 item and one in a hundred visitors will buy from you. Then your visitor value is 10 dollars. The theory is that you can then spend as much as 5 dollars per visitor for traffic and still break even, and if 1 out of every 1000 visitors makes a purchase then you have a visitor value of 1 dollar and you can spend as much as 50 cents each to buy clicks.



We know this is an oversimplification of what margins are and how they work. But the point is clear: visitor value tells you what your clicks are worth, and what you need to do about it.

Article Source: Free Content Articles Directory

Kirt Christensen's dynamic style of PPC Management as he managed over $612,000 of yearly ppc advertising for clients, has them raving about him! managemypayperclick.com

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