Thursday, May 3, 2007

PPI/PPC/Affiliate - Optimization

When I'm browsing through websites, I commonly notice how a large number of webmasters chose to use their website as an extra income. That is great for them, but most of them share a common problem. The three most common programs that are used to generate revenue with their sites are :

PPI - Get paid for 1k impressions
PPC - Get paid for each click
Affiliate - Get paid for each sale made through your site

These three programs center around one thing. and that is the percentage of targeted visitors to your site. Target visitors consist of visitors that have interest in your niche. Non-Targeted traffic is traffic that consists of visitors that have no interest in your niche.

Problem

The problem is that most webmasters use the less efficient program depending on their targeted traffic percentage. Let me tell you a real life story, I know a person who receives a heavy 9k unique targeted visitors per day organically. It's all from the search engine, but he uses PPC program. PCC wouldn't be that bad, but if he would use an Affiliate program, his earning per day would increase by three or four times the amount. Since this traffic is so well targeted, his conversion rate would be extremely high.
Below is a scale that you should pay attention to when deciding which program to use:

Targeted /Visitors Program
0%-25% /PPI
26%-50% /CPC
51%-100% /Affiliate

By following that scale, you can optimize your earning for your website. Some webmasters even use all three of these programs, though this isn't always recommended since your site quality will decrease and it may cause some of your visitors to become irritated.

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