AdWords Conversions vs. Profit (not the same thing!)

Would you rather pay $10 per conversion, or $15 per conversion?

It’s easy to get caught up in AdWords just trying to get the lowest cost per conversion…you want to spend the least amount possible on AdWords.

This isn’t a bad starting point, but it’s the wrong goal.

Your goal SHOULD be to get the most PROFIT possible…even if it means spending more per conversion.

Here’s an example…

Let’s say you’re selling a product that costs $100, and you’re making $30 profit on every sale (before calculating your advertising expense).

Now let’s say you’re cost per sale in AdWords is $10. So you’re paying $10 to make $30 – a net profit of $20 per sale. Not too bad.

Let’s also say you are able to make five sales per day like this. So you’re spending $50 per day and your net profit is $100 per day. You try to increase your budget but you don’t get any extra traffic…you’re still only spending $50 per day. With your current campaign settings, you’re getting all the sales you can get for $10 per conversion.

So let’s adjust some things. We can improve the click-through-rate, get rid of some segments of under-performing traffic, increase the ad position, focus on maximizing our best-performing traffic.

After all these changes, let’s say we were able to increase our sales from five per day, up to twenty per day. But we’re not spending $10 per sale anymore…now we’re spending $15 per sale. So those twenty sales per day require us to spend $300 per day in AdWords.


Now we are also making $300 per day in NET PROFIT.

So…would you rather make $100 per day, or $300 per day?

My Elite Conversion Optimization training will show you…

FIRST: How to decrease your cost per conversion.

SECOND: How to increase your net profit.

You need to know how to do both.

P.S. – If the example I used above doesn’t sound realistic to you…the example used in the training (the real live example) did even better. Grab the training today to see exactly how it was done.

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