CPC ROI Calculator Free Tool

See how to use CPC ROI Calculator Free Tool

Measuring the return on investment (ROI) of a cost per click (CPC) advertising buy, such as with Google's or Bing's search listings, is essential when determining the success of any campaign.

Total Clicks per Month from Publisher

To review a previous CPC campaign, obtain the previous month's data from your Client Activity Report email to determine the ROI. You can also choose to estimate the return on the upcoming month’s campaign by estimating the number of clicks to calculate potential ROI.

Estimated Average CPC

CPC is the amount paid to a publisher for each click made on your search listings. There is a monetary value placed on each click, and that is multiplied by the number of clicks obtained, to determine the investment into the campaign. This information is also listed in your Client Activity Report email.

Conversion Rate

A conversion rate is the measurement of website traffic coming to your website through the publisher, that not only click through, but become customers – this is the ultimate goal. You must provide this data from your own records; it can be obtained through website conversion and analytics research. Conversion rates may vary, but an safe average that you can use when testing is 2-3%. Enter a percent number, not a fraction; example, for 3% enter 3, not 0.03.

Average Profit per Conversion

Profit is the amount earned from a sale resulting from a conversion. For example, if you sell a product for $200 and costs you $20, your profit is $180. You must provide this data from your records by approximating the median profit per conversion.

By determining the ROI of a CPC campaign, you will be better informed when making investment decisions in the future and learn more about the SEO advertising opportunity that may benefit your website the most. What may start off as an experiment of possibilities may turn out to be a profitable revenue stream, once you’ve found what works best within your niche.


Feedback

 

Users comments:

Login or register to post comments and rate

Not rated yet.