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joanpeterson
Forums Member
Joined: 29 Jul 2009
Posts: 149
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#1 · Posted: 23 Dec 2009 14:37
This is a link to the New York Times article. It highlights the case of an online retailer that reduced their adword campaign. However, reduced sales and more competition made their decision to reduce their adwords campaign a decision that they regretted.
http://www.nytimes.com/2009/12/22/technology/internet/22search.html?th&emc=th
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getagrip
Joined: 20 Feb 2006
Posts: 2086
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#2 · Posted: 19 Jan 2010 00:59
Thanks for sharing that article. It just goes to show you how complex Adwords can be, and how "on top" of your Adwords game you need to be profitable. Adwords can be a great tool, but I think it is best to start out with the free methods of online promotion before jumping into Adwords. Otherwise you are likely to lose money...
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onera
Forums Member
Joined: 10 May 2009
Posts: 48
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#3 · Posted: 1 Mar 2010 00:53 · Edited by: onera
Yes, AdWords is a big money sink unless you know what you're doing. It's sad but true that most AdSense money is made from newbie AdWords advertisers. Experienced advertisers will not bid on content network (AdSense publishers) for more than 10-20 cents. So, the publisher's cut will be 10-15 cent per click.
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sidmakid
Forums Member
Joined: 6 Jun 2012
Posts: 3
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#4 · Posted: 8 Jun 2012 07:36
Adwords can work very well if you have a sales orientated business or if you have a lead gen model with good plan to convert the leads into sales.
Also reducing adwords spend does not necessarily mean reduction on sales/leads. If you have a proper adwords manager who can target the right keywords and use conversion optimisation tools that automatically allocate budget to ads that convert into sales then you can have better success. A good adwords campaign is one that been thoroughly researched has good list of "negative keywords" to block invalid impressions, and has been optimised over time.
If you run your adwords campaign well you can get the same or more sales with lower campaign budget. But all things being equal yes less budget = less sales.
Novices give up on adwords, pros build a model that works well on adwords.
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JayW
Forums Member
Joined: 26 Apr 2012
Posts: 14
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#5 · Posted: 8 Jun 2012 12:51
PPC is how most successful affiliate marketers become super affiliates. The problem is most people don't have the money or the know how to tap into this form of advertising. I agree with Getagrip, that if you are new to advertising, try some type of free promotion first. Most people don't understand how to use Adwords and even some of the seasoned pros confessed to losing money when they initially started running Adwords campaigns. Being successful in online business is about testing various campaigns until you find what works and that will cost you. A better route would be to start a blog and work on building traffic and a following to the point where you start making some money through monetization. Using that money as seed money is a great way to start with PPC advertising.
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